Globalstar (GSAT) Q4 2024 earnings summary

Executive summary

• Achieved record annual revenue of $250.3 million in 2024, up 12% year-over-year, surpassing guidance.

• Record annual service revenue for Commercial IoT, up 15% year-over-year.

• Adjusted EBITDA reached a record $135.3 million, up 16% from 2023.

• Completed uplisting to Nasdaq Global Select Market and executed a 1-for-15 reverse stock split to enhance liquidity and marketability.

• Net loss for 2024 was $63.2 million, mainly due to non-operating items like debt extinguishment and FX loss.

Financial highlights

• Q4 2024 revenue rose 17% year-over-year to $61.2 million; service revenue up 18%, driven by wholesale capacity.

• Full year 2024 service revenue rose 16% to $237.7 million; equipment sales declined due to timing and competition.

• Adjusted EBITDA for Q4 grew 21% to $30.4 million; full-year Adjusted EBITDA margin was 54%.

• Cash and cash equivalents at year-end were $391.2 million, up from $56.7 million a year earlier.

• Net loss per share for 2024 was $0.59 (basic and diluted), compared to $0.29 in 2023.

Outlook and guidance

• 2025 revenue guidance: $260–$285 million, representing 9% growth at midpoint; adjusted EBITDA margin expected around 50%.

• Margin compression in 2025 due to strategic investments in XCOM RAN and MSS product development, expected to last 12–18 months.

• Long-term forecast: revenue to double to $500 million in the first full year of Extended MSS Network service, with margins above 54%.