WEBVTT
00:00:00.080 --> 00:00:00.959
Welcome to Quarters.
00:00:01.280 --> 00:00:03.839
Public Earnings calls only the human part.
00:00:04.000 --> 00:00:09.199
I'm Terry, Rocket Lab, Sir Peter Beck, August 10th record quarter.
00:00:09.599 --> 00:00:11.679
But the interesting part is not the quarter.
00:00:11.839 --> 00:00:14.720
The rocket company is buying a satellite network.
00:00:14.880 --> 00:00:17.359
That is like the road company buying the phones.
00:00:17.519 --> 00:00:21.120
Beck calls it the beginning of a new space applications era.
00:00:21.440 --> 00:00:24.640
Welcome to the beginning of our new space applications era.
00:00:25.359 --> 00:00:36.159
Our pending Iridium acquisition is a strategic move that will combine Rocket Lab's launch capability and satellite manufacturing with Iridium's global satellite communications network and rear spectrum.
00:00:36.320 --> 00:00:44.719
In short, Rocket Lab will become a self-launching Tier 1 space power, delivering critical communications capability to millions of users worldwide.
00:00:44.880 --> 00:00:48.799
For years we've talked about the space value chain in three key verticals.
00:00:49.039 --> 00:00:51.920
The first is access to space, and we have that with launch.
00:00:52.079 --> 00:00:55.280
The second is the hardware to do things in space once you're there.
00:00:55.439 --> 00:00:58.320
That's the satellites and their components, and we have this too.
00:00:58.479 --> 00:01:01.439
The third and final vertical is space applications.
00:01:01.679 --> 00:01:04.480
The entire reason for going to space in the first place.
00:01:04.719 --> 00:01:11.439
This is part of the space economy that provides data services to millions of people on Earth and delivers strong recurring revenue.
00:01:11.519 --> 00:01:14.959
With Iridium, Rocket Lab will have all three of these verticals.
00:01:15.200 --> 00:01:19.359
Self-launching Tier 1 space power, very normal sentence.
00:01:19.519 --> 00:01:28.640
Ugly scoreboard real quick,$234 million revenue, up 62%, backlog$2.36 billion, up 137%.
00:01:29.519 --> 00:01:34.400
More than$1 billion in new contracts across Q2 in the period since.
00:01:34.719 --> 00:01:40.079
Q3 revenue guide,$250 million to$265 million.
00:01:40.799 --> 00:01:47.920
Adjusted EBITDA loss,$17 million to$23 million.
00:01:48.400 --> 00:01:49.200
Numbers are up.
00:01:49.439 --> 00:01:50.879
Losses are still real.
00:01:51.040 --> 00:01:51.519
Fine.
00:01:51.680 --> 00:01:53.120
We're here for what he said.
00:01:53.280 --> 00:02:00.079
If Rocket Lab owns launch, hardware and applications, Neutron stops being the next product.
00:02:00.239 --> 00:02:03.760
It becomes the loading dock for the whole company.
00:02:04.079 --> 00:02:05.200
Now onto Neutron.
00:02:05.359 --> 00:02:09.039
It's been another really big quarter of testing and integration for Neutron.
00:02:09.199 --> 00:02:12.159
Every part of the vehicle has now seen significant testing.
00:02:12.319 --> 00:02:22.159
As with any complex development program, we've had to tweak a few things along the way, but we're moving now into final checkouts and assembly of all of our flight hardware before integrating them at the pad.
00:02:22.719 --> 00:02:23.840
First up, stage one.
00:02:24.080 --> 00:02:28.960
We've pulled the new barrels and domes off the AFP to the stage one tank and are moving those into assembly.
00:02:29.120 --> 00:02:34.960
For the interstage, new panels are also into the flight assembly after qualification load tests were completed recently.
00:02:35.120 --> 00:02:40.400
Production currently lines up with our target delivery of Neutron to the pad in Q4 2026.
00:02:40.560 --> 00:02:51.199
While the window for an NDEA launch is narrowing, the work we're doing now is about risk trading, balancing the timing of our first launch against how quickly and seamlessly we can scale our 10th launch.
00:02:51.439 --> 00:02:59.680
Our focus is on the bigger picture and making sure that when Neutron flies, it enters service as a system ready for full-scale production and high cadence launch.
00:03:00.000 --> 00:03:03.280
The window is narrowing the tenth launch.
00:03:03.439 --> 00:03:04.479
That's the tell.
