Planet's Growth Accelerates to 58% on Record Sales
Second-quarter revenue reached a record $116.1 million as adjusted EBITDA swung to $13.9 million of profit.
Planet Labs PBC (PL), a provider of daily satellite imagery and geospatial solutions, reported second-quarter revenue of $116.1 million, up 58% from a year earlier, accelerating from 42% year-over-year growth in the first quarter of fiscal 2027.
The company said the quarter marked its fourth consecutive period of meeting or exceeding the Rule of 40, the sum of revenue growth and adjusted EBITDA margin as a percent of sales. Co-founder, chief executive and chairperson Will Marshall pointed to a satellite handover for the Swedish Armed Forces and August contract wins with the National Geospatial-Intelligence Agency and the German government.
Adjusted EBITDA profit was $13.9 million, compared with $6.4 million in the second quarter of fiscal 2026. That result followed a $1.0 million adjusted EBITDA loss in the immediately preceding quarter. President and Chief Financial Officer Ashley Johnson said the top-line performance was translating into operating leverage that exceeded the company’s expectations on non-GAAP gross margins.
GAAP gross margin was 57%, and non-GAAP gross margin was 59%. Both expanded from the first quarter, when GAAP gross margin was 54% and non-GAAP gross margin was 56%.
GAAP net loss narrowed to $9.4 million from $22.6 million a year earlier. GAAP net loss per share was $0.03, and non-GAAP net income was $0.02 a share.
Remaining performance obligations were approximately $753.1 million at period end, of which about 46% apply to the next twelve months and about 68% to the next 24 months. Backlog was approximately $814.9 million, with about 50% in the next twelve months and about 70% in the next 24 months. Percent of recurring annual contract value was 98%.
During the quarter, Planet received an $8 million other-tasking award from the NGA to deploy its Global Monitoring Service. The German government announced a dedicated-capacity satellite services tender with options and a maximum possible value of 25 million euros over five years. The company also signed a seven-figure, one-year agreement with a European defense and intelligence customer for high-resolution mosaics, a national high-resolution data and analytics contract with the Rwanda Space Agency, a one-year renewal with the New Mexico State Land Office, and a data-center monitoring renewal with a hyperscaler AI developer.
In July, Planet launched the Pelican-11 technical demonstration satellite, bringing the number of high-resolution Pelicans on orbit to 10. The Tanager-2 satellite and 18 SuperDove satellites were shipped to Vandenberg Space Force Base ahead of a Transporter-18 mission with SpaceX, Planet’s third launch of the year. The company also announced a launch agreement with Isar Aerospace and said manufacturing is scheduled to begin this year at an expanded Berlin facility.
Cash, cash equivalents and short-term investments were $865.4 million at the end of the second quarter. Planet raised approximately $120 million from stock sales under its at-the-market program during the quarter, at an average net sale price of $31.95 a share after expenses. Year-to-date net cash provided by operating activities was $68.4 million, year-to-date free cash flow was $21.3 million, and year-to-date adjusted free cash flow was $28.8 million.
For the third quarter of fiscal 2027, Planet expects revenue of approximately $101 million to $105 million, non-GAAP gross margin of approximately 56% to 58%, and an adjusted EBITDA loss of approximately $6 million to $1 million. Capital expenditures are expected to be approximately $30 million to $37 million.
For full fiscal 2027, the company expects revenue of approximately $430 million to $441 million, non-GAAP gross margin of approximately 55% to 57%, and adjusted EBITDA profit of approximately $3 million to $10 million. Full-year capital expenditures are expected to be approximately $100 million to $115 million.