Spire Global Is Speeding Up, Not Slowing Down
High risk, high reward -- that's how I would describe space stock start-up Spire Global (NYSE: SPIR) right now.
On its face, Spire's Q1 earnings report released on Wednesday night was a bit of a mess -- or rather, it would have been if this satellite company was an incumbent and not a start-up. Spire grew its Q1 revenue 86% year-over-year to $18.1 million, and accelerated its "annual recurring revenue" number by 134%. At its present pace, Spire is on track to generate nearly $82 million in sales annually. But because Spire's sales growth is speeding up, not slowing down, management believes it will be generating revenue at a rate in excess of $100 million ($101 million to $105 million) by the end of this year.
To be clear, revenue for all of 2022 won't be that high -- only $85 million to $90 million, in management's estimation. But because Spire is accelerating its rate of revenue growth with each passing quarter, its ARR will pass $100 million even before its trailing revenue reaches $90 million.
Source Fool.com