00:03:04.639 --> 00:03:09.680
He is not selling the first launch, he is selling a machine that can survive launch one.
00:03:10.000 --> 00:03:14.319
The calendar says stage one to the pad in Q4.
00:03:14.800 --> 00:03:17.759
It does not say orbit by a magic date.
00:03:17.840 --> 00:03:18.960
Then he brings a customer.
00:03:19.120 --> 00:03:20.960
Kepler books the whole rocket.
00:03:21.280 --> 00:03:27.199
Today we announced a dedicated launch for Kepler Communications to deliver their next set of satellites to low Earth orbit.
00:03:27.360 --> 00:03:33.039
That mission will expand the capacity of their network with on-orbit compute, optical comms, and hosted payloads.
00:03:33.120 --> 00:03:37.919
And it's the first time Kepler has booked an entire rocket for their constellation rather than rideshare.
00:03:38.240 --> 00:03:44.960
Again, another strong signal of the expectation for Neutron to become the industry's alternate ride to space for medium-lift missions.
00:03:45.360 --> 00:03:49.199
Alternate ride to space, box score, line of the quarter.
00:03:49.680 --> 00:03:52.879
Self-launching Tier 1 space power.
00:03:53.199 --> 00:04:00.719
Quirk, a company named Rocket Lab, now says the point is everything after the rocket.
00:04:00.879 --> 00:04:02.159
Thing that means something.
00:04:02.400 --> 00:04:04.400
Neutron is load-bearing.
00:04:04.560 --> 00:04:11.680
It has to carry government contracts, commercial customers, and eventually Rocket Labs have their own communications future.
00:04:12.000 --> 00:04:12.719
No tips.
00:04:13.039 --> 00:04:13.919
Human ending.
00:04:14.400 --> 00:04:15.360
Beck sounds calm.
00:04:15.520 --> 00:04:16.959
The scope does not.
00:04:17.120 --> 00:04:20.000
He wants the road, the truck, and the package.
00:04:20.160 --> 00:04:23.120
One company, one unflown rocket in the middle of it.
00:04:23.199 --> 00:04:26.639
If you liked this, please subscribe to Quarters.
00:04:26.720 --> 00:04:27.519
No stock tips.
00:04:27.759 --> 00:04:30.000
Just the human part of the UNEX print.
00:00:00.080 --> 00:00:00.959
Welcome to Quarters.
00:00:01.280 --> 00:00:03.839
Public Earnings calls only the human part.
00:00:04.000 --> 00:00:09.199
I'm Terry, Rocket Lab, Sir Peter Beck, August 10th record quarter.
00:00:09.599 --> 00:00:11.679
But the interesting part is not the quarter.
00:00:11.839 --> 00:00:14.720
The rocket company is buying a satellite network.
00:00:14.880 --> 00:00:17.359
That is like the road company buying the phones.
00:00:17.519 --> 00:00:21.120
Beck calls it the beginning of a new space applications era.
00:00:21.440 --> 00:00:24.640
Welcome to the beginning of our new space applications era.
00:00:25.359 --> 00:00:36.159
Our pending Iridium acquisition is a strategic move that will combine Rocket Lab's launch capability and satellite manufacturing with Iridium's global satellite communications network and rear spectrum.
00:00:36.320 --> 00:00:44.719
In short, Rocket Lab will become a self-launching Tier 1 space power, delivering critical communications capability to millions of users worldwide.
00:00:44.880 --> 00:00:48.799
For years we've talked about the space value chain in three key verticals.
00:00:49.039 --> 00:00:51.920
The first is access to space, and we have that with launch.
00:00:52.079 --> 00:00:55.280
The second is the hardware to do things in space once you're there.
00:00:55.439 --> 00:00:58.320
That's the satellites and their components, and we have this too.
00:00:58.479 --> 00:01:01.439
The third and final vertical is space applications.
00:01:01.679 --> 00:01:04.480
The entire reason for going to space in the first place.
00:01:04.719 --> 00:01:11.439
This is part of the space economy that provides data services to millions of people on Earth and delivers strong recurring revenue.
00:01:11.519 --> 00:01:14.959
With Iridium, Rocket Lab will have all three of these verticals.
00:01:15.200 --> 00:01:19.359
Self-launching Tier 1 space power, very normal sentence.
00:01:19.519 --> 00:01:28.640
Ugly scoreboard real quick,$234 million revenue, up 62%, backlog$2.36 billion, up 137%.
00:01:29.519 --> 00:01:34.400
More than$1 billion in new contracts across Q2 in the period since.
