Financial Data and Key Metrics - Revenue for Q2 FY2025 reached a record $61.1 million, representing 14% YoY growth, driven by strong performance in the government sector [7] - Non-GAAP gross margin for the quarter was 58%, and adjusted EBITDA loss was $4.4 million, both in-line or better than previous guidance [7] - The company achieved its fifth sequential quarter of improvement in adjusted EBITDA, moving closer to its target of adjusted EBITDA profitability by Q4 FY2025 [8] - EMEA revenue grew over 20% YoY, Asia-Pacific grew over 40% YoY, and Latin America grew over 30% YoY, while North America saw modest growth [27] - The company ended Q2 with $249 million in cash, cash equivalents, and short-term investments, with no debt outstanding [31] Business Line Performance - Defense & Intelligence sector revenue grew over 30% YoY, with key wins including a deal with NATO and a seven-figure deal with an international defense customer [11][12][13] - Civil Government sector revenue grew over 20% YoY, with notable use cases in Bahrain, Bolivia, and Colombia [14][15] - The Commercial sector faced macroeconomic and agriculture-specific headwinds, but the company is focusing on its Insights Platform to drive long-term growth [16][17] Market Performance - The company saw strong growth in international markets, particularly in Latin America and Asia-Pacific, driven by demand for sustainability initiatives and civil government use cases [27][82][84] - North America experienced modest growth, with solid performance in Defense & Intelligence offset by challenges in the Commercial sector [27] Strategic Direction and Industry Competition - The company implemented organizational changes, including a 17% headcount reduction, to improve operational efficiency and align resources with market opportunities [9][10] - The new industry-aligned operating model is expected to support sustainable long-term growth and profitability [10][26] - The company launched its first Tanager satellite and 36 SuperDoves, marking progress in its hyperspectral and Earth imaging capabilities [8][18] - The Pelican-2 satellite, expected to ship soon, will offer improved resolution and edge compute capabilities, potentially reducing time-to-value for customers [19][20] Management Commentary on Operating Environment and Future Outlook - Management highlighted strong demand in the government sector, fueled by heightened security needs, sustainability requirements, and global climate risks [21] - The company remains optimistic about the long-term potential of the Commercial sector, particularly in agriculture, despite current headwinds [16][48] - Management expects to achieve adjusted EBITDA profitability by Q4 FY2025 and is focused on maintaining a healthy balance sheet [30][71] Other Important Information - The company's end-of-period customer count was 1,012, with 96% of ACV coming from recurring contracts and over 90% from annual or multi-year contracts [28] - Net dollar retention rate was 99% at the end of Q2, with winbacks bringing it to 100% [28] - The company incurred $10.5 million in one-time restructuring charges during the quarter [30] Q&A Session Summary Question: North America revenue decline and RPO fluctuations [38] - The decline in North America revenue was primarily due to headwinds in the Commercial sector, while RPO fluctuations were attributed to the timing of large government contract renewals [39] Question: Gross margin improvement drivers [40] - Gross margin improvement was driven by efficiencies in cloud infrastructure, mix of business, and the one-to-many model for data deals [40][41] Question: Gross margin baseline going forward [44] - Management expects gross margins to remain in the 59%-61% range, though fluctuations may occur depending on the mix of business and partner costs [44] Question: Update on pilots and AI integration [45][46] - The company has conducted several pilots with AI on PlanetScope data and expects more later in the year, with progress towards operationalizing these capabilities [46] Question: Agriculture sector outlook [47][48] - Management remains optimistic about the long-term potential of the agriculture sector, with customers like BASF leading the transition to new business models [48] Question: NATO contract details and opportunity size [51][52] - The NATO contract is an introductory deal with significant potential, as governments have committed up to $1 billion over five years for the APSS program [52] Question: Tanager satellite early contributions and future launches [53][54] - The Tanager satellite is in the commissioning phase, with potential use cases in carbon monitoring, oil and gas, agriculture, and mining [54] Question: NGA's AI labeling contract opportunity [55][56] - The company does not focus on data labeling but sees opportunities in combining foundation models with its datasets for threat detection [56] Question: Go-to-market changes and leadership focus [58][59] - The new go-to-market structure focuses on aligning sales and product teams to accelerate growth in key verticals, with leaders driving renewals and expansions [59][61] Question: Guidance and large government contract timing [62][63] - The company faces challenges in predicting the timing and size of large government contracts, which impacts full-year guidance [64][65] Question: US government pilots and cash flow breakeven [67][68][69] - The US government pilots focus on using AI for threat detection, with revenue potential expected to ramp over multiple quarters [68][70] - The company is focused on achieving EBITDA profitability and managing CapEx to reach cash flow breakeven without raising additional capital [71] Question: RIF impact on OpEx and partner revenue [73][74] - The RIF resulted in $35 million in annual savings, primarily in salary and payroll, with some offset from reduced contra R&D expenses and seasonality in other costs [73][74] Question: Pelican program timeline and commercial viability [76] - Pelican-2 is an R&D satellite with potential to become operational, with future deployments aimed at improving resolution, capacity, and time-to-value for customers [76] Question: International growth drivers and backlog trends [82][83][85] - International growth is driven by large defense and civil government deals, with strong product-market fit in regions focused on sustainability [82][84] - Backlog fluctuations are due to timing of renewals and multi-year contracts, not indicative of competitive pressures [85] Question: Pelican fleet size and technology iteration [86][87] - The Pelican fleet size is flexible, with up to 32 satellites planned, and the company continues to iterate on technology, including AI edge compute capabilities [86][87]

