Virgin Galactic Reports Q3 2025 Financial Results with Revenue Decline and Operating Loss Improvement

Virgin Galactic Holdings, Inc. reported its financial results for the third quarter of 2025, revealing a revenue of $365,000, a decrease from $402,000 in the same period last year. For the nine months ending September 30, 2025, the company generated $1.2 million in revenue, significantly down from $6.6 million in the prior year. The operating loss for the third quarter was $66.2 million, an improvement from a loss of $81.7 million in the same quarter of 2024. The net loss for the quarter was $64.4 million, compared to a net loss of $74.5 million in the previous year.

The company’s total operating expenses for the third quarter were $66.5 million, down from $82.1 million in the same period last year. This reduction was primarily attributed to lower research and development costs, which fell to $15.0 million from $23.9 million, and a decrease in selling, general, and administrative expenses, which dropped to $28.0 million from $34.0 million. The decrease in expenses reflects the company's ongoing efforts to manage costs amid a challenging market environment.

In terms of operational developments, Virgin Galactic reported that it has reservations for approximately 675 future astronauts, representing an expected $189 million in future spaceflight revenue. The company is currently focused on the development of its next-generation Delta Class spaceships, with flight tests expected to commence in the third quarter of 2026. The first commercial spaceflight is anticipated to occur in the fourth quarter of 2026, followed by private astronaut flights six to eight weeks later. The company has paused sales but plans to open new sales reservations in early 2026.

As of September 30, 2025, Virgin Galactic had cash, cash equivalents, and restricted cash totaling $158.8 million, alongside marketable securities of $264.8 million. The company’s total assets decreased to $853.5 million from $961.2 million at the end of 2024. The decrease in cash and cash equivalents was primarily due to net cash used in operating activities, which amounted to $187.7 million for the nine months ended September 30, 2025, compared to $271.7 million in the same period of 2024. The company continues to rely on proceeds from the sale of common stock to support its operations, generating $109.2 million from its at-the-market offering program during the nine months.

Looking ahead, Virgin Galactic remains focused on advancing its spaceflight program and expanding its fleet. The company anticipates that its expenditures will increase as it scales up manufacturing processes and hires additional personnel to support its operations. While the company believes it has sufficient liquidity to fund its operations for at least the next twelve months, it may need to seek additional financing to meet its long-term capital requirements as it prepares for the launch of its commercial spaceflight services.