00:01:34.719 --> 00:01:40.079
Q3 revenue guide,$250 million to$265 million.
00:01:40.799 --> 00:01:47.920
Adjusted EBITDA loss,$17 million to$23 million.
00:01:48.400 --> 00:01:49.200
Numbers are up.
00:01:49.439 --> 00:01:50.879
Losses are still real.
00:01:51.040 --> 00:01:51.519
Fine.
00:01:51.680 --> 00:01:53.120
We're here for what he said.
00:01:53.280 --> 00:02:00.079
If Rocket Lab owns launch, hardware and applications, Neutron stops being the next product.
00:02:00.239 --> 00:02:03.760
It becomes the loading dock for the whole company.
00:02:04.079 --> 00:02:05.200
Now onto Neutron.
00:02:05.359 --> 00:02:09.039
It's been another really big quarter of testing and integration for Neutron.
00:02:09.199 --> 00:02:12.159
Every part of the vehicle has now seen significant testing.
00:02:12.319 --> 00:02:22.159
As with any complex development program, we've had to tweak a few things along the way, but we're moving now into final checkouts and assembly of all of our flight hardware before integrating them at the pad.
00:02:22.719 --> 00:02:23.840
First up, stage one.
00:02:24.080 --> 00:02:28.960
We've pulled the new barrels and domes off the AFP to the stage one tank and are moving those into assembly.
00:02:29.120 --> 00:02:34.960
For the interstage, new panels are also into the flight assembly after qualification load tests were completed recently.
00:02:35.120 --> 00:02:40.400
Production currently lines up with our target delivery of Neutron to the pad in Q4 2026.
00:02:40.560 --> 00:02:51.199
While the window for an NDEA launch is narrowing, the work we're doing now is about risk trading, balancing the timing of our first launch against how quickly and seamlessly we can scale our 10th launch.
00:02:51.439 --> 00:02:59.680
Our focus is on the bigger picture and making sure that when Neutron flies, it enters service as a system ready for full-scale production and high cadence launch.
00:03:00.000 --> 00:03:03.280
The window is narrowing the tenth launch.
00:03:03.439 --> 00:03:04.479
That's the tell.
00:03:04.639 --> 00:03:09.680
He is not selling the first launch, he is selling a machine that can survive launch one.
00:03:10.000 --> 00:03:14.319
The calendar says stage one to the pad in Q4.
00:03:14.800 --> 00:03:17.759
It does not say orbit by a magic date.
00:03:17.840 --> 00:03:18.960
Then he brings a customer.
00:03:19.120 --> 00:03:20.960
Kepler books the whole rocket.
00:03:21.280 --> 00:03:27.199
Today we announced a dedicated launch for Kepler Communications to deliver their next set of satellites to low Earth orbit.
00:03:27.360 --> 00:03:33.039
That mission will expand the capacity of their network with on-orbit compute, optical comms, and hosted payloads.
00:03:33.120 --> 00:03:37.919
And it's the first time Kepler has booked an entire rocket for their constellation rather than rideshare.
00:03:38.240 --> 00:03:44.960
Again, another strong signal of the expectation for Neutron to become the industry's alternate ride to space for medium-lift missions.
00:03:45.360 --> 00:03:49.199
Alternate ride to space, box score, line of the quarter.
00:03:49.680 --> 00:03:52.879
Self-launching Tier 1 space power.
00:03:53.199 --> 00:04:00.719
Quirk, a company named Rocket Lab, now says the point is everything after the rocket.
00:04:00.879 --> 00:04:02.159
Thing that means something.
00:04:02.400 --> 00:04:04.400
Neutron is load-bearing.
00:04:04.560 --> 00:04:11.680
It has to carry government contracts, commercial customers, and eventually Rocket Labs have their own communications future.
00:04:12.000 --> 00:04:12.719
No tips.
00:04:13.039 --> 00:04:13.919
Human ending.
00:04:14.400 --> 00:04:15.360
Beck sounds calm.
00:04:15.520 --> 00:04:16.959
The scope does not.
00:04:17.120 --> 00:04:20.000
He wants the road, the truck, and the package.
00:04:20.160 --> 00:04:23.120
One company, one unflown rocket in the middle of it.
00:04:23.199 --> 00:04:26.639
If you liked this, please subscribe to Quarters.
00:04:26.720 --> 00:04:27.519
No stock tips.
00:04:27.759 --> 00:04:30.000
Just the human part of the UNEX print.
