Sign in Subscribe
Aerospace industry

Virgin Galactic Reports Second Quarter 2024 Financial Results and Provides Business Update

Strategic Insights

— 1 min read

Virgin Galactic Holdings, Inc., a pioneer in space tourism, has released its financial results for the second quarter of 2024, showcasing substantial progress on its Delta Class spaceship program. The company reported a strong cash position, with $821 million in cash, cash equivalents, and marketable securities as of June 30, 2024. Revenue increased to $4 million, driven by commercial spaceflight and membership fees related to future astronauts. Net loss improved to $94 million, primarily due to lower operating expenses.

Key Takeaways:

  • Virgin Galactic's Delta Class spaceship program has made substantial progress, with design completion accelerating and tool fabrication underway. The company expects to pivot to the build and test phases of production spaceships, which remain on track to enter commercial service in 2026.
  • The company reported a strong cash position, with $821 million in cash, cash equivalents, and marketable securities as of June 30, 2024.
  • Revenue increased to $4 million, driven by commercial spaceflight and membership fees related to future astronauts.
  • Net loss improved to $94 million, primarily due to lower operating expenses.
  • Adjusted EBITDA totaled $(79) million, with the improvement primarily driven by lower operating expenses.
  • The company completed construction on the final assembly facility in Phoenix, Arizona for Delta Class spaceships and delivered key engineering and operational data informing the design of the Delta Class production model spaceships.
  • The blended manifest of research and private astronauts on the 'Galactic 07' mission generated an average of $900K revenue per seat.
  • Production schedule for the Delta Class spaceships remains on track for commercial service in 2026.
  • The company expects free cash flow for the third quarter of 2024 to be in the range of $(115) million to $(125) million.

Statistics:

  • Cash position: $821 million (as of June 30, 2024)
  • Revenue: $4 million (Q2 2024), $2 million (Q2 2023)
  • Net loss: $94 million (Q2 2024), $134 million (Q2 2023)
  • Adjusted EBITDA: $(79) million (Q2 2024), $(116) million (Q2 2023)
  • Cash paid for capital expenditures: $34 million (Q2 2024), $10 million (Q2 2023)
  • Free cash flow: $(114) million (Q2 2024), $(135) million (Q2 2023)
  • Share issuance: 3.7 million shares (at-the-market offering programs)

Sources:

  • "Virgin Galactic Holdings, Inc. Reports Second Quarter 2024 Financial Results and Provides Business Update." Virgin Galactic Holdings, Inc. Press Release, August 7, 2024.
  • "Investors." Virgin Galactic.

Read more