SpaceX, AST SpaceMobile post deep losses as space race scales
Fiscal 2025 results from SpaceX and AST SpaceMobile show rapid revenue growth but severe cash burn, forcing investors to weigh massive capital requirements against long-term orbital network potential.
SpaceX and AST SpaceMobile both reported surging revenues for fiscal 2025, yet their latest financial filings underscore the staggering capital required to build space-based communication networks. The two companies are taking radically different technological paths to bridge the global digital divide, but neither is close to achieving profitability.
SpaceX generated nearly $18.7 billion in revenue during FY 2025, a 33% increase from the prior year. This top-line growth was driven by its dominant global rocket launch business and the ongoing expansion of its Starlink broadband network. As of March 31, 2026, Starlink had captured 10.3 million subscribers across 164 distinct markets.
Scaling that orbital infrastructure, however, resulted in a net loss of nearly $5 billion for the year. Free cash flow was roughly negative $14 billion, reflecting the immense capital demands of deploying satellites and developing next-generation heavy-lift rockets. While a December 2025 balance sheet showed a comfortable 1.4x current ratio, investors should note that stock-based compensation accounted for roughly 28.7% of operating cash flow, a non-cash add-back that heavily inflates reported cash generation.
AST SpaceMobile operates at a fraction of SpaceX's scale but demonstrated significant commercial traction in FY 2025. The company's revenue jumped to approximately $70.9 million, a massive increase from just $4.4 million in the prior fiscal year.
Rather than selling specialized hardware, AST SpaceMobile is building a space-based cellular network that connects standard, unmodified smartphones directly to satellites. Through revenue-sharing agreements with roughly 60 mobile network operators, including AT&T and Verizon, the company is targeting a potential subscriber base of nearly 3 billion people.
Despite this early commercial ramp-up, AST SpaceMobile remains deep in its build-out phase, posting a net loss of nearly $342 million for the period. For market participants, the choice represents a trade-off between SpaceX's vertically integrated dominance and AST SpaceMobile's carrier-partnered model. Both strategies demand a high tolerance for sustained cash burn in exchange for a position in the orbital connectivity market.
