AST SpaceMobile 2025 Q2 Earnings Slight EPS Improvement Amid Wider Net Loss

AST SpaceMobile (ASTS) reported its Q2 2025 earnings on August 11, 2025. While the company noted a modest improvement in its earnings per share, it continued to post a significant net loss, highlighting ongoing challenges. Management remains optimistic about future growth driven by satellite launches and commercial partnerships.

Revenue

The total revenue for AST SpaceMobile in Q2 2025 reached $1.16 million, marking a 28.4% year-over-year increase from $900,000 in the same period in 2024. This growth reflects steady progress in the company's core operations and expanding commercial activities.

Earnings/Net Income

AST SpaceMobile reduced its earnings loss per share to $0.41 in Q2 2025, a 19.6% improvement from $0.51 in Q2 2024. However, the company's net loss widened to $135.90 million for the quarter, a 3.5% increase compared to $131.35 million in the prior-year period. This reflects continued financial pressure, with the company now posting losses for the fifth consecutive year in this quarter. The narrowing EPS loss is a positive sign, but the overall financial performance remains a cause for concern.

Price Action

The stock price of ASTS experienced a 0.71% decline on the most recent trading day and a more pronounced 10.63% drop over the past week. However, the stock has seen a modest 4.43% gain month-to-date, indicating some investor optimism amid mixed short-term volatility.

Post-Earnings Price Action Review

The performance of ASTS following the release of a revenue increase quarter-over-quarter has shown mixed results over the past three years. A buy-and-hold strategy initiated on the earnings date and held for 30 days yielded a return of 24.62%, which lags behind the 45.70% benchmark return, resulting in an excess return of -21.08%. The strategy's compound annual growth rate (CAGR) stands at 7.88%, with a maximum drawdown of 0.00% and a Sharpe ratio of 0.27. These metrics suggest a low-risk, low-reward investment profile with relatively steady returns.

CEO Commentary

Abel Avellan, CEO of AST SpaceMobile, emphasized Q2 2025 as one of the company's most productive quarters. The company has completed eight Block 2 BlueBird satellites and aims to reach 40 units by early 2026, with a production target of six satellites per month. Avellan highlighted the company’s progress in manufacturing, regulatory, and commercial efforts, along with its strong balance sheet, which includes $1.5 billion in cash. These factors are expected to support the company's scaling efforts and long-term value creation.

Guidance

Andy Johnson, CFO, reiterated revenue guidance for the second half of 2025 at $50–75 million, tied to satellite launches and commercial and government milestones. Capital expenditures are expected to range between $225–300 million in Q3, with satellite unit costs estimated at $21–23 million each. Adjusted operating expenses for Q3 are projected at around $50 million, excluding transaction costs. The company remains confident in achieving positive cash flow with 25 satellites in orbit and full commercial service with 45–60 satellites, supported by $1.5 billion in pro forma liquidity.

Additional News

In the three weeks following AST SpaceMobile’s Q2 earnings report, there were no major M&A announcements, C-level personnel changes, or dividend/buyback news directly related to ASTS. However, the broader financial landscape saw increased focus on satellite communications and space-based infrastructure. Notably, the Online Edition of Shanghai Daily launched new digital subscription packages, including digital-only and print + digital options for 1, 6, and 12-month periods. These offerings provide subscribers with downloadable PDFs of the newspaper, real-time updates, and access to exclusive online content. The digital editions, available in both English and Chinese, cater to international and domestic readers seeking real-time news coverage.