Slide 1: Q4 & Full Year 2022 Investor Update
Rocket Lab USA, Inc. Q4 & full year 2022 investor update February 28, 2023 rocketlabusa.com
Slide 2: Forward Looking Statements
F O R WA R D L O O K I N G S TAT E M E N T S Forward Looking Statements This presentation may contain certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securit
Slide 3: Today's Presenters
T O D AY ’ S PRESENTERS Peter Beck Adam Spice Founder, Chief Executive Officer, Chief Engineer Chief Financial Officer 3
Slide 4: Agenda
Agenda 1 Key Accomplishments Full Year 2022 2 Key Accomplishments Q4 2022 3 Additional Accomplishments Q1 2023 4 Financial Highlights and Outlook 5 Q&A and Upcoming Events 4
Slide 5: Key Accomplishments Full Year 2022
SECTION Key accomplishments Full year 2022 5
Slide 6: Launch: 2022 was our biggest year yet
L a u n c h : 2 0 2 2 wa s o u r b i g g e s t y e a r y e t Electron remains the leading small launch vehicle and the second most frequently launched U.S. orbital rocket annually. 9 Electron Launches. 42+ 100% 4 Missions for Government Customer Satellites Mission Success. Customers Across Civil Dep
Slide 7: Electron remains the global market leader in dedicated small launch
Key Accomplishments 2022 Electron remains the global market l e a d e r i n d e d i c at e d small launch Most reliable dedicated small launch vehicle globally. 100% MISSION SUCCESS IN 2022 + Second most frequently launched U.S. orbital rocket annually. + 32 total launches, 152 satellites deployed a
Slide 8: Successful moon mission for NASA
Key Accomplishments 2022 Successful moon mission for NASA First lunar launch by a small rocket. > Rocket > C o m p l e x S pa c e c r a f t > High-performance engine > Lunar Trajectory All designed, built, launched and operated by Rocket Lab for the CAPSTONE mission. Rocket Lab is the only small lau
Slide 9: Rapidly Increased Launch Cadence
Key Accomplishments 2022 R a p i d ly I n c r e a s e d Launch Cadence Rocket Lab has demonstrated the fastest turnaround between successful launches of any small launch provider. 15 days Between the CAPSTONE Moon mission for NASA and a dedicated launch for the National Reconnaissance Office – our f
Slide 10: Space Systems: Our biggest year yet
S PA C E S Y S T E M S : O u r b i g g e s t y e a r y e t Executing on vertical integration strategy to extract value from the full space chain. 200+ Spacecraft featuring 2 New space systems production lines Rocket Lab components built to support high volume reaction or software launched. wheel pro
Slide 11: Now a leading spacecraft manufacturer
Key Accomplishments 2022 Now a leading s pa c e c r a f t m a n u fa c t u r e r 25+ spacecraft in development. Completed construction of a new satellite production line and cleanroom to support constellation-class spacecraft manufacturing at Long Beach HQ. 25+ spacecraft in development including a
Slide 12: Backlog
BACKLOG Backlog grew from ~ $241.0M end Q4’21, to: ~ $503.6M q End Q4‘22 Representing a 109% increase in total backlog since the end of 2021.
Slide 13: Key Accomplishments Q4 2022
SECTION Key accomplishments Q4 2022 13
Slide 14: Key accomplishments Q4 2022
Key accomplishments Q4 2022 2 Successful Electron missions for NASA Selects Rocket Lab to launch two LC-2 Received all required licenses and General Atomics and Swedish dedicated Electron missions to deliver approvals for our first LC-2 launch, National Space Agency. TROPICS constellation to orbit.