Planet Labs PBC (PL) came out with a quarterly loss of $0.06 per share in line with the Zacks Consensus Estimate. This compares to loss of $0.14 per share a year ago. These figures are adjusted for non-recurring items. A quarter ago, it was expected that this company would post a loss of $0.08 per share when it actually produced a loss of $0.05, delivering a surprise of 37.50%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Planet Labs PBC, which belongs to the Z ...

About this content About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, The ...

Investigation Details If you are aware of any facts relating to this investigation or purchased dMY IV prior to December 3, 2021, you can assist this investigation by visiting the firm's site: bgandg.com/PL. You can also contact Peretz Bronstein or his client relations manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC: 332-239-2660. Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our ...

"Our partnership with Planet underscores our dedication to providing our clients with the most advanced and innovative data available," said Will Osnato, Director of Commodity Data Research & Analysis at Barchart. "Through this integration, we are able to equip agribusinesses with unparalleled insights that not only facilitate smarter decisions but also significantly improve operational efficiencies and ultimately enhance profitability." You can also learn more about Barchart's enhanced yield forecast model ...

Planet Labs (NYSE:PL) layoffs are a hot topic on Monday as the geospatial data satellite company cuts jobs. Planet Labs notes that it expects to suffer one-time charges of $9.5 million to $10.5 million connected to these layoffs. It expects these charges to occur during the second quarter of fiscal 2025. It also plans for the layoffs to be complete by the end of Jan. 31, 2025. Planet Labs says the following about the headcount reductions in its SEC filing. PL stock is down 3.2% as of Monday morning. The sto ...

I wrote about Planet Labs (NYSE:PL) previously (Dec 2023) with a buy rating as the business was the leader in the industry and I believed the growth runway was extremely long, supported by very strong secular tailwinds. While the share price has not reacted in the way I wanted, I continue to believe PL is a buy as PL continues to execute well both financially and operationally. Especially for growth, PL has shown that growth acceleration is possible in its 1Q25 results. Business on track both financially an ...

For some investors, investing in AI stocks means looking at the big names like Nvidia (NASDAQ:NVDA), Apple (NASDAQ:AAPL) and Microsoft (NASDAQ:MSFT). And let's be clear: those companies will be leaders in AI for years to come. Palantir Technologies (PLTR) It's a bold statement to make that Palantir Technologies (NYSE:PLTR) may be the most important company in the world. But the company continues to show retail investors why Dan ives of Wedbush referred to Palantir as the Lionel Messi of AI. Despite qualifyi ...

Over the last four quarters, the company has surpassed consensus EPS estimates four times. Planet Labs PBC shares have lost about 25.5% since the beginning of the year versus the S&P 500's gain of 12.3%. There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Investors should ...

Definitions UPDATE FISCAL 1Q'25 June 6, 2024 All references to "Planet" or the "Company" in this presentation are references to Planet Labs PBC (NYSE: PL). © Copyright 2024 Planet Labs PBC All Rights Reserved 2 This presentation includes Non-GAAP Gross Profit, Non-GAAP Gross Margin and Adjusted EBITDA, which are non-GAAP measures Planet uses to supplement its results presented in accordance with U.S. GAAP. Planet includes these non-GAAP financial measures because they are used by management to evaluate Plan ...