Key Highlights

  • Second-quarter Revenue of $206.2 million missed the $216.3 million estimate by 4.70 percent, while adjusted EPS of negative $0.29 missed the negative $0.07 estimate by 314.29 percent.
  • The company generated a record $1.2 billion in new bookings during the second quarter alone, bringing year-to-date bookings to $1.7 billion, the highest quarterly bookings total in company history.
  • Backlog grew to approximately $1.8 billion, split roughly 37 percent civil space, 49 percent commercial space, and 14 percent national security space, with more than 80 spacecraft under contract.
  • The company reaffirmed full-year revenue guidance of $900 million to $1 billion and continues to expect positive adjusted EBITDA for the full year.

Record Bookings Reflect Diversification Beyond Lunar Delivery

Intuitive Machines Inc. (NASDAQ:LUNR) reported second-quarter revenue of $206 million, more than four times the prior-year period, driven by execution across satellite manufacturing, lunar delivery missions, and communications infrastructure programs. The quarter's standout metric was bookings, which reached $1.2 billion in the second quarter alone, the highest quarterly total in company history, pushing year-to-date bookings to $1.7 billion and further diversifying the Business away from its original concentration in NASA lunar delivery contracts.

Management said the company's addressable market has expanded from roughly $20 billion just a few years ago to more than $150 billion today, following a series of acquisitions that added satellite manufacturing, mission operations, and ground communications capabilities. Second-quarter bookings composition illustrated that shift directly, with roughly 20 percent civil, 50 percent commercial, and 30 percent national security space, compared with the company's total Backlog mix of 37 percent civil, 49 percent commercial, and 14 percent national security.

National Security Program Wins Expand Satellite Production Scale

The company delivered all 16 satellites supporting the Space Development Agency's Tranche 1 tracking layer during the quarter while continuing Tranche 2 production, and was subsequently awarded an additional 18 satellites under Tranche 3. As of the earnings call, Intuitive Machines had also been awarded 18 additional satellites supporting the nation's Golden Dome missile defense architecture, along with a contract for two restricted spacecraft for an undisclosed customer, bringing the total number of IM 300 series spacecraft under contract to more than 70.

Executives described this as an unprecedented number of spacecraft simultaneously in production for the company, supported by ongoing Facility expansion in Houston that includes an additional 75,000 square feet of Manufacturing space. Management indicated the company has not yet reached capacity limits on its 300-series production line, leaving room to absorb further orders without immediate additional Capital Investment beyond what is already planned.

Elevated Investment Increases Near-Term Cash Usage

Gross profit improved to $36 million from negative $12 million in the prior-year quarter, while adjusted EBITDA improved to negative $14 million from negative $25 million a year earlier, reflecting growing contribution from the satellite manufacturing business even as the company absorbed a $14.7 million cost adjustment tied to payload changes on its upcoming IM-4 lunar mission. Operating cash used totaled $60 million during the quarter, which management attributed to strategic investments in long-lead inventory and production capacity ahead of anticipated program awards rather than any deterioration in underlying unit economics.

The company raised $235 million in net proceeds during the quarter through its at-the-market Equity program, ending the period with $367 million in cash. Capital expenditures of $24 million went primarily toward the company's Near Space Network satellite constellation and ground segment, with management indicating elevated capital spending will continue in coming quarters as the company accelerates deployment of its full five-satellite lunar communications constellation to 2028, pulled forward from a previous 2029 timeline following renegotiated launch planning with NASA.

Full-Year Guidance Hinges on Contract Definitization Timing

Intuitive Machines reaffirmed full-year revenue guidance of $900 million to $1 billion and continues to expect positive adjusted EBITDA for the year, with management characterizing the primary variable determining where results land within that range as the timing of contract definitization and revenue recognition rather than any uncertainty about underlying customer demand. Approximately 25 to 30 percent of the current backlog is expected to convert to revenue in 2026, with 35 to 40 percent following in 2027 and the remainder thereafter, while the company anticipates additional backlog growth in the second half from several large multi-year NASA and national security programs, including four additional CLPS lunar mission task orders expected to be bid on this year. Free Cash Flow is expected to improve through the second half as elevated first-half investment stabilizes and milestone payments from recently awarded programs begin arriving on a schedule better aligned with program execution.