Virgin Galactic Holdings, Inc. · NYSE:SPCE
Virgin Galactic — Q4 2023 Earnings Presentation
20 slides from Virgin Galactic's earnings presentation, Feb 27, 2024
Slide 1: Fourth Quarter and Full Year 2023 Earnings Update
| GALACTIC FOURTH QUARTER AND FULL YEAR 2023 EARNINGS UPDATE 2.27.2024
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A o
Slide 3: Fourth Quarter and Full Year 2023 Earnings Update
Fourth Quarter and Full Year 2023 Earnings Update ALAC!
Slide 4: Galactic
GALACTIC
Slide 5: Fourth Quarter and Full Year 2023 Earnings Update
Fourth Quarter and Full Year 2023 Earnings Update
Slide 6: Building Assets to Scale the Business
Building Assets to Scale the Business Planned Fleet Assets at each Spaceport MULTIPLE 4-5 Delta Class Ships + Building larger viewing audiences + Favorable economic impact . Flights per year at 2 Motherships optimal utilization to communities Me i IGA LAC T l C Fourth Quarter and Full Year 2023 Earn
Slide 7: VGA L AC T l C
ie! VGA L AC T l C Fourth Quarter and Full Year 2023 Earnings Update f
Slide 8: Final assembly of the spaceship
Final assembly of the spaceship ee ia) WG A L AC T l C Fourth Quarter and Full Year 2023 Earnings Update 8
Slide 9: YEG ALACTIC Forth Gurterand Ful Yor 2025 ornings Updo
i? YEG ALACTIC Forth Gurterand Ful Yor 2025 ornings Updo 3 :
Slide 10: Delta Tooling Build Examples
Delta Tooling Build Examples Main Oxidizer Tank lower panel Q Fuselage-to-wing ®) Extension Autoclave: Cures composite materials gi! WG A L AC T l Cc Fourth Quarter and Full Year 2023 Earnings Update 10 f
Slide 11: Fourth Quarter and Full Year 2023 Earnings Update
Fourth Quarter and Full Year 2023 Earnings Update 11
Slide 12: Financial Results: Fourth Quarter
Financial Results FOURTH QUARTER Ended December 31, 2023 Revenue of $3 million, compared to $1 million in the prior year period, driven by commercial spaceflights and membership fees related to future astronauts. Total operating expenses were $117 million, compared to $154 million in the prior year
Slide 13: Financial Results: Full Year 2023
FULL YEAR 2023 Ended December 31, 2023 Revenue of $7 million, compared to $2 million in the prior year, driven by commercial spaceflights and membership fees related to future astronauts. Total operating expenses were $538 million, compared to $502 million in the prior year. * Spaceline Operations e
Slide 14: Free Cash Flow and cash position
1. Virgin Galactic uses Free Cash Flow as a key measure of its performance. Free Cash Flow is defined as cash flows provided by operating activities less capital expenditures. Refer to the appendix of this presentation for a reconciliation to GAAP. 2. Amount includes $37M of restricted cash. 3. Amou
Slide 15: Appendix
APPENDIX
Slide 16: Net loss to Adjusted EBITDA reconciliation
THREE MONTHS ENDED YEAR ENDED (In thousands) December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Net loss $ (103,984) $ (150,820) $ (502,337) $ (500,152) Interest expense 3,224 3,206 12,872 12,130 Income tax expense 238 529 453 598 Depreciation and amortization 3,646 3,117 13,369
Slide 17: Non-GAAP operating expenses reconciliation
(In thousands) THREE MONTHS ENDED YEAR ENDED December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Total operating expenses $ 117,074 $ 154,180 $ 538,309 $ 502,296 Stock-based compensation 8,660 11,221 44,258 45,709 Depreciation and amortization 3,646 3,117 13,369 11,098 Special ch
Slide 18: Free cash flow reconciliation
THREE MONTHS ENDED YEAR ENDED (In thousands) December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Net cash used in operating activities $ (95,309) $ (131,242) $ (448,193) $ (380,241) Capital expenditures (18,368) (4,183) (44,309) (16,489) Free cash flow $(113,677) $(135,425) $(492
Slide 19: Forecasted free cash flow range
FORECASTED RANGE (In thousands) Net cash used in operating activities $ (85,000) – (90,000) Capital expenditures (40,000) – (45,000) Free cash flow $ (125,000) – (135,000)
Slide 20: Slide 20
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