NASDAQ$GSAT

Globalstar · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Reported an increase in total revenue and a decrease in net loss compared to the same period last year.

Globalstar announced its Q1 2022 results, reporting a 22% increase in total revenue driven by higher service revenue from engineering services, and a $15.9 million improvement in net loss due to lower interest expense and favorable changes in foreign currency and derivative losses. The company is focused on expanding its satellite business and terrestrial spectrum opportunities.

  • Total revenue increased by 22% compared to Q1 2021, primarily due to higher service revenue from engineering services.
  • Commercial IoT revenue increased by 8% despite component part shortages.
  • Net loss improved by $15.9 million year-over-year due to lower interest expense and favorable changes in foreign currency and derivative losses.
  • Adjusted EBITDA increased by 72% compared to the prior year's quarter.

Headline financials

Total Revenue

$32.8M

Previous: $26.9M+21.7%
EPS (adj)

-$0.01

Previous: -$0.02+50.0%
Adjusted EBITDA

$10.3M

Previous: $5.99M+71.9%
Capital Expenditures

-$10M

Previous: -$4.31M-132.6%
Free Cash Flow

-$30.5M

Previous: -$40.6M+25.0%
Net Income

-$20.5M

Previous: -$36.3M+43.7%
Operating Income

-$13.7M

Previous: -$19.3M+28.8%
Gross Profit

$19.4M

Previous: $15M+29.8%
Cash & Equivalents

$11.5M

Previous: $8.37M+37.6%
Total Assets

$850M

Previous: $913M-6.9%
Stock-Based Comp

$1.23M

Previous: $1.09M+13.1%

Revenue & EPS history

Globalstar · Revenue · Quarterly

$32.8M

Q1 2022+21.7%vs Q1 2021
Beat estimate in 13 of 15 quarters(87%)
ActualEstimate

Revenue by segment

Globalstar · $22.1M total across 3 segments · Q1 2022

  • SPOT
    $11.3M+2.5%
  • Duplex
    $6.15M-7.6%
  • Commercial IoT
    $4.67M+4.2%

Forward guidance

Globalstar is focused on expanding its satellite business and terrestrial spectrum opportunities. The company expects to resume production during the second quarter to fulfill back-orders and return to healthy inventory levels.

Tailwinds

  • New satellites will ensure continuity of service to existing and future subscribers.
  • Vast majority of capital expenditures are reimbursable.
  • Meaningful progress towards building Commercial IoT ecosystem.
  • Multiple projects underway that will deliver more robust products.
  • Signed a term sheet with a large, global customer to begin deploying Band 53 in the US and beyond.

Headwinds

  • Component part shortages are causing headwinds.
  • Several thousand units on back-order of most popular and profitable Commercial IoT products.
  • Expect component part shortage trend to continue through at least the second quarter of 2022.
  • Decrease in Duplex service revenue due to attrition in subscriber base.
  • Seasonality to cause fluctuations in SPOT ARPU given service plan offering.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2022

Historical avgQ1 2022

-0.3%

Avg return

Earnings day

+1.2%

Avg return

5 days after

+4.8%

Avg return

30 days after

52%

34 / 65 earnings

Positive

+24.0%

Q4 2021

Best reaction

-18.0%

Q3 2011

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.6%+0.8%-0.6%
Q4 2025+7.5%+5.9%+10.9%
Q3 2025+4.6%+33.4%+41.9%
Q1 2025-12.9%-7.6%-1.4%
Q4 2024+0.1%+7.1%-1.3%
Q3 2024+6.5%+2.2%+18.8%
Q2 2024+7.3%+11.0%+14.7%
Q1 2024-6.2%-9.3%-15.5%
Q4 2023-10.3%-20.1%-15.5%
Q3 2023+1.4%-2.9%+10.7%
Q2 2023+5.4%+11.6%+32.1%
Q1 2023-0.8%+8.5%+25.5%
Q4 2022-7.0%-9.4%-9.4%
Q3 2022-6.5%-10.6%-13.8%
Q2 2022+2.5%-3.1%+26.7%
Q1 2022-7.4%-12.4%+9.9%
Q4 2021+24.0%+25.0%+53.1%
Q3 2021+1.2%+5.5%-20.0%
Q2 2021+7.0%+10.1%+70.5%
Q1 2021-8.3%-8.3%-2.5%
Q4 2020-16.6%-18.3%-17.8%
Q3 2020+9.7%+10.0%+10.0%
Q2 2020-3.5%+0.0%-18.4%
Q1 2020+4.1%-3.2%+12.9%
Q4 2019-13.0%-6.4%-27.7%
Q3 2019-2.2%-2.5%+0.0%
Q2 2019-3.2%-7.1%-11.9%
Q1 2019+6.8%+15.1%+5.7%
Q4 2018-7.1%-10.0%-14.0%
Q3 2018+9.2%+2.9%+11.4%
Q2 2018-14.5%-3.6%-7.3%
Q1 2018+10.2%+10.0%-15.0%
Q4 2017-0.7%+3.3%-23.9%
Q3 2017+1.8%-1.2%-4.8%
Q2 2017+2.6%+7.9%+5.8%
Q1 2017-1.1%+3.9%+14.4%
Q4 2016-3.5%-4.2%+14.7%
Q3 2016-5.8%+12.5%-8.0%
Q2 2016+1.7%+1.7%+26.3%
Q1 2016-12.0%
Q4 2015+3.9%
Q3 2015+5.5%
Q2 2015+2.1%
Q1 2015-2.5%
Q4 2014+0.8%
Q3 2014+5.6%
Q2 2014+0.3%
Q1 2014+3.4%
Q4 2013-0.8%
Q3 2013+6.1%
Q2 2013+1.6%
Q1 2013+6.1%
Q1 2010-2.9%
Q4 2012+1.4%
Q3 2012-12.5%
Q1 2011-6.4%
Q2 2012+4.9%
Q1 2012+16.3%
Q2 2011-6.3%
Q4 2009-6.3%
Q4 2011-6.3%
Q3 2010-18.0%
Q3 2011-18.0%
Q4 2010+16.7%
Q2 2010+16.7%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro