- Globalstar (NASDAQ:GSAT) is up 3.6% after its Q1 earnings showed a narrower operating loss thanks to a boost in revenues.
- Ahead of a planned Q3 merger with Thermo Acquisitions and FiberLight, Globalstar marked revenue gains of nearly 17% on higher services sales, making up for a decline in equipment sales.
- The service revenue boost mainly came from higher SPOT and Duplex revenues (and higher ARPUs, driven by rate plan increases). Subscriber equipment sales were hit by a decrease in Duplex equipment.
- Loss from operations narrowed to $13M from a year-ago $15.1M. Meanwhile, net income swung to a gain of $87.9M (from a year-ago loss of $20.2M) due mainly to non-cash derivative gains (up to $108.9M from a year-ago $3.2M).
- EBITDA rose 39% to $7.5M.
- Revenue breakout: Service revenue, $26M (up 21%); Subscriber Equipment Sales, $2.74M (down 16%).
- Press release
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