Several anonymous sources said that America’s most valuable startup is discussing a stock offer with a value ranging from $500 million to $750 million. SpaceX is considering offering shares at a price of about 95 USD/share.

The terms and size of the offering may change depending on the interest of both sellers and internal buyers.

The $175 billion valuation is significantly higher than the $150 billion valuation the company achieved this summer. At $175 billion, SpaceX becomes one of the 75 largest companies in the world by market capitalization, on par with T-Mobile USA ($179 billion), Nike ($177 billion) and China Mobile ($176 billion). USD).

SpaceX representatives have not yet provided a response to this issue.

Similar to Tesla, Elon Musk founded SpaceX more than 20 years ago with the ambition to revolutionize the space industry.

Currently, the empire of the world’s richest billionaire is dominating the commercial rocket industry in the US as well as building the world’s largest telecommunications-Internet satellite network.

Even the US Aeronautics and Space Administration (NASA) is currently dependent on SpaceX when there is no alternative for flights carrying astronauts to and from the International Space Station outside the ISS. Elon Musk’s launches.

SpaceX, the business has grown strongly since its early days thanks to the reputation of Elon Musk, but now that the business is in orbit and the Tesla boss’s vision is correct, the company’s valuation has increased even more. again.

Contrary to other giants, SpaceX is a private company, not listed on a major stock exchange, so it has the right to keep its financial information secret.

However, in August, WSJ obtained a separate source saying that SpaceX had $55 million in profit out of a total revenue of $1.5 billion by the end of the first quarter of 2023.

This small profit, although not large, shows that Elon Musk was completely correct when pouring money into the space business, which is still so new and receives a lot of skepticism.

During the past 2 years, SpaceX has had a net loss but the losses gradually decreased and then began to make a profit, thereby showing the development potential as well as the vision of the founder of Tesla.

The last time SpaceX publicly disclosed its financial statements was more than 6 years ago, and since then the company has always kept its business situation a secret.

The document source that WSJ consulted showed that Elon Musk’s empire spent up to 3.3 billion USD in 2021 and 5.2 billion USD in 2022.

Although spending increased, revenue also doubled to 4.6 billion USD, thereby helping the company’s loss decrease from 968 million USD in 2021 to 559 million USD last year.

The 2022 announcement shows that this business has raised $2 billion in capital from issuing bonus shares to employees, higher than $1.5 billion in 2021.

Many experts believe that SpaceX will certainly have a net loss for many years of operation because they need to pour a large amount of capital into technology development in new businesses, thereby achieving outstanding advantages in order to dominate the market. market and make profits like what Tesla did in the electric vehicle industry.

WSJ sources show that in 2021 and 2022, SpaceX spent a total of 5.4 billion USD to buy real estate, equipment and other research costs.

A large part of the cost is poured into the Starship development project, SpaceX’s branded boosters.

In April 2023, Elon Musk’s first Starship test failed when it exploded in the sky just 4 minutes after launching from the ground.

The company is currently not allowed to test any more launches until it assures authorities about the safety of the product.

In addition to Starship, Elon Musk also invested money in his world’s largest private satellite network, Starlink, and opened a factory in Texas to take advantage of budget support from the Anti-Inflation Act (IRS). of the US government.

According to WSJ, SpaceX in 2022 spent up to 3.1 billion USD on items such as labor, materials… higher than 1.6 billion USD the previous year. The company’s research costs last year were about 1.3 billion USD, an increase of 11% over the same period last year.