Rocket Lab, which released its third-quarter results on Wednesday and continued to see strength in its space systems division, is pushing to get its launch business back on track by the end of the year.
According to LSEG (formerly Refinitiv) analysts, the company reported a net loss of $40.6 million, or 8 cents per share, narrowly missing the projected loss of 9 cents per share. Rocket Lab’s third-quarter net loss increased by roughly 17% year over year.
In the third quarter, revenue increased 7% year over year to $67.6 million, matching the forecasts of Wall Street analysts.
In the third quarter, Rocket Lab’s launch business brought in $21.3 million, but the company’s momentum was halted by a mission failure in mid-September. As early as November 28, Rocket Lab anticipates resuming Electron launches, this time for a mission for the Japanese satellite imagery company IQPS.
Although the launch failure was attributed to “a highly complex set of conditions,” according to Rocket Lab CEO Peter Beck in a news release, the company’s investigation revealed that an electrical problem in the rocket’s power supply system was most likely the reason. According to Beck, the company is implementing “corrective measures.”
“We’ve been laser-focused this quarter on the return to service of Electron,” Beck said in a statement. The company plans “to formally close our investigation in the coming weeks.”
The company has “fully” booked up its schedule of electron missions for 2024, with 22 launches planned for that year.
Rocket Lab’s space systems unit generated $46.3 million in revenue this quarter, up 17% year over year, as is customary.
Its contract backlog rose by $48.1 million to $582 million, a 9% increase from the previous quarter.
Beck emphasized that Rocket Lab is moving forward with the development of its next-generation Neutron vehicle, having recently passed significant milestones for the rocket’s engines and structure.
Rocket Lab anticipates revenue in the range of $65 million to $69 million for the fourth quarter, with only $16.5 million coming from its launch business. Rocket Lab anticipates that its first-quarter 2024 revenue will increase to between $95 million and $105 million when its Electron launches are anticipated to resume.
