Rocket Lab Corporation · NASDAQ:RKLB
Rocket Lab — Rocket Lab USA — Q3 2021 Earnings Presentation
26 slides from Rocket Lab's earnings presentation, Nov 15, 2021
Slide 1: Q3 2021 Investor Update
Exhibit 99.2 Rocket Lab USA, Inc Q3 2021 INVESTOR UPDATE November 15, 2021 rocketlabusa.com
Slide 2: Disclaimer and Forward Looking Statements
DISCLAIMER AND FORWARD LOOKING STATEMENTS 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 Securities
Slide 3: Today's Presenters
TODAY’S PRESENTERS Peter Beck Adam Spice Founder, Chief Executive Officer, Chief Engineer Chief Financial Officer
Slide 4: Agenda
Agenda 1 Introduction 2 Key Accomplishments 3 Financial Highlights and Outlook 4 Sell-Side Q&A 5 Upcoming Conferences and Events
Slide 5: Noteworthy Events
Noteworthy Events Signed deal to supply Selected to launch components for commercial NASA ACS3 Solar constellation Sail mission Backlog increased from $141m to $183M in Awarded multiple study Escapade Mars and development contracts NASA quarter ending 9/30/21, and stands with U.S. government Interpl
Slide 6: Continued strong bookings from repeat customers
Continued strong bookings from repeat customers USG
Slide 7: Key Q3 2021 Accomplishments: Space Force Neutron upper stage contract
Key Q3 2021 Accomplishments Awarded $24m space force contract to develop Neutron upper stage SIGNIFIES ROCKET LAB’S COMMITMENT TO BECOMING A LAUNCH PROVIDER FOR THE NATIONAL SECURITY SPACE LAUNCH (NSSL) PROGRAM, WHICH LAUNCHES THE US' MOST CRITICAL MISSIONS
Slide 8: Key Q3 2021 Accomplishments: Escapade Mars mission design review
Key Q3 2021 Accomplishments Passed key design review for twin photon mission to Mars RECEIVED NASA APPROVAL TO MOVE TOWARD LAUNCH FOR THE ESCAPADE MISSION. LED BY THE UNIVERSITY OF CALIFORNIA BERKELEY SPACE SCIENCES LABORATORY THE MISSION WILL STUDY MARS’ MAGNETOSPHERE WITH TWO ROCKET LAB PHOTON SPA
Slide 9: Additional Accomplishments After September 30, 2021
Additional Accomplishments AFTER SEPTEMBER 30, 2021
Slide 10: Orbital fuel depot demonstration on Photon Platform
Additional Accomplishments AFTER 9/30/2021 Achieved program kick-off orbital fuel depot demonstration on Photon Platform L O X S AT -1 MISSION IN PARTNERSHIP WITH ETA SPACE WILL DEMONSTRATE A CRYOGENIC OXYGEN FLUID MANAGEMENT SYSTEM FOR NASA
Slide 11: Acquired Advanced Solutions, Inc.
Additional Accomplishments AFTER 9/30/2021 $45.5m Purchase consideration ACQUIRED ADVANCED SOLUTIONS, INC. 137 years LEADER IN FLIGHT S O F TW A RE Cumulative flight software operations AND GNC + 20 years' experience serving leading aerospace prime contractors, the U.S. Air Force, U.S. DOD organizat
Slide 12: Advanced Solutions Acquisition Rationale
Additional Accomplishments AFTER 9/30/2021 MATURE VERSATILE FLIGHT PROVEN Designed with ALL spacecraft, operating 137+ 45+ systems Cumulative Successful and processors years in space missions in mind Acquisition Rationale STRENGTHENS ROCKET LAB’S POSITION AS AN END - TO -END SPACE COMPANY DELIVERING
Slide 13: Agreed to Acquire Planetary Systems Corporation
Additional Accomplishments AFTER 9/30/2021 $42.0M in Cash +1.72m shares AGREED TO ACQUIRE +Up to 956k shares Purchase consideration + performance based earn-out PLANETARY SYSTEM CORPORATION 100% Mission success to date INDUSTRY LEADER IN SPACECRAFT SEPARATION SYSTEMS, VIEWED AS THE 24 STANDARD FOR U
Slide 14: Planetary Systems Acquisition Rationale
Additional Accomplishments AFTER 9/30/2021 Acquisition Rationale BOLSTERS ROCKET LAB’S END - TO -END SPACE SOLUTIONS ACROSS LAUNCH, SPACECRAFT, SPACE HARDWARE AND MANUFACTURING + Highly valued and strategic + With strategic infrastructure industry partner for global investments enables post customer
Slide 15: Upcoming Business Activities: Two missions for BlackSky Global
Upcoming Business Activities Two missions for blacksky global scheduled in Q4 2021 THE MISSIONS ARE PART OF A FIVE - L A UN CH AGREEMENT SIGNED EARLIER THIS YEAR BETWEEN ROCKET LAB AND SPACEFLIGHT INC TO DEPLOY GEN - 2 SATELLITES FOR BLACKSKY’S CONSTELLATION.
