STARBASE, TEXAS / RankWire.AI / – SpaceX experienced a decline of 13.6% in its stock price on August 5, closing at $108.27. This decrease followed the company’s inaugural quarterly report since its initial public offering in June. Investors evaluated robust revenue growth alongside $18.37 billion in capital expenditures for the quarter. Spending on artificial intelligence infrastructure reached $15.83 billion, a significant rise from $749 million recorded a year earlier.
During trading, the stock dipped as low as $107.18 and ultimately finished nearly 20% below its $135 IPO valuation. SpaceX issued 638.9 million Class A shares through the offering, including the full underwriters’ option. The deal brought in approximately $85.68 billion in net proceeds. Trading started on Nasdaq on June 12, with shares later peaking at $201.80.
The company announced second-quarter revenue of $7.81 billion, marking a 92% increase from $4.07 billion a year prior. SpaceX reduced its net loss to $541 million from around $1.01 billion. Operating losses improved to $143 million from $970 million in the same period. Its adjusted EBITDA reached $3.54 billion.
AI expenditure accelerates significantly
The artificial intelligence segment generated $2.56 billion in revenue for the quarter, reflecting a 247.5% increase from $737 million. The growth was driven primarily by new AI services and infrastructure, which accounted for $1.88 billion of the increase. Advertising revenue declined by $59 million during this period. The division posted a $1.26 billion operating loss as research and development expenses rose 94.1% to $2.18 billion.
Starlink along with other connectivity offerings remained SpaceX’s largest revenue stream. Connectivity sales increased by 65.8%, reaching $4.29 billion, while operating income grew 79.4% to $1.66 billion. Subscriber growth among consumers was 101.2%, although average revenue per user dropped 22.4%. Additional revenue growth of $939 million came from government, aviation, maritime, and enterprise sectors.
Major stock release post-IPO begins
Starting August 6, up to 911.5 million employee and early investor shares are eligible for sale. This amount represents roughly 6.9% of SpaceX’s 13.18 billion total Class A and Class B shares outstanding. It surpasses the shares sold during the IPO by about 272.6 million. The company detailed the phased release schedule in its prospectus filed with the Securities and Exchange Commission.
Based on the August 5 closing price, the initial unlocked block had an approximate notional value near $98.7 billion. As of July 28, SpaceX reported holding 7.70 billion Class A shares and 5.49 billion Class B shares. At the end of June, the company held $93.52 billion in cash and $6.49 billion in marketable securities. August 6 will mark the first day when eligible shareholders can sell shares from the initial restricted group.