SpaceX shares rose 10% on October 21, 2026, after the company reported third-quarter revenue above analyst expectations and Elon Musk said both SpaceX and Tesla had formed board committees to consider a possible combination. The earnings release also showed a return to quarterly profit, led by rapid growth in artificial intelligence infrastructure and Starlink connectivity.
Key Takeaways
- Third-quarter revenue rose 161% to $14.6 billion, exceeding the $12.72 billion consensus estimate.
- Musk said board committees were considering a SpaceX-Tesla combination; no completed deal was announced.
- SpaceX forecast first-quarter 2027 revenue of $33 billion to $37 billion, above analysts’ $22.2 billion estimate.
Table of Contents
- SpaceX shares advance as revenue exceeds expectations
- Tesla combination remains under consideration
- Revenue outlook points to further expansion
- Conclusion
SpaceX shares advance as revenue exceeds expectations
SpaceX’s third-quarter results announcement showed operating income of $2.8 billion and net income of $4.4 billion for the three months ended September 30, 2026. The company had recorded a net loss of about $1.1 billion a year earlier.
Revenue growth was concentrated in Super Intelligence, the company’s renamed artificial intelligence segment. Sales reached $7.56 billion, up from $813 million a year earlier, making it SpaceX’s largest business by quarterly revenue. The company attributed the expansion to new cloud services agreements, its acquisition of Cursor and increased adoption of Grok.
Connectivity revenue increased 69% to $5.25 billion, supported by Starlink consumer subscriptions and enterprise and government demand. Chief Financial Officer Bret Johnsen said recurring Starlink revenue and the expansion of computing infrastructure were helping improve operating leverage.
| Item | Details |
|---|---|
| Starlink consumer subscribers | 13.6 million at September 30, 2026, versus 7.2 million a year earlier |
| Starlink consumer monthly revenue per user | $69 in Q3 2026, versus $83 in Q3 2025 |
| Nameplate computing capacity | 1.7 gigawatts at September 30, 2026, versus 0.6 gigawatts a year earlier |
| Space segment launches | 35 in Q3 2026, versus 44 in Q3 2025 |
Tesla combination remains under consideration
On the October 20 earnings call, Musk said the boards of both companies had established committees to discuss a potential consolidation. His comments described an exploratory process, not an agreed transaction.
“I do think there's a lot of merit to combining the companies as we are pretty much in the superintelligence singularity, and there's a lot to be gained from cooperating,” Musk said.
The potential combination adds a separate corporate development to the earnings story. The supplied announcement does not establish a transaction price, exchange ratio or completion timetable.
Revenue outlook points to further expansion
SpaceX forecast revenue of $33 billion to $37 billion for the first quarter of 2027, compared with an average analyst estimate of $22.2 billion compiled by LSEG. That range is management guidance, not revenue already earned.
The expansion also requires substantial investment. Third-quarter capital expenditure totaled $19.6 billion, including $16.4 billion in Super Intelligence. Spending on that scale distinguishes the company’s growth in sales and accounting profit from its infrastructure funding requirements.
Conclusion
The next scheduled event was Tesla’s third-quarter earnings release after the October 21 closing bell. SpaceX’s results established strong quarterly growth, while any combination with Tesla remained a separate matter under board-level consideration.
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