Slide 1: BlackSky Q4 and Full Year 2023 Earnings Webcast
February 28, 2024 BLACKSKY Q4 AND FULL YEAR 2023 EARNINGS WEBCAST © BlackSky 2024. All rights reserved. Public information. 1
Slide 2: Legal Disclaimers
Legal Disclaimers FORWARD-LOOKING STATEMENTS Certain statements in this presentation may contain forward-looking statements within the meaning of the federal securities laws with respect to BlackSky. Words such as “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “futur
Slide 3: Strong Execution in 2023
Strong Execution in 2023 Leading a New Era in Real-Time Space-Based Intelligence © BlackSky 2024. All rights reserved. Public information. 3
Slide 4: International Customer Demand Accelerates
International Customer Demand Accelerates Major multi-year Ministry of Defense anchor accounts drive long-term visibility • $150+ million contract in Q1 for high-frequency tactical imagery & analytics • ~$30 million renewal agreement in Q2 for assured access imagery subscription • ~$50 million in Q4
Slide 5: A New Model to Accelerate Sovereign Space-Based Capabilities
A New Model to Accelerate Sovereign Space-Based Capabilities ~$50M Indonesian contracts Immediate and guaranteed assured access to our high-frequency imagery and analytics through a subscription-based service A first to act advantage requires a software-first strategy Leverages proven commercial spa
Slide 6: Imagery, AI & Analytics Continue to Drive U.S. Government Growth
BlackSky’s Imagery, AI & Analytics Continue to Drive U.S. Government Growth Shambat Bridge before the collapse on November 08, 2023 Expanded footprint with multiple U.S. government agencies • Delivered strong execution on the EOCL program and expanded services and contracts with the NRO • Continued
Slide 7: BlackSky's AI Selected to Power Advanced Search Engine
BlackSky’s AI Selected to Power Advanced Search Engine for Discovering Global Change BlackSky’s Spectra platform is reshaping broad area search with industry-leading speed and economics Awarded third contract with IARPA to continue to support their SMART program Fully automated and scalable AI, usin
Slide 8: Gen-3 Readies for Launch in 2024
Gen-3 Readies for Launch in 2024 First Gen-3 satellites currently in the integration phase and are on track to launch this year Entered into agreement with Rocket Lab secure near-term launch capacity for upcoming Gen-3 deployment plan Customers looking forward to Gen-3 capacity and capabilities as e
Slide 9: Q4 2023 Financial Results
Q4 2023 FINANCIAL RESULTS © BlackSky 2024. All rights reserved. Public information. 9
Slide 10: Q4 Revenue
Q4 Revenue Strong Revenue Growth ($ in millions) 83% $35.5 YoY Growth Record Q4 revenue of $35.5 million, up 83% over the prior year quarter $16.5 18% year-over-year growth in high-margin imagery and analytics revenue $19.4 * $3.3 Increase in professional and engineering services revenue driven by p
Slide 11: Q4 Adjusted EBITDA
Q4 Adjusted EBITDA Achieved Goal of Positive Adjusted EBITDA(1) ($ in millions) $9.3 Achieved positive Adjusted EBITDA(1) in Q4 of $9.3 million, up $13.9 million over the prior year quarter Revenue and margin growth across the business drove significant improvement Disciplined cost management drove
Slide 12: Full Year 2023 Financial Results
FULL YEAR 2023 FINANCIAL RESULTS © BlackSky 2024. All rights reserved. Public information. 12
Slide 13: 2023 Revenue
2023 Revenue Strong Annual Revenue Growth ($ in millions) 45% $94.5 YoY Growth Record full year revenue of $94.5 million, up 45% over the prior year $29.1 $65.4 * 38% year-over-year growth in high-margin imagery and analytics revenue $17.9 Incremental revenue growth driven by $65.4 expansion of exis
Slide 14: 2023 Imagery and Analytics Cost of Sales
2023 Imagery and Analytics Cost of Sales Strong Operating Leverage Drives Profitability ($ in millions) +$18.0 $65.4 Reduction in cost of sales for imagery and analytics(1) driven by cost savings in satellite and software operations $47.4 High-margin imagery and analytics service revenues directly i
Slide 15: 2023 Cash Operating Expenses
2023 Cash Operating Expenses Disciplined Cost Management ($ in millions) +1% YoY Growth Cash operating expenses(1) of $63.2 million, relatively flat to 2022 $62.3 $63.2 Streamlined operations driving efficiencies in the business; generating cost savings Disciplined cost management keeping expenses c
Slide 16: 2023 Adjusted EBITDA
2023 Adjusted EBITDA Strong Improvement in Adjusted EBITDA(1) ($ in millions) Full year Adjusted EBITDA(1) loss of $1.1 $(1.1) million, a $28.4 million improvement over 2022 Strong revenue growth, improved margins and disciplined cost management drove year-over-year improvement Strong customer deman
Slide 17: 2024 Outlook
2024 Outlook Delivering Strong Long-Term Growth ($ in millions) Revenue 51% 4 Yr. CAGR Growth • Expect full year 2024 revenue between $102M - $118M • Actively working on a number of sizable, multi-year sales $102 - $118 opportunities $94 Adjusted EBITDA(1) $110 • Expect full year 2024 Adjusted EBITD
Slide 18: Leading a New Era in Real-Time Space-Based Intelligence
Leading a New Era in Real-Time Space-Based Intelligence First of its kind real-time space and AI platform delivering a first to act advantage Validated with long term contracts with among the most important customers in the world High-growth revenue profile – CAGR of ~51% (2020a – 2024e) – with stro
Slide 19: © BlackSky 2024. All rights reserved. Public information.
© BlackSky 2024. All rights reserved. Public information. 19
Slide 20: Appendix
APPENDIX © BlackSky 2024. All rights reserved. Public information. 20
Slide 21: Reconciliation of Net Loss to Adjusted EBITDA
BLACKSKY TECHNOLOGY INC. RECONCILIATION OF NET LOSS TO ADJUSTED EBITDA (unaudited) (in thousands) Three Months Ended Twelve Months Ended December 31, December 31, 2023 2022 2023 2022 Net loss $ (3,844) $ (14,805) $ (53,915) $ (74,172) Interest income (461) (452) (2,063) (1,116) Interest expense 2,67
Slide 22: Reconciliation of Imagery and Software Analytical Service Cost of Sales
BLACKSKY TECHNOLOGY INC. RECONCILIATION OF IMAGERY AND SOFTWARE ANALYTICAL SERVICE COST OF SALES TO ADJUSTED IMAGERY AND SOFTWARE ANALYTICAL SERVICE COST OF SALES (unaudited) (in thousands) Three Months Ended Twelve Months Ended December 31, December 31, 2023 2022 2023 2022 Imagery and software anal
Slide 23: Reconciliation of Operating Expenses to Cash Operating Expenses
BLACKSKY TECHNOLOGY INC. RECONCILIATION OF OPERATING EXPENSES TO CASH OPERATING EXPENSES (unaudited) (in thousands) Three Months Ended Twelve Months Ended December 31, December 31, 2023 2022 2023 2022 Operating expenses $ 28,164 $ 30,416 $ 116,713 $ 116,072 Stock-based compensation for selling, gene