Globalstar, Inc. reported significant financial improvements for the three months and nine months ended September 30, 2024, compared to the same periods in 2023. Total revenue for Q3 2024 reached $72.3 million, a 26% increase from $57.7 million in Q3 2023. For the nine months ended September 30, 2024, total revenue was $189.2 million, up 10% from $171.4 million in the prior year. Service revenue, which constitutes the majority of total revenue, was $68.9 million for Q3 2024, compared to $53.6 million in Q3 2023, and $180.0 million for the nine months, up from $155.2 million.
The company reported a net income of $9.9 million for Q3 2024, a turnaround from a net loss of $6.2 million in Q3 2023. However, for the nine months ended September 30, 2024, Globalstar recorded a net loss of $12.9 million, compared to a loss of $9.6 million in the same period of 2023. Adjusted net income attributable to common shareholders for Q3 2024 was $7.3 million, compared to a loss of $8.8 million in Q3 2023.
Total operating expenses increased to $62.9 million in Q3 2024 from $55.7 million in Q3 2023, primarily due to higher costs associated with network expansion and increased gateway operating expenses. Stock-based compensation also rose significantly, reflecting the issuance of restricted stock units in August 2023.
As of September 30, 2024, Globalstar's cash and cash equivalents stood at $51.9 million, down from $56.7 million at the end of 2023. Total debt increased to $424.1 million from $398.7 million, attributed to a payment-in-kind interest and draws under the 2023 Funding Agreement.
Strategically, Globalstar has made notable advancements, including entering into Updated Services Agreements with a major customer, which accounted for 57% of total revenue for the nine months ended September 30, 2024, up from 49% in the prior year. The company also continues to expand its satellite network, having received FCC approval to replenish its satellite system and signed agreements with Macdonald, Dettwiler and Associates Corporation for satellite procurement.
Overall, Globalstar's performance reflects a growing service revenue base, despite ongoing challenges in profitability and increased operational costs.
About Globalstar, Inc.
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