Delivers First Quarter Revenue of $52.7 Million, up 31% Year-over-Year

Expands First Quarter GAAP Gross Margin to 53% from 41% Year-over-Year

Surpasses 900 Global Customers Spanning Government and Commercial Industries

SAN FRANCISCO — (BUSINESS WIRE) — June 8, 2023 — Planet Labs PBC (NYSE: PL) (“Planet” or the “Company”), a leading provider of daily data and insights about Earth, today announced financial results for its fiscal first quarter for the period ended April 30, 2023, that demonstrated continued growth and momentum of its unique data subscription business.

“We continue to see strong demand for our proprietary data solutions, driven by global events and the growing awareness of our capabilities,” said Will Marshall, Planet’s Co-Founder, Chief Executive Officer and Chairperson. “It’s our conviction that satellite data is one of the most valuable assets in the world. Recent advances in AI are unlocking this value faster, especially for Planet’s unique data archive. We are opening up huge markets driven by digital transformation and the sustainability transition, where our data is not just useful, but foundational.”

Ashley Johnson, Planet’s Chief Financial and Operating Officer, added, “We posted solid Q1 results in a challenging macro environment and remain focused on the path to profitability that we shared last quarter. We are prioritizing our investments behind the customers and opportunities where we see the highest returns. Our balance sheet is strong with $376 million of cash, cash equivalents and short-term investments as of the end of the quarter and no debt.”

Fiscal First Quarter 2024 Financial and Key Metric Highlights:

• First quarter revenue increased 31% year-over-year to $52.7 million.
• Percent of Recurring Annual Contract Value (ACV) for the first quarter was 93%.
• End of Period (EoP) Customer Count increased 9% year-over-year to 903 customers.
• First quarter gross margin expanded to 53%, compared to 41% in the first quarter of fiscal year 2023. First quarter Non-GAAP Gross Margin⁽¹⁾ expanded to 56%, compared to 45% in the first quarter of fiscal year 2023.
• Ended the quarter with $376.2 million in cash, cash equivalents and short-term investments.

⁽¹⁾ Please see “Planet’s Use of Non-GAAP Financial Measures” below for a discussion on how Planet calculates the non-GAAP financial measures presented herein. In addition, please find below a reconciliation to the most directly comparable U.S. GAAP financial measure

Recent Business Highlights:

Growing Customer and Partner Relationships⁽¹⁾

• Multiple Large International Customers: Planet recently closed two large multi-year deals with international customers primarily focused on Defense and Intelligence applications, one in the eight figures through a partner and one in the seven figures. Planet’s data is used to support transparency and fact-based decision-making in a world of heightened geopolitical tension.
• AXA Climate: Planet announced an extension of its partnership with France-based consultancy AXA Climate, a leading provider of consulting services, helping clients adapt to climate change and biodiversity loss. The partnership aims to offer continued satellite data-driven insights for the development of parametric insurance products.
• Syngenta: Planet closed an expansion with Syngenta, which will enable their use of PlanetScope for new applications and R&D in precision agriculture. Syngenta's existing work with Planet over the last several years has included using SkySat for monitoring corn and soy, as well as plot verification.
• UAE Space Agency: Planet announced a partnership with the United Arab Emirates (UAE) Space Agency, to build a regional satellite data-driven loss and damage atlas for climate change resilience. The initiative aims to provide our data to countries facing high degrees of climate risk so that they can better respond, make informed policy decisions, and enable financial programs for climate adaptation and mitigation.
• Dutch Paying Agency (RVO): We have closed a new deal together with our partner NEO, a Netherlands-based Geomatics & Earth Observation company, to provide the Dutch Paying Agency (RVO) with Planet Fusion as part of NEO’s Area Monitoring System. Using Planet Fusion, RVO will be able to increase the automation of their monitoring process, significantly reducing the manual processing currently required, and helping them to more easily comply with Europe’s Common Agricultural Policy (CAP).
• Welsh Government: Planet was awarded a multi-year, seven-figure contract with the Welsh Government through an Open Tender process. This contract will support their EO programme testing remote sensing techniques, in the design and implementation of the Rural Investment Schemes (RIS) and the Sustainable Farming Scheme (SFS). Through our work together, the Welsh Government has been leveraging PlanetScope, SkySat, Planet Fusion, and Sentinel-2, for sustainable agricultural policies.
• Bolivia’s Institute of National Agrarian Reform (INRA): In its largest deal in a Spanish-speaking country, with a seven-figure multi-year contract, Planet announced INRA, the Bolivian ministry for land management, is using PlanetScope and SkySat data to map the country in order to monitor for good stewardship of public lands and titling enforcement.
• Environmental Resources Management: Global sustainability consultancy ERM became a Planet partner to expand imagery use cases, applications, and reporting capabilities for the more than 20,000 sustainability related projects they consult on per year. The partnership is designed to expand their imagery use cases, applications, and reporting capabilities - helping enable decision-makers to address their operational and sustainability goals.

Combining Planet Data and Artificial Intelligence (AI)

• Synthetaic: Planet announced a partnership with AI startup Synthetaic to use their rapid AI models for object detection and classification services on top of Planet satellite data. A demonstration of their capabilities can be seen on our investor relations website at planet.com/investors under “Videos”. Planet previously worked with Synthetaic to backtrack the trajectory of a high-altitude Chinese balloon's travel across North American airspace to its origin location.
• SI Analytics: Planet announced a partnership with South Korea-based AI company SI Analytics, which uses their AI-powered technology to enhance the resolution of satellite imagery in order to more accurately analyze changes and abnormalities. SI Analytics announced plans to use satellite data to develop a North Korea Dynamic BMOA (Ballistic Missile Operation Area) Search Project with a goal to enhance global risk management and mitigate tensions in Asia and beyond.
• Queryable California with Microsoft (MSFT): Planet showcased the potential of its AI-powered “Queryable California” proof-of-concept at its Explore User Conference in April. The Queryable California demonstration is a part of Planet’s ongoing collaboration with Microsoft’s AI for Good Lab. It demonstrates how next-generation AI can make satellite data more accessible by making it searchable, conversational and context-aware.

Impact and ESG

• Inaugural ESG Report: Planet released its first ESG Report, which can be found at planet.com/esg. It outlines Planet’s vision, and lays the groundwork for Planet’s sustainability program, while highlighting some of the ways we are making progress towards a more sustainable and equitable world. We also highlight some of the ways in which Planet’s core business helps sustainability.

⁽¹⁾ Revenue recognition and timing of revenue recognition for customer and partner deals may vary depending on contractual terms.

Financial Outlook

For the second quarter of fiscal year 2024, ending July 31, 2023, Planet expects revenue to be in the range of approximately $53 million to $55 million, representing approximately 11% year-over-year growth at the midpoint. Non-GAAP Gross Margin is expected to be in the range of approximately 48% to 49%. Adjusted EBITDA loss is expected to be in the range of approximately ($20) million and ($17) million. Capital Expenditure as a Percentage of Revenue is expected to be in the range of approximately 19% to 25% for the quarter.