News Desk · Everything Space
SpaceX swings to $4.4 billion quarterly profit on satellite and computing growth
Image: Phys.org
The surprise profit, fueled by Starlink and leased computing power, eases investor worries about SpaceX's heavy spending on big projects.
SpaceX reported a net income of $4.4 billion, or 35 cents per share, for the three months ending in September, far exceeding analyst expectations and marking a reversal from a loss in the same period last year.
Revenue for the quarter reached $14.6 billion, a 161% increase compared with a year earlier, driven largely by growth in its satellite communications business and a newer venture leasing out computing power to other companies.
The results break a pattern of losses that had persisted for more than a year at the company, which recently became publicly traded. Following the announcement, SpaceX's stock rose 2.2% in after-hours trading.
The turnaround comes amid investor concern that SpaceX has been spending heavily to keep pace with rivals in the artificial intelligence computing space, including OpenAI and Anthropic. The company disclosed capital expenditures of $19.6 billion for the quarter, nearly three times what it spent in the same period a year prior.
The strong earnings suggest that SpaceX's expansion into satellite internet and computing infrastructure is beginning to offset the costs of its large-scale projects, potentially easing some of the financial pressure investors had been watching closely.
Sources
SpaceX turns a profit after a string of losses as its satellite and computer leasing businesses soar
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