Satellogic (NASDAQ:SATL) Releases Quarterly Earnings Results, Misses Estimates By $0.10 EPS

Key Points

• Satellogic’s revenue surged 259% year over year to $15.92 million, exceeding estimates of $9.57 million, while adjusted EBITDA reached $2.8 million and operating income turned slightly positive. However, EPS was a loss of $0.13, missing the expected loss of $0.03 by $0.10.
• Contracted remaining performance obligations rose to $80.7 million, supported by sovereign and defense contracts, while data and analytics revenue increased 54% sequentially to $7.1 million as customers adopted recurring monitoring subscriptions.
• The first Merlin satellite completed testing ahead of a planned October 2026 launch, but the company faces uncertainty from CFO Rick Dunn’s upcoming departure and the lack of confirmation for a follow-on Palantir contract.

Satellogic (NASDAQ:SATL - Get Free Report) posted its quarterly earnings results on Wednesday. The company reported ($0.13) earnings per share for the quarter, missing analysts' consensus estimates of ($0.03) by ($0.10), FiscalAI reports. Satellogic had a negative return on equity of 100.03% and a negative net margin of 443.06%.The business had revenue of $15.92 million for the quarter, compared to analyst estimates of $9.57 million.

Here are the key takeaways from Satellogic's conference call:

• Q2 revenue rose 259% year over year to $15.9 million, while the company posted its first positive operating income of just over $300,000 and positive adjusted EBITDA of $2.8 million. Management attributed the improvement to significant operating leverage, with operating expenses up 46% versus the much faster revenue growth.
• Contracted, non-cancellable remaining performance obligations increased to $80.7 million, including $45.8 million expected to be recognized over the next 12 months. Management cited sovereign and defense wins, including an $18 million-plus Aleph Observer deployment and an $80 million Portugal program, as evidence of strong demand.
• Data and analytics revenue grew 54% sequentially to $7.1 million as customers moved from one-off imagery purchases toward recurring persistent-monitoring subscriptions. The company said Aleph Observer pilots are converting faster than expected in some cases, although it is not yet disclosing subscription metrics such as ARPU or recurring revenue.
• The first Merlin satellite has completed environmental and functional testing and is ready to ship for a planned October 2026 launch; additional launches are expected in the first half of 2027, with full service targeted for the second half of 2027. Satellogic ended the quarter with $112.8 million in cash and reduced secured convertible debt to $18 million.
• CFO Rick Dunn will leave on August 21, with the corporate controller serving as interim CFO if a permanent successor is not appointed by then. Management also could not confirm a follow-on Palantir contract, though it expressed hope that future data sales would be cash-generating rather than structured as barter transactions.

Satellogic Stock Performance

Shares of Satellogic stock traded up $0.33 during trading on Wednesday, reaching $4.82. The company's stock had a trading volume of 12,835,666 shares, compared to its average volume of 9,633,464. The company has a 50-day moving average price of $5.52 and a two-hundred day moving average price of $5.45. Satellogic has a fifty-two week low of $1.25 and a fifty-two week high of $12.00. The firm has a market cap of $714.52 million, a PE ratio of -6.43 and a beta of 1.31. The company has a current ratio of 2.44, a quick ratio of 2.41 and a debt-to-equity ratio of 0.93.

Insiders Place Their Bets

In other Satellogic news, Director Liberty 77 Capital L.P. sold 10,000,000 shares of Satellogic stock in a transaction that occurred on Tuesday, May 26th. The stock was sold at an average price of $9.77, for a total value of $97,700,000.00. Following the transaction, the director directly owned 10,000,000 shares in the company, valued at approximately $97,700,000. This trade represents a 50.00% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CTO Alan Kharsansky sold 87,091 shares of the company's stock in a transaction that occurred on Thursday, May 14th. The stock was sold at an average price of $8.35, for a total value of $727,209.85. Following the sale, the chief technology officer owned 47,785 shares of the company's stock, valued at $399,004.75. This trade represents a 64.57% decrease in their position. The SEC filing for this sale provides additional information. Insiders own 38.84% of the company's stock.

Hedge Funds Weigh In On Satellogic

Institutional investors have recently bought and sold shares of the company. Neuberger Berman Group LLC acquired a new stake in shares of Satellogic in the 4th quarter worth $25,000. StoneX Group Inc. purchased a new position in Satellogic during the fourth quarter worth about $25,000. Abel Hall LLC purchased a new position in Satellogic during the fourth quarter worth about $25,000. Legal & General Group Plc purchased a new stake in Satellogic in the 2nd quarter valued at approximately $27,000. Finally, LMR Partners LLP acquired a new position in Satellogic during the 2nd quarter worth approximately $30,000. 17.58% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several equities research analysts recently issued reports on the stock. Citigroup restated an "outperform" rating on shares of Satellogic in a research report on Wednesday, May 13th. Cantor Fitzgerald reiterated an "overweight" rating on shares of Satellogic in a report on Monday, June 15th. Zacks Research upgraded shares of Satellogic from a "hold" rating to a "strong-buy" rating in a report on Friday, July 10th. Northland Securities set a $11.00 price target on shares of Satellogic in a research note on Thursday, May 28th. Finally, Freedom Capital raised Satellogic from a "hold" rating to a "strong-buy" rating in a research report on Monday, June 29th. Two investment analysts have rated the stock with a Strong Buy rating, five have assigned a Buy rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock has an average rating of "Buy" and a consensus target price of $9.10.

Satellogic Company Profile

Satellogic Inc is a NewSpace company specializing in the design, manufacture and operation of a low‐Earth‐orbit (LEO) microsatellite constellation. The company's satellites capture high‐resolution multispectral imagery, enabling detailed monitoring of agricultural, forestry, maritime, energy and infrastructure assets. Satellogic's vertically integrated model covers end‐to‐end capabilities, from satellite development and deployment to data processing and analytics, allowing clients to access imagery and insights on demand.

Key offerings include geospatial data products, analytics services and software tools that leverage machine learning algorithms to interpret changes on Earth's surface.

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