Rocket Lab’s shares saw a significant jump in after-hours trading after the company released its third-quarter financial results and revealed a major milestone with its Neutron rocket. The company reported a 55% increase in Q3 revenue, reaching $104.8 million, compared to $67.6 million during the same period last year. This exceeded Wall Street’s expectations of $102 million. However, Rocket Lab’s net loss widened to $51.9 million, up from $40.6 million in Q3 2023, and the loss per share of 10 cents was slightly better than the analyst estimate of 11 cents per share.
For the upcoming fourth quarter, Rocket Lab forecasted revenue between $125 million and $135 million, aiming for a full-year total of around $430 million. A major highlight of the earnings call was the announcement of the company’s first commercial launch deal for its Neutron vehicle. A “confidential commercial satellite constellation operator” signed up for two missions in mid-2026, with Rocket Lab targeting a price of about $50 million per launch, which is in line with previous expectations.
Rocket Lab’s stock surged as much as 25% following the announcement, jumping from $14.66 a share at the close of the regular session. Over the past three months, the stock has nearly tripled in value, a testament to the company’s growing market confidence. A significant portion of the revenue growth came from Rocket Lab’s Space Systems unit, which designs and builds spacecraft and sells satellite parts, contributing $83.9 million in Q3 revenue, up from $46.3 million in 2023.
Despite the growth in its Space Systems division, Rocket Lab’s small Electron rocket remains a key revenue driver, with 12 successful launches this year. The Electron, priced at $8.5 million per mission, has become the third-most frequently launched orbital rocket in the world. Additionally, Rocket Lab secured $55 million in new Electron launch contracts during the third quarter.
Looking ahead, the development of the Neutron rocket is critical for the company to access larger markets, including national security launches in the U.S. The company continues to expect the Neutron to debut in mid-2025, with ongoing work on the launchpad infrastructure and the development of its Archimedes engines.
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