SpaceX second quarter 2026 earnings explained: segments, EPS and valuation multiples

SpaceX reported its second quarter 2026 results on August 4, 2026, its first quarterly report since its June listing. It has since reported its third quarter, on October 20, 2026, and a separate Dalsna Finance article covers those results. This article looks back at the three months ended June 30, 2026 and compares them with the first quarter. Revenue rose 66.5% from the quarter before (Dalsna Finance calculation) and the net loss narrowed to $541 million from $4,276 million. Every figure is sourced and dated, and every number worked out by us is labelled as a Dalsna Finance calculation. ^[1][2][3]

SpaceX in brief

Space Exploration Technologies Corp., better known as SpaceX, was founded in 2002. It builds and launches reusable rockets and runs Starlink, its satellite internet service. On June 15, 2026 it completed its initial public offering, selling 638,888,888 Class A shares at $135.00 each for net proceeds of $85,675 million after underwriting commissions and offering costs, according to its quarterly report. The shares began trading on June 12, 2026 on the Nasdaq Global Select Market and Nasdaq Texas under the ticker SPCX. ^[1][4]

Three businesses

In its second quarter report SpaceX had three segments. Space designs, makes and launches reusable rockets. Connectivity runs a broadband and communications network that the report says used more than 10,200 Starlink broadband and mobile satellites in low Earth orbit, serving customers in 167 countries, territories and other markets. AI covers the Grok model, AI products for consumers and businesses, the social platform X and the computing infrastructure behind them. SpaceX's later reports call this third segment Super Intelligence. ^[4][5][3]

All three segments grew from the first quarter. SpaceX said Space revenue, up 55% from the first quarter and 29% from a year earlier, was driven by more large customer launches, and it also cited a favourable customer shift against the prior year. Connectivity revenue rose 32% from the first quarter. SpaceX credited strong growth in Starlink subscribers, with consumer revenue up 16% from the first quarter, together with higher revenue from enterprise and government customers, up 63%. Starlink had 12.0 million subscribers at the end of June, 1.7 million more than at the end of March. Average revenue per Starlink user held at $66 a month. ^[1]

AI revenue more than tripled from the first quarter, up 213% as reported. SpaceX put that mainly down to AI solutions and infrastructure revenue from new cloud services agreements, together with more Grok and X subscription revenue. It said agreements signed in the quarter came to $14.1 billion of contracted sales and added $1.6 billion of AI infrastructure revenue in the second quarter. The AI segment still lost $1,257 million at the operating level, but its segment Adjusted EBITDA turned positive at $1,146 million, from a loss of $609 million in the first quarter. ^[1]

The numbers, quarter over quarter

Revenue was $7,814 million in the second quarter, up from $4,694 million in the first, a rise of 66.5% (Dalsna Finance calculation). Operating income, which is revenue minus the costs of running the business, was a loss of $143 million against a loss of $1,943 million. Net income under GAAP, the standard US accounting rules, was a loss of $541 million against a loss of $4,276 million. ^[1][2]

Profit margin is net income as a share of revenue. The loss equalled 6.9% of revenue in the second quarter, against 91.1% in the first (Dalsna Finance calculation: $541 million divided by $7,814 million, and $4,276 million divided by $4,694 million). The operating margin, which is operating income divided by revenue, was a loss equal to 1.8% of revenue against a loss equal to 41.4% of revenue. ^[1][2]

Below the operating line, the second quarter carried $629 million of interest expense, $340 million of interest income, $86 million of other expense and a $23 million tax charge, which together took the operating loss of $143 million to the net loss of $541 million. The first quarter's other expense was much larger, at $1,876 million (Dalsna Finance calculation: six months of $1,962 million less the second quarter). For the first half as a whole, the quarterly report says other income fell from a year earlier primarily because of the loss on extinguishment of debt and unrealized losses on digital assets. ^[1][4]

SpaceX also reports Adjusted EBITDA, a non GAAP measure. It starts from net income and adds back depreciation, amortization, share based pay, restructuring charges, impairments, interest and taxes, and it takes out other income and expense. It was $3,538 million in the second quarter and $1,127 million in the first. SpaceX reports no adjusted net income and no adjusted EPS, so this article uses Adjusted EBITDA as its adjusted measure and calls it by that name. Capital spending was $18,369 million in the quarter, $15,828 million of it in AI. ^[1]

