Virgin Galactic Holdings, Inc
For the period ended Mar 31, 2026. Filed May 14, 2026.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Mar 31, 2026 · Filed May 14, 2026
SPCE$2.77+16.4%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-09-30; filed 2025-11-13.
0001706946-25-000150
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-03-31; filed 2026-05-14.
0001706946-26-000068
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 74 previous paragraphs and 79 current paragraphs.
35 unchanged; 20 reworded; 24 added; 19 removed; 0 previous and 0 current paragraphs rearranged.
Tables are not compared: 5 previous and 5 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (24)
Current report
On April 23, 2026, the parties executed a stipulation of settlement to resolve the derivative matters captioned In re Virgin Galactic Holdings, Inc. Derivative Litigation (“Consolidated Derivative Action”) and St. Jean v. Branson et al. (“St. Jean Action”) that are pending against the Company. The settlement, if approved, will resolve all claims pending in the Consolidated Derivative Action and the St. Jean Action, and will also release all claims that were or could have been asserted on behalf of the Company, derivatively, by plaintiffs or any of the Company’s stockholders that are related to or based upon any of the allegations in the Consolidated Derivative Action and the St. Jean Action. If the settlement is approved by the court, it will result in the adoption of certain corporate reforms and a monetary payment of $2.75 million by the Company’s insurers to the Company, half of which the Company will retain. See Note 14 to our condensed consolidated financial statements included elsewhere in this Quarterly Report on Form 10-Q for additional information.
Current report
As of March 31, 2026, we have reservations for spaceflights for approximately 650 future astronauts, which represent approximately$186 million in expected future spaceflight revenue upon completion of the spaceflights. We have recently opened ticket sales for a limited tranche of 50 spaceflight reservations at a higher price of $750,000 per seat.
Current report
Available Capacity and Annual Flight Rate
Current report
In 2023, we commenced our commercial operations with VSS Unity and VMS Eve, which together comprised our initial commercial spaceflight system. Our annual flight rate was constrained by the availability and capacity of this commercial spaceflight system. To expand capacity, we developed and are assembling our next-generation spaceships. These spaceships are expected to dramatically increase our annual flight rate. With our first two next-generation spaceships, we expect to ramp to a targeted rate of 125 commercial space missions per year.
Current report
Spaceline operations expense increased from $20.8 million for the three months ended March 31, 2025 to $29.6 million for the three months ended March 31, 2026. The increase is attributable to the completion of the development phase of our next-generation spaceflight vehicles and moving primarily into manufacturing and testing operations, which resulted in a $6.9 million increase in cash compensation and other employee benefit costs and a $1.7 million increase in materials, sub-contractor and contract labor costs.
Current report
Research and development expenses decreased from $33.3 million for the three months ended March 31, 2025 to $6.7 million for the three months ended March 31, 2026. The decrease is attributable to the completion of the development phase of our next-generation spaceflight vehicles, which resulted in a $23.3 million decrease in materials, sub-contractor and contract labor costs and a $2.8 million decrease in cash compensation and other employee benefit costs.
Current report
During April 2026, we sold 18.1 million shares of common stock under the 2024 ATM Program and generated $51.6 million in gross proceeds, before deducting $1.4 million in commissions and other expenses.
Current report
2025 Capital Realignment Transactions
Current report
In December 2025, we completed privately negotiated repurchase agreements (the “2027 Notes Repurchase Agreements”) with a limited number of holders of our 2027 Notes, pursuant to which we repurchased $354.6 million in aggregate principal amount of our 2027 Notes (the “Repurchases”) with cash proceeds received from the Registered Offering (as defined below) and the Private Placement (as defined below).
Current report
Concurrently with the Repurchases, we completed the issuance and sale for cash in a registered direct offering, pursuant to separate, privately negotiated subscription agreements with certain investors, of (i) 2.2 million shares of our common stock, and (ii) pre-funded warrants (the “Pre-Funded Warrants”) to purchase 8.4 million shares of our common stock (collectively, the “Registered Offering”). In connection with the Registered Offering, we received cash proceeds of $45.6 million.
Current report
As of March 31, 2026, all Pre-Funded Warrants had been exercised and 8.4 million shares of common stock had been issued in connection with the exercise of the Pre-Funded Warrants.
