Rocket Lab Reports 36% Revenue Growth to $144.5 Million in Q2 2025

Rocket Lab Corporation reported significant financial results for the second quarter of 2025, with total revenues reaching $144.5 million, a 36% increase from $106.3 million in the same period last year. For the first half of 2025, revenues totaled $267.1 million, up 34% from $199.0 million in the first half of 2024. The growth was primarily driven by a surge in space systems revenue, which increased by $21.0 million due to expanded satellite manufacturing, and a rise in launch services revenue, which grew by $17.3 million as a result of a higher launch cadence, with five Electron missions completed in the quarter compared to four in the previous year.

Despite the revenue growth, Rocket Lab reported a net loss of $66.4 million for the second quarter, compared to a loss of $41.6 million in the same quarter of 2024. The loss for the first half of 2025 was $127.0 million, up from $85.9 million in the prior year. The increase in losses was attributed to higher operating expenses, particularly in research and development, which rose by 66% to $66.1 million, reflecting ongoing investments in the development of the Neutron launch vehicle and other initiatives. Selling, general, and administrative expenses also increased by 31% to $39.9 million, driven by staffing and transaction costs related to acquisitions.

In terms of operational metrics, Rocket Lab's backlog decreased to $995.4 million as of June 30, 2025, down from $1.067 billion at the end of 2024. This decline was primarily due to revenue recognition on existing contracts, although new bookings during the period partially offset this decrease. The company also reported a significant increase in cash and cash equivalents, which rose to $564.1 million from $271.0 million at the end of 2024, bolstered by $396.6 million in gross proceeds from an At-The-Market (ATM) equity offering.

Strategically, Rocket Lab has been active in expanding its capabilities and market presence. The company completed a holding company reorganization in May 2025, which streamlined its corporate structure. Additionally, Rocket Lab announced plans to acquire LightRidge Solutions Holdings LP for $275 million, a move aimed at enhancing its space systems offerings. The acquisition is expected to close in the second half of 2025 and includes potential earnout payments based on revenue targets.

Looking ahead, Rocket Lab remains focused on scaling its operations and improving profit margins. The company is investing in the development of its Neutron launch vehicle, which is anticipated to enhance its payload capacity and market competitiveness. Management expressed confidence that existing cash reserves and customer payments will support operational needs for at least the next twelve months, while also indicating a willingness to pursue additional capital-raising opportunities as necessary to fund growth initiatives.