BlackSky Technology experienced a 29% year-over-year revenue increase in the second quarter of 2024, driven by the company's success in securing multiple international contracts. The company reported $24.9 million in revenue for the quarter, marking a significant improvement from the previous year. BlackSky also continues to narrow its net loss, reporting a $9.4 million net loss for Q2 2024, a substantial improvement from the $33.4 million net loss recorded in the same period of 2023. The company's adjusted EBITDA for the second quarter reached $2.1 million, a positive turn from the $5.8 million adjusted EBITDA loss in Q2 2023. BlackSky attributes this positive financial performance to increased revenues, improved gross margins, and reduced cash operating expenses.
Imagery and software analytical services continue to be the primary revenue driver for BlackSky, generating $17.5 million in Q2 2024 compared to $7.5 million from engineering services. "Our performance in Q2 was primarily driven by the ongoing demand we're seeing for our differentiated space-based intelligence solutions from new and existing government customers around the world," said CEO Brian O'Toole during the company's earnings call. "We were awarded $40 million in new awards and extensions in the quarter supporting U.S. and international government agencies, demonstrating strong customer demand for BlackSky's capabilities."
BlackSky maintained its outlook for the year, projecting revenue between $102 million and $118 million, and full-year 2024 adjusted EBITDA between $8 million and $16 million. O'Toole also provided an update on the company's upcoming Gen-3 satellite constellation, stating that the satellites are in the final stages of assembly, integration, and testing. The first 35-centimeter resolution satellite remains on schedule for a planned launch in late Q4.
"When combined with our Spectra AI platform, our Gen-3 constellation will provide our customers with transformative space-based intelligence that will deliver a next level of speed, performance and AI-enabled insights for a first-to-act advantage," O'Toole told investors. "Our Gen-3 constellation remains on track to unlock our next phase of growth. The improved resolution combined with high-frequency imaging and automated AI analytics will enable new timely insights that are not achievable using traditional mapping constellations."