Current report
Concurrently with the Registered Offering, we issued and sold for cash, in a private placement, (i) $212.5 million aggregate principal amount of our 2028 Notes and (ii) warrants to purchase 31.7 million shares of our common stock (the “Purchase Warrants”), with an exercise price equal to $6.696 per share. The Purchase Warrants are exercisable at any time on or after June 18, 2026 until December 18, 2030. The Purchase Warrants are exercisable only for cash and are subject to appropriate adjustment in the event of cash or share dividends, share splits, share repurchases, reorganizations or similar events affecting our common stock.
Current report
We are currently in the pre-commercial service phase and accordingly have no spaceflight revenue. We expect to generate revenue from our spaceflight program once commercial service begins. We currently expect the flight test program of our next-generation spaceships to commence in the third quarter of 2026, followed by our first commercial spaceflight which is expected to occur in the fourth quarter of 2026. Before recognizing revenue for commercial spaceflights, we expect to receive cash payments in connection with spaceflights after we deliver the conditions of carriage to customers and receive customer executed informed consents.
Current report
We have recently used significant cash for operating activities and capital expenditures primarily related to the development of our next-generation spaceships and expect to continue to incur significant operating expenses and capital expenditures to complete the production of these spaceships and place them into commercial operation. We expect our future expenditures to continue to decrease in connection with our ongoing activities in the near term, particularly since we have completed investments in tooling to produce our spaceships and expect to complete the assembly of our initial next-generation spaceship ahead of its flight test program, which is expected to commence in the third quarter of 2026. As we move into commercial operations with our first commercial spaceflight expected in the fourth quarter of 2026, we expect increases in cash receipts and expenditures as we ramp and operate our spaceline commercial business.
Current report
Our plans to fund our operations for the next twelve months include implementing some or all of the following initiatives:
Current report
•Commencing commercial service in the fourth quarter of 2026, as currently planned.
Current report
•Generating significant cash from the current backlog of future astronauts as their final payments become due in advance of their spaceflight.
Current report
•Offering the sale of a limited number of early spaceflights at a premium to historical prices.
Current report
•Increasing cash on hand through additional debt or equity financing, including use of our existing “at-the-market” equity offering program.
Current report
•Partnering with third parties to fund and accelerate the pace of future space vehicle development.
Current report
•Settling debt through the issuance of equity and/or extending maturities of certain debt payments that are due within the period.
Current report
The plans discussed above are subject to market conditions and, while we intend to apply our best efforts to the execution of these plans, they are not fully within our control. As a result, it is uncertain whether we will have sufficient cash and marketable securities to maintain our planned operations for the next twelve months following the issuance date of the condensed consolidated financial statements and we have concluded that there are conditions present in the aggregate that raise substantial doubt about our ability to continue as a going concern.
Current report
There are significant risks and uncertainties associated with our planned operations and there is no assurance that our future plans will be successful or, if successful, will be sufficient to fully fund our planned operations. For more information regarding our risks and uncertainties, see Part I, Item 1A. of our Annual Report on Form 10-K titled “Risk Factors.”
Current report
On April 30, 2026, we issued a notice of redemption to redeem up to $10 million of the 2028 Notes, plus accrued and unpaid interest thereon, on May 18, 2026. Pursuant to the indenture governing the 2028 Notes (as amended by the supplemental indenture), the redemption price will be paid by issuing shares of our common stock to the holders of the 2028 Notes. The amount of 2028 Notes redeemed and the number of shares issued will be determined based on the volume-weighted average price of our common stock over the ten-day observation period, as specified in the indenture. In the event the volume-weighted average price of our common stock on any day during the ten-day observation period is less than the floor price as set forth in the indenture, we have elected to not redeem the related amount of 2028 Notes.
Removed paragraphs (19)
Previous report
On July 18, 2025, plaintiffs and defendants executed a Memorandum of Understanding outlining the terms of a settlement to resolve all claims in the putative class action complaint filed against us in the action entitled Lavin v. Virgin Galactic Holdings, Inc. (“Lavin Action”). See Note 12 to our condensed consolidated financial statements included elsewhere in this Quarterly Report on Form 10-Q for additional information. We have reached a preliminary settlement and are awaiting final approval of the settlement by the Court. We expect to make all payments in connection with the settlement in early 2026.
Previous report
We have already received significant interest from potential astronauts. Going forward, we expect the size of our backlog and the number of astronauts that have flown to space on our spaceflight system to be an important indicator of our future performance. Our sales remain paused, but we expect to open tranches of sales reservations in the first quarter of 2026 as we approach the start of commercial service. As of September 30, 2025, we have reservations for spaceflights for approximately 675 future astronauts, which represent approximately$189 million in expected future spaceflight revenue upon completion of the spaceflights.
