Virgin Galactic Holdings, Inc. · NYSE:SPCE
Virgin Galactic — Q2 2022 Earnings Presentation
19 slides from Virgin Galactic's earnings presentation, Aug 4, 2022
Slide 1: Second Quarter 2022 Earnings Update
SECOND QUARTER 2022 E A R N I N G S U P D AT E 08.04.2022
Slide 2: Disclosures
DISCLOSURES FORWARD-LOOKING STATEMENTS 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 spaceflight systems, markets, expected fligh
Slide 3: Agenda
AGENDA • Future Fleet Production • Commercial Strategy Update • Vehicle Enhancement Program & Flight Schedule • Financials Second Quarter 2022 Earnings Update 3
Slide 4: Future Fleet Production - Motherships
FUTURE FLEET PRODUCTION - MOTHERSHIPS - Announced partnership with Aurora Flight Sciences to build two motherships - Each mothership designed to fly up to 200 launches per year Second SecondQuarter Quarter2022 2022Earnings EarningsUpdate Update 4
Slide 5: Future Fleet Production – Delta Spaceships
FUTURE FLEET PRODUCTION – DELTA SPACESHIPS Second SecondQuarter Quarter2022 2022Earnings EarningsUpdate Update 5
Slide 6: Spaceline Technical Operations
SPACELINE TECHNICAL OPERATIONS - Mike has 37 years of experience in aviation and operations - Will lead the team of maintenance, ground services and support engineering and quality assurance personnel Second Quarter 2022 Earnings Update 6
Slide 7: Astronaut Campus – Sierra County, New Mexico
ASTRONAUT CAMPUS – SIERRA COUNTY, NEW MEXICO Second SecondQuarter Quarter2022 2022Earnings EarningsUpdate Update 7
Slide 8: Astronaut Membership Experience
ASTRONAUT MEMBERSHIP EXPERIENCE - Inaugural Space for the Curious event to be hosted in Wyoming, USA - Event includes keynote speakers, outdoor activities, hospitality, and experiences designed to support our core three pillars: - Education & Enrichment - Astronaut Development & Training - Impact &
Slide 9: Growth Markets
GROWTH MARKETS FUTURE MARKET OPPORTUNITIES Private and Luxury and Government Research Adventure Travel - Distinct manifest - Partnership with Virtuoso - 10% of first 1,000 seats - Network of more than 20,000 luxury travel advisors Second Quarter 2022 Earnings Update 9
Slide 10: Current Fleet
CURRENT FLEET Second SecondQuarter Quarter2022 2022Earnings EarningsUpdate Update 10
Slide 11: Q2 2022 Results
Q2 2022 RESULTS SECOND QUARTER Ended June 30, 2022 • Revenue of $357,000, compared to $571,000 in the prior year period • Operating expenses were $110 million, compared to $74 million in the prior year period • Net loss of $111 million, compared to $94 million in the prior year period • Adjusted EBI
Slide 12: Q2 2022 Results and Q3 2022 Guidance
Q2 2022 RESULTS AND Q3 2022 GUIDANCE CASH, CASH EQUIVALENTS, AND FREE CASH FLOW (1) MARKETABLE SECURITIES $1,200 • Q2 2022: $(91) million $1,000 $1.12 B (3) $800 • Q3 2022 Guidance: Expected to be in the $600 $565 M (2) range of $(110) million to $(120) million $400 $200 $- June 30, 2021 June 30, 20
Slide 13: Closing Comments
CLOSING COMMENTS Second Quarter 2022 Earnings Update 13
Slide 14: Second Quarter 2022 Earnings Update
Second Quarter 2022 Earnings Update 14
Slide 15: Appendix
APPENDIX Second Quarter 2022 Earnings Update 15
Slide 16: Reconciliation to Non-GAAP Measures
RECONCILIATION TO NON-GAAP MEASURES (Amounts in thousands) THREE MONTHS ENDED June 30, 2022 June 30, 2021 Net Loss $ (110,020) $ (94,040) Income tax expense 23 6 Interest expense 3,157 6 Depreciation & amortization 2,915 2,871 Stock-based compensation 12,084 14,423 Change in fair value of warrants -
Slide 17: Reconciliation to Non-GAAP Measures
RECONCILIATION TO NON-GAAP MEASURES (Amounts in thousands) THREE MONTHS ENDED June 30, 2022 June 30, 2021 Selling, general, and administrative expenses $ 44,375 $ 36,916 Stock-based compensation 8,650 10,426 Non-GAAP selling, general, $ 35,725 $ 26,490 administration expenses (Amounts in thousands)
Slide 18: Reconciliation to Non-GAAP Measures
RECONCILIATION TO NON-GAAP MEASURES (Amounts in thousands) THREE MONTHS ENDED June 30, 2022 June 30, 2021 Net cash used in operating activities $ (86,909) $ (64,703) Capital expenditures (4,520) (828) Free cash flow (91,429) (65,531) Second Quarter 2022 Earnings Update 18
Slide 19: Reconciliation to Non-GAAP Measures – Q3 2022 Guidance
RECONCILIATION TO NON-GAAP MEASURES – Q3 2022 GUIDANCE (Amounts in thousands) FORECASTED RANGE Net cash used in operating activities $ (107,000) – (115,000) Capital expenditures $ (3,000) – (5,000) Free cash flow $ (110,000) – (120,000) Second Quarter 2022 Earnings Update 19
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