Momentus Inc. (MNTS)·Q2 2024 Earnings Summary

Executive Summary

• MNTS did not file a Q2 2024 10‑Q and instead furnished preliminary H1 2024 ranges: revenue $1.0–$2.0M, SG&A $10.0–$12.0M, net loss $14.0–$16.0M, and cash $1.5–$2.0M, indicating severe liquidity constraints and limited commercial traction .
• Liquidity actions dominated the quarter: $1.65M borrowed on a secured convertible note (capacity initially up to $2.3M) and a subsequent $2.75M private placement to fund operations and working capital .
• Compliance and legal overhang intensified: Nasdaq issued a delisting determination citing sub‑$1.00 bid and failure to file Q1 and Q2 10‑Qs; an indemnification judgment of $368,588 (plus interest/expenses) also needs to be satisfied .
• Strategic developments included selection into DARPA’s BRIDGES consortium (facility clearance pathway) and a robotics collaboration with Lodestar Space, potentially opening defense-classified and in‑orbit servicing opportunities longer term .

What Went Well and What Went Wrong

What Went Well

• Defense positioning advanced: Selected for DARPA BRIDGES consortium, enabling pursuit of classified work (up to TS/SCI/SAP) after clearances—management highlighted fit with Space Superiority mission and Vigoride’s attributes. “We’re honored by the opportunity to collaborate with DARPA… Our technology portfolio is well‑suited to this mission area” — CEO John Rood .
• In‑orbit robotics initiative: Entered a collaboration with Lodestar Space to integrate a robotic arm on Vigoride OSV, supporting RPOD and servicing concepts tied to UKSA‑funded development .
• Bridge financing executed: Drew $1.65M under a secured convertible note with Space Infrastructure Ventures and later arranged a $2.75M private placement to fund operations and working capital .

What Went Wrong

• Reporting and listing status deteriorated: Nasdaq delisting determination for sub‑$1 bid and failure to file 10‑Qs for Q1 and Q2 2024; trading continues pending hearing/stay, but listing risk is elevated .
• Liquidity tightness: Cash was just $1.5–$2.0M as of 6/30/24 on preliminary basis, necessitating repeated capital raises and borrowings .
• Legal obligations: A $368,588 judgment (plus interest/expenses) related to former employee indemnification must be addressed, adding pressure to limited cash resources .

Financial Results

Note: The company did not file a Q2 2024 10‑Q and provided only preliminary H1 2024 ranges; Q2‑only figures and detailed P&L/margins were not disclosed. Nasdaq cited the missed Q1 and Q2 10‑Qs in its delisting determination .

Financial snapshot (preliminary for six months ended June 30, 2024)

Liquidity and capital actions

Legal/compliance

Segment breakdown and KPIs

• Segment reporting: Not provided in the preliminary update; no segment detail disclosed in the furnished materials .
• Operational KPIs (launch count, backlog, etc.): Not disclosed in the Q2 materials reviewed .

Guidance Changes

No formal financial guidance (revenue/margins/OpEx/tax) was issued in the Q2 materials; only preliminary H1 2024 ranges were furnished pending completion of the close and delayed 10‑Q filings .

Earnings Call Themes & Trends

Note: No Q2 2024 earnings call transcript was located in our document set; Nasdaq also cited failure to file Q1 and Q2 10‑Qs, consistent with limited reporting materials .

Management Commentary

• “We’re honored by the opportunity to collaborate with DARPA to work at the classified level to increase our nation’s space superiority capabilities. We have the ability to significantly contribute to our nation’s defense and look forward to doing so. Our technology portfolio is well‑suited to this mission area, including our Vigoride Orbital Service Vehicle…” — CEO John Rood (DARPA consortium announcement) .
• On financing and operational focus: Company disclosed borrowing under the secured convertible note and referenced ongoing proposal activity with SDA and U.S. Space Force to pursue satellite bus opportunities (convertible note press release) .
• On preliminary results and process: Management emphasized that H1 2024 figures are preliminary and subject to quarter‑end closing, with 10‑Qs for Q1 and Q2 pending completion; auditors have not examined the preliminary results .

Q&A Highlights

• No Q2 2024 earnings call transcript was available in our document set, and the company had not filed Q1 and Q2 10‑Qs, limiting visibility into Q&A or detailed clarifications .

Estimates Context

• We attempted to retrieve S&P Global (Capital IQ) consensus for Q2 2024 EPS and revenue, but access was unavailable due to daily request limits at the time of query; as a result, we cannot present consensus benchmarks for vs‑estimate comparisons at this time. Values would be retrieved from S&P Global when available.*

Key Takeaways for Investors

• Reporting risk remains high: failure to file Q1/Q2 10‑Qs triggered a Nasdaq delisting determination; trading continues pending a hearing, but listing uncertainty is a key overhang .
• Liquidity is constrained but temporarily patched: preliminary 6/30/24 cash of $1.5–$2.0M necessitated $1.65M of note draws and a $2.75M private placement; near‑term runway depends on continued access to capital vs. contract conversions .
• Execution focus is shifting to defense‑adjacent opportunities: DARPA consortium selection and a robotics collaboration could expand TAM and credibility with DoD/intelligence customers if clearances and milestones are achieved .
• Legal and governance: derivative settlement proposal includes governance reforms; indemnification judgment ($368,588 plus interest/expenses) adds to cash needs .
• Limited commercial traction evident in prelims: H1 revenue range of $1.0–$2.0M versus SG&A of $10.0–$12.0M drove a $14.0–$16.0M net loss; sustainable operations require step‑change in bookings/backlog or further cost actions .
• Trading implications: headline sensitivity to filing progress (10‑Qs), Nasdaq panel outcome, and funding announcements likely dominates in the short term; defense wins/clearance milestones are medium‑term catalysts .
• What to watch next: timing of Q1/Q2 10‑Qs and any restatements, liquidity runway and additional financing terms, progress on classified clearances/contract awards, and resolution of indemnification payment .

Footnote: *Consensus estimates will be sourced from S&P Global when access is restored; current unavailability is due to S&P Global daily request limits encountered during retrieval attempts.