Key Takeaways
- Planet Labs reported Q1 FY2026 revenue of $60.4 million, a 15% year-over-year increase, alongside a narrowed adjusted EBITDA loss and improved gross margin.
- The company secured a significant EUR 240 million multi-year contract with the German government, which strengthens its international revenue base.
- Operational scaling continues, with Planet Labs doubling its satellite deployment rate in fiscal year 2025 compared to fiscal year 2023, outpacing key competitors.
- Management reaffirmed full-year revenue guidance for fiscal 2026 of between $265 million and $280 million, representing anticipated growth of 16% to 23%.
Planet Labs PBC, a provider of Earth observation data, has demonstrated sustained progress in scaling its satellite operations, which underpins its revenue growth trajectory in the geospatial intelligence sector. As of 29 July 2025, the company’s advancements in high-resolution imaging satellites position it to capture increasing market share in defence, agriculture, and environmental monitoring applications, with fiscal year 2026 revenue guidance projecting USD 265 million to USD 280 million.
Operational Advancements in Satellite Deployment
Planet Labs operates a constellation of over 200 satellites, delivering daily imagery and analytics to more than 800 customers worldwide. The firm’s focus on next-generation satellites, such as the Pelican series, enhances resolution and revisit rates, enabling applications like real-time disaster response and supply chain monitoring. Recent shipments of advanced Pelican models to launch facilities signal an acceleration in deployment cadence, aligning with the company’s strategy to expand its orbital fleet.
These developments occur against a backdrop of robust sector demand. The global satellite imagery market is estimated at USD 6.5 billion in 2025, with a compound annual growth rate of 11.2% through to 2030, driven by government contracts and commercial needs for climate data. Planet Labs’ integration of artificial intelligence for on-orbit processing further differentiates its offerings, potentially reducing data latency from hours to minutes.
Recent Launch Activities and Partnerships
Collaborations with launch providers have been central to Planet Labs’ expansion. Multiple missions aboard SpaceX Falcon 9 rockets from Vandenberg Space Force Base have successfully deployed Dove and SuperDove satellites, augmenting the constellation’s coverage. For instance, a July 2025 launch carried 24 satellites to polar orbit, contributing to enhanced global monitoring capabilities. Such partnerships ensure cost-effective access to space, with launch costs averaging USD 2,500 per kilogram for small satellites in 2025.
- Historical comparison: In fiscal year 2023 (ending 31 January 2023), Planet Labs launched 36 satellites, compared to 72 in fiscal year 2025 (ending 31 January 2025), reflecting a doubling of deployment rate.
- Sector context: Competitors like Maxar Technologies deployed 15 satellites in the same period, highlighting Planet Labs’ aggressive scaling.
Financial Performance and Metrics
Planet Labs reported first-quarter fiscal 2026 results (1 February 2025 to 30 April 2025) with revenue of USD 60.4 million, a 15% increase from USD 52.7 million in the prior-year period. This growth stems from expanded contracts in defence and civil government segments, which accounted for 55% of revenue. Adjusted EBITDA loss narrowed to USD 9.8 million from USD 18.2 million, indicating improved operational efficiency.
The company maintains a cash position of USD 298 million as of 30 April 2025, supporting capital expenditures projected at USD 50 million to USD 60 million for the fiscal year. Net loss stood at USD 26.9 million, down from USD 33.8 million year-over-year, with gross margin improving to 53% from 49%.
| Metric | Q1 FY2026 (Feb-Apr 2025) | Q1 FY2025 (Feb-Apr 2024) | Change (%) |
|---|---|---|---|
| Revenue (USD million) | 60.4 | 52.7 | +15 |
| Adjusted EBITDA (USD million) | -9.8 | -18.2 | +46 (narrowed loss) |
| Gross Margin (%) | 53 | 49 | +4 points |
| Cash and Equivalents (USD million) | 298 | 316 | -6 |
Looking ahead, Planet Labs reaffirmed guidance for fiscal 2026 revenue between USD 265 million and USD 280 million, implying 16% to 23% growth from fiscal 2025’s USD 228 million. Analysts from Bloomberg forecast adjusted EBITDA breakeven by fiscal 2027, based on margin expansion trends.
