STARBASE, TEXAS / RankWire.AI / – SpaceX experienced a 13.6% drop in its share price on Wednesday, August 5, closing at $108.27, marking the lowest closing level since its June public debut. This decline followed the company’s release of its inaugural quarterly financial report as a publicly traded entity. The report revealed that the company spent $18.37 billion on capital expenditures during the quarter, with artificial intelligence infrastructure making up $15.83 billion of that total. In the same period last year, SpaceX allocated $749 million toward AI assets.
During intraday trading, the stock dipped to $107.18 and ultimately closed nearly 20% below its IPO price of $135. Trading of SpaceX shares began on Nasdaq on June 12, with the company offering 638.9 million Class A shares, including the full allotment for underwriters. This offering raised approximately $85.68 billion in net proceeds. After reaching a peak of $201.80 post-IPO, the stock has since experienced a series of declines.
Revenue for the quarter surged by 92%, reaching $7.81 billion compared to $4.07 billion in the same period last year. The company’s net loss was reduced to $541 million from around $1.01 billion. Operating loss also decreased to $143 million from $970 million. Adjusted EBITDA hit $3.54 billion. Elon Musk, the CEO, participated in the first earnings call with other executives following the IPO.
AI-focused investments drive capital expansion
The segment dedicated to artificial intelligence 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. Despite the revenue growth, the AI division reported an operating loss of $1.26 billion, compared to $1.52 billion a year earlier. Research and development expenses for AI climbed 94.1%, reaching $2.18 billion. Advertising revenue decreased by $59 million during the quarter.
Starlink and associated connectivity services brought in $4.29 billion, marking a 65.8% increase. Income from connectivity operations rose 79.4%, totaling $1.66 billion. The growth in consumer subscribers was 101.2%, although the average revenue per user fell by 22.4%. Revenues from government, aviation, maritime, and enterprise sectors added $939 million. Meanwhile, SpaceX’s space division generated $962 million in sales but recorded an operating loss of $542 million.
First post-IPO share restrictions are set to lapse
On Thursday, August 6, up to 911.5 million shares held by employees and early investors will become eligible for sale. This block constitutes roughly 6.9% of SpaceX’s total 13.18 billion outstanding Class A and Class B shares. It surpasses the IPO share count by approximately 272.6 million. Details of the phased release schedule are included in the company’s prospectus filed with the Securities and Exchange Commission. While holders may sell, they are not obligated to do so.
The initial unlocked tranche had an approximate notional value of $98.7 billion at Wednesday’s closing price. As of July 28, SpaceX listed 7.70 billion Class A shares and 5.49 billion Class B shares outstanding. At the end of June, the company held $93.52 billion in cash and $6.49 billion in marketable securities. The August 6 release marks the beginning of the scheduled unlocks for restricted shareholders, with more lock-up periods listed under the company’s post-IPO timetable.