Planet Labs PBC Q1 FY2026 earnings call

• Generated $66.3 million in revenue, 10% YOY growth, non-GAAP gross margin 59% (up from 55% YOY), adjusted EBITDA profit $1.2 million, first quarter of positive free cash flow at $8 million. • Backlog grew to over half a billion dollars. • Sales highlights: Defense/intelligence sector grew over 20% YOY, including an eight-figure ACV expansion contract with a European defense intelligence customer. Civil government had highlights like being selected for California Air Resources Board satellite data purchase program and expansion with German government entity. Commercial sector saw a multiyear expansion with Onyx. • Product updates: Streamlined self-service purchasing for small customers, released aircraft detection analytic feed, Canada One servicing early customers, Pelican Two performing well with on-orbit experience.

Revenue for the first quarter was $66.3 million, representing approximately 10% year-over-year growth. The defense and intelligence sector revenue grew over 20% year on year during Q1. The commercial sector was flat year on year, while civil government revenue was down year on year. Regionally, revenue grew more than 30% year over year in both EMEA and Asia Pacific, while North America and Latin American revenue were down year on year. Revenue contribution by segment: Defense and intelligence saw over 20% YOY growth, commercial was flat, civil government was down, with EMEA and Asia Pacific regions showing strong growth.

• Q2 revenue expected $65M-$67M, non-GAAP gross margin 56%-57%, adjusted EBITDA loss -$4M to -$2M, CapEx $17M-$22M. • Full-year 2026 revenue expected $265M-$280M, non-GAAP gross margin 55%-57%, adjusted EBITDA loss -$12M to -$7M, CapEx $50M-$65M. • Guidance reflects improved outlook but acknowledges geopolitical and economic uncertainties.

• Geopolitical and economic uncertainties that could impact financial performance. • Budgetary constraints affecting government contracts, potentially leading to variability in usage and revenue. • Seasonality in usage patterns, such as in agriculture, which can affect revenue projections.

Q: About potential cuts to EOCL program and DOD demand?

A: Government is leaning into lower-cost solutions, and Planet fits into these priorities. Demand in DOD for solutions like MDA, but specifics on EOCL cuts are not determined yet.

Q: Growth outlook for next year?

A: Broadly unchanged, with strong backlog, sales team performance, and new contracts indicating sustained and accelerated growth.