Previous report
Spaceline operations expense decreased from $19.9 million for the three months ended September 30, 2024 to $19.5 million for the three months ended September 30, 2025. The decrease was primarily driven by a $4.6 million decrease in cash compensation and other employee benefit costs, partially offset by a $4.4 million increase in materials and sub-contractor and contract labor costs.
Previous report
Spaceline operations expense decreased from $69.8 million for the nine months ended September 30, 2024 to $54.5 million for the nine months ended September 30, 2025. The decrease was primarily driven by a $15.9 million decrease in cash compensation and other employee benefit costs.
Previous report
Research and development expenses decreased from $23.9 million for the three months ended September 30, 2024 to $15.0 million for the three months ended September 30, 2025. The decrease was primarily driven by a $7.2 million decrease in sub-contractor and contract labor costs associated with the development of our next generation spaceflight vehicles and a $1.7 million decrease in cash compensation and other employee benefit costs.
Previous report
Research and development expenses decreased from $124.4 million for the nine months ended September 30, 2024 to $68.4 million for the nine months ended September 30, 2025. The decrease was primarily driven by a $45.8 million decrease in sub-contractor and contract labor costs associated with the development of our next generation spaceflight vehicles and a $12.1 million decrease in cash compensation and other employee benefit costs.
Previous report
Selling, general and administrative expenses decreased from $95.8 million for the nine months ended September 30, 2024 to $90.4 million for the nine months ended September 30, 2025. The decrease was primarily driven by a $6.1 million decrease in stock-based compensation and a $3.9 million decrease in professional fees. These decreases were partially offset by a $2.6 million increase in cash compensation and other employee benefit costs and a $2.4 million expense associated with the settlement of the Lavin Action.
Previous report
Funding Requirements
Previous report
We expect our expenditures to fluctuate in connection with our ongoing activities, particularly as we continue to advance the development of our next-generation spaceflight system and leverage investments in capital expenditures.
Previous report
As our fleet of spaceships expands, we expect our expenditures to increase as we scale our commercial operations. Specifically, our long-term expenditures will increase as we:
Previous report
•scale up our manufacturing processes and capabilities to support expanding our fleet with additional spaceships, launch vehicles and rocket motors in connection with commercialization;
Previous report
•hire additional personnel in manufacturing operations, testing programs, maintenance operations and guest services as we increase the volume of our spaceflights; and
Previous report
•scale up required operational facilities, such as hangars and warehouses.
Previous report
We expect our arrangements with third-party providers to manufacture key subassemblies for our next-generation spaceships and for the design and manufacture of our next-generation launch vehicles will require significant capital expenditures. Certain estimated amounts in connection with third-party arrangements are subject to future negotiations and cannot be estimated with reasonable certainty.
Previous report
We believe that our current capital is adequate to sustain our operations for at least the next twelve months. Changing circumstances may cause us to consume capital significantly faster than we currently anticipate, and we may need to spend more money than currently expected because of circumstances beyond our control. While we have completed our initial commercial launch with a single spaceship, we are currently developing our next-generation spaceflight vehicles. We anticipate the costs to manufacture additional vehicles will begin to decrease as we continue to scale up our manufacturing processes and capabilities.
Previous report
In June 2023, we entered into a distribution agency agreement with Credit Suisse Securities (USA) LLC, Morgan Stanley & Co. LLC and Goldman Sachs & Co. LLC (each, an “Agent” and collectively, the “Agents”) providing for the offer and sale of up to $400 million of shares of our common stock from time to time through the Agents, acting as sales agents, or directly to one or more of the Agents, acting as principal(s), through an “at-the-market offering” program (the “2023 ATM Program”).
Previous report
In November 2024, we terminated the 2023 ATM Program, having sold a total of 12.8 million shares of common stock and generating $396.2 million in gross proceeds, before deducting $3.9 million in underwriting discounts, commissions and other expenses.
Previous report
For at least the next twelve months, we expect our principal demand for funds will be for our ongoing activities described above. We expect to meet our short-term liquidity requirements primarily through our cash, cash equivalents and marketable securities on hand. We believe we will have sufficient liquidity available to fund our business needs, commitments and contractual obligations for the next twelve months.
Previous report
The commercial launch of our spaceflight program and the anticipated expansion of our fleet have unpredictable costs and are subject to significant risks, uncertainties and contingencies, many of which are beyond our control, that may affect the timing and magnitude of these anticipated expenditures. Some of these risk and uncertainties are described in more detail in our Annual Report on Form 10-K under the heading Item 1A. “Risk Factors—Risks Related to Our Business.”
