Home / Business and Economy / Rocket Lab Soars with Record Margins and Acquisition
Rocket Lab Soars with Record Margins and Acquisition
11 Nov
Summary
- Rocket Lab beats revenue and earnings expectations
- Posts record 37% gross margin
- Secures 17 Electron launch contracts, completes $325M Geost acquisition
In the third quarter of 2025, Rocket Lab (NASDAQ: RKLB) delivered impressive financial results, beating both revenue and earnings expectations. The space launch company reported $155.08 million in revenue, surpassing the anticipated $154.78 million, and swung to a loss of $0.03 per share, better than the expected loss of $0.11.
The real standout metric, however, was Rocket Lab's record 37% gross margin, the highest in the company's history. This signals that the Electron rocket business is becoming increasingly profitable per launch, even as the company scales. Rocket Lab also secured 17 Electron launch contracts in the quarter, another record, and completed the $325 million acquisition of Geost to bolster its in-space manufacturing capabilities.
Looking ahead, Rocket Lab's medium-lift Neutron rocket is scheduled for its first launch in Q1 2026, representing the company's next growth driver as it targets larger, more lucrative satellite constellation missions. Management sounded confident but restrained in their timeline, a prudent approach worth noting.
