How will the projected $1.72 EPS for 2026 align with the 2025 revenue outlook of $250-$300 million?

The projected $1.72 EPS for Intuitive Machines (LUNR) in 2026, against a 2025 revenue outlook of $250-$300 million, initially appears to present a significant leap in profitability. This potential alignment can largely be understood by considering the impact of the acquisition of Lanteris Space Systems, which closed in January 2026.1

Here's a breakdown:

• Acquisition Impact: The 2025 revenue outlook of $250-$300 million was provided by Intuitive Machines prior to the full integration of Lanteris Space Systems.2 The acquisition was announced in November 2025, with the combined entity's revenue projected to exceed $850 million.3 This substantial increase in the revenue base for 2026, driven by the acquisition, is a critical factor in supporting a higher EPS.
• Shift to Profitability: Intuitive Machines has been working towards profitability, reporting a net income of $975 thousand in Q1 2025, a significant improvement from a net loss of $118,031 thousand in Q1 2024.4 The company also expects to achieve "positive run-rate adjusted EBITDA by the end of 2025" and "positive adjusted EBITDA in 2026."2 This operational improvement, combined with the acquired entity's contribution, is essential for translating higher revenue into positive earnings.
• Margin Expansion: In Q1 2025, LUNR expanded its gross margin to 11%, driven by efficient program execution and a strategic shift towards higher-margin service businesses.2 Continued improvement in margins, potentially bolstered by the integration of Lanteris, would further contribute to net income growth.
• EPS Calculation: With a diluted share count of approximately 107-178 million shares,4 a $1.72 EPS would require a net income in the range of roughly $184 million to $306 million. Achieving this net income on a combined revenue base exceeding $850 million implies a net profit margin of approximately 21-36%, which would represent a substantial improvement from historical figures but is plausible given the strategic acquisition and expected operational efficiencies.

In essence, the 2026 EPS projection likely reflects the anticipated financial benefits and expanded operational scale resulting from the Lanteris acquisition, which significantly alters the revenue and profitability landscape compared to the standalone 2025 outlook.

Quantify the projected revenue contribution of Lanteris Space Systems to Intuitive Machines' 2026 financials.

Comment

The acquisition of Lanteris Space Systems by Intuitive Machines, which closed in January 2026, is a pivotal factor in understanding the company's projected 2026 financials. While Intuitive Machines had an independent 2025 revenue outlook of $250-$300 million, the integration of Lanteris significantly alters the revenue landscape for 2026.1

Lanteris Space Systems reported approximately $630 million in revenue for the twelve months ended September 30, 2025.2 With this contribution, the combined entity's revenue is projected to exceed $850 million.2 This indicates that Lanteris is expected to contribute the majority of the combined company's revenue in 2026, assuming a similar run rate.

This substantial increase in the revenue base, driven by the acquisition, is critical for supporting the projected $1.72 EPS for 2026. The acquisition not only boosts top-line growth but also brings Lanteris's "double-digit Adjusted EBITDA margins" and a significant backlog of $685 million as of September 30, 2025, which can contribute to the combined entity's profitability and future revenue recognition.2 The synergy from this acquisition transforms Intuitive Machines from a lunar-focused company to a multi-domain space prime, enhancing its capabilities across design, manufacturing, delivery, and operations.3

Analyze the historical revenue growth rates of Lanteris Space Systems prior to the acquisition to project its standalone contribution to the combined 2026 revenue.