0001193125-26-119957
SEC filingRevenue grew 26% to $307.7M driven by defense vertical; adjusted EBITDA turned positive to $15.5M despite warrant-driven net loss.
Planet Labs PBC is a public benefit corporation whose mission is to use space to help life on Earth, by imaging the world every day and making global change visible, accessible, and actionable. The company has designed, built, launched, and operated hundreds of satellites, collecting over 3,000 images on average for every point on Earth’s landmass, creating a non-replicable historical archive. Revenue is generated primarily through fixed price subscription and usage-based licenses to data and analytics, as well as milestone-based satellite services arrangements that include designing and manufacturing customer-owned satellites.
While Planet does not explicitly break out reporting segments, the Business description organizes operations into three offerings: Data Solutions (licensing imagery and analytics), Platform and Analytics Solutions (cloud-native platform, Planetary Variables, and AI-enabled tools), and Satellite Services (end-to-end spacecraft manufacturing and mission services for large customers). No revenue share percentages are provided for these categories in this section.
Key products include the SuperDove satellites for daily monitoring at up to 3.5-meter resolution; SkySat and Pelican satellites for high-resolution tasking (up to 50 cm GSD after processing); and Tanager hyperspectral satellite (over 400 spectral bands at 30 meters). The Planet Insights Platform (integrating former Sentinel Hub) provides a cloud-native interface. Planetary Variables are AI-derived data products that measure Earth surface phenomena.
Planet uses a direct sales organization organized by customer industry and a partner network of hundreds of solution providers, OEM platform partners, systems integrators, and GIS companies. Customers span agriculture, defense and intelligence, energy, forestry, finance, insurance, mapping, and government agencies. The company emphasizes a “one-to-many” subscription model, where data can be sold to multiple customers with low marginal cost.
Competition in Earth observation satellites includes incumbents like Airbus Defense and Space, Vantor Holdings, and Intuitive Machines, and next-generation players like BlackSky Technology, Satellogic, and CG Satellite. In data analytics, Planet competes with platforms that use geospatial data from various sources, though the company also partners with many of these providers.
Planet’s strategy rests on agile aerospace for rapid satellite deployment, a scalable one-to-many subscription business model, end-to-end satellite services, and leveraging AI/ML to create actionable insights. The company also emphasizes its public benefit purpose, aligning business growth with environmental and social impact.
As of January 31, 2026, Planet had approximately 1,000 employees (945 full-time) across 29 countries. No employees are represented by a labor union. The company offers comprehensive benefits, flexible work policies, and career development programs.
For the fiscal year ended January 31, 2026, Planet Labs PBC reported total revenue of $307.7 million, a 26% increase from $244.4 million in the prior year. The growth was primarily driven by a $64.0 million increase in the defense and intelligence vertical, reflecting strong demand from government customers and the initial ramp of satellite services agreements. Gross profit rose 23% to $172.5 million, with gross margin slightly compressing from 57% to 56% due to higher costs from solution partners and employee-related expenses tied to satellite services obligations. Operating loss improved to ($95.1 million) from ($116.1 million), a 18% reduction, as revenue growth outpaced operating expense increases. Research and development expenses grew 6% to $106.7 million due to lower government funding and higher stock-based compensation, while sales and marketing declined 6% to $72.7 million via prior-year severance savings. General and administrative costs jumped 14% to $88.1 million, largely from litigation contingency expenses. Net loss widened to ($246.9 million) from ($123.2 million) due to a $161.4 million non-cash charge from the change in fair value of warrant liabilities. Adjusted EBITDA turned positive to $15.5 million from ($10.6 million), driven by revenue growth and operational discipline.
The company operates primarily in three verticals: civil government, commercial, and defense and intelligence. The defense and intelligence vertical was the standout, contributing nearly all of the revenue increase. This was bolstered by the December 2025 multi-year, low 9-figure satellite services agreement with the Swedish Armed Forces to build and operate Pelican high-resolution satellites. Commercial and civil government segments are not separately broken out, but management notes a strategic shift toward larger customers, which led to a decline in EoP customer count from 976 to 897. Net dollar retention rate improved to 116% (118% including winbacks) from 106% (108%) due to expansions within the defense vertical. Backlog more than doubled to $900.4 million, reflecting the long-term nature of satellite services contracts, with 37% expected to be recognized within 12 months.
