Rocket Lab shares higher as Q3 revenue beats estimates

Investing.com -- Rocket Lab USA, Inc. (NASDAQ: RKLB) shares jumped 7.2% in after-hours trading Monday after the space launch and systems company reported better-than-expected third-quarter revenue and improved financial results.

The global launch services provider posted revenue of $155 million for the third quarter ended September 30, 2025, exceeding analyst expectations of $152.5 million and representing a 48% increase compared to the $104.8 million reported in the same period last year. The company reported a loss of -$0.03 per share, significantly narrower than the -$0.10 loss recorded in the third quarter of 2024.

Rocket Lab achieved a record GAAP gross margin of 37% during the quarter and secured 17 Electron launch contracts, which it described as "a record-breaking quarter of dedicated launch contracts" for its small launch vehicle. The company’s stock movement reflects investor optimism about these improved results.

"This past quarter we’ve once again delivered record revenue of $155m at record GAAP gross margin of 37%, and a new annual launch record is just days away," said Rocket Lab founder and CEO Sir Peter Beck. "With progress across our major space systems programs, record backlog of contracts for our launch services business, and well-timed, strategic M&A in growth areas, our momentum is strong and we’re poised to deliver long-term exciting growth."

For the fourth quarter of 2025, Rocket Lab expects revenue between $170 million and $180 million, with GAAP gross margins between 37% and 39%.

The company also announced it had closed its acquisition of electro-optical and infrared sensor maker Geost for up to $325 million in a cash-plus-equity transaction, expanding its capabilities for U.S. national security. Rocket Lab exited the quarter with over $1 billion in liquidity following its recent at-the-market offering program.

Additionally, the company updated its Neutron rocket schedule, with the vehicle expected to arrive at Rocket Lab Launch Complex 3 in the first quarter of 2026.

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