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Globalstar Posts Loss In Q2, Revenue Up 10%; Increases 2024 Outlook - Update

By RTTNews Staff Writer   ✉  | Published:  | Google News Follow Us  | Join Us
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Globalstar (GSAT) posted a net loss of $9.7 million for the second quarter of 2024, compared to net income of less than $0.1 million for the second quarter of 2023. Loss per share was $0.01 compared to breakeven. The company said this variance was due primarily to a loss from operations as well as unfavorable fluctuations in foreign currency gains and losses due to the remeasurement of intercompany balances. Loss from operations was $1.4 million, compared to income from operations of $2.6 million. This variance was due primarily to higher operating expenses, the company said. Adjusted EBITDA increased 20% to $32.6 million, due primarily to an increase in high margin service revenue.

Second quarter total revenue increased 10% to $60.4 million, due to an increase in service revenue offset partially by a decrease in revenue generated from subscriber equipment sales. Service revenue increased 18%.

The company increased financial outlook for full year 2024. Total revenue is projected between $235 million and $250 million, an increase from the prior guidance range of $225 million to $250 million. The company expects adjusted EBITDA margin of approximately 53%.

Shares of Globalstar are up 5% in pre-market trade on Thursday.

For more earnings news, earnings calendar, and earnings for stocks, visit rttnews.com.

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