BlackSky plans new satellites for large-area mapping by 2027

HERNDON, Va. - BlackSky Technology Inc. (NYSE:BKSY), a $341 million market cap space technology company with impressive 69% gross margins, announced plans to expand its satellite constellation with new multispectral, large-area collection satellites, initially designated as AROS, according to a company press release. InvestingPro analysis suggests the stock is currently trading below its Fair Value.

The new satellites are designed to support country-scale digital mapping, navigation, maritime applications and 3D digital twin creation. They will complement BlackSky’s existing Gen-3 high-frequency monitoring capabilities with broad area search and change monitoring features.

BlackSky aims to launch the AROS satellites as early as 2027. The company stated the new system has been under development for the past two years and was a key factor in BlackSky’s recent acquisition of LeoStella.

"As legacy satellites approach end-of-life, we see a critical opportunity to address market needs—not just in performance and agility—but also in affordability and AI-readiness," said Brian O’Toole, BlackSky CEO. The company’s strategic positioning appears sound, with revenue growing at 7.05% and analysts projecting continued sales growth, according to InvestingPro data, which offers 12 additional key insights about BKSY’s growth trajectory.

The AROS satellites will feature very high-resolution multispectral collectors, low-latency delivery via optical inter-satellite links, and a proprietary data pipeline designed for analytics and AI decision support tools.

This announcement follows BlackSky’s recent successful launches of two Gen-3 satellites, which the company reported were commissioned in under 60 days.

The new satellites are intended to address upcoming gaps in the market as older large area collection satellites reach the end of their service life. BlackSky indicated the AROS system will operate as an integrated extension of its existing fleet. With current revenue of $107.4 million and a beta of 1.85, the company shows both growth potential and market sensitivity. Discover comprehensive analysis and detailed valuation metrics in the exclusive BKSY InvestingPro Research Report, part of our coverage of over 1,400 US stocks.

In other recent news, BlackSky Technology Inc. reported a strong performance for the first quarter of 2025, with a 22% increase in revenue, reaching $29.5 million. Despite an adjusted EBITDA loss of $600,000, the company maintained its full-year guidance, projecting revenue between $125 million and $142 million. BlackSky has also secured $130 million in new contracts and renewals, reflecting robust demand for its space-based intelligence solutions. Additionally, Benchmark raised its price target for BlackSky to $18.00, maintaining a "Buy" rating, citing the company’s successful deployment of its Gen-3 satellite and a 50% year-over-year increase in backlog. BlackSky’s Gen-3 satellites, which offer high-resolution 35-centimeter imaging, are part of a broader strategy to enhance geospatial intelligence services. The company recently announced the successful capture of high-resolution images by its second Gen-3 satellite, which is expected to bolster real-time intelligence capabilities. BlackSky has also signed Gen-3 early access agreements with multiple international defense sector customers, further expanding its service offerings.

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