Earnings call analysis

AST SpaceMobile (ASTS) Q2 2026 Earnings Call: Key Takeaways

AST SpaceMobile reported Q2 2026 revenue of $31.5 million, driven by gateway deliveries and U.S. government contract milestones. The call focused on the company's manufacturing scale-up to six satellites per month, the expansion of its total addressable market into government and defense sectors, and the strengthening of its balance sheet. Management reiterated its full-year revenue guidance and emphasized the strategic importance of its spectrum and in-orbit technology.

About AST SpaceMobile. AST SpaceMobile, Inc. establishes and operates a satellite-based cellular broadband network designed to connect directly with standard mobile phones.

Call date

Aug 10, 2026

Sentiment score

+45 Positive

Management tone, -100 to +100

Sentiment change

+15

vs Q1 FY2026 call

Sector

Communication Services, Diversified Telecommunication Services

Next report

Not yet scheduled

View calendar

Key takeaways

Revenue for Q2 2026 was $31.5 million, more than doubling the revenue reported in Q1 2026.
The company reiterated its full-year 2026 revenue guidance of $150 million to $200 million.
AST SpaceMobile increased its revenue backlog to approximately $1.3 billion in aggregated contracted revenue.
The company is scaling satellite production to a target cadence of 6 fully assembled satellites per month.
Cash, cash equivalents, and restricted cash were over $3.7 billion pro forma, following a $1.15 billion convertible debt offering.
The company announced 3 new U.S. government contract awards with a funded near-term value of over $100 million for 2026 and 2027.

Key financial results

AST SpaceMobile reported revenue of $31.5 million for the second quarter of 2026, more than doubling Q1 revenue, driven by commercial gateway deliveries and U.S. government service milestone achievements.We achieved over $30 million in revenue during the quarter, more than doubling our Q1 revenue.
Non-GAAP adjusted operating expenses excluding adjusted cost of revenues were $95.9 million in the second quarter of 2026, compared to $79.8 million in the first quarter, driven by workforce growth, expanded production facilities, professional fees, and AI investments.Our Q2 2026 adjusted operating expenses, excluding adjusted cost of revenues, were $95.9 million compared to $79.8 million in Q1 of 2026.
Capital expenditures for the second quarter of 2026 were approximately $610 million, compared to approximately $257 million for the first quarter, primarily due to multiple launch contracts and capitalized direct materials and labor for BlueBird satellites.Our capital expenditure for the second quarter of 2026 was approximately $610 million versus approximately $257 million for the first quarter.
As of June 30, 2026, and on a pro forma basis including $1.15 billion in gross proceeds from a July convertible debt offering, cash, cash equivalents, and restricted cash exceeded $3.7 billion.our cash, cash equivalents and restricted cash as of June 30, 2026, was over $3.7 billion.

Business segment results

Commercial gateways: Commercial gateway deliveries included 13 gateways delivered to 7 customers across 5 continents during the second quarter.In Q2 specifically, we delivered against 13 gateways to 7 customers across 5 continents.
European commercial testing: Network integration and testing activities advanced across several European countries with partners including Vodafone, Orange, Telefonica, Vodafone Ukraine, and Deutsche Telekom.network integration and testing activities across several European countries with Vodafone, Orange, Telefonica, Vodafone Ukraine and Deutsche Telekom.
U.S. government: U.S. government activities drove revenue against several existing contracts and secured 3 new contract awards with funded near-term value of over $100 million total expected during 2026 and 2027.We drove revenue against several existing contracts and received 3 new contract awards.
Radar and noncommunications: Noncommunications government applications, particularly radar using government spectrum and the company's large phased arrays, represented the majority of U.S. government revenue to date.This application is a majority of our U.S. government revenue to date.

Capital allocation

The company executed a convertible debt transaction in July for $1.15 billion aggregate principal amount of 1.625% convertible senior notes due in 2034.in July, we executed a convertible debt transaction for $1.15 billion aggregate principal amount of 1.625% convertible senior notes due in 2034.
Management purchased a capped call hedge as part of the convertible debt transaction to increase the effective conversion price to $149.20 per share.we purchased a capped call hedge to increase the effective conversion price to $149.20 per share
Average capital costs, including direct materials and launch costs, for the constellation of over 90 BlueBird satellites are estimated to fall in the range of approximately $21 million to $23 million per satellite, excluding initial validation satellites.fall in the range of approximately $21 million to $23 million per satellite, excluding certain initial satellites that are used to validate performance and operations.

Industry trends and dynamics

The company is seeing a trend of large countries and regional bodies seeking owned, resilient in-orbit communications for operational control over their territory.We are seeing a trend with large countries or regional bodies looking to replicate owned in-orbit resilient communications.
Federal emergency and backup markets are expanding due to network outages in places like Spain and Australia creating political demand for action.

