capexScore 55/100Watch

Neutron Archimedes engine production ramping; second engine hot-fire capability complete; aggressive test cadence on full flight avionics and software stacks

Peter Beck· Rocket Lab· Space· 2025-05-15· about Rocket Lab (RKLB)
At the engine test site in Mississippi the propulsion team is doubling down on Archimedes. We're hot firing flat out as you would expect with flight avionics and full software stacks and the team is busy tuning the engine through a barrage of tests. We've also just completed the build of a second engine TNSSL that's now up and running to enable testing two engines at the same time.

Why it matters

Concurrent engine testing infrastructure enables faster iteration and risk retirement for Neutron's H2 2025 launch target. Capital deployment in Mississippi represents sustained infrastructure investment.

Investment implication

Second engine test stand signals continued capex acceleration through Q2-Q3 2025. Suppliers of engine test equipment, propellant handling systems, and instrumentation benefit. Hot-fire cadence constraints (if any) become bottleneck to launch schedule.

Source

Rocket Lab Corp ($RKLB) Q1 2025 Earnings Call (YouTube)
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