Earnings per share

Earnings per share, or EPS, is profit divided by the number of shares. The diluted figure also counts shares that could be created from stock options and similar awards. SpaceX reported a loss of $0.09 per share for the second quarter, and its IPO prospectus showed a loss of $1.27 per share for the first. The first quarter loss per share is worked out on $4,947 million, more than the $4,276 million net loss, because a deemed dividend on the repurchase of preferred stock added to the loss counted against common shareholders (Dalsna Finance calculation for the difference of $671 million). ^[1][2][4]

Because SpaceX reports no adjusted EPS, the chart below shows Adjusted EBITDA per share next to EPS. It is Adjusted EBITDA divided by the 13,181,779,945 shares on the cover of the second quarter report, the same count for both quarters: $0.27 for the second quarter and $0.09 for the first (Dalsna Finance calculation). It is a different and larger measure than earnings, because it is counted before interest, taxes, depreciation, amortization and share based pay, which are real costs that come out before any profit reaches shareholders. ^[1][4]

What the market values SpaceX at

Market capitalization, or market cap, is what the stock market values the whole company at: the share price times the number of shares. SpaceX closed at $134.72 on Friday, October 30, 2026, as reported by StockAnalysis. The cover of its second quarter report lists 7,696,293,669 Class A shares and 5,485,486,276 Class B shares outstanding as of July 28, 2026, a total of 13,181,779,945. Counting both classes at the Class A price gives a market cap of about $1.78 trillion (Dalsna Finance calculation). Every multiple and share price below uses this one share count. ^[6][4]

Keep the timing in mind. The price is from more than a week after the third quarter results came out, so it reflects news that is not in this article. The earnings behind every multiple stop at June 30, 2026, and the share count is the one on the second quarter report. The multiples below are therefore a recent price set against the second quarter's numbers, not a current valuation on the latest results. ^[6][3][4]

Six valuation multiples

The price to earnings ratio, or P/E, is market cap divided by a year of earnings. It shows how many dollars the market is paying for each dollar of yearly profit. Annualised means one quarter multiplied by four. On that basis SpaceX lost $2,164 million, and a P/E cannot be read from a loss, because dividing the market cap by negative earnings gives a negative number that says nothing about how expensive the shares are. So the annualised P/E is not meaningful. ^[1][6][4]

The adjusted version divides market cap by Adjusted EBITDA instead of earnings. We call it market cap to Adjusted EBITDA rather than an adjusted P/E, because Adjusted EBITDA is not earnings. On the second quarter annualised, which is $3,538 million times 4, or $14,152 million, it is 125.5 (Dalsna Finance calculation). ^[1][6][4]

A forward P/E uses an estimate of future earnings. Leverage Shares reported on October 13, 2026 that the LSEG consensus forecast for SpaceX's 2027 EPS was $1.765 as of October 7, 2026, after the second quarter report and before the third. Multiplying $1.765 by the same 13,181,779,945 shares gives estimated earnings of about $23,266 million and a forward P/E of 76.3 (Dalsna Finance calculation on an estimate, LSEG consensus, as reported by Leverage Shares). We found no published forward estimate of Adjusted EBITDA, so there is no forward market cap to Adjusted EBITDA. ^[7][6][4]

A trailing P/E, sometimes called a historical P/E, uses the last four reported quarters, here the twelve months to June 30, 2026. Added together, SpaceX lost $8,218 million over that period (Dalsna Finance calculation), so the trailing P/E is not meaningful either. Trailing Adjusted EBITDA was $8,305 million, which gives a trailing market cap to Adjusted EBITDA of 213.8 (Dalsna Finance calculation). ^{[3][2][1][6][4]}

The last four quarters

SpaceX does not report the fourth quarter of 2025 on its own. It is worked out by subtracting the first nine months of 2025, from the third quarter 2026 release, from the full year 2025 in the IPO prospectus (Dalsna Finance calculation). The third quarter of 2025 comes from the prior year column of that same release. All four quarters were losses, and the second quarter of 2026 had the smallest loss and the largest Adjusted EBITDA of the four. ^[2][3][1]

