Spire Global Q2 Earnings Call Highlights

Spire Global reported $18 million in second-quarter revenue and reaffirmed its 2026 outlook of $75 million to $85 million. More than 85% of full-year guidance was under contract, although management expects most of the second-half revenue increase in the fourth quarter. Growth is being driven by government weather programs and RF geolocation demand. NOAA opportunities include a $5 million HyMS extension and a potential eight-figure contract, while RFGL capacity has increased roughly tenfold and the company added several new international customers. Adjusted EBITDA remained negative at $8.6 million, but improved year over year, and Spire maintained its target of reaching breakeven between late 2026 and early 2027. The company ended the quarter debt-free with about $92 million in cash and marketable securities, while a legal ruling awarded Spire approximately $12.4 million.

Spire Global NYSE: SPIR reported second-quarter revenue of $18 million and reaffirmed its 2026 revenue outlook of $75 million to $85 million, as the satellite-data company cited growing government weather, radio frequency geolocation and international defense opportunities. Chief Executive Officer Theresa Condor said core revenue, excluding the maritime business divested last year, increased both year over year and sequentially. Chief Financial Officer Ali Engel said core revenue rose 16% from a year earlier and 19% from the first quarter, driven primarily by higher delivery of space-services data and increased RF geolocation, or RFGL, data purchases.

Spire reported first-half revenue of $33.9 million, meaning its full-year outlook implies roughly $41 million to $51 million of revenue during the second half. Engel told analysts that revenue should increase in the third quarter, but that the majority of the anticipated step-up is expected in the fourth quarter. As of the end of July, more than 85% of the company’s full-year guidance was under contract, up from 76% in May, Condor said. The contracted base includes NOAA radio occultation work, European radio occultation programs, space-services contracts and expanded commercial agreements.

The company maintained its expectation to reach adjusted EBITDA breakeven between late 2026 and early 2027. Second-quarter adjusted EBITDA was negative $8.6 million, an improvement of 16% year over year and 15% sequentially, which Engel attributed primarily to lower operating expenses. Non-GAAP gross margin was 38%, down from 52% a year earlier. Engel said the decline stemmed from the cancellation for convenience of the WildFireSat contract and related balance-sheet cleanup. She said Spire expects gross-margin expansion in the second half as revenue grows against a relatively fixed cost base, and reiterated a longer-term gross-margin target of 60% to 70%. Cash flow used in operations totaled $23.4 million, improving 32% year over year and 11% sequentially. Spire ended the quarter with approximately $92 million in cash equivalents and marketable securities and said it remains debt-free. Engel said the company expects about $27 million of fixed-asset and property, plant and equipment purchases for the full year.

Condor said Spire had been pursuing more than $150 million of opportunities across NOAA’s portfolio. During the quarter, a NOAA hyperspectral microwave sounder, or HyMS, data contract extension was signed with a value of up to $5 million over nine months. Separately, Spire is negotiating an eight-figure HyM...