Stonegate Updates Coverage on BlackSky Technology, Inc. (BKSY) 1Q25

Rhea-AI Summary

BlackSky Technology (NYSE: BKSY) reported mixed Q1 2025 results with revenue of $29.5M, exceeding analyst estimates of $27.2M-$27.6M. The company posted an adjusted EBITDA of ($0.6M) and EPS of ($0.42). The Imagery segment revenue declined to $16.8M from $17.8M YoY due to project timing variations, while Professional Services revenue significantly increased to $12.7M from $6.4M YoY, driven by an Indian Earth observation contract. Gross margins decreased to 57.4% from 77.4% QoQ due to a satellite asset sale. Notably, the company's backlog grew 40% QoQ to $366.1M, and Gen-3 commercial availability is expected in Q4 2025.

Positive

• Revenue of $29.5M exceeded analyst estimates
• Professional Services revenue doubled YoY to $12.7M
• Backlog increased 40% QoQ to $366.1M
• Gen-3 commercial availability on track for Q4 2025

Negative

• Imagery segment revenue declined YoY to $16.8M from $17.8M
• Negative adjusted EBITDA of ($0.6M)
• Gross margins declined significantly to 57.4% from 77.4% QoQ
• Continued net losses with EPS of ($0.42)

News Market Reaction – BKSY

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+0.87% News Effect

On the day this news was published, BKSY gained 0.87%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Dallas, Texas--(Newsfile Corp. - May 9, 2025) - BlackSky Technology, Inc. (NYSE: BKSY): Stonegate Capital Partners updates their coverage on BlackSky Technology, Inc. (NYSE: BKSY). BKSY reported revenue, adj EBITDA, and EPS of $29.5M, ($0.6)M, and ($0.42), respectively. This compares to our/consensus estimates of $27.6M/$27.2M, $0.7M/$1.5M, and ($0.62)/($0.46). The Imagery and Software Analytical Services segment generated $16.8M in revenue, down from $17.8M in 1Q24. This decrease was primarily due to timing variability in customer project deliveries. The Professional and Engineering Services segment reported revenue of $12.7M, a significant increase from $6.4 M in 1Q24, driven largely by milestone-based progress under the Company's commercial Earth observation contract with India. Consolidated gross margins fell to 57.4%, an increase from 77.4% in 4Q24, impacted by the transfer of a previously capitalized satellite asset sold during the quarter.

To view the full announcement, including downloadable images, bios, and more, click here.

Key Takeaways:

• Guidance reiterated
• Gen-3 commercial availability expected in 4Q25
• Backlog increased 40% from last quarter to $366.1M

Click image above to view full announcement.

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About Stonegate
Stonegate Capital Partners is a leading capital markets advisory firm providing investor relations, equity research, and institutional investor outreach services for public companies. Our affiliate, Stonegate Capital Markets (member FINRA) provides a full spectrum of investment banking services for public and private companies.

Contacts:

Stonegate Capital Partners
(214) 987-4121
info@stonegateinc.com

Source: Stonegate, Inc.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/251458

FAQ

What were BlackSky's (BKSY) Q1 2025 earnings results?

BlackSky reported Q1 2025 revenue of $29.5M, adjusted EBITDA of ($0.6M), and EPS of ($0.42), with revenue exceeding analyst estimates.

How did BlackSky's (BKSY) different segments perform in Q1 2025?

Imagery segment revenue declined to $16.8M from $17.8M YoY, while Professional Services revenue increased to $12.7M from $6.4M YoY.

What is BlackSky's (BKSY) current backlog and how has it changed?

BlackSky's backlog increased 40% quarter-over-quarter to reach $366.1M in Q1 2025.

When will BlackSky's (BKSY) Gen-3 technology be commercially available?

BlackSky's Gen-3 technology is expected to be commercially available in Q4 2025.

What happened to BlackSky's (BKSY) gross margins in Q1 2025?

Gross margins decreased to 57.4% from 77.4% in the previous quarter due to the transfer of a previously capitalized satellite asset sale.