On August 13, 2024, Intuitive Machines Inc (LUNR, Financial) released its 8-K filing detailing its financial performance for the second quarter of 2024. Intuitive Machines Inc is a space exploration, infrastructure, and services company focused on lunar and beyond exploration. The company operates through four business units: Lunar Access Services, Orbital Services, Lunar Data Services, and Space Products and Infrastructure.
Performance and Challenges
Intuitive Machines Inc (LUNR, Financial) reported Q2 2024 revenue of $41.4 million, a significant 130% increase year-over-year but below the analyst estimate of $46.60 million. The company also reported an operating loss of $28.2 million, primarily driven by the completion of the IM-1 mission and noncash impacts associated with NASA CLPS contract modifications. Despite these challenges, the company raised the low-end of its full-year 2024 revenue outlook to $210 - $240 million, reflecting a 2.6x - 3x increase over the prior year.
Financial Achievements
Intuitive Machines Inc (LUNR, Financial) achieved several financial milestones in Q2 2024. The company ended the quarter with a cash balance of $31.6 million, sufficient to fund operations for the next 12 months. Additionally, the company paid down $5 million in debt during the quarter and cleared the remaining $3 million in July, leaving it with zero debt on the balance sheet. These achievements are crucial for a company in the Aerospace & Defense industry, where financial stability is essential for long-term project execution and growth.
Key Financial Metrics
| Metric | Q2 2024 | Q2 2023 |
|---|---|---|
| Revenue | $41.4 million | $18.0 million |
| Operating Loss | $(28.2) million | $(13.2) million |
| Ending Cash Balance | $31.6 million | $4.5 million |
| Contracted Backlog | $213.0 million | $268.6 million |
Income Statement Highlights
Intuitive Machines Inc (LUNR, Financial) reported a net income of $15.98 million for Q2 2024, compared to a net loss of $4.67 million in Q2 2023. This improvement was driven by changes in the fair value of earn-out and warrant liabilities. However, the company also reported a significant increase in operating expenses, which rose to $69.6 million from $31.2 million in the same period last year.
Balance Sheet and Cash Flow
The company's balance sheet showed total assets of $140.1 million as of June 30, 2024, up from $85.9 million at the end of 2023. The increase was primarily due to higher cash and accounts receivable balances. On the liabilities side, total liabilities stood at $150.5 million, up from $139.3 million at the end of 2023. The company also reported free cash flow of $(41.5) million for the first six months of 2024, compared to $(36.0) million in the same period last year.
Commentary and Outlook
"The landmark accomplishments achieved up to and during the second quarter were significant milestones that extend our competitive advantage in providing delivery, data transmission, and autonomous operations, the three pillars of space commercialization," said Intuitive Machines CEO Steve Altemus.
Looking ahead, Intuitive Machines Inc (LUNR, Financial) expects full-year 2024 revenue to be in the range of $210 - $240 million. The company also plans to continue adding cash reserves based on projected wins and planned operations to execute its growth trajectory. The expected shipment of the mission two completed lander to the launch site in Q4 2024, with the launch window extending through Q1 2025, is another key milestone.
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Explore the complete 8-K earnings release (here) from Intuitive Machines Inc for further details.
