Virgin Galactic posts a £42.84 million adjusted EBITDA loss in the first quarter

Virgin Galactic (NYSE: SPCE) released its quarterly performance results on Tuesday that recorded a £42.84 million adjusted loss (EBITDA) in the first quarter versus the year-ago figure of £44.46 million. The company boasted 400 customers at the end of the recent quarter that have made deposits for space tourism.  

Following the release of the earnings report, Virgin Galactic was reported around 9% up in extended trading on Tuesday.

Over 90% of Virgin Galactic’s employees have returned to work

The Coronavirus pandemic had pushed the company into temporarily shutting down in March. Limited operations, as per Virgin Galactic, have been resumed in April. The company further added that more than 90% of its employees that are required on-site have now returned to work. As of 1^st May, 579 of Virgin’s workers were tested for COVID-19.

CEO George Whitesides of Virgin Galactic commented on the quarterly results and said:

“The COVID-19 outbreak led to an unprecedented situation for companies and individuals across the world, but I am encouraged by the commitment displayed by our team in helping to support relief efforts while making program progress. We remain focused on our strategic goals and our path to commercial launch.”

Virgin Galactic’s 1^st annual shareholders’ meeting is scheduled for 2^nd June.

With over 400 customer deposits in the first quarter, the company secured more than £81 million in future business. On March 26^th, the company reopened sales for space tickets as it invited prospective space tourists to make an £800 fully-refundable deposit for reservation. The remaining payment, as per the company, will be paid at a later stage.

Virgin Galactic says special flights may be priced higher

Virgin Galactic has so far not announced the full price of its new ticket for a space tour. In total, the company has received 603 reservations for tickets priced between £162K to £202K. According to Whitesides, however, premium pricing for Virgin’s new ticket sales is expected to be announced later in 2020. Certain special flights, the CEO added, may cost more from £242K to £404K. The prospect of an £810K ticket is also expected.

Virgin Galactic and NASA have also signed a “Space Act Agreement”, as per the company’s announcement on Tuesday.

Including the gain in extended trading on Tuesday, the spaceflight company is currently around 50% up year to date in the stock market. At the time of writing, Virgin Galactic has a market cap of £2.81 billion.