Record Full-Year Revenue
Total revenue of $273,000,000 for FY2025, a 9% increase year-over-year and the fourth consecutive year of record revenue.
Globalstar
· GSAT
February 27th, 2026
Summary
- Earnings Call Date:
- 2026-02-27
- Change Since:
- +28.39%
- Next Earnings Date:
- 2026-07-30
Earnings Call Sentiment
PositiveThe call communicated clear operational and financial progress: record revenue, a record adjusted EBITDA and 50% margin, improved operating income, strong cash position and growth in IoT hardware and subscribers. Strategic milestones (two-way IoT commercial rollout, partnerships with Parsons and Boingo, SBIR involvement, and expanded ground infrastructure) underpin a confident 2026 outlook with revenue guidance of $280M–$305M and continued 50% adjusted EBITDA margin. Offsetting these positives are elevated near-term operating expenses and advance investments (notably XCOM RAN), a remaining GAAP net loss, a tariff-related Q4 charge, subscriber churn in some product lines, large capex and ITU commitments, and two-way IoT revenues that are not yet material. Overall, highlights materially outweigh the lowlights, though execution and capitalization risks remain due to substantial ongoing investments.
Company Guidance
Globalstar guided 2026 total revenue of $280–305 million with an adjusted EBITDA margin of approximately 50%, reflecting confidence in scaling next‑generation infrastructure and commercial opportunities; that outlook is anchored by 2025 results including record revenue of $273.0M (+9% YoY), adjusted EBITDA of $136.1M (50% margin), Q4 revenue of $72.0M (service $67.4M; equipment $4.6M), full‑year service revenue $257.3M (+8%), equipment revenue $15.7M (+24%), cash & cash equivalents $447.5M, operating cash flow $621.7M (including $430.6M infrastructure prepayment), capex $550.4M, adjusted free cash flow $171.5M, principal debt $410.0M, IoT hardware revenue +50% YoY, and average commercial IoT subscribers +6% YoY.
Strong Service and Equipment Revenue Growth
Service revenue of $257,300,000, up 8% YoY; subscriber equipment revenue of $15,700,000, up 24% YoY.
Improved Profitability and EBITDA Strength
Adjusted EBITDA reached a record $136,100,000 with a 50% margin (in line with guidance); income from operations of $7,400,000 vs. a $900,000 loss in 2024.
Q4 Revenue and EBITDA Improvement
Q4 total revenue of $72,000,000; service revenue $67,400,000 (Q4 service revenue +17% YoY) and equipment revenue $4,600,000 (Q4 equipment +31% YoY). Q4 adjusted EBITDA was $32,400,000, up 7% YoY.
Material Cash Position and Operating Cash Flow
Cash and cash equivalents of $447,500,000 at year-end (up from $391,200,000, ~+14%); operating cash flows of $621,700,000 in 2025 (including $430,600,000 infrastructure prepayment).
Adjusted Free Cash Flow Growth
Adjusted free cash flow of $171,500,000, up from $131,900,000 in 2024 (approximately +30% YoY).
Strategic Product and Market Milestones
Commercial rollout of RM-200MS two-way satellite IoT module and launch of two-way satellite IoT capabilities, expanding addressable market and enabling higher-value use cases.
Progress on Partnerships, Defense & XCOM RAN
Notable partner and program progress: Parsons proof-of-concept and trials, Boingo PoC for XCOM RAN, Fireworks (formerly XCOM Labs) awarded $1.9M SBIR Phase II contract selecting Globalstar as a technology partner, and completion of 50% of ITU financial commitments.
Operator
Good day, and thank you for standing by. Welcome to the Globalstar, Inc. Fourth Quarter and Full Year 2025 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speakers' presentation, there will be a question-and-answer session. To ask a question during the session, you will need to press *11 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press *11 again.
Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Rebecca S. Clary, CFO. Please go ahead.
Rebecca S. Clary
Thank you, operator, and good morning, everyone. Before we begin, please note that today's call contains forward-looking statements intended to fall within the safe harbor provided under the securities laws. Factors that could cause results to differ materially are described in the Risk Factors section of Globalstar, Inc.’s SEC filings, including its most recent Annual Report on Form 10-Ks and its other SEC filings, as well as today's earnings release. Also note that management may reference EBITDA, adjusted EBITDA, free cash flow, or adjusted free cash flow on this call, which are financial measures not recognized under U.S. GAAP. As required by SEC rules and regulations, these non-GAAP financial measures are reconciled to their most comparable GAAP financial measures in the earnings release, which is available on our website. Today, I will walk through our fourth quarter and full year 2025 financial results, then discuss liquidity and our 2...
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