LUNR Earnings – Q3 2026

Intuitive Machines, Inc. (Nasdaq: LUNR) reported record third-quarter results on November 12, 2026, with revenue of $269.3 million (up more than 400% year-over-year and roughly 31% sequentially), positive Adjusted EBITDA, positive free cash flow, and a record backlog of approximately $1.9 billion. Full-year 2026 revenue guidance was refined to $920–950 million, with full-year Adjusted EBITDA expected to be positive.

The results reflect strong execution across satellite production (bolstered by the Lanteris acquisition), lunar delivery, data services, and ground networks, spanning civil, commercial, and national security customers.

Actual Results: Record Revenue, Positive Cash Generation, and Backlog Expansion

• Revenue reached a record $269.3 million, up more than 400% from $52.4 million in Q3 2025 and roughly 31% sequentially from Q2 2026. Product (satellite production) revenue accounted for the majority of sales (~$215 million), reflecting the contribution from the Lanteris acquisition and higher production volume.
• Results exceeded consensus expectations of approximately $246 million. Gross profit was a record $69 million (26% margin), supported by increased satellite production contribution, higher volume, and net favorable one-time program adjustments (including estimate-at-completion and other cost adjustments).
• GAAP net loss narrowed to approximately $4 million, or ($0.02) per share, compared with a larger loss in the prior-year quarter. Adjusted EBITDA improved to a positive $8.3 million from a loss in the year-ago period.
• Operating cash flow was a record positive $66 million, with capital expenditures of $33 million, resulting in positive free cash flow of $33 million.
• Backlog reached a record approximately $1.87–1.9 billion as of September 30, 2026, an increase of roughly $1.7 billion from year-end 2025. Growth reflected substantial new awards (including ~$450 million in the quarter) plus acquired backlog from Lanteris and Goonhilly, spanning civil, commercial, and national security programs.
• Cash and cash equivalents stood at approximately $464 million. The company was selected for NASA’s next-generation Commercial Lunar Payload Services (CLPS 2) contract and continues to advance lunar and Earth science missions.

Why It Matters: Scale Transformation and Path to Sustained Profitability

• Record revenue and positive free cash flow mark a clear inflection as Intuitive Machines scales from a primarily lunar-lander story into a broader space technology and infrastructure provider. Satellite production now drives the majority of top-line results, diversifying the revenue base across civil, commercial, and national security customers.
• The record ~$1.9 billion backlog provides multi-year visibility and supports the refined full-year 2026 revenue guidance of $920–950 million. Management’s expectation of positive full-year Adjusted EBITDA further signals improving operating leverage.
• Positive operating cash flow and free cash flow in the quarter, combined with approximately $464 million in cash, strengthen the balance sheetA financial "snapshot" that reveals exactly what a company owns and owes at a specific moment in time. It follows the fundamental formula: Assets = Liabilities + Equity. By subtracting what is owed (liabilities) from what is owned (assets), the balance sheet shows the "book value" or the net worth belonging to the owners. More and provide capacity to fund ongoing program execution, lunar infrastructure investments, and mission preparations without near-term financing pressure.
• Continued contract wins, including selection for NASA’s CLPS 2 program and other national security and commercial awards, reinforce the company’s positioning in lunar delivery, communications relay (Altus), and broader space infrastructure.

What’s Ahead

• Management refined full-year 2026 revenue guidance to $920–950 million and continues to expect positive Adjusted EBITDA for the full year.
• The IM-3 lunar mission and first Altus-1 lunar communications relay satellite remain on track for a planned launch in the March/April 2027 timeframe. Altus-2 through Altus-5 are planned to deploy together in 2028 on a NASA-provided launch vehicle.
• The company is advancing under NASA’s CLPS 2 contract (supporting more capable cargo missions) and continues to pursue additional awards across lunar delivery, satellite production, ground networks, and national security programs.
• Management indicated sequential revenue is expected to be relatively level to slightly higher in Q4, with further growth anticipated as backlog converts and new platforms scale into 2027.

Lanteris

The January 2026 acquisition of Lanteris Space Systems (formerly Maxar Space Systems) for approximately $800 million ($450 million cash and $350 million stock) has been the primary driver of Intuitive Machines’ scale transformation.

In Q3 2026, Lanteris contributed roughly $215 million in satellite production revenue—about 80% of the company’s total $269.3 million quarterly sales—versus essentially no comparable product revenue in the prior-year period. The deal also added approximately $613 million of acquired backlog, forming a substantial portion of the record ~$1.9 billion backlog at quarter-end. By establishing a proven satellite manufacturing capability serving commercial, civil, and national security customers across LEO, GEO, and other orbits, Lanteris has shifted the company from a primarily lunar-lander business into a broader space prime.

While the acquisition accounts for the majority of the dramatic year-over-year revenue growth and supports the refined full-year guidance of $920–950 million, sustained value creation will depend on continued integration, backlog conversion, and the ability to generate organic growth alongside the inorganic contribution.

Risks

• A substantial portion of current revenue and backlog growth stems from recent acquisitions (notably Lanteris); successful integration and realization of expected synergies remain critical to sustaining margins and cash generation.
• Lunar mission timelines (including IM-3 and Altus deployments) are subject to launch vehicle availability, technical readiness, and regulatory factors; any delays could affect revenue recognition and investor sentiment.
• Gross margin and Adjusted EBITDA benefited in part from one-time program adjustments; ongoing performance will depend on volume, mix, and cost discipline as production scales.
• Concentration in government and civil space contracts introduces budget, timing, and program-specific risks. High valuation relative to current scale leaves the stock sensitive to execution misses or guidance revisions.
• Continued investment in lunar communications, ground infrastructure, and mission preparations will require disciplined capital allocation to maintain the recent positive free cash flow trajectory.

Bottom Line: Record Scale with Improving Profitability and Multi-Year Visibility

Intuitive Machines delivered a standout quarter of record revenue, positive Adjusted EBITDA, positive free cash flow, and a sharply expanded backlog of approximately $1.9 billion. The results underscore the company’s successful evolution into a diversified space infrastructure provider, with satellite production now a primary driver alongside lunar and national security programs.

The refined full-year 2026 revenue guidance of $920–950 million and expectation of positive full-year Adjusted EBITDA, supported by strong liquidity, provide a solid foundation for continued growth. Sustained execution on backlog conversion, mission timelines (including IM-3 and Altus), and acquisition integration will determine how quickly the company translates this scale into durable profitability and recurring infrastructure revenue.