Two base cases: the second quarter held flat for a year

Suppose revenue stayed at the second quarter's level for a full year, with no growth and no decline: $7,814 million times 4, or $31,256 million. The first base case keeps the reported net margin, a loss equal to 6.9% of revenue, which gives a loss of $2,164 million, or $0.16 per share on the cover share count. Every P/E applied to a loss gives a negative price, which means nothing, so every P/E cell in that row is not meaningful. ^[1][4]

The second base case uses the quarter's Adjusted EBITDA margin of 45.3%, which gives $14,152 million a year, or $1.07 per share. It meets only the Adjusted EBITDA multiples. This case is simply the second quarter annualised, so at the annualised market cap to Adjusted EBITDA it returns the October 30, 2026 close of $134.72 by construction. The trailing cell only shows how the price moves when the same Adjusted EBITDA is given a different multiple, and that multiple of 213.8 is high because trailing Adjusted EBITDA was small. ^{[1][6][4][2][3]}

There is no operating margin case. The second quarter's operating line was itself a loss, and the items below it, interest and other expense and a tax charge, made the net loss larger rather than lifting it. SpaceX's second quarter release did not quantify any one time benefit inside the quarter's results. ^[1]

What Elon Musk said, run through the same grid

On the August 4, 2026 earnings call, chief executive Elon Musk said SpaceX expected to reach more than $100 billion of annual recurring revenue in December 2026, repeating what chief financial officer Bret Johnsen had said. Johnsen based that figure on expected revenue in the month of December and said it included an expected contribution from Cursor. He then added that "our internal projections for reaching $1 trillion in revenue, not ARR, but revenue, have moved up from 2031 to 2030." Annual recurring revenue, or ARR, is a run rate: the pace of revenue at a point in time stretched over a year. Both figures are company projections, as reported in the call transcript produced for The Motley Fool. ^[8]

The scenarios below take each figure as a year of revenue, $100 billion and $1 trillion. Each gets a row at the second quarter's net margin and a row at its Adjusted EBITDA margin of 45.3%. The margins and the 13,181,779,945 share count are held fixed, and this arithmetic does not test whether either would hold at that size. At the net margin both rows are losses, about $6,923 million and $69,235 million, so every P/E cell is not meaningful. At the Adjusted EBITDA margin they give about $45,278 million, or $3.43 per share, and about $452,777 million, or $34.35 per share (Dalsna Finance calculation). Those rows meet only the Adjusted EBITDA multiples, since Adjusted EBITDA is not earnings. ^{[8][1][6][4][7]}

What came next

SpaceX released its third quarter results on October 20, 2026. They are covered in a separate Dalsna Finance article, which is the place to look for whether the AI segment's move to positive Adjusted EBITDA held and whether the Cursor deal closed. This article does not use any third quarter 2026 figures. ^[3][4]

The quarterly report also describes two acquisitions agreed before the end of June, one of them since completed. In June 2026 SpaceX agreed to buy Anysphere, the company behind the coding tool Cursor, for Class A shares based on an implied equity value of $60 billion. The quarterly report said SpaceX expected the deal to close in the third quarter of 2026, subject to closing conditions that include regulatory approvals. In May 2026 it also agreed to buy Mesh Optical Technologies, which makes optical devices that move data at high speed inside data centers, and the quarterly report says that deal closed on July 6, 2026. ^[4][1]

After the quarter, on the call, Johnsen said SpaceX had contracted a further $6.7 billion of cloud services revenue in the first weeks of the third quarter, over a six month period that begins ramping in October 2026, and Musk said the company expected to end 2026 with more than 2 gigawatts of compute. Both are company statements, as reported in the transcript. Among the legal matters in the quarterly report is a collective action in the Netherlands on behalf of about 7.8 million Dutch X users, which seeks damages over alleged data breaches and other alleged breaches of EU rules. At the time of the report the court had not yet ruled on whether the claimant met a Dutch financing requirement. ^[8][4]

How these figures were made: inputs come from SpaceX's second quarter release and quarterly report, its IPO prospectus and the prior year columns of its third quarter 2026 release, all on SEC EDGAR, plus the call transcript, the consensus report and the dated closing price named above. Calculations use unrounded inputs and are rounded only at the end, with multiples to one decimal and per share figures and prices to the cent. ^{[1][4][2][3][8][7][6]}