Virgin Galactic Holdings, Inc. · NYSE:SPCE
Virgin Galactic — Q2 2023 Earnings Presentation
18 slides from Virgin Galactic's earnings presentation, Aug 1, 2023
Slide 1: Second Quarter 2023 Earnings Update
SECOND QUARTER 2023 EARNINGS UPDATE 08.01.2023 Second Quarter 2023 Earnings Update 1 ‘Unity 25’ Crew taking in the view from Space
Slide 2: Disclosures
DISCLOSURES 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 S
Slide 3: Agenda
AGENDA • Commercial Spaceline Operations • Future Fleet Development • Financial Overview The sunrise reflected on Spaceport America, NM, early morning before flight day. Second Quarter 2023 Earnings Update 3
Slide 4: Commercial Spaceline Operations: Unity 25, May 25, 2023
COMMERCIAL SPACELINE OPERATIONS UNITY 25 : MAY 25, 2023 MISSION OBJECTIVES • Final assessment of ground-based training • Assessment of astronaut experience 4 4 Second Quarter 2023 Earnings Update
Slide 5: Galactic 01: June 29, 2023, 1st Commercial Space Mission
COMMERCIAL SPACELINE OPERATIONS GALACTIC 01 : JUNE 29, 2023 1ST COMMERCIAL SPACE MISSION • Three crew members from the Italian Air Force and National Research Council of Italy • Successfully executed 13 research payloads Second Quarter 2023 Earnings Update 5
Slide 6: Galactic 01: Research Trifecta
COMMERCIAL SPACELINE OPERATIONS GALACTIC 01 : JUNE 29, 2023 RESEARCH TRIFECTA • Extended time in microgravity • Human-tended research in space • Frequent access with favorable cost comparisons Colonel Walter Villadei from the G01 flight will soon join a mission to ISS. Second Quarter 2023 Earnings U
Slide 7: Galactic 02: Flight Window Opens August 10
COMMERCIAL SPACELINE OPERATIONS GALACTIC 02 : FLIGHT WINDOW OPENS AUGUST 10 1ST PRIVATE ASTRONAUT MISSION • The first astronauts from Antigua • The first mother-daughter duo to go to space • 2nd youngest person to go to space • 2nd person diagnosed with Parkinson's to go to space Second Quarter 2023
Slide 8: Recurring Spaceflights with VSS Unity; Astronaut Training at Spaceport America
Recurring Spaceflights with VSS Unity World Class Astronaut Training at Spaceport America Second Quarter 2023 Earnings Update 8
Slide 9: Second Quarter 2023 Earnings Update
Second Quarter 2023 Earnings Update 9 Second Quarter 2023 Earnings Update
Slide 10: Second Quarter 2023 Results
SECOND QUARTER 2023 RESULTS Ended June 30, 2023 • Revenue of $2 million compared to $0.4 million in the prior year period, primarily driven by commercial spaceflight and future astronaut membership fees. • Operating expenses were $141 million, compared to $110 million in the prior year period, prima
Slide 11: Cash, Cash Equivalents, and Marketable Securities
CASH, CASH EQUIVALENTS, AND MARKETABLE SECURITIES $(135) million $980M(2) $874M(1) March 31, 2023 June 30, 2023 1. Amount includes $40M of restricted cash. 2. Amount includes $40M of restricted cash. Second Quarter 2023 Earnings Update 11
Slide 12: Financial Outlook
FINANCIAL OUTLOOK $(135) million Revenue Guidance Q3 and Q4 2023 Approximately $1 million Q3 and Q4 2023 Cash Flow Guidance(1) Expected to each be in the range of $(120) million to $(130) million 1. Virgin Galactic uses Free Cash Flow as a key measure of its performance. Free Cash Flow is defined as
Slide 13: Appendix
APPENDIX Second Quarter 2023 Earnings Update 13
Slide 14: Reconciliation of Non-GAAP Measures
RECONCILIATION OF NON-GAAP MEASURES THREE MONTHS ENDED (In thousands) June 30, 2023 June 30, 2022 Net loss $ (134,364) $ (110,721) Interest expense 3,216 3,157 Income tax expense 34 23 Depreciation and amortization 3,192 2,915 Stock-based compensation 11,859 12,083 Adjusted EBITDA $ (116,063) $ (92,
Slide 15: Reconciliation of Non-GAAP Measures
RECONCILIATION OF NON-GAAP MEASURES (In thousands) THREE MONTHS ENDED June 30, 2023 June 30, 2022 Research and development expenses $86,574 $ 62,340 Stock-based compensation 3,017 3,433 Non-GAAP research and development expenses $ 83,557 $ 58,907 (In thousands) THREE MONTHS ENDED June 30, 2023 June
Slide 16: Q3 2023 Guidance
Q3 2023 GUIDANCE FORECAST (In thousands) Revenue ~$ 1,000 FORECASTED RANGE (In thousands) Net cash used in operating activities $ (110,000) – (115,000) Capital expenditures $ (10,000) – (15,000) Free cash flow $ (120,000) – (130,000) Second Quarter 2023 Earnings Update 16
Slide 17: Q4 2023 Guidance
Q4 2023 GUIDANCE FORECAST (In thousands) Revenue ~$ 1,000 FORECASTED RANGE (In thousands) Free cash flow $ (120,000) – (130,000) Second Quarter 2023 Earnings Update 17
Slide 18: Second Quarter 2023 Earnings Update | 08.01.2023
SECOND QUARTER 2023 EARNINGS UPDATE | 08.01.2023
Virgin Galactic Holdings — Q2 2023 Earnings Presentation on 6ix