Slide 15: Slide 15
Slide 16: Two successful launches in Q4
Key Accomplishments Q4 2022 two successful launches in q4 Extended significant leader advantage in small launch with increased Electron launch cadence in 2022. Successful missions deploying satellites for General Atomics and the Swedish National Space Agency. The missions rounded out Rocket Lab’s bu
Slide 17: Selected to Launch NASA TROPICS Constellation
Key Accomplishments Q4 2022 Selected to Launch NASA TROPICS C o n s t e l l at i o n Continuing strong heritage as a trusted and dependable mission partner to NASA. Two dedicated Electron launches for NASA Earth science mission to launch this year. The Time-Resolved Observations of Precipitation Str
Slide 18: Continued progress in making Electron reusable
Key Accomplishments Q4 2022 Continued progress in making electron reusable Completed fifth ocean recovery of an Electron rocket, supporting design and procedural iterations to enable reusability. Impressed with component and engine testing so far from ocean-recovered stages. We are currently assessi
Slide 19: Neutron
Af NEUTRON
Slide 20: Opened Archimedes engine test stand at NASA Stennis Space Center
Key Accomplishments Q4 2022 Opened archimedes e n g i n e t e s t s ta n d at n a s a s t e n n i s s pa c e c e n t e r Officially opened the Archimedes Test Complex at NASA Stennis Space Center in Mississippi. The site is now home to engine testing for the 165,000 lbf engines to be used on Neutron
Slide 21: First Neutron Development Building Complete, Pad Underway
Key Accomplishments Q4 2022 First Neutron Development Building Complete, pa d u n d e r way Initial Neutron development building complete at NASA Wallops Flight Facility. Neutron launch pad under construction at NASA Wallops Flight Facility. 21
Slide 22: Neutron carbon composite tank structures in production
Key Accomplishments Q4 2022 Neutron carbon c o m p o s i t e Ta n k structures in production Full-scale composite tank structures in production, with structural testing and analysis program underway. q Deep composites experience with Electron has enabled us to rapidly prototype and streamline compos
Slide 23: Space Systems
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Slide 24: Space Systems: Key accomplishments Q4 2022
Key Accomplishments Q4 2022 S PA C E S Y S T E M S : Key accomplishments q4 2022 30% 90+ Artemis 1 of globally addressable spacecraft featuring Rocket Lab Space Systems technology launches carried Rocket Lab space systems including solar arrays, satellite dispensers, Rocket Lab technology. technolog
Slide 25: Selected to Deliver Satellite Operations Control Center for Globalstar Constellation
Key Accomplishments Q4 2022 Selected to Deliver S at e l l i t e O p e r at i o n s Control Center f o r G l o b a l s ta r C o n s t e l l at i o n Contract builds on the existing relationship between Rocket Lab, MDA, and Globalstar established in February 2022 when Rocket Lab was awarded a $143 mi
Slide 26: Delivered Final Solar Panels for NASA Gateway PPE
Key Accomplishments Q4 2022 Delivered Final S o l a r Pa n e l s f o r N A S A G at e way P P E The solar panels will enable NASA’s Gateway lunar space station to be the most powerful electric propulsion spacecraft ever flown. q Critical component to Gateway, humanity’s first space station in lunar
Slide 27: Additional Accomplishments
SECTION Additional accomplishments After December 31, 2022 27
Slide 28: Successfully launched first mission from U.S. soil
Additional Accomplishments Q1 2023 S u c c e s s f u l ly launched first mission from U.S. soil Successful first mission from Launch Complex 2 at the Mid-Atlantic Regional Spaceport within the NASA Wallops Flight Facility, deploying three spacecraft for HawkEye 360. q All three of Rocket Lab’s launc
Slide 29: Two Launches Expected From Two Continents, Days Apart
Additional Accomplishments Q1 2023 Two Launches expected From Two Continents - D ay s a pa r t Two dedicated Electron missions scheduled in March from Virginia and New Zealand. Launch Complex 1 Final launch preparations also underway at Launch Complex 1 for mission for BlackSky, the company’s 6th mi
Slide 30: Multi-launch deal signed with Capella Space
Additional Accomplishments Q1 2023 M u lt i - l a u n c h deal signed with c a p e l l a s pa c e Four dedicated Electrons to deploy constellation spacecraft for return launch customer. Signed a multi-launch deal for a rapid succession of four Electron missions for Capella Space, the world’s leading
Slide 31: Continued leadership position
Additional Accomplishments Q1 2023 Continued leadership position Trusted launch provider to global constellation operators.
