By Dhirendra Tripathi
Investing.com – Virgin Galactic (NYSE:SPCE) shares lost more than a fifth of their value in Tuesday’s premarket following a loss that was higher than expected amid continuing uncertainty about the date of its next flight test.
Virgin shares are now down to less than a third of their year’s high of $62.7.
The company Monday said it narrowed its first quarter net loss to $130 million from $377 million in the same period last year.
On a per share basis, it lost 55 cents.
Richard Branson’s space travel company said it is working on a timeline for its next flight, pointing out to issues related to wear-and-tear of its Eve mothership.
"Following Eve's last post slide inspection, we tagged a potential wear and tear issue as requiring further evaluation and analysis to see if any additional action is necessary," Michael Moses, president of the company's space missions & safety, said, according to Reuters.
Last month, Branson and entities owned by him sold 5.58 million shares or a 2.5% stake in the company for about $150 million. They still hold a 24% stake in the company.
This followed Chairman Chamath Palihapitiya selling his remaining stake in the company in March.