LUNR Filings — Intuitive Machines, Inc. - FilingSpy
LUNR
Intuitive Machines, Inc.
A space infrastructure and services company that builds spacecraft, landers, and satellites, connects them through communications and data-relay networks, and operates missions for NASA and the U.S. military. Its Moon-first strategy uses NASA's Commercial Lunar Payload Services contracts to deliver cargo to the lunar surface, with four missions secured and two completed by 2025. Its subsidiary Lanteris builds commercial GEO communication satellites, with its 1300-class platform flying on dozens of operational spacecraft.
Lanteris acquisition triples revenue to $206.2M, but operating loss widens to $47.1M as IM-4 enters a loss position.
The Lanteris acquisition reshaped the quarter, but the legacy lunar business added a new loss contract. rose 310% to $206.2 million, driven by $166.7 million in product revenue from the acquired satellite manufacturer, while the IM-4 lunar mission entered a loss position with a $13.5 million charge that helped push the operating loss to $47.1 million. The company now carries a $1.76 billion and $367.4 million in cash, but the core delivery business remains unprofitable.
Key takeaways
rose 310% to $206.2 million, almost entirely from the January 2026 acquisition of satellite manufacturer Lanteris, which contributed $166.7 million in product revenue from government and commercial satellite contracts.
Service —the legacy lunar delivery and orbital services business—fell 27% to $36.7 million, as schedule delays and cost adjustments on the NSN contract, the completion of the LTV contract, and NASA's cancellation of OSAM task orders under OMES III continued to weigh on results.
Section summaries
Management's Discussion and Analysis
Revenue surged to $206.2M driven by the Lanteris acquisition, but operating loss widened to $47.1M on higher costs and G&A.
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Total increased $155.9M to $206.2M, primarily from the January 2026 Lanteris acquisition which contributed $166.7M in product revenue from commercial, national security, and civil satellite contracts.
The IM-4 lunar mission entered a loss position during the quarter, adding a $13.5 million due to cost growth and schedule extensions, while the IM-3 mission remained in a loss position.
Operating loss widened to $47.1 million from $28.6 million a year ago, as $119.3 million in Lanteris product costs and a $44.8 million increase in general and administrative expenses—including $9.2 million in higher professional services and $8.0 million in additional non-cash —more than offset the increase.
expanded to $1.76 billion, up from $213.1 million at year-end 2025, driven by $612.8 million in acquired Lanteris backlog and a new multi-satellite program award valued at over $600 million.
Cash and equivalents stood at $367.4 million at quarter-end, down from $582.6 million at year-end 2025, after $111.9 million in operating cash outflows in the first half of 2026 were partially offset by $234.6 million raised through the at-the-market program and $167.5 million from a securities purchase agreement.
What changed
The Q1 FY2026 watch item on whether IM-3 and IM-4 would accrue further contract losses was answered: IM-4 entered a loss position with a $13.5 million charge, while IM-3's accrued loss increased by approximately $2.5 million in Q1 and continued to grow.
The Q1 FY2026 watch item on conversion and showed mixed results: backlog grew to $1.76 billion on the Lanteris contribution and a new $600 million-plus award, but gross margin remained negative as legacy service contracts with unfavorable cost adjustments continued to pressure profitability.
The Q1 FY2026 watch item on cash burn materialized: operating cash outflows reached $111.9 million in the first half, and the cash balance fell to $367.4 million despite $402.1 million in combined financing inflows, indicating the burn rate accelerated.
The FY2025 watch item on financing the Lanteris acquisition was resolved: the deal closed in January 2026, and the company funded it partly through $167.5 million in net proceeds from a securities purchase agreement and $234.6 million from the ATM program.
A new acquisition was announced and completed after the quarter: the company acquired Goonhilly Earth Station Limited, a UK-based ground station and satellite communications company, on August 3, 2026, adding international operational and integration risks.
What to watch
Whether the IM-3 and IM-4 missions accrue further contract losses before their scheduled launches, and whether those launches trigger the release of the $64.6 million in .
The rate at which the $1.76 billion converts to , and whether improves as the higher-margin Lanteris product revenue scales and legacy service contracts with negative margins are completed.
