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The Terran Orbital Q4 2022 release revealed revenue increases on a quarter-on-quarter and year-on-year basis.
Satellite maker Terran Orbital (NYSE: LLAP) recently posted its Q4 2022 earnings report, revealing an annual revenue increase of $94.2 million. This figure is more than double what Terran Orbital made in 2021. Terran Orbital’s revenue haul for Q4 2022 represented an increase of 130% year-over-year.
The company reported that revenue grew from $27.8 million in the third quarter to $31.9 million in the fourth quarter. Furthermore, the Irvine, California-based satellite manufacturer also delivered 19 satellites during the period that ended December 31st. These include 10 deliveries under a Pentagon Space Development Agency contract.
The Terran Orbital Q4 results also came as the satellite maker continued to build its order backlog. However, despite the quarterly increment between Q3 and Q4, the company’s adjusted EBITDA loss doubled quarter-over-quarter and year-over-year to $26.1 million. Terran Orbital ascribed these losses to increased expenses such as payroll, sales, and marketing.
Shares also declined 8% yesterday from their previous close at $1.73.
Terran Orbital CEO Reflects on ‘Satisfactory’ Q4 2022 Outing
Marc Bell, Terran Orbital’s Co-Founder, Chairman & CEO, expressed satisfaction with the satellite company’s latest earnings report. According to Bell:
“We are thrilled with the continued strong execution of our team. On-time delivery is critical to our customers. We met our commitments and delivered ten satellites on schedule to Lockheed Martin for the Space Development Agency’s Transport Layer Tranche 0 in 2022.”
On operational and delivery guidance for 2023, the Terran Orbital chief executive said:
“We expect to begin delivery of 42 Transport Layer Tranche 1 satellites in 2023. Leveraging this performance, we are preparing bids for Transport Layer Tranche 2 and other SDA programs, including T2DES and Tracking Layer, which represent almost 300 satellites this and next year.”
In addition, Bell revealed that Terran Orbital is doing well “on the commercial front.” According to him, last month, the company secured a $2.4 billion contract to produce the constellation of its new partners, Rivada Space Networks.
In addition, Terran Orbital received a $100 million investment last October from aerospace tech corporation Lockheed Martin (NYSE: LMT). Furthermore, the company also extended its Strategic Cooperation Agreement with Lockheed to 2035 in the last quarter of 2022.
During Q4 2022, Terran Orbital delivered 19 satellites, 10 of which were for the Transport Layer of the Space Development Agency (SDA). Total deliveries were a record number for the satellite company, which now has its sights set on a more laudable feat. According to reports, Terran Orbital seeks to expand its manufacturing facilities to build as many as 250 satellites yearly.
As a leading manufacturer of satellite products, Terran Orbital primarily caters to the aerospace and defense industries. The company provides end-to-end satellite solutions through satellite design, production, missions operations, and launch planning. These services meet the needs of civil, military, and commercial customers. Terran Orbital’s current outlook currently includes expanding capacity, winning new contracts and also developing solutions for its wide range of customers.