Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ___________________________________ FORM 10-Q ___________________________________ (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2024 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-39113 ____________________________ ...

Financial Data and Key Metrics - Year-to-date revenue for 2024 was $71.7 million, an increase of $12.7 million or 22% over the prior year period [42] - Year-to-date imagery and analytics revenue was $52.6 million, an increase of $6.2 million or 13% over the prior year period [44] - Year-to-date professional and engineering services revenue was $19.1 million, an increase of $6.5 million or 52% over the prior year period [45] - Adjusted EBITDA for year-to-date 2024 was $4.3 million compared to an adjusted EBITDA loss of $10.3 million in the prior year period, a strong year-over-year improvement of $14.6 million [52] - The company ended Q3 2024 with $64.4 million of cash, restricted cash, and short-term investments [54] Business Line Performance - The company delivered its fourth consecutive quarter of positive adjusted EBITDA, driven by high-margin imagery and analytics revenue [12] - The Luno A contract, valued up to $290 million, was awarded by the National Geospatial Intelligence Agency (NGA) [15] - A $476 million multi-year IDIQ contract was awarded by NASA to support their commercial small-sat data acquisition program [19] - A $6 million contract expansion was signed with a long-time international defense sector customer, increasing their total annual contract value to nearly $18 million [21] - Seven-figure contracts were awarded for the new non-Earth imaging services offering [30] Market Performance - Strong growth from U.S. defense and intelligence agencies, with demand for high-frequency imagery and advanced analytics [15] - Increasing opportunities through the Global Data Marketplace (GDMP), which is becoming a long-term, viable sales distribution channel [25] - Contracts awarded with multiple U.S. government customers for integrating optical inter-satellite link terminals (OISL) into Gen 3 satellites [25] - New non-Earth imaging services offering launched, with contracts awarded to government and commercial customers [29][30] Company Strategy and Industry Competition - The company is focused on scaling production of Gen 3 satellites to support a regular launch cadence beginning in 2025 [39] - The acquisition of the partner stake in LeoStella aims to optimize the Gen 3 supply chain and production operations [40] - The company is leveraging its advanced AI technology and multi-inch Spectra software platform to deliver real-time and mission-critical insights [18] - The new non-Earth imaging services offering is expected to expand over time, with increasing demand for data services to support space domain awareness (SDA) missions [34] Management Commentary on Operating Environment and Future Outlook - The company expects to deliver strong Q4 results and remain on track to meet full-year revenue and adjusted EBITDA goals [12] - The company is maintaining its full-year 2024 guidance of revenue between $102 to $118 million, adjusted EBITDA of between $8 to $16 million, and capital expenses of between $55 to $65 million [58] - The company is excited about the transformative solutions that the Gen 3 satellite constellation will deliver, unlocking the next phase of growth [38] - The company is seeing growing demand for its space-based intelligence solutions, with near-record multi-year contract bookings in Q3 [59] Other Important Information - The company won the 2024 Leading Earth Observation Business Award by Nova Space [13] - The first very high-resolution Gen 3 satellite is in the final testing phase and is expected to ship to the launch site in the next few weeks [35] - The company successfully completed an equity capital raise in late September, generating $46 million in gross proceeds [53] Q&A Session Summary Question: Revenue Push from Q3 to Q4 - Some revenue was pushed from Q3 to Q4 due to timing delays related to new customer contract wins and the associated ramp-up of imagery and analytic revenues [62] Question: Bookings Activity in Q3 and Q4 - The strong bookings activity in Q3 was primarily driven by existing capabilities, not specifically related to Gen 3 [63] - The company is seeing growing demand, with typical government contract cycles remaining consistent [69] Question: Milestone Payments and Gen 3 Launch Costs - Milestone payments are expected to be somewhat lumpy over the next 12 months [67] - No significant changes in OpEx are expected with the Gen 3 launches, as the same ground network and infrastructure will be used [68] Question: Operating Leverage in 2025 - The company expects to see smoother and growing imagery and analytics revenues as Gen 3 capability comes online, though some lumpiness will remain due to professional engineering projects [71][72] Question: OISL Design in Gen 3 - The OISL design is being integrated into Gen 3, with a focus on delivering high-frequency, low-latency intelligence solutions [74][75] Question: Q4 Revenue Ramp - The Q4 revenue ramp is expected to be driven by long-term customer renewals and the closing of larger deals [79] Question: Gen 2 Satellite Life and Decommissioning Costs - Gen 2 satellites are expected to continue performing well through 2025 and into 2026, with no material incremental decommissioning costs [85] Question: Non-Earth Imaging Offerings - The new non-Earth imaging offerings leverage existing satellite capacity and are expected to generate incremental high-margin imagery and analytics revenues [86][87] Question: Baseline Gen 3 Constellation - The baseline Gen 3 constellation is expected to maintain 12 to 14 satellites, with potential expansion based on demand [90] Question: LeoStella Partnership - The company acquired its partner's stake in LeoStella to optimize Gen 3 production, with BlackSky remaining the primary customer [91][93] Question: Luno A Contract and NEI SSA Market - The Luno A contract includes a mix of imagery and analytics providers, with BlackSky well-positioned to capitalize on the program [95] - The NEI SSA market is seeing significant demand, with the company already winning seven-figure contracts and expecting continued growth [97][98]

