Planet Labs (PL) stock took off on Friday after the Earth-imaging company reported record revenue on the back of strong demand for satellite services. Shares of the San Francisco-based company rose 25% in midday trading.
Will Marshall, Planet’s CEO, called 2026 a “transformational year” for the company, adding that Planet ended the year with a $900 million backlog, representing 79% growth over the previous year.
Planet builds and operates a fleet of satellites that monitor Earth daily for a range of uses, from gathering military intelligence and building agricultural maps to tracking wildfire risk for utilities and conducting climate research. Marshall, a former NASA scientist, started the company in 2011 with peers Robbie Schingler and Chris Boshuizen.
In the fourth quarter, revenue of $86 million topped Wall Street’s estimates of $78 million. The company broke even on adjusted earnings per share, compared to a $0.05 loss per share the Street expected, according to consensus estimates from S&P Global Market Intelligence.
For the year ahead, Planet forecast revenue of $415 million to $440 million and an adjusted EBITDA profit of approximately $0 and $10 million. The company said it plans to spend $80 million to $95 million on capital investments.
“We’re leaning in and investing in the huge market opportunity in front of us,” Marshall said. “Just as satellite services were transformative last year, we expect AI to be transformative this year, enabling us to unlock massive markets even faster. In all, we’re playing to win.”