Planet Labs PBC PL exited the second quarter of fiscal 2027 with approximately $865 million in cash, cash equivalents and short-term investments, up more than 200% year over year. This increase was driven by positive free cash flow and proceeds from capital transactions over the last year.
The company generated $68.4 million in net cash from operating activities, while free cash flow was $21.3 million for the six months ended July 31, 2026. Adjusted free cash flow (excluding nonrecurring payments related to litigation settlements) was $28.8 million. PL generated nearly $120 million from stock sales under its ATM program. This sizable liquidity position gives Planet Labs ample flexibility to accelerate investments as demand for its satellite services and AI-enabled solutions grows.
On the last earnings call, management added that it had identified more than $4 billion in satellite-services opportunities, with over 25% qualified as near-term. The company had a backlog of approximately $815 million, up about 11% year over year at the end of the fiscal second quarter. Roughly 50% of the backlog applies to the next 12 months and 70% to the next 24 months. Remaining performance obligations totaled approximately $753 million, up 9% year over year.
Planet Labs spent about $29 million in capital expenditures in the fiscal second quarter and expects fiscal 2027 capex of $100-$115 million. Management expects capex to increase in future quarters as it plans to channel spending toward manufacturing expansion in San Francisco and Berlin, supply-chain resiliency and next-generation satellite fleets.
Planet Labs PBC Price, Consensus and EPS Surprise
Planet Labs PBC price-consensus-eps-surprise-chart | Planet Labs PBC Quote
The recently opened Berlin manufacturing facility highlights how these investments are translating into additional capacity. This new 5,700-square-meter manufacturing facility will be used for building 300-kilogram, 30-cm resolution class Pelican satellites. Production is expected to begin in autumn this year, with the facility eventually capable of producing up to 60 satellites annually. The first satellite is scheduled to be completed before this year-end.
However, increasing capex and competition in the space from players such as BlackSky Technology BKSY and Satellogic SATL remains concerning.
Cash Resources of Competitors
BlackSky Technology provides real-time geospatial intelligence and global monitoring services. The company ended second-quarter 2026 with $244.1 million in cash and cash equivalents, restricted cash and short-term investments. BKSY had more than $325 million in total liquidity, following a $150 million ATM raise.