Financial Performance - BlackSky Technology Inc. reported a quarterly loss of $0.66 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.61, but an improvement from a loss of $0.96 per share a year ago [1] - The company posted revenues of $22.55 million for the quarter ended September 2024, missing the Zacks Consensus Estimate by 16.26%, compared to revenues of $21.26 million in the same quarter last year [2] - Over the last four quarters, BlackSky has surpassed consensus EPS estimates two times and topped consensus revenue estimates just once [2] Stock Performance - BlackSky Technology shares have declined approximately 32.4% since the beginning of the year, contrasting with the S&P 500's gain of 24.3% [3] - The current consensus EPS estimate for the upcoming quarter is -$0.29 on revenues of $31.61 million, and for the current fiscal year, it is -$2.33 on revenues of $107.7 million [7] Industry Outlook - The Technology Services industry, to which BlackSky belongs, is currently ranked in the top 28% of over 250 Zacks industries, indicating a favorable outlook [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact stock performance [5]

BLACKSKY REPORTS THIRD QUARTER 2024 RESULTS Company Receives New Awards Valued up to $780 Million YTD Revenue Growth of 22%; Company Reaffirms Full Year 2024 Guidance First Gen-3 Satellite Completing Final Pre-Ship Testing HERNDON, VA – November 7, 2024 – BlackSky Technology Inc. ("BlackSky" or the "Company") (NYSE: BKSY) announced results for the third quarter ended September 30, 2024. Third Quarter Financial Highlights: • Revenue of $22.5 million, up 6% from the prior year quarter • Imagery & software ana ...

Group 1: Quantum Computing - IonQ leads the quantum computing revolution with trapped-ion technology, achieving industry-leading performance with 35 algorithmic qubits [3] - Strategic partnerships with Microsoft, Alphabet, and Amazon validate IonQ's commercialization approach, with multiple Department of Defense contracts highlighting its role in AI and next-generation computing [4] - IonQ trades at over 95x trailing-12-month sales, reflecting a premium for its leadership in a potential $1 trillion market by the middle of the next decade [5] Group 2: Satellite Intelligence - BlackSky Technology combines satellite imaging with high-speed analytics, delivering real-time intelligence typically within 90 minutes [5] - The company has secured $1.3 billion in contracts from U.S. and international government agencies, establishing its platform as essential for modern intelligence gathering [6] - BlackSky trades at just 1.2x trailing revenue, presenting a value opportunity in the high-demand intelligence sector [7] Group 3: Electric Aviation - Joby Aviation is pioneering urban air transportation with its electric vertical takeoff aircraft, aiming for speeds up to 200 miles per hour with zero emissions by 2025 [8] - Toyota has invested an additional $500 million in Joby, bringing its total stake to $894 million, and the companies have formed a strategic alliance for commercial manufacturing [9] - Joby reported $825 million in cash last quarter and is approaching a production capacity of one aircraft per month, positioning itself well for the emerging air taxi market [10] Group 4: Overall Industry Outlook - The three companies represent ambitious investments in transformative technologies, each demonstrating promising technology and securing major strategic partnerships [11] - IonQ, BlackSky, and Joby have the potential to reshape computing, intelligence gathering, and urban transportation, offering exposure to markets that could create trillions in value over the next decade [12]