Slide 32: Increased our Space Systems Offering with New Satellite component products
Additional Accomplishments Q1 2023 I n c r e a s e d o u r S pa c e Systems Offering w i t h N e w S at e l l i t e component products New satellite radio and reaction wheel introduced, increasing availability of essential components to the global small satellite market. The products bolster Rocket
Slide 33: Established Rocket Lab Australia
Additional Accomplishments Q1 2023 E s ta b l i s h e d Rocket Lab Australia Established a new wholly-owned subsidiary, Rocket Lab Australia, to explore opportunities to support the expansion of Australia’s national space capabilities. q Australian Government has committed more than AUD$17 billion t
Slide 34: Laying the foundation for scale production
Key Accomplishments Q4 2022 L ay i n g t h e f o u n d at i o n f o r scale production Made investments and progress into establishing manufacturing infrastructure that will support scale production of Neutron. This includes q composite tank moulds for stage 1 and 2, as well as the installation of l
Slide 35: Neutron can now compete for National Security Space Launch Contracts
Additional Accomplishments Q1 2023 Neutron can now compete for n at i o n a l S e c u r i t y S pa c e L a u n c h Contracts The Space Force’s new acquisition strategy for National Space Security Launch enables Neutron to compete to launch some of the nation’s most important national security missio
Slide 36: David Cowan completes term as Rocket Lab board member
Additional Accomplishments Q1 2023 D av i d c o wa n completes term as rocket lab board member David Cowan to complete his tenure on Rocket Lab’s Board of Directors this quarter after nine years serving the company. q Thank you to David for his leadership, guidance, and support as Rocket Lab grew fr
Slide 37: Financial Highlights and Outlook
SECTION Financial highlights and outlook
Slide 38: Review of Revenue
REVIEW OF REVENUE Year-on-Year $211.0M 239% Revenue in FY 2022 Full Year-on-Year revenue increase $51.8M 88% Revenue in Q4 2022 Year-on-Year revenue increase Record revenue in FY 2022, growing nearly 239%, or approximately $148.8M, Revenue Growth as both Launch Services and Space System experienced
Slide 39: Review of Revenue and Gross Margin
REVIEW OF REVENUE AND GROSS MARGIN Sequential revenue decline of 18%, or $11.3M, driven almost entirely by the impact of lower Quarter-on-Quarter revenue from “Catch Me If You Can” R&D recovery mission and the push-out of the Hawkeye360 launch to Q1 2023. Beyond Q1 2023, robust launch manifest $51.8
Slide 40: Review of Operating Expenses
R E V I E W O F O P E R AT I N G EXPENSES Quarter-on-Quarter GAAP & Non-GAAP R&D vs. SG&A Spending GAAP and Non-GAAP SG&A expense increases were driven primarily by $45 outside services for first year SOX $40 compliance related expenses. $35 $30 $23.0 $24.0 GAAP R&D expense decrease was driven $25 C
Slide 41: Review of Operating Expenses
R E V I E W O F O P E R AT I N G EXPENSES Year-on-Year GAAP & Non-GAAP R&D vs. SG&A Spending GAAP and Non-GAAP R&D increases were driven by the impact of acquisitions $45 and organic investments related to $40 Neutron, Electron Recovery, and Photon. $35 $30 $24.0 GAAP SG&A increase was primarily $25
Slide 42: Ending Cash and Non-GAAP Free Cash Flow Metrics
Ending Cash and Non- GAAP Free cash flow metrics Quarter-on-Quarter $484.3M in cash and cash equivalents, and restricted cash, end of period in Q4 2022. Cash consumed from Operations decreased slightly sequentially, Free Cash Flow Activities driven primarily by strong accounts Q3 2022 Q4 2022 receiv
Slide 43: Financial Outlook
FINANCIAL OUTLOOK Q1 2023 Revenue Q1 2023 GAAP and Non-GAAP Q1 2023 GAAP and Non-GAAP Q1 2023 Adjusted EBITDA Outlook Gross Margins Operating Expense • Expect revenue to range • Expect GAAP gross margin to • Expect GAAP Operating • Expect Interest Expense between $51 million to $54 range between -5
Slide 44: Q&A
Slide 45: Upcoming Events
UPCOMING Events 35th Annual Roth Bank of America Stifel Cross Sector Conference Global Industrials Insight Conference Conference March 13, 2023 March 21, 2023 June 7, 2023 Adam Spice Adam Spice Adam Spice Chief Financial Officer Chief Financial Officer Chief Financial Officer
Slide 46: Rocket Lab
— ROCKETLAB