Reworded paragraphs (20)
Previous wording
We are an aerospace and space travel company offering access to space for private individuals, researchers and government agencies. Our missions include flying passengers to space, as well as flying scientific payloads and researchers to space in order to conduct experiments for scientific and educational purposes. Our operations include the design and development, manufacturing, ground and flight testing, spaceflight operation, and post-flight maintenance of our spaceflight system. Our spaceflight system was developed using our proprietary technology and processes and is focused on providing space travel experiences for private astronauts, researcher flights and professional astronaut training. We have also leveraged our knowledge and expertise in manufacturing spaceships to occasionally perform engineering services for third parties. To expand capacity, we are currently developing our next-generation spaceflight vehicles. These next-generation spaceflight vehicles, which include our Delta Class spaceships and additional launch vehicles, are expected to dramatically increase our annual flight rate. Following the completion of the non-recurring engineering work on our Delta Class spaceships, we have redeployed engineering resources to the next phase of design for our next-generation launch vehicle. In addition, we are exploring the opportunity to use a derivative model of our launch vehicle as a High-Altitude, Long-Endurance (“HALE”) aircraft, which we believe could be utilized for several types of government and research purposes.
Current wording
We are an aerospace and space travel company offering access to space for private individuals, researchers and government agencies. Our missions include flying passengers to space, as well as flying scientific payloads and researchers to space in order to conduct experiments for scientific and educational purposes. Our operations include the design and development, manufacturing, ground and flight testing, spaceflight operation and post-flight maintenance of our spaceflight system. Our spaceflight system was developed using our proprietary technology and processes and is focused on providing space travel experiences for private astronauts, researcher flights and professional astronaut training. We have also leveraged our knowledge and expertise in manufacturing spaceships to occasionally perform engineering services for third parties. To expand capacity, we are currently developing our next-generation spaceflight vehicles. These spaceflight vehicles, which include our next-generation spaceships and launch vehicles, are expected to dramatically increase our annual flight rate. Following the completion of the non-recurring engineering work on our next-generation spaceships, we have redeployed engineering resources to the next phase of design for our next-generation launch vehicle. In addition, we are exploring the opportunity to use a derivative model of our launch vehicle as a High-Altitude, Long-Endurance (“HALE”) aircraft, which we believe could be utilized for several types of government and research purposes.
Previous wording
We are continuing the development of our new Delta Class spaceships and are progressing through our build milestones. We currently expect our flight test program to commence in the third quarter of 2026 and then our first commercial spaceflight, a research flight, is expected to occur in the fourth quarter of 2026. We currently expect private astronaut spaceflights to commence six to eight weeks after our first commercial spaceflight.
Current wording
We are continuing the production of our next-generation spaceships and are progressing through our build milestones. We currently expect our flight test program to commence in the third quarter of 2026 in advance of restarting commercial service, which is expected to begin in the fourth quarter of 2026 with a research flight. We currently expect private astronaut spaceflights to commence six to eight weeks after our first commercial spaceflight.
Previous wording
We believe that our performance and future success depend on a number of factors that present significant opportunities for us but also pose risks and challenges, including those discussed below and in Part 1, Item 1A. of our Annual Report on Form 10-K titled “Risk Factors” and in Part II, Item 1A. of our Quarterly Report on Form 10-Q for the quarter ended March 31, 2025.
Current wording
We believe that our performance and future success depend on a number of factors that present significant opportunities for us but also pose risks and challenges, including those discussed below and in Part I, Item 1A. of our Annual Report on Form 10-K titled “Risk Factors.”
Previous wording
For the Three and Nine Months Ended September 30, 2025 Compared to the Three and Nine Months Ended September 30, 2024
Current wording
For the Three Months Ended March 31, 2026 Compared to the Three Months Ended March 31, 2025
Previous wording
Revenue for the three and nine months ended September 30, 2025 was primarily attributable to access fees related to our astronaut community. Revenue for the three months ended September 30, 2024 was primarily attributable to access fees related to our astronaut community. Revenue for the nine months ended September 30, 2024 was primarily attributable to revenue generated from our commercial spaceflights and access fees related to our astronaut community.
Current wording
Revenue for the three months ended March 31, 2026 and 2025 was primarily attributable to access fees related to our astronaut community.
