Loading...
•
Jun 30
Blacksky Q2 2025 Earnings Report
BlackSky reported its second quarter 2025 results, highlighting the successful launch of its second Gen-3 satellite and an upsized convertible note offering.
Key Takeaways
BlackSky reported a decrease in total revenue for Q2 2025 compared to the previous year, primarily due to a decline in professional and engineering services revenue. Despite this, imagery and software analytical services revenue saw a slight increase. The company's net loss widened significantly, largely due to a loss on derivatives. Adjusted EBITDA also saw a decrease, moving from a gain in the prior year to a loss in the current quarter. The company strengthened its balance sheet with a successful $185 million convertible note offering subsequent to the quarter end.
Total revenue for Q2 2025 was $22.2 million, a decrease from $24.9 million in Q2 2024.
Net loss for the quarter was $41.2 million, a substantial increase from a $9.4 million net loss in the prior year, mainly due to a $24.4 million loss on derivatives.
Adjusted EBITDA was a loss of $2.8 million, compared to a gain of $2.1 million in Q2 2024.
The company successfully launched and commissioned its second Gen-3 satellite and completed an upsized $185 million convertible note offering, significantly increasing liquidity.
Blacksky
Blacksky
Blacksky Revenue by Segment
Revenue by Segment
Imagery & Software Analytical Services Revenue
CapyFin.comProfessional & Engineering Services Revenue
CapyFin.com Forward Guidance
BlackSky adjusted its full-year 2025 outlook due to near-term volatility from the U.S. government budget process and timing of international contracts. Despite this, the company remains confident in its long-term prospects.
Positive Outlook
- Maintaining full-year 2025 guidance for capital expenditures between $60 million and $70 million.
- Confidence in long-term prospects despite near-term volatility.
- Successful launch of second Gen-3 satellite and progress on third Gen-3 satellite.
- New contract awards, including a facility monitoring order valued up to $24 million and a multimillion-dollar international contract.
- Successful $185 million convertible note offering strengthening the balance sheet and increasing liquidity.
Challenges Ahead
- Adjusted full-year 2025 revenue guidance to $105 million and $130 million, down from previous expectations.
- Adjusted full-year 2025 adjusted EBITDA guidance to break-even to $10 million, indicating potential for lower profitability.
- Near-term volatility driven by the U.S. government budget process.
- Timing related to some international contracts impacting revenue recognition.
- The adjusted outlook reflects a more cautious near-term financial performance expectation.