SpaceX Posts First Quarterly Profit as AI Unit Surpasses Starlink
SpaceX reported net income of $4.4 billion for the third quarter, its first profit as a public company, with revenue rising 161% to $14.6 billion. Its Super Intelligence segment generated $7.56 billion, becoming the largest business and posting an operating profit. Capital spending reached $19.6 billion, including heavy investment in AI.
SpaceX's third-quarter results marked a sharp reversal from a year-earlier loss, with diluted earnings per share of $0.35 versus roughly $0.14 expected. Operating income turned positive at $2.79 billion, while adjusted EBITDA reached $8.81 billion. The Super Intelligence unit contributed $7.56 billion, or 51.9% of revenue, and recorded its first operating profit.
Capital outlays were $19.59 billion, equal to 134% of quarterly revenue; the AI segment alone spent $16.4 billion, 2.2 times its own sales. Starlink's consumer base reached 13.6 million, up 1.6 million, though monthly consumer ARPU fell to $69 from $83. Nine-month free cash flow was about negative $35.0 billion.
SpaceX's swing to profit and heavy AI spending could reshape expectations for publicly traded space and satellite firms, potentially drawing more capital into AI-linked infrastructure. Starlink users may see service changes as subscriber growth continues alongside lower consumer ARPU. Employees and communities tied to launch and AI operations may experience expanded demand, while large capital outlays could increase pressure on future pricing and investment decisions.