Virgin Galactic

Virgin Galactic Announces Third Quarter 2021 Financial Results
Virgin Galactic plans to launch its commercial space tourism services in Q4 2022.

Virgin galactic Holdings, Inc reported its third-quarter financial results ended on September 30, 2021. It was the company’s second straight quarter of revenue following four consecutive quarters in which it posted no revenue.

These earning reports beat analyst’s expectations as the company’s loss per share is narrower.  Virgin Galactic’s shares were up more than 2% in after-market trading.

Earnings Highlights

Virgin galactic reported revenue of $2.5 million compared to Zero revenue in last prior quarter. The operating loss is $83 million, which was $77 million in last prior quarter.

The net loss is dive by around 50 per cent from $92 million to $48 million in the quarter ended on September 30, 2021.

FactSet analysts expected a loss of 28 cents per share, vs. a loss of 34 cents in the year-prior period, on revenue of $1.4 million. As reported the loss per share is 19 cents per share. compared in the last prior quarter which was in loss of 41 cents per share.

The cash and cash equivalents are soared to $702 million from $665 million in last prior quarter. Cash position remains strong at approximately $1.0 billion, which includes cash and cash equivalents of $721 million and marketable securities of $286 million as of September 30, 2021.

Adjusted EBITDA totaled $(68) million, compared to $(66) million in the third quarter of 2020.

About the Company

Virgin Galactic Holdings is a British multinational conglomerate founded in 1970. It was founded by Richard Branson and Nik powell.

It is consists of many businesses like banking, commercial aviation, commercial spaceflight or aerospace, and space travel companies. They developed a spaceflight system designed to connect the world to the wonder and awe created by space travel and to offer customers a transformative experience.

virgin galactic
Image: BBC

Virgin Galactic announced on Sept. 29 that it is cleared to fly FAA-licensed spaceflights following the conclusion of an FAA inquiry that focused on air traffic control clearance and real-time mission notification related to the Unity 22 flight in July.

The company has sold 700 tickets to the “Spacefarer community” who reserved space to be the first to buy tickets. Approximately, 100 people have put down $150,000 in deposits since ticket sales were reopened at $450,000 per seat. The ticket price “has been well received,” according to Virgin.

“Demand for space travel is strong, and we’ve been selling seats ahead of the pace we had planned,” CEO Michael Colglazier said in the release.

 

 

 

 

 

 

Third Quarter 2021 Financial Results

 

VIRGIN GALACTIC HOLDINGS, INC.

Condensed Consolidated Statements of Operations and Comprehensive Loss

(Unaudited and in thousands except for per share data)

Three Months Ended Nine Months Ended
September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020
(As restated) (As restated)
Revenue $ 2,580 $ $ 3,151 $ 238
Cost of revenue 207 270 173
Gross profit 2,373 2,881 65
Selling, general, and administrative expenses 49,859 30,936 133,276 83,738
Research and development expenses 35,593 46,075 107,859 117,276
Operating loss (83,079 ) (77,011 ) (238,254 ) (200,949 )
Change in fair value of warrants 34,432 (15,280 ) (34,650 ) (341,772 )
Interest income, net 234 313 766 1,979
Other income (loss), net 70 (44 ) 110 5
Loss before income taxes (48,343 ) (92,022 ) (272,028 ) (540,737 )
Income tax expense (25 ) (40 ) (74 ) (34 )
Net loss (48,368 ) (92,062 ) (272,102 ) (540,771 )
Other comprehensive loss:
Foreign currency translation adjustment 3 48 11 (6 )
Unrealized loss on marketable securities (437 ) (437 )
Total comprehensive loss $ (48,802 ) $ (92,014 ) $ (272,528 ) $ (540,777 )
Net loss per share:
Basic (0.19 ) (0.41 ) (1.11 ) (2.54 )
Diluted (0.32 ) (0.41 ) (1.11 ) (2.54 )

 

 

 

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