Flight Reservations Rose 124 Percent

Virgin Galactic Holdings has released its financial results for the fourth quarter and full-year ended December 31, 2019.

“Throughout 2019, we continued to achieve key milestones in our mission to open access to space in a safe, innovative and affordable way,” said George Whitesides, Chief Executive Officer of Virgin Galactic. “During the fourth quarter, we took major steps toward reaching that goal by completing our transaction with Social Capital Hedosophia and becoming publicly listed on the NYSE, as well as building operational readiness at Spaceport America in New Mexico.

"The progress we made in 2019, combined with the high level of interest from potential customers, underpin the steps we are taking toward reopening ticket sales. We are continuing to build on our strong momentum as we enter the most exciting chapter of our story to date and prepare for commercial launch.”

The report shows that the company posted a net loss of $73 million during the year, including applicable transaction costs. Other financial highlights include:

• Revenue of $529,000 for the three months ended December 31, 2019.
• Adjusted EBITDA totalled $(55) million for the three months ended December 31, 2019.
• Capital expenditures totalled $6 million for the three months ended December 31, 2019.

The company lists among its business highlights:

• Completed transaction with Social Capital Hedosophia and commenced public trading on the NYSE.
• Achieved key operational milestones at Spaceport America, including exercising our new mission control, ground operational elements and external agreements/communications that were required for flights of VMS Eve and other aircraft types.
• Transitioned a total of 70 Virgin Galactic operations personnel from Mojave, CA to New Mexico by year end, bringing our current total number of staff in New Mexico to 145, following the interior build-out of two floors at Spaceport America earlier in the year.
• Commenced construction of the third floor at Spaceport America, which will be used for astronaut training and flight preparation activities.
• Achieved critical design and build milestones on the second spaceship and achieved 50% completion of the third spaceship’s structure and systems fabrication.
• Activated key elements of rocket motor higher rate production facility.
• Continued to clear FAA Verification and Validation provisos.
• Announced strategic partnership with Boeing and $20 million investment by Boeing’s HorizonX Ventures.
• Entered into new contract with the Italian Air Force.
• Announced collaboration with Under Armour and unveiled Future Astronaut spacesuits.
• Launched Astronaut Readiness Program at Under Armour Global Headquarters in Baltimore, MD.
• Added three new Board Directors and appointed Executive Vice President, General Counsel and Secretary.
• Registrations of interest in flight reservations as of February 23, 2020, up 124% from 3,557 as of September 30, 2019.

The company also recently announced "One Small Step" initiative, an important milestone in its strategy to position the Company optimally for the re-opening of spaceflight sales. Under this program, interested online registrants will be invited to pay a refundable $1,000 deposit to secure a front-of-line position for future ticket reservations. Upon Virgin Galactic releasing its next tranche of seats for sale, "One Small Step" registrants will be offered the tickets first, allowing them to make the "One Giant Leap" to a confirmed spaceflight reservation and gain full membership to the thriving Virgin Galactic Future Astronaut Community.

(Source: Virgin Galactic news release. Image from file)

FMI: www.virgingalactic.com