Planet Labs Surges 12% on Record Revenue, Backlog Skyrockets 245%
Shares jump after the satellite-imaging company reports strong profitability and secures major government contracts, signaling robust future growth.
Planet Labs PBC (NYSE: PL) shares surged 12.1% in premarket trading after the company posted record-breaking second-quarter results that significantly beat expectations. The Earth-imaging firm announced a dramatic 245% year-over-year increase in its backlog, providing strong visibility into future revenue and fueling investor confidence.
The company , a 20% increase from the same period last year. More impressively, Planet Labs achieved a positive adjusted EBITDA of $6.4 million, a substantial turnaround from a loss of $4 million in the prior year. This shift to profitability underscores the company's progress toward a sustainable financial model.
A key highlight of the report was the company's future order book, which swelled to $736 million. This growth was driven by several major new agreements, including a €240 million contract with the German government and multiple expansions with U.S. defense and intelligence agencies. These large, multi-year contracts signal growing reliance on Planet's satellite data for critical government and commercial operations.
The strong performance surpassed analyst expectations heading into the announcement. Before the report, Wall Street had a , with price targets that the premarket surge has already tested. The results also build on a solid first quarter, where the company topped revenue and earnings estimates.
Operationally, Planet Labs expanded its technological capabilities by successfully launching two high-resolution, AI-enabled Pelican satellites, enhancing its constellation's imaging power. Looking ahead, the company projects full-year revenue between $281 million and $289 million, indicating continued momentum driven by government sales and the rollout of new AI-powered solutions.