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Planet Labs inks multi-year deal with Laconic

Published 12/02/2024, 09:13 AM
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SAN FRANCISCO - Planet Labs PBC (NYSE: PL), a $1.15 billion market cap entity in daily Earth data and insights, has secured a multi-year contract with Laconic, a pioneer in climate finance technology. The agreement, spanning three years, involves Planet supplying Laconic with its advanced Forest Carbon Monitoring services, which are crucial for assessing and trading carbon credits. According to InvestingPro data, Planet Labs maintains a strong financial position with more cash than debt on its balance sheet, supporting its ability to execute on such strategic initiatives.

Laconic's SADAR Natural Capital Monetization platform offers structured data, real-time tracking, and AI-powered verification, essential for the efficient trading of carbon securities. Through this partnership, Laconic will utilize Planet's satellite-based Forest Carbon products to provide its clients with precise forest carbon insights globally. These insights are expected to foster trusted trading confidence and enable informed decision-making within the carbon market.

Planet's Forest Carbon Monitoring product, launched recently, offers quarterly datasets of aboveground carbon, canopy height, and cover across the Earth at a 3-meter resolution, dating back to 2021. This tool is touted as the first of its kind at this scale and resolution, designed to support voluntary carbon markets, regulatory compliance, and deforestation mitigation efforts. The company's impressive gross profit margin of ~53% reflects its operational efficiency in delivering such high-value services. Notably, Planet Labs has seen remarkable market recognition, with its stock price surging over 111% in the past six months. Additionally, Planet offers a comprehensive archive of global aboveground carbon data at 30-meter resolution since 2013, useful for tracking forest changes over time.

The collaboration aims to establish a reliable, data-rich framework for the generation and trading of sovereign carbon, a financial asset produced by countries through the reduction of deforestation in rainforests. With Planet's unique Forest Carbon data and Laconic's platform and expertise, both parties anticipate contributing to new valuation methods for natural capital and fostering sustainability-focused markets.

Planet, a public benefit corporation, has been operational since 2010, founded by former NASA scientists. It boasts the largest fleet of Earth observation satellites, serving over 1,000 customers across various sectors. For investors seeking deeper insights, InvestingPro offers a comprehensive research report on Planet Labs, one of 1,400+ US stocks covered in detail, providing essential analysis for informed investment decisions. Laconic, established in 2021, is also a Public Benefit Corporation, offering environmental intelligence and data management tools to facilitate transparent carbon market activities.

This partnership is based on a press release statement and marks a significant step towards integrating cutting-edge satellite data with financial instruments to enhance the valuation of the world's forest carbon resources.

In other recent news, Planet Labs has reported a 14% year-over-year increase in Q2 2025 revenue, totaling $61.1 million. This growth was primarily driven by the Defense and Intelligence sector, which saw over 30% growth, and the Civil Government sector, with over 20% growth. Despite these positive developments, the company reported an adjusted EBITDA loss of $4.4 million for the same quarter.

Planet Labs has expanded its partnership with French tech firm Abelio, which will now have access to nearly triple the amount of agricultural data in France compared to the previous year. The company also secured several significant contracts, including one with American Crystal Sugar to enhance sugar beet monitoring, and a 12-month renewal with the Federal Police of Brazil for Amazon (NASDAQ:AMZN) Rainforest surveillance.

The company also entered a three-year agreement with the German Space Agency for Earth observation data and secured a position in the NASA Commercial SmallSat Data Acquisition Program through its subsidiary, Planet Federal. Analysts predict that Planet Labs will achieve adjusted EBITDA profitability by Q4 of the fiscal year and expect Q3 revenue to be between $61 million and $64 million. These are some of the recent developments in the company's ongoing efforts to execute its strategy and capture market opportunities.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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