Share prices of space tourism stock Virgin Galactic (SPCE) tumbled as much as 16% in the days following its fourth-quarter earnings release last week. The reason wasn't obvious on the surface. In its report, Virgin Galactic management noted that its Q4 losses were smaller than analysts had forecast -- only $0.26 per share instead of $0.30 per share. Management also admitted that sales underperformed expectations, coming in at $2.8 million instead of the expected $3 million.Such a report would seem to set up ...

Virgin Galactic (SPCE) has lofty goals. At the moment, however, the space tourism company is years away from achieving what management says is possible. Executing on its big plans will require a lot of things to go right. Here's a quick look at where Virgin Galactic is today and what it would take to get to where it wants to be in the future.Virgin Galactic pulls in its hornsLast year was a very important one for Virgin Galactic, given that 2023 marked the first time it actually operated a commercial space ...

Virgin Galactic (SPCE) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.Shares of this company have returned -7.9% over the past month versus the Zacks S&P 500 composite's +3.2% change. The Zacks Aerospace - Defense industry, to which Virgin Galactic belongs, has gained 1% over this period. Now the key question is: Where could the stock be headed in the near term?While media rele ...

Shares of Virgin Galactic (SPCE -2.87%) have fallen more than 90% from their 2021 high-water mark. Clearly, enthusiasm for this space tourism company has waned in a big way even as it has proven that it can reliably fly people into space. The big problem for the company over the next year is that its finances are going to get increasingly weak.Virgin Galactic hit the reset buttonVirgin Galactic made a very big announcement when it released third-quarter 2023 financial results. It is going from a monthly cad ...

Virgin Galactic (SPCE -3.42%) is raising prices again. This time, the price of a ticket will go up to $600,000. If the company gets to 300 or 400 flights per year, as planned, it will make $1.1 billion to $1.4 billion annually on tickets alone.In this video, Travis Hoium covers the company's recent earnings release and how investors should think about the stock over the next two years.*Stock prices used were end-of-day prices of Feb. 27, 2024. The video was published on Feb. 28, 2024. ...

Shares of space tourism company Virgin Galactic (SPCE -5.26%) tumbled 10% through 10:10 a.m. ET on Wednesday after the company reported mixed earnings for its fiscal Q4 2023 last night.No one expected Virgin Galactic to earn a profit last quarter. (No one expects Virgin Galactic to be profitable for quite a long time, in fact.) It was still a pleasant surprise last night, though, to see that the company lost a bit less money ($0.26 per share) than analysts had feared it would lose ($0.30 per share). On the ...

Virgin Galactic Holdings Inc. lost less money than expected in the latest quarter, but its stock declined in Tuesday’s extended session. The aerospace and space-travel company logged a fiscal fourth-quarter net loss of $104 million, or 26 cents a share, whereas it lost $151 million, or 55 cents a share, in the year-before quarter. Analysts tracked by FactSet were expecting a 30-cent loss per share. Virgin Galactic SPCE, +6.74% also posted an $84 million loss on the basis of adjusted earnings before int ...

The Company believes that presenting these non-GAAP financial measures provides useful supplemental information to investors about the Company in understanding and evaluating its operating results, enhancing the overall understanding of its past performance and future prospects, and allowing for greater transparency with respect to key financial metrics used by its management in financial and operational-decision making. However, there are a number of limitations related to the use of non-GAAP measures and ...

