Virgin Galactic Shares Drop 23% Despite Q3 Earnings Beat Due to Slow Flight Cadence Projections
Virgin Galactic (SPCE) shares plummeted over 23% on Friday following its Q3 earnings report. While the company exceeded analyst expectations by reporting a loss of $0.39 per share on sales of $430,000—outperforming forecasts of a $0.47 loss and $231,670 in revenue—investors reacted negatively to long-term operational guidance. The primary concern for shareholders is the company's projected flight cadence. Virgin Galactic indicated that its new Delta-class spacecraft, starting with Apeiron, will not begin commercial flights until early Q2 2027. Furthermore, management projected a combined annual flight rate of only 150 missions by the end of 2028, which analysts suggest may be insufficient to achieve positive free cash flow in the near term.
Tickers: $SPCE
Topics: earnings report revenue beat space tourism stock price movement