Previous wording
Selling, general and administrative expenses decreased from $34.0 million for the three months ended September 30, 2024 to $28.0 million for the three months ended September 30, 2025. The decrease was primarily driven by a $2.9 million decrease in professional fees, a $1.9 million decrease in stock-based compensation and a $1.3 million decrease in outside services and other corporate costs.
Current wording
Selling, general and administrative expenses decreased from $30.6 million for the three months ended March 31, 2025 to $25.6 million for the three months ended March 31, 2026. The decrease was primarily driven by a $3.3 million decrease in cash compensation and other employee benefit costs and a $1.4 million decrease in professional fees.
Previous wording
Depreciation and amortization expense decreased from $4.3 million for the three months ended September 30, 2024 to $4.1 million for the three months ended September 30, 2025. The decrease was primarily due to older assets becoming fully depreciated. Depreciation and amortization expense increased from $11.3 million for the nine months ended September 30, 2024 to $12.5 million for the nine months ended September 30, 2025. The increase was primarily due to the acquisition of property, plant and equipment.
Current wording
Depreciation and amortization expense decreased from $4.2 million for the three months ended March 31, 2025 to $3.9 million for the three months ended March 31, 2026. The decrease was primarily due to older assets becoming fully depreciated.
Previous wording
Interest income decreased from $10.4 million for the three months ended September 30, 2024 to $5.0 million for the three months ended September 30, 2025. Interest income decreased from $33.8 million for the nine months ended September 30, 2024 to $18.0 million for the nine months ended September 30, 2025. These decreases were primarily driven by decreased average balances of marketable securities and deposits in interest-bearing accounts.
Current wording
Interest income decreased from $7.2 million for the three months ended March 31, 2025 to $2.7 million for the three months ended March 31, 2026. This decrease was primarily driven by decreased average balances of marketable securities and deposits in interest-bearing accounts.
Previous wording
Interest expense was $3.3 million and $3.2 million for the three months ended September 30, 2025 and 2024, respectively. Interest expense was $9.7 million for each of the nine months ended September 30, 2025 and 2024. Interest expense primarily consists of interest expense and amortization of debt issuance costs related to our convertible senior notes.
Current wording
Interest expense was $1.8 million and $3.2 million for the three months ended March 31, 2026 and 2025, respectively. Interest expense primarily consists of interest expense and amortization of debt issuance costs related to our 2.50% convertible senior notes due 2027 (“2027 Notes”) and 9.80% First Lien Notes due 2028 (“2028 Notes”).
Previous wording
Income tax expense was immaterial for the three and nine months ended September 30, 2025 and 2024. We have accumulated net operating losses at the U.S. federal and state levels. We maintain a full valuation allowance against our net U.S. federal and state deferred tax assets. The income tax expense is primarily related to corporate income taxes for our operations in the United Kingdom, which operates on a cost-plus arrangement.
Current wording
Income tax expense was immaterial for the three months ended March 31, 2026 and 2025. We have accumulated net operating losses at the U.S. federal and state levels. We maintain a full valuation allowance against our net U.S. federal and state deferred tax assets. The income tax expense is primarily related to corporate income taxes for our operations in the United Kingdom, which operates on a cost-plus arrangement.
Previous wording
As of September 30, 2025, we had cash, cash equivalents and restricted cash of $158.8 million and marketable securities of $264.8 million. Our principal sources of liquidity have come from sales of our common stock and offering of convertible senior notes (“2027 Notes”).
Current wording
As of March 31, 2026, we had cash, cash equivalents and restricted cash of $155.5 million and marketable securities of $95.1 million. Our principal sources of liquidity have come from sales of our common stock and offering of our 2027 Notes.
Previous wording
Net cash used in operating activities was $271.7 million for the nine months ended September 30, 2024, and consisted primarily of $270.3 million of net losses, adjusted for non-cash items, which primarily included stock-based compensation expense of $24.0 million and depreciation and amortization expense of $11.3 million, partially offset by $14.0 million of accretion of marketable securities purchased at a discount and $25.0 million of net changes in operating assets and liabilities.
Current wording
Net cash used in operating activities was $53.5 million for the three months ended March 31, 2026, and consisted primarily of $64.7 million of net losses, adjusted for non-cash items, which primarily included stock-based compensation expense of $4.1 million and depreciation and amortization expense of $3.9 million, partially offset by $3.1 million of net changes in operating assets and liabilities.