Slide 16: Introducing helicopter operations to Electron recovery
Upcoming Business Activities Introducing helicopter operations to electron recovery CONTROLLED OCEAN SPLASHDOWN AND RECOVERY OF ELECTRON'S FIRST STAGE SCHEDULED FOR FIRST Bl A CK S K Y GLOBAL MISSION. FIRST TIME HELICOPTER OPERATIONS ARE BEING INTEGRATED AHEAD OF FUTURE AERIAL CAPTURE ATTEMPTS FOR R
Slide 17: Review of Revenue Results
REVIEW OF REVENUE RESULTS Space Systems grew 14% Q-o-Q $34.8M Revenue Space Systems contributed 79% of YTD (9/30/21) and the total revenue for representing Launch revenue declined 88% Q-o-Q Impacted Q3 and grew by 698% Y-o-Y for the by Covid Restrictions and Legacy Revenue 79% Year-on-Year Recogniti
Slide 18: Review of Financial Results: R&D vs. SG&A
REVIEW OF Financial RESULTS R&D vs. SG&A Stock Based Compensation Q3 2021 OPEX impacted by non- Trending Including SBC recurring deSPAC related stock-based compensation charges $40 $24 $35 $21 Step-up in SG&A driven by deSPAC $30 $18 related deal expenses and public $25.7 $25 $15 $17.6 company costs
Slide 19: Review of Financial Results: Net Loss and Adjusted EBITDA
REVIEW OF Financial RESULTS Net Loss of $120.5M and $17.5M Adjusted EBITDA $35.6M Adjusted EBITDA Loss at low end of guidance Warrant expense on the Loss YTD (9/30/21) up 25% year- range of $17M to $20M mark to market valuation over-year driven by the effects of COVID restricting Launch Cadence was
Slide 20: Consolidated Statement of Operations and Comprehensive Loss
CONSOLIDATED STATEMENT OF OPERATIONS AND COMPREHENSIVE LOSS Three Months Ended Nine Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 REVENUES 5,286,797 10,670,136 34,759,108 19,423,148 Cost of goods sold 7,232,616 11,160,332 31,234,371 17,424,924 Production co
Slide 21: Adjusted EBITDA
ADJUSTED EBITDA Three Months Ended Nine Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 NET LOSS (87,969,141) (12,605,374) (120,516,503) (36,057,916) Depreciation 1,945,088 1,767,225 5,499,868 4,591,771 Amortization 617,607 969,097 1,909,997 1,634,387 Stock B
Slide 22: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations Three Months Ended Nine Months Ended GAAP to Non-GAAP Reconciliations September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 GAAP Gross Margin (12,451,540) (1,884,424) (8,577,574) (7,763,050) Stock-based compensation 7,937,018 359,890 8,540,567 1
Slide 23: Statement of Cash Flows
Statement of Cash Flows Three Months Ended Nine Months Ended Three Months Ended Nine Months Ended September September 30, September September CASH FLOWS FROM OPERATING ACTIVITIES: September September September September 30, 2021 2020 30, 2021 30, 2020 CASH FLOWS FROM FINANCING ACTIVITIES: 30, 2020 3
Slide 24: Financial Outlook
FINANCIAL OUTLOOK Q4 2021 Revenue Outlook Q4 GAAP and Non-GAAP Q4 Operating Expense both GAAP Gross Margins and Non-GAAP, Interest Expense and Adjusted EBITDA • Expect GAAP operating expenses* to range • Expect GAAP gross margins of 13%* • Expect Q4 revenue to range between $23 between $24 million a
Slide 25: Q&A
Slide 26: Upcoming Conferences
UPCOMING CONFERENCES UBS Aerospace / Space Investor Truist Securities Industrials Cannacord New Space Investor Conference in Miami, Florida Virtual Conference & Morgan Conference Stanley Space Summit in New November, 19, 2021 York City December, 9, 2021 December, 7, 2021