SpaceX posts $4.4 billion quarterly profit as revenue jumps 161%

SpaceX reported a $4.4 billion quarterly profit on Tuesday, reversing a year-ago loss, as revenue surged 161% to $14.6 billion, driven by its satellite communications and artificial intelligence businesses. CEO Elon Musk hinted at a potential merger with Tesla, though he downplayed the likelihood of an imminent deal. The AI business became SpaceX's largest revenue source in the third quarter, while Starlink remained the top profit generator, with shares rising 7.5% in after-hours trading. Musk also outlined plans for next month's Starship launch, aiming to recover both booster and ship with mechanical arms, a key step toward full reusability. SpaceX faces scrutiny over federal contracts and political controversies, including reported slowdowns of military satellite services for Ukraine. The company's capital expenditures nearly tripled to $19.6 billion last quarter, with forecasts of $35-40 billion in the current quarter, as shares closed at $147.79, down from their post-IPO peak.