Previous wording
Net cash used in operating activities was $187.7 million for the nine months ended September 30, 2025, and consisted primarily of $216.2 million of net losses, adjusted for non-cash items, which primarily included stock-based compensation expense of $14.3 million and depreciation and amortization expense of $12.5 million, partially offset by $5.4 million of accretion of marketable securities purchased at a discount and $5.4 million of net changes in operating assets and liabilities.
Current wording
Net cash used in operating activities was $75.9 million for the three months ended March 31, 2025, and consisted primarily of $84.5 million of net losses, adjusted for non-cash items, which primarily included stock-based compensation expense of $4.8 million and depreciation and amortization expense of $4.2 million, partially offset by $2.2 million of accretion of marketable securities purchased at a discount and $1.2 million of net changes in operating assets and liabilities.
Previous wording
Net cash provided by investing activities was $29.9 million for the nine months ended September 30, 2025, and consisted primarily of $492.5 million in proceeds from maturities and calls of marketable securities, partially offset by $306.8 million in purchases of marketable securities and $155.9 million in capital expenditures.
Current wording
Net cash provided by investing activities was $27.8 million for the three months ended March 31, 2026, and consisted primarily of $101.1 million in proceeds from maturities and calls of marketable securities, partially offset by $39.8 million in capital expenditures and $33.5 million in purchases of marketable securities.
Previous wording
Net cash provided by investing activities was $116.4 million for the nine months ended September 30, 2024, and consisted primarily of $729.4 million in proceeds from maturities and calls of marketable securities, partially offset by $527.4 million in purchases of marketable securities and $86.1 million in capital expenditures.
Current wording
Net cash provided by investing activities was $7.5 million for the three months ended March 31, 2025, and consisted primarily of $158.1 million in proceeds from maturities and calls of marketable securities, partially offset by $104.6 million in purchases of marketable securities and $46.0 million in capital expenditures.
Previous wording
Net cash provided by financing activities was $106.3 million for the nine months ended September 30, 2024, and consisted primarily of net cash proceeds from the sale and issuance of common stock pursuant to our at-the-market offering program.
Current wording
Net cash provided by financing activities was $5.5 million for the three months ended March 31, 2026, and consisted primarily of $10.7 million in net cash proceeds from the sale and issuance of common stock pursuant to our at-the-market offering program, partially offset by $5.0 million of payments of long-term debt.
Previous wording
Net cash provided by financing activities was $105.7 million for the nine months ended September 30, 2025, and consisted primarily of net cash proceeds from the sale and issuance of common stock pursuant to our at-the-market offering program.
Current wording
Net cash provided by financing activities was $29.7 million for the three months ended March 31, 2025, and consisted primarily of net cash proceeds from the sale and issuance of common stock pursuant to our at-the-market offering program.
Previous wording
During the nine months ended September 30, 2025, we sold 30.0 million shares of common stock under the 2024 ATM Program and generated $109.2 million in gross proceeds, before deducting $3.2 million in underwriting discounts, commissions and other expenses.
Current wording
During the three months ended March 31, 2026, we sold 4.0 million shares of common stock under the 2024 ATM Program and generated $11.0 million in gross proceeds, before deducting $0.3 million in commissions and other expenses.
Previous wording
As of September 30, 2025, we had sold a total of 34.1 million shares of common stock under the 2024 ATM Program, generating $138.3 million in gross proceeds since its inception, before deducting $4.1 million in underwriting discounts, commissions and other expenses.
Current wording
As of March 31, 2026, we had sold a total of 41.6 million shares of common stock under the 2024 ATM Program, generating $161.7 million in gross proceeds since its inception, before deducting $4.7 million in commissions and other expenses.
Previous wording
Beyond the next twelve months, our principal demand for funds will be to sustain our operations, operate our spaceline at Spaceport America in New Mexico, and expand our fleet of spaceships, launch vehicles, and supporting facilities. We expect to generate revenue from our spaceflight program, which is expected to commence with spaceflights in the fourth quarter of 2026. To the extent this source of capital as well as sources of capital described above are insufficient to meet our needs, we may need to seek additional debt or equity financing.
Current wording
For at least the next twelve months, we expect our principal demand for funds will be for our ongoing operating activities described below and the repayment of (i) $30.4 million of contractual principal payments related to our 2028 Notes and (ii) $70.4 million of contractual principal payments related to our 2027 Notes. Beyond the next twelve months, our principal demand for funds will be to sustain our operations, operate our spaceline at Spaceport America in New Mexico, expand our fleet of spaceships, launch vehicles and supporting facilities, and repay outstanding debt.