Virgin Galactic stock craters after commercial flights are delayed
CNN
Virgin Galactic has pushed back the start of full commercial service to the fourth quarter of next year, sending shares in the space tourism company founded by billionaire Richard Branson down sharply.
The stock was down more than 20% in premarket trading in New York after Virgin Galactic (SPCE) said it was making schedule changes that would delay a crucial test flight and the start of commercial services, which had been expected to commence late in the third quarter of 2022.
Virgin Galactic said it would focus on an "enhancement program" to improve the performance of its rocket-powered plane VSS Unity and the mother ship from which it launches. It will also carry out physical inspections after a lab test "flagged a possible reduction in the strength margins of certain materials."
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