Shares in Rocket Lab USA, a competitor to SpaceX, leapt over 40% to an all-time high in Wednesday's intraday trading. The significant spike came after the company posted superior than expected results and shared news of an agreement with a commercial satellite constellation operator, with the maiden launch of its reusable Neutron rocket planned for next year.
In the new agreement, Rocket Lab will initiate two Neutron satellite deployment missions from mid-2026. The rocket's inaugural launch is predicted to occur in mid-2025, granting the company a chance to contend for parts of a $5.6 billion U.S. government scheme managed by the Space Force. The proposal assembly started on October 30, and approved vehicles are set to join the program in spring 2025.
Rocket Lab reported a third-quarter revenue of $104.81 million, a year-over-year increase of 55%, surpassing the analyst consensus put together by Visible Alpha. The net loss reported by the company was $51.94 million or 10 cents per share, a figure narrower than anticipated.
The stock price spike led to Rocket Lab shares quadrupling in value in 2024, representing an impressive year for the company.
This announcement emerges after Rocket Lab's competing firm, Elon Musk's SpaceX, secured a sequence of missions worth $734 million for the coming years, orchestrated by Space Force.
Rocket Lab predicts over 10,000 commercial and government satellites will require launch services by 2030, creating a total accessible market of approximately $10 billion.