STARBASE, TEXAS / RankWire.AI / – SpaceX experienced a 13.6% decline in its stock on Wednesday, August 5, closing at $108.27, marking its lowest level since the company’s June debut on the public markets. This downturn followed the release of its inaugural quarterly report as a publicly traded entity, revealing a substantial $18.37 billion in capital expenditures for the quarter. Notably, artificial intelligence infrastructure constituted $15.83 billion of this amount, a significant portion of the total. During the same period last year, SpaceX allocated $749 million specifically to AI assets.
The stock price dipped to an intraday low of $107.18 and ended the day nearly 20% below its $135 IPO price. Trading on Nasdaq commenced for SpaceX on June 12, when the company issued 638.9 million Class A shares, including the full allotment granted to underwriters. The offering generated approximately $85.68 billion in net proceeds. After reaching a peak of $201.80 post-IPO, the shares have since declined amid market fluctuations.
Revenue for the quarter surged by 92%, rising from $4.07 billion to $7.81 billion compared to the same quarter last year. Meanwhile, SpaceX reduced its net loss to $541 million from about $1.01 billion, and its operating loss shrank to $143 million from $970 million. Adjusted EBITDA hit $3.54 billion. Elon Musk, the company’s CEO, participated alongside other executives in the first earnings call following the IPO.
Capital boost driven by AI infrastructure investments
The artificial intelligence division generated $2.56 billion in revenue, reflecting a 247.5% increase from $737 million. The rise was largely driven by new AI services and infrastructure, which contributed $1.88 billion of the increase. Despite the revenue growth, the AI segment reported an operating loss of $1.26 billion, a decrease compared to $1.52 billion last year. R&D expenses for AI climbed 94.1%, reaching $2.18 billion, while advertising revenue saw a decrease of $59 million during this quarter.
Starlink and related connectivity services brought in $4.29 billion, showing a 65.8% rise. Operating income from these connectivity offerings increased by 79.4%, totaling $1.66 billion. The growth in consumer subscribers was 101.2%, although the average revenue per user declined by 22.4%. Revenue from government, aviation, maritime, and enterprise sectors added $939 million. The company’s space division posted sales of $962 million but recorded an operating loss of $542 million.
First post-IPO share restrictions set to lift
Starting Thursday, August 6, up to 911.5 million shares owned by employees and early investors will become eligible for sale. This amount represents roughly 6.9% of SpaceX’s total of 13.18 billion Class A and Class B shares outstanding. It surpasses the IPO share count by approximately 272.6 million. SpaceX has detailed the phased release schedule within its SEC filings in the prospectus. While shareholders are permitted to sell their shares once eligible, there is no obligation to do so.
At Wednesday’s closing, the value of the first unlocked block of shares was approximately $98.7 billion. As of July 28, SpaceX reported holding 7.70 billion Class A shares and 5.49 billion Class B shares outstanding. As of the end of June, the company’s cash reserves stood at $93.52 billion, with an additional $6.49 billion in marketable securities. The August 6 release marks the beginning of the scheduled unlock periods for restricted shareholders, with further lock-up expirations outlined in the company’s post-IPO timetable.