Key facts
- Planet Labs reported Q1 FY2027 revenue of $94.2 million, exceeding analyst expectations.
- The company's revenue grew 42% year-over-year.
- Planet Labs raised its Q2 revenue guidance to $102 million-$107 million, above consensus.
- The Defense & Intelligence segment saw sales grow 68% due to demand for sovereign Earth observation data.
- Despite beating estimates, the stock fell 4.3% in premarket trading.
Planet Labs reported first-quarter fiscal year 2027 revenue of $94.2 million, surpassing Wall Street estimates of $90 million and marking a 42% year-over-year increase. The company also reported an adjusted EBITDA loss of $1 million, significantly better than the expected $5.3 million loss. Despite these strong results and raised second-quarter revenue guidance of $102 million–$107 million (above the $101 million consensus), the stock fell 4.3% in premarket trading to $41.66. The Defense & Intelligence segment showed robust growth, with sales increasing 68% due to demand for sovereign Earth observation data. Analysts at Needham raised their price target on Planet Labs to $53 from $40, maintaining a Buy rating, citing the strong Q1 performance and guidance beat. The stock's significant gains over the past year, reaching a valuation of approximately 33 times forward sales, suggest that profit-taking may be a factor following the positive news.