Competitive landscape

Management stated the company is positioned as the partner of choice for direct-to-device cellular broadband with over 60 MNO partners covering over 3 billion subscribers.our commercial ecosystem is growing with over 60 MNO partners who cover over 3 billion subscribers globally
The company highlights its spectrum portfolio, which is capable of tuning approximately 1,150 megahertz for low-band and mid-band, including roughly 100 megahertz of access in the U.S.capable of tuning approximately 1,150 megahertz for low-band and mid-band and in the future, C-band tunable spectrum globally.

Macroeconomic environment

Management noted that cost-per-satellite estimates remain subject to fluctuations based on dynamic geopolitical factors.Our cost-per-satellite estimates are subject to fluctuations based on dynamic geopolitical factors that could impact our costs.

Growth opportunities and strategies

The company unveiled plans for an additional 400,000 square feet of manufacturing and production space in Midland, Texas, bringing total global footprint to over 1 million square feet.We recently unveiled plans for an additional 400,000 square feet of manufacturing and production space in Midland, Texas
Manufacturing cadence is targeting 6 fully assembled satellites per month, aiming for approximately 45 BlueBird satellites in orbit by early 2027.
The company received a preliminary award for participation in the J-LEO project in Japan with an expected value of up to approximately $1 billion in non-dilutive, non-debt government capital.a total expected value of up to approximately USD 1 billion in non-dilutive, non-debt government capital.
Expanded total addressable market applications include radar, emergency response, Internet of Things, AI edge compute, and secure communications.

Financial guidance and outlook

Management reiterated full year 2026 revenue guidance of $150 million to $200 million, weighted towards the fourth quarter.reiterating our guidance of $150 million to $200 million
For the third quarter of 2026, adjusted operating expenses excluding adjusted cost of revenues are estimated to increase to a range of $105 million to $115 million.our adjusted operating expenses, excluding adjusted cost of revenues will increase to the range of approximately $105 million to $115 million
For the full year of 2026, adjusted OpEx excluding adjusted cost of revenues is expected to average approximately $100 million per quarter, totaling $400 million.expect adjusted OpEx, excluding adjusted cost of revenues to average approximately $100 million per quarter or $400 million total for the year.
Capital expenditures in the third quarter of 2026 are expected to be in the range of $350 million to $425 million, driven by launch payment timings.expect our capital expenditures in Q3 of 2026 to be in the range of approximately $350 million to $425 million
Management maintained the goal of approaching $1 billion of revenue in the first full year of commercial service.our expectation and our goal of reaching -- approaching $1 billion of revenue in our first year of commercial service.

Q2 2026 results

Metric	Result	Change
Revenue	$31.5 million	Increased sequentially versus Q1 2026
Non-GAAP adjusted operating expenses	$119.1 million	Increased from $91.2 million in Q1 2026
Capital expenditure	$610 million	Increased from $257 million in Q1 2026
Revenue backlog	$1.3 billion	Not stated
Pro forma cash and cash equivalents	Over $3.7 billion	Not stated

How management sounded

Positive (+45 on our -100 to +100 scale). Management expressed strong confidence in their manufacturing cadence, the expanding government backlog, and the strategic value of their spectrum and technology. Management sounded more upbeat than on 62% of the 302 calls we cover; most companies sound positive on their own calls, so the comparison says more than the label.

Read the analyst Q&A summary and guidance and outlook for this call.

What to watch before the next call

Successful launch and deployment of BlueBird satellites to meet the 45-satellite target by early 2027.
Progress on the beta service rollout with MNO partners later in 2026.
Execution of the U.S. government contract pipeline and conversion of the $1.3 billion backlog into recognized revenue.

Earlier calls

Q1 FY2026 (May 11, 2026), tone Balanced: AST SpaceMobile reported $15 million in first quarter revenue and reiterated its full year 2026 revenue guidance of $150 million to $200 million while advancing its manufacturing and satellite deployment plans.

Frequently asked questions

Did AST SpaceMobile beat earnings in Q2 2026?

The company reported revenue of $31.5 million and reiterated its full-year revenue guidance of $150 million to $200 million, noting that revenue is expected to be weighted towards the fourth quarter.

What is the status of satellite production?

AST SpaceMobile is scaling production to a target cadence of 6 fully assembled satellites per month and has over 500,000 square feet of manufacturing space, with plans to exceed 1 million square feet.

What is the company's cash position?

Following a $1.15 billion convertible debt offering in July, the company's pro forma cash, cash equivalents, and restricted cash as of June 30, 2026, was over $3.7 billion.

Sources and method

Dombey's summary of the AST SpaceMobile Q2 2026 earnings call held Aug 10, 2026, written from the call itself. Every figure on this page was checked against what was said on the call, and quoted lines are management's own words; we do not add estimates or prices. The tone score is our read of management's wording, guidance and answers. Check figures against the company's SEC filings before acting. This is research, not investment advice.

Updated Nov 9, 2026. All earnings call analyses

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