AST SpaceMobile (ASTS) Financial Analysis - FY 2024

Income Statement Performance

Revenue & Profitability:

• Revenue: $4.42M (pre-commercial, primarily equipment sales to partners)

• Gross Profit: $4.42M (100% margin - minimal COGS)

• Operating Expenses: $183.84M

• Operating Loss: -$242.76M

• Net Loss: -$300.08M

• Loss Per Share: -$1.94 (diluted)

Expense Ratios:

• R&D to Revenue: 2,767% (27.67x revenue)

• SG&A to Revenue: 1,393% (13.93x revenue)

• Stock-Based Comp: $32.04M (725% of revenue)

Balance Sheet Strength

Assets ($954.56M total):

• Cash & Equivalents: $564.99M (59% of total assets)

• Property, Plant & Equipment: $351.68M (37% - satellites, manufacturing facilities)

• Current Assets: $600.25M

• Other Assets: $2.63M

Liabilities & Equity ($954.56M total):

• Total Liabilities: $285.42M

• Stockholders' Equity: $479.12M

• Minority Interest: $190.03M

• Total Equity: $669.15M

Capital Structure:

• Total Debt: $173M

• Net Debt: -$391.99M (net cash position)

• Debt-to-Equity: 0.36x (conservative leverage)

• Current Ratio: 7.9x (exceptional liquidity)

• Working Capital: $524.3M

Cash Flow Analysis

Operating Activities:

• Operating Cash Flow: -$126.14M (cash burn from operations)

• Net Income: -$526.33M

• Add Back: D&A: $63.34M

• Add Back: Stock Comp: $32.04M

• Add Back: Other Non-Cash: $283.02M

• Working Capital Change: $21.78M

Investing Activities:

• Capital Expenditures: -$174.13M (satellite manufacturing, facilities)

• Investing Cash Flow: -$174.13M

Financing Activities:

• Equity Issuance: $551.95M (primary funding source)

• Debt Issuance: $96.25M

• Other Financing: $131.77M

• Financing Cash Flow: $779.97M

Cash Position:

• Free Cash Flow: -$300.27M (total cash burn)

• Beginning Cash: $88.1M

• Ending Cash: $567.53M

• Net Cash Increase: $479.44M

Key Financial Metrics

Valuation (as of Dec 31, 2024):

• Market Cap: $4.78B

• Enterprise Value: $4.38B (net of cash)

• Price-to-Sales: 738x (pre-revenue valuation)

• EV/Sales: 992x

• Price-to-Book: 6.8x

Efficiency & Returns:

• Return on Equity: -62%

• Return on Assets: -31%

• Asset Turnover: 0.0046x (capital intensive, pre-revenue)

• Capex/Revenue: 3,941% (39.41x)

Liquidity & Solvency:

• Current Ratio: 7.9x (very strong)

• Quick Ratio: 7.9x

• Cash Ratio: 7.43x

• Interest Coverage: -13x (not covering interest from operations)

Capital Intensity:

• Capex: $174.13M (39x revenue)

• Capex/Depreciation: 2.74x (asset base expanding rapidly)

• Capex per Share: $1.12

Runway Analysis

AST SpaceMobile exhibits the classic financial profile of a pre-commercial space infrastructure company—minimal revenue, massive cash burn, and substantial capital requirements offset by a fortress balance sheet built through equity financing. The company burned $300M in free cash flow during 2024 while raising $780M through equity and debt, ending the year with $565M in cash and a 7.9x current ratio that provides exceptional near-term liquidity.

The financial strategy is clear: aggressive investment in satellite manufacturing ($174M capex) and technology development ($122M R&D) to reach commercial deployment, funded primarily through equity dilution rather than debt. With $173M in total debt against $565M in cash, the company maintains a net cash position of $392M, giving management significant financial flexibility. However, at the current $300M annual burn rate, the existing cash provides roughly 1.9 years of runway before additional capital is required.

The $4.78B market capitalization on $4.42M in revenue (738x P/S ratio) reflects pure growth speculation on the company's ability to execute its satellite constellation deployment and convert MNO partnerships into meaningful revenue. The key financial risk is execution timing—delays in the 2025-2026 satellite launch campaign or slower-than-expected commercial ramp could necessitate dilutive capital raises before achieving cash flow breakeven, potentially pressuring the stock despite the currently strong balance sheet position.