AST SpaceMobile Earnings Miss, Guidance Held

AST SpaceMobile earnings released on May 11 showed first-quarter results that fell short of analyst expectations and a wider loss, yet the company reaffirmed its full-year 2026 revenue guidance as it pursues manufacturing and regulatory progress.

First-Quarter Results and Financial Position

AST SpaceMobile Inc. (NASDAQ: ASTS) reported first-quarter 2026 revenue of $14.7 million, up from $0.7 million a year earlier, driven by gateway equipment sales to mobile-network operators and U.S. government services, the company said in a May 11 press release.

The company recorded a net loss attributable to common stockholders of $191.0 million, or $0.66 per share, widening from a $45.7 million loss in the year-earlier period. This reflected operating expenses of $164.1 million, including $84.1 million in engineering services and $43.7 million in general and administrative costs, plus $99.0 million in other expenses that included an induced conversion on convertible notes of about $88.7 million.

As of March 31, 2026, AST SpaceMobile held approximately $3.5 billion in cash, cash equivalents, and restricted cash. Gross capitalized property and equipment costs totaled about $1.8 billion, with accumulated depreciation of $191.0 million. Contract liabilities stood at $233 million, with remaining performance obligations near $1.2 billion.

Guidance, Satellite Loss, and Shareholder Sale

The company reaffirmed its full-year 2026 revenue guidance of $150.0 million to $200.0 million, noting that roughly half of this is supported by existing contracted backlog. It expects a quarterly revenue ramp, with first-quarter results consistent with plan.

After the quarter, AST SpaceMobile reported the loss of its Block 2 BB7 satellite in a launch failure. The company expects a second-quarter asset write-off of $155 million to $160 million, partially offset by insurance recoveries.

Rakuten Mobile completed a pre-planned sale of about 4.5 million AST SpaceMobile shares from April 27 to May 5 at prices ranging from $65.32 to $76.30 per share, generating proceeds of approximately $392.3 million. Rakuten Mobile retains roughly 15.5 million shares, representing a 5.3% stake. The sale coincided with volatile trading during that period.

The company also reported that the Federal Communications Commission authorized U.S. service. Since March, it has won three new U.S. government awards through prime contractors. AST SpaceMobile reiterated its target of about 45 satellites in orbit by the end of 2026 and said it is accelerating manufacturing, regulatory progress, commercial partnerships, and government programs.