The Space Investor - 🚀 Relativity's Financial Woes

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• Bloomberg has reported that 3D-printed rocket company company is running low on cash and is struggling to raise additional capital to get its next rocket off the pad.
   
• Relativity was last valued at $4.2B after a 2021 Series E funding round of $650M. The company launched its first rocket, Terran 1, in March 2023 which failed to reach orbit. Not long after, Relativity pivoted further test launches of Terran 1 and decided to solely focus on development of Terran R.
   
• A spokesperson for the company said it doesn’t comment on speculation or rumors regarding capital. “Relativity Space is fully committed to the development and launch of Terran R ... [and] continues to align itself with strong capital partners,” said  Sarah Lawson.
   
• Relativity is not the first launch provider to face struggles in this feat. What does the future hold for Terran R? We will find out soon.

• Late last week, satellite co GSAT jumped +32% after the company announced it would provide expanded services to Apple, including a mobile satellite services network and a new satellite constellation.
   
• AAPL agreed to purchase a 20% equity stake for $400M, make an infrastructure pre-payment of up to $1.1B and $232M to refinance debt due in 2029.
   
• The deal builds on AAPL's $450M investment in satellite services primarily awarded to GSAT in 2022 to expand emergency SOS capabilities for iPhone 14. 

• $VSAT
  • Revenue: $1B, -8% YoY
  • Net Loss: $(138)M vs. $(767)M
  • Adj. EBITDA: $375M, -23% YoY
  • Backlog: $3.75B, +3% YoY
  • Shares: -8%
     
• $SPCE
  • Cash & Equivalents: $744M
  • Revenue: $0.4M, -76% YoY
  • Net Loss: $(75)M vs. $(105)M
  • Adj. EBITDA: $(59)M vs. $(87)M
  • FCF: $(118)M vs. $(105)M
  • Shares: -12%
  • Delta Class Spaceships: Production schedule remains on track for commercial service in 2026
     
• $RDW
  • Total Liquidity: $61M
  • Revenue: $69M, +10% YoY
  • Net Loss: $(21)M vs. $(6)M YoY
  • Adj. EBITDA: $2.4M, -51% YoY
  • FCF: $(21)M vs. $(6)M YoY
  • Backlog: $330M, +30% YoY
  • Shares: -1%
     
• $BKSY
  • Cash & Equivalents: $65M
  • Revenue: $23M, +6% YoY
  • Net Loss: $(13)M vs. $1M
  • Adj. EBITDA: $0.7M vs. $(0.4)M
  • Shares: +1%
  • CEO: "We believe we have enough capital to fully fund our initial Gen-3 satellite constellation."
     
• $GSAT
  • Cash & Equivalents: $52M
  • Total Revenue: $72M, +25% YoY
  • Net Income: $10M vs. $(6)M
  • Adj. EBITDA: $43M, +34% YoY
  • Shares: +7%

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