Globalstar · Q2 2023 earnings

Briefing

Globalstar experienced robust growth and improved profitability, driven by a 50% increase in revenue and an 86% increase in Adjusted EBITDA compared to the prior year's quarter.

Globalstar reported a strong second quarter in 2023, with a 50% increase in total revenue and an 86% increase in Adjusted EBITDA compared to the same period last year. The company's growth was primarily driven by higher wholesale capacity service revenue and increased commercial IoT revenue. As a result of this sustained growth, Globalstar is tightening its previously issued guidance, increasing the low end of the 2023 revenue range from $185 million to $200 million.

• Total revenue increased by 50% to $55.1 million compared to the second quarter of 2022.
• Adjusted EBITDA increased by 86% to $27.0 million compared to the prior year's quarter.
• Service revenue increased by 47% due primarily to higher wholesale capacity service revenue.
• Cash and cash equivalents were $65.3 million as of June 30, 2023, more than double the cash balance at year-end.

Headline financials

Revenue & EPS history

Globalstar updated its previously issued financial guidance for full year 2023, excluding revenue from terrestrial spectrum opportunities. The company anticipates total revenue between $200 million and $230 million, representing an increase of approximately 35% to 55% over 2022 total revenue, and an Adjusted EBITDA margin of approximately 55%, compared to 39% in 2022.