STARBASE, TEXAS / RankWire.AI / – SpaceX experienced a significant decline of 13.6% in its shares on August 5, closing at $108.27. This decline came after the company released its first quarterly report since its initial public offering in June. Investors assessed the strong revenue growth against a hefty $18.37 billion investment in capital expenditures for the quarter. Notably, spending on artificial intelligence infrastructure reached $15.83 billion, a substantial rise from $749 million just one year earlier.
During trading, the stock dipped as low as $107.18 and ultimately closed nearly 20% below the IPO price of $135. SpaceX issued 638.9 million Class A shares via the offering, including the full underwriters’ option, which generated net proceeds of approximately $85.68 billion. The shares began trading on Nasdaq on June 12, reaching a peak of $201.80 at one point.
For the second quarter, SpaceX reported revenues of $7.81 billion, marking a 92% increase from $4.07 billion a year prior. The company reduced its net loss to $541 million from about $1.01 billion, and its operating loss fell to $143 million from $970 million in the same period. Adjusted EBITDA stood at $3.54 billion.
Artificial intelligence investments accelerate
The AI division contributed $2.56 billion in revenue for the quarter, reflecting a 247.5% jump from $737 million. The rise was driven primarily by new AI services and infrastructure, which accounted for $1.88 billion of that increase. Advertising revenue declined by $59 million within the same period. The division posted an operating loss of $1.26 billion, with research and development expenses climbing 94.1% to $2.18 billion.
Starlink and other connectivity offerings remained SpaceX’s dominant revenue streams. Sales from connectivity services rose 65.8% to $4.29 billion, while operating income increased 79.4% to $1.66 billion. The company’s subscriber base expanded by 101.2%, although the average revenue per user decreased by 22.4%. Additional revenue growth came from government, aviation, maritime, and enterprise sectors, which contributed another $939 million.
Major share unlocks initiated after IPO
Starting August 6, up to 911.5 million employee and early investor shares become available for sale. This figure represents approximately 6.9% of SpaceX’s total of 13.18 billion Class A and Class B shares outstanding. It surpasses the shares sold during the IPO by roughly 272.6 million. The company detailed this phased release schedule within its prospectus filed with the Securities and Exchange Commission.
Based on the August 5 closing price, the initial unlocked block holds a notional value close to $98.7 billion. As of July 28, SpaceX reported having 7.70 billion Class A shares and 5.49 billion Class B shares in circulation. The company ended June with $93.52 billion in cash and $6.49 billion in marketable securities. The August 6 trading session marks the first day when eligible shareholders can sell shares from the initial restricted group.