Shares of BlackSky Technology Inc. (BKSY) have gained 25% over the past four weeks to close the last trading session at $7.20, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $16.86 indicates a potential upside of 134.2%.The average comprises seven short-term price targets ranging from a low of $10 to a high of $32, with a standard deviation of $8.23. While the lowest estimate i ...

Core Viewpoint - BlackSky Technology (BKSY) is recognized as a strong buy with a focus on growth despite having a low value rating, indicating potential for future performance in the geospatial intelligence sector [1] Company Overview - BlackSky Technology, Inc. specializes in real-time imagery, analytics, and high-frequency monitoring of critical locations and events, serving both government and commercial clients [2] Earnings History - The company has a solid earnings history, surpassing Zacks Consensus estimates in three of the last four quarters, with an average positive earnings surprise of 10.7% [4] Earnings Estimates Revisions - Recent revisions show improvements in earnings estimates, with the current quarter's loss projected to decrease from $0.70 to $0.61, and the next quarter's loss from $0.42 to $0.29 [4][5] - Full year fiscal 2024 loss estimates have improved from $2.60 to $2.33, while next year's loss is expected to decrease from $1.72 to $1.20 [5] Growth Projections - For fiscal 2024, BlackSky is expected to achieve 14% growth with projected sales of $107.7 million, and for the following year, sales are anticipated to reach $134.4 million, reflecting a growth rate of 24.75% [5] Valuation Metrics - The company has a price-to-book ratio of 1.7x and a price-to-sales ratio of 1.2x, indicating potential value for investors [6] - Although margins are currently negative, significant improvements are expected in the coming quarters, with potential moves of 5,000 to 8,000 basis points [6]

BlackSky Technology Inc. (BKSY) shares soared 6.1% in the last trading session to close at $6.49. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 50.7% gain over the past four weeks. The stock is benefiting from rising demand for the company's imagery and analytic services as customers use high-frequency and low-latency BlackSky data in their daily operations. This company is expected to post quarterly loss of $0.61 per share in ...

Group 1: Stock Performance and Price Targets - BlackSky Technology Inc. (BKSY) shares have increased by 7.2% over the past four weeks, closing at $6.11, with a mean price target of $16.86 indicating a potential upside of 175.9% [1] - The mean estimate includes seven short-term price targets with a standard deviation of $8.23, suggesting variability in analyst predictions; the lowest estimate is $10 (63.7% increase), while the highest is $32 (423.7% increase) [1] Group 2: Analyst Consensus and Earnings Estimates - There is strong agreement among analysts regarding BKSY's ability to report better earnings, with a positive trend in earnings estimate revisions, which historically correlates with stock price movements [2][5] - The Zacks Consensus Estimate for the current year has risen by 5.7% over the past month, with two estimates increasing and no negative revisions [5] Group 3: Price Target Reliability - Price targets can mislead investors, as empirical research shows they rarely indicate actual stock price movements; analysts often set overly optimistic targets due to business incentives [3][4] - A low standard deviation in price targets indicates a high degree of agreement among analysts, which can serve as a starting point for further research into fundamental drivers [4]

BlackSky Technology Inc. (BKSY) shares soared 8.8% in the last trading session to close at $5.43. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 29.4% loss over the past four weeks. The stock is benefiting from the rising demand for differentiated space-based intelligence solutions from new and existing government customers across the globe. This company is expected to post quarterly loss of $0.61 per share in its upcoming repor ...