v3.26.1
REVENUES
 6 Months Ended
Jun. 30, 2026
Revenue from Contract with Customer [Abstract]  
REVENUES REVENUES
The following table provides information about revenue by recognition model for the three and six months ended June 30, 2026 and 2025:
Three Months Ended June 30,
20262025
Revenues by recognition modelLaunch
Services		Space
Systems		TotalLaunch
Services		Space
Systems		Total
Point-in-time$37,703 $56,623 $94,326 $39,256 $31,070 $70,326 
Over-time6,883 132,857 139,740 7,390 66,782 74,172 
Total revenue by recognition model$44,586 $189,480 $234,066 $46,646 $97,852 $144,498 

Six Months Ended June 30,
20262025
Revenues by recognition modelLaunch
Services		Space
Systems		TotalLaunch
Services		Space
Systems		Total
Point-in-time$93,268 $88,772 $182,040 $74,731 $50,334 $125,065 
Over-time14,981 237,393 252,374 7,507 134,495 142,002 
Total revenue by recognition model$108,249 $326,165 $434,414 $82,238 $184,829 $267,067 
The timing of revenue recognition, billings, and cash collections results in billed accounts receivable, unbilled receivables (presented within contract assets) and customer advances and deposits (presented within contract liabilities) on the condensed consolidated balance sheets, where applicable. Amounts are generally billed as work progresses in accordance with agreed-upon milestones. These individual contract assets and liabilities are reported in a net position on a contract-by-contract basis on the condensed consolidated balance sheets at the end of each reporting period.
The following table presents the balances related to enforceable contracts as of June 30, 2026 and December 31, 2025:
June 30, 2026December 31, 2025
Contract balances
Accounts receivable, net$112,889 $39,001 
Contract assets94,245 61,606 
Contract liabilities(351,193)(195,438)
Changes in contract liabilities for the three months ended June 30, 2026 were as follows:
Contract liabilities, at March 31, 2026$241,412 
Contract liabilities assumed at acquisitions75,790 
Customer advances received or billed, net75,314 
Recognition of earned revenue(41,323)
Contract liabilities, at June 30, 2026$351,193 
Changes in contract liabilities for the six months ended June 30, 2026 were as follows:
Contract liabilities, at December 31, 2025$195,438 
Contract liabilities assumed at acquisitions76,015 
Customer advances received or billed, net206,284 
Recognition of earned revenue(126,544)
Contract liabilities, at June 30, 2026$351,193 
The revenue recognized from the contract liabilities consisted of the Company satisfying performance obligations during the normal course of business.
The net amount of revenue recognized in the aggregate from changes in the transaction price or estimated costs to complete associated with performance obligations satisfied in prior periods during the three and six months ended June 30, 2026, was an net upward adjustment to revenue of $8,089 and of $6,967, respectively. For the three and six months ended June 30, 2025, the net impact was not material.
Included in the upward adjustment for the three and six months ended June 30, 2026, the Company recorded an upward adjustment to revenue of $5,948 and $7,260 related to an individual contract, respectively. This cumulative catch-up adjustment was recorded as a result of changes in the estimated costs to complete the contract. During the three months ended June 30, 2025, the Company recorded a downward adjustment to revenue of $6,421 related to an individual contract. This cumulative catch-up adjustment resulted from a change in the estimated costs to complete the contract.
In February 2022, the Company entered into a procurement agreement with MDA Corporation to design and manufacture of 17 spacecraft buses (the “MDA Contract”). The Company has determined that the projected delivery dates for certain deliverables will be later than the dates originally set out under the MDA Contract. This delay is the result of a number of factors, including delays that have arisen in the Company’s supply chain. Under the terms of the MDA Contract, the customer is potentially entitled to claim liquidated damages as a result of this delivery delay. The Company is similarly entitled to claim liquidated damages against certain suppliers that have contributed to these delays. At this time, it is not possible to determine with certainty the net amount, if any, of actual liquidated damages that could ultimately be incurred.
Backlog
The Company’s backlog represents the estimated transaction prices on performance obligations to the Company’s customers for which work remains to be performed. The amount of backlog increases with new contracts or additions to existing contracts and decreases as revenue is recognized on existing contracts. Contracts are included in the amount of backlog when an enforceable agreement has been reached. Remaining backlog totaled $2,355,949 as of June 30, 2026, of which approximately 45% is expected to be recognized within 12 months, with the remaining 55% to be recognized beyond 12 months.
Concentration of Credit Risk and Significant Customers
As of June 30, 2026, the Company’s customer that accounted for 10% or more of the total accounts receivable, net, was as follows:
June 30, 2026
MDA Corporation11%
For the six months ended June 30, 2026, the Company’s customer that accounted for 10% or more of the total revenue, was:
Six Months Ended June 30, 2026
Government customer42%
Customer Financing
In connection with the signing of three separate multi-launch agreements with commercial customers, the Company entered into subordinated loan and security agreements. The commercial customers may choose to have certain milestone payments financed under the terms of the subordinated loan and security agreements. The receivables will bear no interest until the initial launch date passes, after which interest will accrue at a fixed rate of 9.5%, 10.8% or 12.6%, based on the commercial customer. Principal and interest payments will be made over 12 quarterly payments from the launch date.
In July 2025, the Company received a full payoff of $7,489 and terminated the subordinated loan and security agreement with one of the commercial customers.
As of June 30, 2026 and December 31, 2025, the Company had $9,000 and $6,750 customer financing receivable in prepaids and other current assets, respectively, and $23,150 and $16,138 customer financing receivable in other non-current assets, respectively, on the condensed consolidated balance sheets. Customer financing interest income for the three and six months ended June 30, 2026 was $656 and $1,218, respectively. Customer financing interest income for the three and six months ended June 30, 2025 was $497 and $877, respectively.