Intuitive Machines 2025 Q1 Earnings Surpassing Revenue Targets with Record Net Income

Intuitive Machines reported its fiscal 2025 Q1 earnings on May 13th, 2025. The company exceeded revenue expectations with $62.52 million, surpassing the Zacks Consensus Estimate by 5.23%. Intuitive Machines projected full-year revenue guidance of $250 million to $300 million, aligning with estimates of $272.53 million, and expects positive adjusted EBITDA by 2026. The company continues to expand its space infrastructure business, leveraging its technical expertise in adjacent markets like National Security Space.

Revenue

Intuitive Machines experienced a 14.6% decline in total revenue for Q1 2025, reaching $62.52 million compared to $73.22 million in Q1 2024. The revenue was distributed across various segments: fixed-price contracts contributed $38.18 million, cost reimbursable contracts added $22.60 million, and time and materials contracts generated $1.74 million, culminating in a total of $62.52 million.

Earnings/Net Income

Intuitive Machines significantly reduced its losses to $0.11 per share in Q1 2025, a 95.9% improvement from a loss of $2.68 per share in Q1 2024. The company achieved a remarkable turnaround with a net income of $975,000 in Q1 2025, representing a 100.8% positive swing from a net loss of $118.03 million in Q1 2024. The EPS improvement indicates a strong recovery.

Price Action

The stock price of Intuitive Machines increased by 4.77% during the latest trading day, rose 29.58% over the past week, and surged 48.34% month-to-date.

Post-Earnings Price Action Review

The strategy of buying LUNR when revenue beats and holding for 30 days delivered moderate returns but involved substantial volatility and risk. The approach yielded a 10.52% return, trailing the benchmark by 21.54%. With a maximum drawdown of -97.10% and a Sharpe ratio of 0.02, the strategy exhibited a challenging risk-return profile, underscoring the need for effective risk management in such volatile conditions.

CEO Commentary

Steve Altemus, Chief Executive Officer, emphasized Intuitive Machines' focus on execution amid a changing federal landscape. He noted that the first quarter set the tone for the year with strong performance, driven by growth in CLPS and NSNS programs. Altemus expressed confidence in the resilience of core exploration programs and future opportunities in national security space. He highlighted the importance of the Artemis campaign and reaffirmed the company's commitment to innovation and speed to market.

Guidance

Intuitive Machines anticipates a revenue range of $250 million to $300 million for 2025, aiming for a positive run rate adjusted EBITDA by Q4 2025 and positive adjusted EBITDA in 2026. The company expects continued fluctuations in cash flow due to milestone timing but is trending towards consistent free cash flow in the long term.

Additional News

Intuitive Machines has recently appointed James J. Frelk as Senior Vice President of Data Services, effective March 3, 2025, to enhance its data services business. The Texas Space Commission awarded the company a $10 million grant to develop an Earth reentry vehicle and microgravity research lab, reflecting non-NASA funding expansion. Additionally, Intuitive Machines selected SpaceX's Falcon 9 rocket for its fourth lunar delivery mission, continuing its collaboration with SpaceX for lunar exploration. These developments signify the company's strategic diversification and strengthening of infrastructure capabilities.