Globalstar misses Q3 revenue estimate as loss per share widens

Globalstar (GSAT) reported third-quarter 2026 revenue of $70.90 million, below the $75.33 million consensus estimate, and a net loss of $15.7 million, or 14 cents per share, a wider loss than the 10 cents expected.

Shares fell 1.3% at 10:14 a.m. ET, from a $84.58 close.

The company also launched the first set of HIBLEO-4 replacement satellites during the quarter.

Here's how the company did:

• Revenue: $70.90 million vs. $73.85 million a year earlier, $75.33 million expected
• Diluted loss per share: 14 cents vs. 1 cent a year earlier
• Income from operations: $7.6 million vs. $10.2 million a year earlier
• Adjusted EBITDA: $30.3 million vs. $37.6 million a year earlier

Revenue has fallen in each of the last three quarters, from $73.8 million in the third quarter of 2025 to $64.8 million in the second quarter of 2026.

Segment results

Service revenue fell to $65.39 million from $69.64 million a year earlier. Lower wholesale capacity service revenue, tied to the timing of network-related costs and reimbursement fees, drove most of the decline.

Duplex and SPOT service revenue declined on subscriber churn over the last twelve months. Commercial IoT service revenue grew on a larger subscriber base, and gross activations rose 25%.

Subscriber equipment sales rose 31% to $5.52 million, from $4.21 million a year earlier, on higher Commercial IoT device sales.

Costs and interest

Marketing, general and administrative expenses rose to $14.78 million from $11.35 million, mainly from legal and professional fees tied to the pending Amazon transaction. Lower depreciation and stock-based compensation partly offset it.

Net interest expense rose to $23.9 million from $11.0 million a year earlier, mainly from non-cash imputed interest related to the 2024 Prepayment Agreement.

Nine-month results

Nine-month revenue was $205.74 million, against $201.03 million a year earlier. Net loss was $57.04 million, against net income of $2.97 million a year earlier.

Adjusted EBITDA for the nine months was $89.7 million, down from $103.7 million.

Cash and debt

Cash was $329.9 million at Sept. 30, down from $447.5 million at Dec. 31, 2025. Adjusted free cash flow for the nine months was $66.8 million, compared with $133.3 million a year earlier.

The principal amount of debt was $414.7 million at Sept. 30, up from $410.0 million at Dec. 31, 2025.

Amazon transaction and guidance

In October, the FCC Space Bureau approved Amazon's application to acquire Globalstar's FCC licensing. The pending transaction with Amazon is expected to close in 2027, subject to closing conditions, including regulatory approvals and certain HIBLEO-4 satellite milestones.

Globalstar will not hold future earnings conference calls or provide updates to its forward-looking guidance.