Virgin Galactic Holdings, Inc. · NYSE:SPCE

Virgin Galactic — Q2 2021 Earnings Presentation

17 slides from Virgin Galactic's earnings presentation, Aug 5, 2021

  1. Slide 1: Second Quarter 2021 Investor Update

    SECOND QUARTER 2021 INVESTOR UPDATE 08.05.2021

  2. Slide 2: Disclosures

    DISCLOSURES FORWARD-LOO KIN G STATE ME N TS This presentation contains certain forward-looking statements within the meaning of federal securities laws with respect to Virgin Galactic Holdings, Inc. (the "Company"), including statements regarding the Company’s expected spaceship rollout, flight sche

  3. Slide 3: Michael Colglazier, CEO

    MICHAEL COLGLAZIER CEO SECOND QUARTER 2021 INVESTOR UPDATE P — 3

  4. Slide 4: Agenda

    AGENDA ▪ Flight Test Update and Path to Commercial Service ▪ Fleet Status ▪ Customer Experience ▪ Financial Update SECOND QUARTER 2021 INVESTOR UPDATE P — 4

  5. Slide 5: Flight Test Update

    FLIGHT TEST UPDATE ▪ UNITY 21 - May  Third company spaceflight and first spaceflight from Spaceport America  Rocket-powered spaceflight with two pilots onboard ▪ UNITY 22 - July  Fourth company spaceflight and first spaceflight with a full crew  Rocket-powered spaceflight with two pilots and ful

  6. Slide 6: UNITY Cultural Impact at a Glance

    U N I T Y 2 2 – C U LT U R A L I M P A C T AT A G L A N C E Approximately 95k 19M views via 900K+ new social mentions, clips and Media coverage from livestream and third media followers to articles across over 65 countries party broadcasters* date editorial and broadcast media *Based on number of vi

  7. Slide 7: Private Astronaut Sales

    PRIVATE ASTRONAUT SALES ▪ Reopening sales effective today  Spacefarers and early hand-raisers ▪ Purposeful range of product offerings for private astronauts  Single seats  Multi-seat packages  Full-flight buyouts Prices beginning at $450,000 ▪ Microgravity research & professional astronaut train

  8. Slide 8: Fleet Status

    FLEET STATUS ▪ UNITY 23 –  Fifth company spaceflight  Expected to demonstrate microgravity research and professional astronaut training markets  Full revenue flight  ENHANCEMENT PERIOD  UNITY 24 –  Third fully-crewed flight  UNITY 25 –  Expected start of private astronaut commercial service

  9. Slide 9: Customer Experience

    CUSTOMER EXPERIENCE SECOND QUARTER 2021 INVESTOR UPDATE P — 9

  10. Slide 10: Fleet Expansion

    FLEET EXPANSION ▪ Focused on scaling production capabilities  Spaceships  Rocket motors  Motherships SECOND QUARTER 2021 INVESTOR UPDATE P — 10

  11. Slide 11: Capital Allocation

    CAPITAL ALLOCATION CAPITAL ALLOCATION PRIORITIES ▪ Invest organically for growth CASH & CASH EQUIVALENTS ▪ Maintain a strong balance sheet and cash position >$1B ▪ Opportunistically access the capital markets AT-THE-MARKET (ATM) OFFERING (2) $500M ▪ Raised $500 million through the sale of common sto

  12. Slide 12: Financial Results

    FINANCIAL RESULTS (Amounts in thousands) THREE MONTHS ENDED June 30, 2021 June 30, 2020 Net Loss $ (94,040) $ (71,973) Adjusted EBITDA (1) $ (56,371) $ (54,330) 1. Virgin Galactic uses adjusted EBITDA as a key measure of its performance. Adjusted EBITDA excludes income tax benefit (expense), income

  13. Slide 13: Summary

    SUMMARY SECOND QUARTER 2021 INVESTOR UPDATE P — 13

  14. Slide 14: Appendix

    APPENDIX S ER CT O FOURTH QUA E RN DA NQDU AF RUTL EL RY 2E 0A 2R 1 2 I0N2V0 E ISNT VOERS TUOP RD AUTPED A T E PP — — 14

  15. Slide 15: Reconciliation to Non-GAAP Measures

    RECONCILIATION TO NON-GAAP MEASURES (Amounts in thousands) THRE E MON THS E N DE D June 30, 2021 June 30, 2020 Net Loss $ (94,040) $ (71,973) Income tax expense 6 40 Interest expense 6 8 Depreciation & amortization 2,871 2,474 Stock-based compensation 14,423 5,525 Change in fair value of warrants 20

  16. Slide 16: Reconciliation to Non-GAAP Measures

    RECONCILIATION TO NON-GAAP MEASURES (Amounts in thousands) THRE E MON THS E N DE D June 30, 2021 June 30, 2020 Selling, general, and administrative expenses $ 38,503 $ 26,047 Stock-based compensation 10,426 3,546 Depreciation & amortization 1,587 1,330 Non-GAAP selling, general, $ 26,490 $ 21,171 ad

  17. Slide 17: Reconciliation to Non-GAAP Measures

    RECONCILIATION TO NON-GAAP MEASURES (Amounts in thousands) THRE E MON THS E N DE D June 30, 2021 June 30, 2020 Net cash used in operating activities $ (64,703) $ (51,702) Capital expenditures (828) (5,832) Free cash flow $ (65,531) $ (57,534) SECOND QUARTER 2021 INVESTOR UPDATE P — 17

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