Globalstar (GSAT) Q4 2024 earnings summary

Executive summary

• Achieved strong revenue and EBITDA growth in Q4 and full year 2024, driven by wholesale capacity and commercial IoT expansion.

• Full year 2024 revenue grew 12% to a record $250.3 million, surpassing guidance high end.

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

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

• Strategic partnerships and technology demonstrations position the company for long-term growth.

Financial highlights

• Q4 2024 revenue rose 17% year-over-year to $61.2 million; service revenue up 18%.

• Q4 adjusted EBITDA increased 21% to $30.4 million; margin improved due to higher revenue.

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

• Record annual adjusted EBITDA of $135.3 million, up 16% year-over-year; margin at 54%.

• Ended 2024 with $391.2 million in cash, up from $56.7 million a year earlier.

Outlook and guidance

• 2025 revenue expected between $260 million and $285 million, 9% growth at midpoint.

• Adjusted EBITDA margin forecasted around 50% for 2025, reflecting short-term compression from strategic investments.

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

• Margin compression expected to last 12–18 months, driven by XCOM RAN and MSS product development.