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Starlink has achieved breakeven cash flow

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Re: Starlink has achieved breakeven cash flow

#21

Post by next_xibalba »

dougmwne wrote: post #12

Who knows what this even means. Breakeven including launch costs? Breakeven on only satellite operation costs? Breakeven when you exclude all satellite and ground infrastructure costs? Breakeven when you exclude all costs except Elon’s ego stroking expenses?

Likely Starlink operates as a distinct business unit, having its own financial statements (income, balance sheet, and cash flow). Breakeven means that the unit didn’t lose cash (but didn’t necessarily produce positive cash). Launch costs are very likely capitalized and amortized over the useful life of the equipment that was launched. Any costs hit cash flows as soon as invoices are paid, but is not recognized all at once on the income statement.

Being cash flow positive is an extremely important milestone for a startup, but no, it doesn’t indicate profitability.

Re: Starlink has achieved breakeven cash flow

#22

Post by Waterluvian »

next_xibalba wrote: post #14
drannex wrote: post #6

I don't trust a single thing he says at this point without evidence, I just can't possibly see it as breakeven without it, which we likely won't receive as they are a private corp.

Why does it matter to you? I am fascinated by people who have such strong opinions about Musk, particularly on the negative side. The vast majority have never met him and, if they were honest, have probably been positively impacted by him (or not at all). Personally, I hope it’s true. Starlink is good for the world.

I think Starlink has colossal potential to do tremendous good in the world. That's exactly why I care so much about how much control and impact a character like Musk has. Would suck if my ISP suddenly just started sending me dank memes and poop emojis one day because the CEO got broken up with.

Re: Starlink has achieved breakeven cash flow

#23

Post by mckirk »

next_xibalba wrote: post #14
drannex wrote: post #6

I don't trust a single thing he says at this point without evidence, I just can't possibly see it as breakeven without it, which we likely won't receive as they are a private corp.

Why does it matter to you? I am fascinated by people who have such strong opinions about Musk, particularly on the negative side. The vast majority have never met him and, if they were honest, have probably been positively impacted by him (or not at all). Personally, I hope it’s true. Starlink is good for the world.

People value trustworthiness, and Musk's track record with public statements about his businesses definitely isn't the best in that regard -- though that largely concerns the utopian predictions/promises he likes to make, I suppose. Maybe statements of his about the current state of affairs are more reliable.

Re: Starlink has achieved breakeven cash flow

#24

Post by next_xibalba »

bequanna wrote: post #17
dougmwne wrote: post #12

Who knows what this even means. Breakeven including launch costs? Breakeven on only satellite operation costs? Breakeven when you exclude all satellite and ground infrastructure costs? Breakeven when you exclude all costs except Elon’s ego stroking expenses?

It says right in the description: cash flow break even. This is not the same as some fiscal year net income calculation. Edit: fixed

EBITDA is an approximation of cash flow profit. I think you mean net income.

Re: Starlink has achieved breakeven cash flow

#25

Post by not_wyoming »

next_xibalba wrote: post #14
drannex wrote: post #6

I don't trust a single thing he says at this point without evidence, I just can't possibly see it as breakeven without it, which we likely won't receive as they are a private corp.

Why does it matter to you? I am fascinated by people who have such strong opinions about Musk, particularly on the negative side. The vast majority have never met him and, if they were honest, have probably been positively impacted by him (or not at all). Personally, I hope it’s true. Starlink is good for the world.

It's possible to admire the impact of Musk's products while also scrutinizing the things he says on Twitter

Re: Starlink has achieved breakeven cash flow

#26

Post by te_chris »

goalieca wrote: post #3

I can’t understate how revolutionary this technology is for those outside of dense urban center. It has even been well utilized by Ukraine in the war and is jamming resistant.

Unless the jamming is being performed by an anxious and needy tech mogul after a phone call with a dictator.

Re: Starlink has achieved breakeven cash flow

#27

Post by cma »

rpmisms wrote: post #15
Maxion wrote: post #8

Earlier quoted context omitted.

Uhm, no? Do you think all communications satellites operate at a loss?

Edited for clarity. Something like starlink existing and being profitable was a pipe dream a decade ago.

Is cashflow break even in the middle of a 5 year lifespan profitable? It includes the ongoing depreciation of that limited lifespan I guess?

Re: Starlink has achieved breakeven cash flow

#29

Post by The_Colonel »

goalieca wrote: post #3

I can’t understate how revolutionary this technology is for those outside of dense urban center. It has even been well utilized by Ukraine in the war and is jamming resistant.

I think the military implications of Starlink/Starshield are actually the most revolutionary. The "unjammability", low latency, high throughput and the sheer amount of them (which makes it very difficult to destroy them) makes a lot of unmanned military platforms very viable. Another aspect is that it might be accessible to smaller countries which can't afford their own military satellites.

Re: Starlink has achieved breakeven cash flow

#30

Post by capableweb »

next_xibalba wrote: post #14
drannex wrote: post #6

I don't trust a single thing he says at this point without evidence, I just can't possibly see it as breakeven without it, which we likely won't receive as they are a private corp.

Why does it matter to you? I am fascinated by people who have such strong opinions about Musk, particularly on the negative side. The vast majority have never met him and, if they were honest, have probably been positively impacted by him (or not at all). Personally, I hope it’s true. Starlink is good for the world.

> The vast majority have never met him and, if they were honest, have probably been positively impacted by him (or not at all).

Why would people most probably been positively impacted by him? He seems to constantly have knee-jerk reactions to things happening around him, and his companies seems to frequently have issues with overworking employees.

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