Virgin Galactic Reports Better-Than-Expected Q1 Results
Portfolio Pulse from Erica Kollmann
Virgin Galactic Holdings, Inc. (NASDAQ:SPCE) reported Q1 financial results with losses of 25 cents per share, beating analyst estimates of 29 cents losses. Quarterly sales were $2 million, surpassing estimates of $1.92 million and marking a 410.2% increase from the previous year. The company's Arizona spaceship assembly facility is on track for a summer 2024 opening, with Delta Class spaceship production scheduled for 2026. CEO Michael Colglazier highlighted the progress towards the 'Galactic 07' mission and the Delta Class program. Q2 revenue is expected to be around $3.5 million, with free cash flow between negative $110 million to negative $120 million. After-hours, SPCE shares dropped 4.85% to 96 cents.
May 07, 2024 | 9:31 pm
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Virgin Galactic reported better-than-expected Q1 results, with a significant year-over-year sales increase and a positive outlook on future projects. However, shares fell 4.85% after-hours.
Despite surpassing Q1 earnings and sales estimates and showing promising future growth prospects, the immediate after-hours stock price reaction was negative. This suggests that investors might have had higher expectations or are concerned about the company's short-term cash flow outlook.
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