SpaceX reported $14.6 billion in third-quarter revenue, a 161% year-on-year increase that surpassed Wall Street forecasts and was driven largely by its artificial intelligence operations and the Starlink satellite-internet unit, according to quarterly financial disclosures published on Tuesday, October 20, 2026.
The aerospace giant swung to a net profit of $4.40 billion for the quarter ending in September.
It reversed a $1.1 billion loss from the same period a year earlier. Shares of the company jumped nearly 4% in after-hours trading following the earnings release, reaching about $153.30.
The company boasts a valuation of nearly $1.95 trillion following its public listing on Nasdaq earlier in the year.
AI Revenue Outpaces Starlink
The primary driver behind the massive revenue jump was the company’s artificial intelligence division, which SpaceX now refers to as Super Intelligence. That segment generated $7.56 billion during the quarter, an 830% increase from $813 million a year earlier, according to the company’s results.
For the first time, AI revenue outpaced the company’s connectivity operations.
Rather than relying solely on its own proprietary models, SpaceX generates the bulk of its AI revenue by leasing data-center computing capacity to external developers.
The division counts Anthropic, Google, and Reflection AI among its computing customers.
The Super Intelligence unit also spans the Grok chatbot, the X social media platform, and the AI coding platform Cursor, which SpaceX acquired on August 14 at an implied equity valuation of $60 billion.
The Cursor acquisition contributed $608 million in revenue between its closing date and September 30.
SpaceX increased its nameplate computing capacity to 1.7 gigawatts, up from 0.6 gigawatts a year earlier, while developing its Colossus II data center infrastructure.
The AI division spent $16.4 billion on capital expenditures during the quarter, accounting for the vast majority of the company’s total $19.6 billion in capital spending.
Despite the massive outlays, the division posted $431 million in operating income, turning around from a $1.72 billion operating loss in the same quarter last year.
Starlink Connectivity Revenue Rises to 5.25 Billion Dollars
Connectivity revenue rose 69% to $5.25 billion, up from $3.1 billion a year earlier, generating $2.37 billion in operating income.
During the earnings call, SpaceX announced $5.2 billion in revenue over the most recent quarter from its connectivity segment, which includes Starlink.
Paul Golding, senior digital infrastructure and payments analyst at Macquarie, noted that mobile carriers would be listening closely for launch timing, terrestrial build plans, and appetite for more spectrum.
Gwynne Shotwell, president, hinted during the earnings call that the company was considering building a cellular base station on the gear holding the Starlink broadband dish rather than relying on a ground-based system.
Starlink reached 13.6 million consumer subscribers by the end of September, adding 1.6 million users during the quarter, Business Insider reported.
Although subscriber growth missed the 14.2 million expected by Bloomberg analysts, the figures exclude hundreds of thousands of enterprise and aviation customers.
The company noted that 3,800 total aircraft had been outfitted with Starlink equipment by the end of September.
Aviation remains a major growth opportunity, as we’re still early in the installation phase with many of the largest carriers worldwide.
Bret Johnsen, CFO
Average monthly revenue per user declined to $69, down from $99 in 2023, as the company introduced cheaper subscription plans and expanded into developing markets.
Meanwhile, the company’s space operations — covering commercial rocket launches and government missions — grew 6% to $1.8 billion, with 12 customer launches completed during the quarter.
Capital Spending Climbs
Total capital spending reached $19.6 billion for the quarter, nearly triple the $6.9 billion recorded a year earlier.
We are in an inflection moment for SpaceX across launch, connectivity and superintelligence.
Elon Musk, Chief Executive Officer
Chief Financial Officer Brad Coffman told analysts that new computing capacity pays for itself in less than a year at current market prices.
SpaceX expects capital expenditures to range between $35 billion and $40 billion in the fourth quarter as additional data center capacity comes online.
SpaceX expects projected revenue between $33 billion and $37 billion anticipated for the first quarter of 2027.