Planet Labs Posts Weaker-Than-Expected Q2 Results, Slashes FY24 Revenue Outook

Planet Labs PBC PL reported a Q2 FY24 revenue increase of 11% Y/Y to $53.8 million, missing the consensus of $54.14 million.

EPS loss of $(0.14) came below the consensus of $(0.08)

The company's End of Period (EoP) customer count rose 10% Y/Y to 944 customers, with Recurring Annual Contract Value coming in at 92%.

Adjusted gross margin remained flat Y/Y at 52% in the quarter.

The company ended the quarter with $367.8 million in cash, cash equivalents, and short-term investments.

Will Marshall, Co-Founder, CEO, and Chairperson, said, "We recently announced a restructuring of our teams to align resources behind our high priority growth opportunities and reinforce our path to profitability. We are sharpening our focus and getting more efficient as a Company, which we believe will support growth in our core markets and healthy bottom line performance going forward."

"We completed the acquisition of Sinergise, aligned our teams and resources behind our top priorities, and made significant progress on the development of our next generation satellite fleets. We continue to feel the market tailwinds and the pull from customers for the insights that our solutions enable."

Outlook: PL expects Q3 revenue of $54 million-$56 million (vs. consensus of $57.03 million), adjusted gross margin of around 50%-52%, and adjusted EBITDA loss of about $(15) million-$(13) million.

The company lowered FY24 revenue guidance to $216 million-$223 million (from $225 million-$235 million earlier) vs. $230.88 million estimate and revised adjusted EBITDA loss guidance to $(63) million-$(55) million from $(67) million-$(58) million earlier. 

Also ReadPlanet Labs Gets Contract From Ministry Of Foreign Affairs In Asia With 7-Figure Annual Value

Price Action: PL shares are trading lower by 4.22% at $2.95 premarket on the last check Friday.

Market News and Data brought to you by Benzinga APIs
Actual EPS
EPS Surprise
Actual Rev
Rev Surprise
Posted In: EarningsEquitiesNewsPenny StocksGuidanceSmall CapMarketsBriefs
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!