On March 21, 2024, Intuitive Machines Inc (LUNR, Financial) released its 8-K filing, detailing the company's financial performance for the fourth quarter and full year of 2023. Intuitive Machines, a pioneering space exploration, infrastructure, and services company, achieved a historic milestone by delivering NASA and commercial payloads to the Moon, marking the United States' first lunar landing in over 50 years. This accomplishment has positioned the company as a key player in the Aerospace & Defense industry, with a diversified portfolio of lunar access, orbital services, data services, and space products and infrastructure.
The company's financial results reflect both the achievements and challenges of the past year. Intuitive Machines reported a fourth-quarter revenue of $30.6 million and a full-year revenue of $79.5 million, primarily driven by contracts from NASA's Commercial Lunar Payload Services (CLPS) initiative and one month of OMES III revenue. Despite these revenues, the company faced a fourth-quarter operating loss of $(5.9) million and a full-year operating loss of $(56.2) million, largely due to increased costs associated with its ambitious growth and operational investments.
Financial Performance and Future Outlook
Intuitive Machines concluded 2023 with a significant contracted backlog of $268.6 million, nearly double the previous quarter, driven by new task orders and awards from various agencies, including the Department of Defense. This backlog is a critical indicator of the company's potential future revenue and its ability to secure and execute large-scale contracts.
The company also reported a positive gross margin in December, attributed to the revenue from OMES III and a continued focus on cost discipline. This is particularly important for a company in the Aerospace & Defense sector, where margins can be impacted by the high costs of technology development and mission execution.
Entering March 2024, Intuitive Machines boasted a cash balance of $54.6 million, the largest since its IPO, primarily due to warrant exercises from an institutional investor. This strong cash position provides the company with the financial flexibility to pursue its strategic initiatives and support ongoing operations.
Key financial details from the income statement include a net income of $4.6 million for the fourth quarter and $15.0 million for the full year. The balance sheet shows an ending cash balance of $4.5 million for the fourth quarter, with a significant increase to $54.6 million by March 1, 2024. The cash flow statement reveals a net cash used in operating activities of $(45.3) million for the year, and a free cash flow of $(75.2) million, after accounting for property and equipment purchases.
"Looking ahead, our flight-proven technology positions us well for key upcoming Artemis campaign awards. We will leverage our mission success and program execution capabilities across Defense, Energy, Civil, and International revenue channels as we continue to diversify the business," said Intuitive Machines CEO Steve Altemus.
Intuitive Machines' performance in 2023 demonstrates the company's ability to achieve significant milestones while continuing to navigate the challenges inherent in the space exploration industry. With a strong backlog and a focus on strategic growth, Intuitive Machines is well-positioned to capitalize on the expanding opportunities in lunar exploration and beyond.
For more detailed information, investors and interested parties are encouraged to join the earnings call or access the webcast replay available on the Intuitive Machines' investor website.
Explore the complete 8-K earnings release (here) from Intuitive Machines Inc for further details.
