Rocket Lab Wins $816M SDA Contract, Posts 38% Revenue Growth and $1.85B Backlog
Rocket Lab secured an $816 million Space Development Agency contract to build 18 missile-tracking spacecraft, its largest-ever award, leveraging its recent Geost acquisition. The company reported record 2025 revenue of $602 million (up 38%), Q4 revenue of $180 million (up 36%), and a backlog of $1.85 billion (up 73%).
1. SDA Contract Win and Role of Geost Acquisition
Rocket Lab secured an $816 million Space Development Agency contract to deliver 18 Tranche 3 Tracking Layer spacecraft equipped with missile warning and defense sensors, its largest single award, with management highlighting the Geost acquisition as pivotal in vertically integrating payload production.
2. Record Financial Results and Backlog Growth
In 2025 Rocket Lab achieved record annual revenue of $602 million (up 38%) and Q4 revenue of $180 million (up 36%), delivered GAAP gross margin of 38% and non-GAAP margin of 44%, and closed the quarter with a backlog of $1.85 billion, up 73% year-over-year.
3. Launch Services Manifest and Hypersonic Progress
Management added over 30 new launches to its 2025 manifest across Electron and HASTE vehicles, executed three successful HASTE missions, signed multi-launch agreements including four missions for BlackSky, and achieved a record 21 launches, positioning the company as a leader in dedicated small launch services.
4. Neutron Development Update and Timeline Revision
An analysis of a January hydrostatic test failure on the Neutron stage one tank identified a manufacturing defect, prompting a shift of the first launch into Q4 2026 and adoption of automated fiber placement along with design enhancements to bolster structural margins and reliability.