Financial Data and Key Metrics - Revenue for Q4 2023 was $2.8 million, driven by commercial space flights and future astronaut membership fees [21] - Total operating expenses for Q4 2023 were $117 million, down from $154 million in the prior year, primarily due to lower R&D and SG&A expenses [21] - For fiscal year 2023, revenue was $6.8 million, with total operating expenses of $538 million, compared to $502 million in the prior year [22] - GAAP net loss for 2023 was $502 million, slightly higher than the $500 million loss in the prior year [22] - Cash, cash equivalents, and marketable securities stood at $982 million at the end of 2023 [23] - Adjusted EBITDA for Q4 2023 was negative $84 million, an improvement from negative $133 million in the prior year [40] - Free cash flow for Q4 2023 was negative $114 million, better than guidance due to timing of supplier payments [41] Business Line Data and Key Metrics - Since May 2023, the company has flown 24 people to space, bringing the total number of astronauts to 32, representing nearly 5% of all astronauts in human history [7] - The current backlog of future astronauts is approximately 725, with new sales not planned until closer to the launch of the Delta fleet [8] - The entry price for private astronaut seats has increased from $450,000 to $600,000, aligning with research flight pricing [8] - The Delta class spaceship will carry six astronauts, a 50% increase in seating capacity compared to Unity, which carries four [13] - Delta spaceships are expected to fly 8 times per month, compared to Unity's once a month, potentially generating 12x the revenue per ship [14] Market Data and Key Metrics - The total addressable market (TAM) for private astronaut space travel is estimated at 300,000 individuals, growing at an annual rate of 8% [24] - A fully operational spaceport supporting around 2,000 aspirants per year would represent less than 1% market penetration [24] - The company expects to generate $1.1 billion to $1.4 billion in annual revenue per spaceport at 300-400 flights per year, assuming an average ticket price of $600,000 [44] Company Strategy and Industry Competition - The company's vision is to make space more accessible and transformative, with a focus on scaling the business through the Delta class spaceships [4][5] - The Delta fleet is expected to drive long-term growth, with increased capacity, flight rates, and cost efficiency [13][14] - The company is leveraging aerospace industry suppliers like Bell Textron and Qarbon Aerospace for the development and assembly of Delta spaceships [16] - The company sees significant upside potential in its business model, particularly with the Delta class ships, which are expected to drive excellent contribution margins [10] - The company is focused on achieving cash flow positive operations by completing the design, build, and test work for the Delta fleet [11] Management Commentary on Operating Environment and Future Outlook - Management highlighted the successful launch of commercial operations in 2023, with six flights in six months, demonstrating safety, reliability, and repeatability [46] - The company is transitioning from R&D and prototype roots to a manufacturing and consumer-driven space company, with Delta class ships expected to enter service in 2026 [85] - Management expressed confidence in the schedule for Delta, citing lessons learned from Unity and the use of digital models and integrated assemblies [36] - The company plans to expand its fleet and add multiple spaceports globally, with the next spaceport expected around 2029 [33] Other Important Information - The company has a strong balance sheet with $982 million in cash, cash equivalents, and marketable securities, providing sufficient capital to bring the first two Delta ships into service [23][43] - The company is building a final assembly spaceship factory in Phoenix to support future expansion [10] - The Delta class spaceships are expected to have a contribution margin of over 75%, with ticket prices now at $600,000, up from $450,000 [57] Q&A Session Summary Question: CapEx and R&D Spend for 2024 - The majority of spending will shift to CapEx in 2024, with total cash spending expected to be lower than 2023 as the company moves into production [30] Question: Spaceport Expansion Timeline - The next spaceport is expected around 2029, with potential locations in the U.S. or doubling infrastructure at Spaceport America [33] Question: Delta Class Contribution Margin and Pricing - The contribution margin for Delta class ships is expected to exceed 75%, with ticket prices now at $600,000, up from $450,000 [57] - The company sees strong pricing power, with recent openings sold at close to $1 million, reflecting the high value of the experience [59] Question: Spaceport Experience and Community Engagement - The company is enhancing the spaceport experience, with plans to expand hospitality and community engagement as flight cadence increases [63][66] Question: Static Testing for Delta Class Ships - Static testing for Delta class ships will occur in 2024, with major subassembly testing expected later in the year [109] Question: Design Changes Due to Pin Detachment - No significant design changes are required for the mothership or spaceship following the pin detachment incident, with only minor adjustments to the retention mechanism [114][127]

Virgin Galactic (SPCE) came out with a quarterly loss of $0.25 per share versus the Zacks Consensus Estimate of a loss of $0.30. This compares to loss of $0.55 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 16.67%. A quarter ago, it was expected that this company would post a loss of $0.42 per share when it actually produced a loss of $0.28, delivering a surprise of 33.33%.Over the last four quarters, the company has surpasse ...