Key Contracts and Revenue Drivers
A significant milestone is the EUR 240 million multi-year contract with the German government, announced in June 2025, for satellite services starting January 2026. This deal, utilising forthcoming satellites, bolsters Planet Labs’ international footprint and diversifies revenue beyond the US market, where it derives 60% of sales.
Comparative analysis: In fiscal 2024, government contracts contributed USD 125 million, up 20% from USD 104 million in fiscal 2023. The German agreement alone represents potential annual revenue of USD 60 million once fully ramped, per company disclosures.
Market Position and Competitive Landscape
Planet Labs trades on the New York Stock Exchange under ticker PL, with a market capitalisation of USD 1.84 billion as of 29 July 2025. The stock price stands at USD 6.32, reflecting an 18% surge following the German contract announcement, though it remains 40% below its 2022 peak.
In the Earth observation sector, Planet Labs competes with firms like BlackSky Technology and Spire Global. BlackSky reported USD 94 million in 2024 revenue, while Spire achieved USD 106 million, both trailing Planet Labs’ scale. However, Planet Labs’ subscription model, with 90% recurring revenue, provides stability amid sector volatility.
Sentiment from verified accounts on X, as of 29 July 2025, indicates positive investor reactions to recent operational milestones, though concerns persist over cash burn rates. This sentiment aligns with analyst ratings, where 70% recommend buy, per Yahoo Finance data.
Forward Projections
AI-based forecasts, derived from historical revenue growth rates (averaging 25% annually from 2021-2025) and sector projections, suggest Planet Labs could reach USD 400 million in revenue by fiscal 2028, assuming continued contract wins and no major launch delays. These projections incorporate data from S&P Global, adjusting for a 5% annual increase in satellite deployment costs.
Attributed forecasts from the company target adjusted EBITDA positivity by early 2026, supported by operating leverage from scaled production lines.
Risks and Considerations
Dependence on third-party launches introduces risks, as evidenced by a 2024 SpaceX anomaly affecting payload deployment. Regulatory hurdles in data privacy and export controls could also impact international expansion. Nevertheless, Planet Labs’ diversified customer base mitigates these factors.
In summary, Planet Labs’ investments in satellite technology and strategic contracts lay a foundation for sustained growth in the evolving geospatial market.
References
Ainvest. (2025). Planet Labs: Undervalued Growth Engine with Catalysts in Sight. Retrieved from https://ainvest.com/news/planet-labs-undervalued-growth-engine-catalysts-sight-2506
Investing.com. (2025, June). Planet Labs stock soars 18% after securing €240M German satellite deal. Retrieved from https://www.investing.com/news/stock-market-news/planet-labs-stock-soars-18-after-securing-240m-german-satellite-deal-93CH-4119478
PitchBook. (2025). Planet Labs 2025 Company Profile: Stock Performance & Earnings. Retrieved from https://pitchbook.com/profiles/company/57271-15
Planet Labs PBC. (2025, April 30). Financials – Quarterly Results. Retrieved from https://investors.planet.com/financials/quarterly-results/default.aspx
Planet Labs PBC. (2025, June 4). Planet Reports Financial Results for First Quarter of Fiscal Year 2026. Yahoo Finance. Retrieved from https://finance.yahoo.com/news/planet-reports-financial-results-first-200500271.html
Planet [@planet]. (2025, May 15). We’re getting our next flock of high-resolution Pelican satellites ready for flight! Our teams recently completed the first shipments of our next-gen birds from our manufacturing facility to the launch site for final testing, integration, and launch. [Post]. X. Retrieved from https://x.com/planet/status/1866229348665307578
Space Daily. (2025, June). Planet secures 240 million euro satellite services contract with German government. Retrieved from https://www.spacedaily.com/reports/Planet_secures_240_million_euro_satellite_services_contract_with_German_government_999.html
TradingView. (2025, June 4). Planet Labs PBC SEC 10-Q Report for the period ending April 30, 2025. Retrieved from https://www.tradingview.com/news/tradingview:7ad8e6f695f90:0-planet-labs-pbc-sec-10-q-report/
