Globalstar, Inc. (GSAT) is up 44.06% in the current-market trading session at the price of $2.06 despite any recent news.
GSAT Published Second Quarter 2021 Financial Result
On 5th August 2021, GSAT published its operating and financial results for the quarter ended 30th June 2021. Globalstar is a leading provider of customizable Satellite IoT Solutions for customers worldwide. It delivers products to oil and gas, transportation, emergency management, government, maritime, outdoor recreation, and other industries.
CEO of GSAT, Dave Kagan, remarked that they are happy with the performance of multiple indicators during the second quarter. They have noted a significant increase in SPOT and Commercial IoT equipment sales. SPOT activations continue at record levels by LTM gross activations up 26% from the previous quarter. Meanwhile, Commercial IoT ARPU continues to rise because of higher usage and a favorable rate plan mix. They have executed their robust sales pipeline while opening up with new opportunities. It will expand their customer relationships and distribution channels, he added.
Financial Highlights
GSAT reported total revenue of $30.28 million for the second quarter ended 30th June 2021. Total revenue was $30.36 million for the same quarter of 2020. Total revenue for the second quarter of 2021 reduced slightly from the second quarter of 2020. Operating loss was $16.0 million for the second quarter of 2021, compared to $15.4 million for the same quarter the previous year. The rise in operating loss resulted from higher operating expenses of $0.5 million.
GSAT reported a drop of $3.3 million in net loss from the second quarter of 2020 to the same quarter of 2021. This change was due to lower interest expense, gain on extinguishment of debt, and higher foreign currency gains. Adjusted EBITDA was $9.8 million for the second quarter of 2021, consistent with the previous year’s same quarter. A loss per share was $0.01 for the second quarter of 2021. Net loss per share was $0.01 for the same quarter the previous year.
Partnership With FocusPoint International Inc.
On 1st July 2021, GSAT declared a partnership with FocusPoint International Inc. It aimed to provide crisis assistance services under the Global Overwatch & Rescue™ Plan to the customers. Overwatch & Rescue is an assistance plan launched by FocusPoint International. This plan gives 24/7 multi-lingual crisis consultation, medical and dental referrals, security assistance, and much more. The customers that add the Overwatch & Rescue Plan will have access to a team of highly experienced medical, security, and crisis response specialists. Moreover, the users who choose the annual plan will get free evacuations.