Cash burn from operations relative to the $367.4 million cash balance, and whether the company draws on its undrawn $40 million or pursues additional financing given the $111.9 million in operating cash outflows in the first half.
The integration of the newly acquired Goonhilly Earth Station and the outcome of the DOJ False Claims Act investigation into Lanteris's cybersecurity compliance on federal contracts.
Service declined $13.6M to $36.7M, driven by schedule delays and unfavorable cost adjustments on the NSN contract, the completion of the LTV contract, and NASA's cancellation of OSAM task orders under OMES III.
Total cost of rose $108.1M to $170.3M, largely from $119.3M in Lanteris product costs; legacy CLPS mission costs decreased, but the IM-4 contract moved into a with a $13.5M increase in accrued contract loss.
G&A expense jumped $44.8M to $60.3M, reflecting higher employee compensation, a $9.2M increase in professional services, and $8.0M in additional non-cash , partly due to the Lanteris integration.
expanded to $1.76B as of June 30, 2026, up from $213.1M at year-end 2025, driven by $612.8M in acquired Lanteris backlog and a new multi-satellite program award valued at over $600M.
Cash used in operations was $111.9M for the first half of 2026; the company raised $234.6M via its ATM program and $167.5M from a securities purchase, ending the quarter with $367.4M in cash and equivalents.
Quantitative and Qualitative Disclosures About Market Risk
Interest rate, foreign currency, and inflation risks remain immaterial; the company holds no derivatives and carries fixed-rate convertible debt.
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Cash and equivalents of ~$379.0M are in highly liquid accounts; a hypothetical 10% relative change in interest rates would not materially impact financial statements.
The $345.0M 2.500% Convertible Notes issued in August 2025 carry a fixed rate, so no income-statement risk from rate changes, though fluctuates with stock price and market rates.
The company does not use derivative instruments to manage interest rate risk and does not invest for trading or speculative purposes.
and expenses are primarily U.S. dollar-denominated; foreign currency exposure is immaterial, and no or currency derivatives are used.
Inflation has not materially affected financial position or results to date, but sustained cost increases could lead to material losses in the future.
In the ordinary course of business, we are involved in various pending and threatened litigation matters. In the future, we may be subject to additional legal proceedings, the scope and severity of which is unknown and could adversely affect our business. In addition, from time…
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In the ordinary course of business, we are involved in various pending and threatened litigation matters. In the future, we may be subject to additional legal proceedings, the scope and severity of which is unknown and could adversely affect our business. In addition, from time to time, we may receive letters or other forms of communication asserting claims against us. The information required with respect to this item is disclosed under Note 18 - Commitments and Contingencies to our condensed consolidated financial statements in Part I, Item 1 of this Quarterly Report and is incorporated by reference to this Item 1.
Factors that could cause our actual results to differ materially from those in this report include the risk factors described in our 2025 Annual Report on Form 10-K. As of the date of this Quarterly Report, there have been no material changes to the risk factors disclosed in the…
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Factors that could cause our actual results to differ materially from those in this report include the risk factors described in our 2025 Annual Report on Form 10-K. As of the date of this Quarterly Report, there have been no material changes to the risk factors disclosed in the 2025 Annual Report on Form 10-K.
Our recent UK acquisition may expose us to additional risks associated with international operations and integration.
On August 3, 2026, we completed our acquisition of Goonhilly Earth Station Limited (“Goonhilly”), a UK-based ground station and satellite communications company. As a result of the acquisition, we are subject to additional risks associated with operating in the United Kingdom, including compliance with applicable laws and regulations, foreign currency fluctuations, and tax and other restrictions that may affect our ability to transfer or repatriate cash. We are also in the process of integrating Goonhilly into our operations and internal control environment, which may require significant management attention and resources. If we are unable to successfully integrate Goonhilly or maintain effective internal control over financial reporting, our ability to accurately and timely report our financial results could be adversely affected. In addition, any failure to comply with applicable laws or regulations could result in civil penalties, private lawsuits, or the suspension or revocation of licenses, certificates, authorizations or permits, any of which could adversely affect our business, financial condition and results of operations.