(Bloomberg) — Virgin Galactic Holdings Inc.’s revenue fell short of Wall Street’s estimates in the third quarter as the Richard Branson-founded company tries to muscle through a pause in space tourism flights to build a better vehicle.
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Revenue in the period ending Sept. 30 came to $0.4 million, slightly below the $0.53 million consensus of analysts surveyed by Bloomberg. That’s about a 77% plunge from the $1.7 million in the same period a year ago.
Virgin Galactic’s stock was little changed in postmarket trading as of 4:17 p.m. in New York.
The California-based company is preparing to ramp up staffing at its manufacturing hub in Arizona ahead of parts delivery and assembly for Delta, the company said in a release announcing its third quarter results.
Virgin Galactic also announced it has finished initial flight control testing for Delta and reiterated the new six-seat craft will be ready to begin commercial operations in 2026. However, some analysts have sounded alarms over the lack of revenue during the lengthy development period.
Virgin Galactic reported a loss per share of $2.66. Its cash and cash equivalents came to $172.4 million, a 25% drop from a year ago. The company has been burning through some $120 million in cash a quarter, raising questions over whether it can bridge the gap until Delta flights begin.
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