Starlink Made SpaceX's Only Segment Profit While the AI Unit Took $15.8 Billion in Capital Spending -- Here's What That Does to the Stock.
One segment earned $1.7 billion last quarter -- the other two lost a combined $1.8 billion and took nearly all of the capital spending.
Overview
A company that grows revenue 92% and still loses half a billion dollars is doing two very different things at once. SpaceX (NASDAQ:SPCX) did exactly that in the second quarter.
The rocket maker booked $7.8 billion of revenue across its three businesses, up 92% from a year earlier, and still lost $541 million.
Details
The segment tables explain how. One business, the connectivity segment built around Starlink, earned a $1.66 billion operating profit. The other two, the original space business and the artificial intelligence (AI) unit, lost a combined $1.8 billion. And the AI unit absorbed $15.8 billion of the quarter's $18.4 billion in capital spending.
Source
Originally published at www.fool.com.