10-Q · June 5, 2026
Planet Labs PBC's Q1 2027 report shows a significant revenue increase of 42%, with actual revenue reaching $94.2 million compared to $66.3 million in the previous year. However, the company continues to report…
Earnings analysis · 10-Q
PL earnings analysis
Filed September 3, 2026 · Our reading of the company's report
The latest report
Planet delivered strong year-over-year growth, with quarterly revenue up 58% to $116.052 million and Defense and Intelligence revenue up $39.086 million. Operating and net losses narrowed substantially, although gross…
Read full summary
Planet delivered strong year-over-year growth, with quarterly revenue up 58% to $116.052 million and Defense and Intelligence revenue up $39.086 million. Operating and net losses narrowed substantially, although gross margin declined about 1.05 percentage points and six-month operating cash flow fell to $68.388 million from $85.120 million. Liquidity is robust following $122.398 million of ATM proceeds and $107.801 million of warrant proceeds, but the newly convertible $460.0 million notes and the potential $1.500 billion ATM capacity create meaningful dilution and liquidity risks.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $-0.03
What stood out
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Revenue Growth Accelerated
Revenue increased 58% year over year to $116.052 million from $73.386 million, primarily driven by a $39.1 million increase in the Defense and Intelligence vertical from large contract expansions and satellite hardware deliveries.
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Strong Growth, Slight Margin Pressure
Gross profit rose to $65.632 million from $42.268 million, while gross margin was approximately 56.55% versus 57.60% in the prior-year quarter, a decline of about 1.05 percentage points as cost of revenue grew 62% to $50.420 million.
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Operating Loss Narrowed
Loss from operations improved to $13.509 million from $17.960 million, reducing operating loss as a percentage of revenue to approximately 11.64% from 24.47%. Net loss narrowed to $9.353 million from $22.592 million, and diluted EPS improved to $(0.03) from $(0.07).
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Positive Six-Month Free Cash Flow
Net cash provided by operating activities was $68.388 million for the six months ended July 31, 2026, versus $85.120 million in the prior-year period. After $47.091 million of capital expenditures, calculated six-month free cash flow was approximately $21.297 million.
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Liquidity Remains Strong
Liquidity strengthened: cash and cash equivalents increased to $415.130 million from $229.441 million at January 31, 2026, while short-term investments increased to $450.288 million from $410.649 million.
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Customer Expansion Improved
Customer expansion metrics remained favorable: net dollar retention increased to 109% from 107%, and net dollar retention including winbacks increased to 110% from 108%, primarily due to large Defense and Intelligence contract expansions.
What to watch
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Persistent GAAP Losses
The company remains unprofitable, reporting a six-month net loss of $148.225 million and an accumulated deficit of $1.598 billion as of July 31, 2026. Management also expects continued investment in operations, software, and satellites, which may pressure profitability.
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Substantial Equity Dilution Risk
The June 2026 ATM program permits up to $1.500 billion of additional Class A common stock issuance; the company already sold 3,782,460 shares for $122.398 million of gross proceeds in the quarter. Further issuance could dilute existing holders and EPS.
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Convertible Notes Now Convertible
The $460.0 million principal amount of 2030 Notes became conditionally convertible for August 1 through October 31, 2026 after the stock price exceeded 130% of the conversion price for at least 20 trading days. If converted and settled in cash or stock, the company could face liquidity needs or dilution.
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Customer Concentration
Revenue concentration remains material: three customers represented 17%, 11%, and 10% of quarterly revenue, while two customers represented 25% and 11% of accounts receivable as of July 31, 2026.
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Rising Satellite Investment
Capital intensity is expected to rise. Capital expenditures were $29.1 million in the quarter and $47.1 million for the six months, and management expects capital expenditures to continue increasing as it expands its satellite fleet.
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Litigation Exposure
The company has $11.0 million of litigation contingency accruals in accrued current liabilities, while the Delaware class-action settlement remained subject to definitive documents and final court approval as of July 31, 2026.
Management's outlook
No explicit numeric revenue or EPS guidance was provided. Management said it expects capital expenditures and working capital requirements to increase in the foreseeable future and anticipates continued investment in research and development, sales and marketing, and satellite capacity.
Earlier filings 4
10-K · June 5, 2026
Planet Labs PBC's 10-K report for the fiscal year ending January 31, 2026, reveals significant revenue growth but persistent net losses. The company achieved record revenues of $81 million in Q3 and $87 million in Q4…
10-K · March 23, 2026
Planet Labs emphasizes a one-to-many, recurring data subscription model built on a large proprietary archive and an agile aerospace manufacturing capability. Revenue showed multi-quarter growth, culminating in $86.822M…
10-Q · December 10, 2025
Planet Labs reported strong top-line growth for the quarter ended October 31, 2025 with revenue of $81,254 (vs. $61,266 a year ago), driven by backlog and deferred revenue expansion. Operating performance improved (loss…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.