Management expects capital expenditures to continue increasing as they invest in next-generation Pelican and medium-resolution satellites, with CapEx as a percentage of revenue at 26% in FY26 (up from 20%). Operating expenses will likely rise as they scale R&D for new sensors and software solutions, though they anticipate leverage in general and administrative costs over time. The company highlighted plans to deepen its AI-enabled analytics, expand into new verticals (energy, infrastructure, finance), and build a platform ecosystem. While no specific financial guidance was provided, the strong backlog and positive adjusted EBITDA signal improving cash flow generation. The issuance of $460 million in 0.50% convertible notes due 2030 in September 2025 strengthens the balance sheet to fund growth. However, the non-cash warrant liability fluctuations will continue to impact reported net income.
As of January 31, 2026, Planet Labs held $229.4M in cash and cash equivalents, $410.6M in short-term investments, and $6.1M in restricted cash, for total liquidity of $640M. The company had $446.9M in convertible notes (2030 Notes with $460.0M aggregate principal), resulting in a net cash position of approximately $193M. Stockholders' equity stood at $188.4M, down from $441.3M a year earlier, primarily due to the net loss of $246.9M and the $39.6M purchase of capped call transactions. Inventory of $6.1M appeared for the first time, largely consisting of satellite raw materials and finished goods.
Planet Labs disclosed minimum purchase commitments of $67.5M for hosting services from Google through January 2028 ($34.1M in FY2027 and $33.4M in FY2028). Remaining performance obligations totaled $852.4M, with 34% expected to be recognized within 12 months and 65% within 24 months. Operating lease liabilities of $15.6M had a weighted average remaining term of 2.9 years and a discount rate of 7.6%. The company also recognized $12.5M in litigation accruals for a Delaware class action and an acquisition-related dispute.
Planet Labs issued $460.0M in aggregate principal of 2030 convertible notes during FY2026, netting $448.8M after discount. The company also purchased $39.6M in capped call transactions to reduce potential dilution. No share repurchases or dividends were declared. Capital expenditures (property, equipment, and capitalized software) totaled $81.5M, or 26.5% of revenue, up from $49.6M in FY2025. The increase reflects continued investment in satellite infrastructure.
Planet Labs operates as a single reportable segment. Revenue disaggregation by geography (revised presentation) showed: North America $132.0M (43%), Europe, Middle East & Africa $103.7M (34%), Asia Pacific & Japan $59.8M (19%), and Latin America $12.2M (4%). By customer type, Defense & Intelligence contributed $180.2M (59%), Civil Government $71.9M (23%), and Commercial $55.6M (18%). No single country aside from the U.S. ($123.9M) exceeded 10% of revenue, with notable contributions from Ukraine ($35.9M) and Japan ($38.0M).
The company has a history of operating losses, with net losses of $246.9M, $123.2M, and $140.5M for fiscal years ended January 31, 2026, 2025, and 2024, respectively, and an accumulated deficit of $1,449.9M. Revenue growth may not sustain profitability due to slowing demand, competition, or cost overruns. Customer concentration is high: two customers accounted for 13% and 12% of FY26 revenue, and one customer represented 33% of accounts receivable. The capital-intensive nature of satellite manufacturing and launches requires ongoing access to capital, and existing debt (2030 Notes) imposes servicing obligations.
Competition is intensifying from commercial entities (Airbus, BlackSky, Satellogic, etc.) and governments (U.S., EU, India, South Korea) that offer subsidized or free imagery. Low-cost satellite constellations (e.g., SpaceX, OneWeb) may lower barriers to entry. The company must continuously innovate in AI-enabled solutions and satellite services to retain market share.
Satellite failures, launch delays, and orbital debris are recurring risks. Manufacturing relies on a limited number of suppliers for critical components and launch services; tariffs and geopolitical tensions increase costs. Ground infrastructure and cloud services (third-party) are vulnerable to disruptions. Expansion of manufacturing in Germany adds regulatory and operational complexity.
A significant portion of revenue comes from U.S. and foreign government contracts, subject to termination for convenience, audits, and compliance with FAR, export controls, and anti-corruption laws. The evolving AI regulatory landscape (e.g., EU AI Act) may impose new compliance costs. Geopolitical risks include trade tensions, sanctions, and potential objections to sensitive data collection.
Cyber attacks on satellites, ground systems, and cloud infrastructure are heightened due to the geopolitical nature of the data. Intellectual property protection is critical; open source software and AI use introduce additional IP and licensing risks. Privacy regulations (e.g., GDPR, CCPA) add compliance burdens.
The company's mission-driven status as a PBC may lead to decisions that prioritize long-term goals over short-term returns, potentially attracting shareholder activism. Acquisitions (e.g., Bedrock) pose integration risks. Limited insurance coverage for satellite losses and inability to hedge all risks are also noted.
The provided document excerpt includes only the auditor's report and index, not the actual cash flow statement. Therefore, no cash flow analysis can be performed.