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Dec 31, 2022

Iridium Q4 2022 Earnings Report

Iridium reported Q4 2022 results, with revenue increasing and subscriber growth driven by commercial IoT.

Key Takeaways

Iridium Communications Inc. reported a net loss of $0.8 million for Q4 2022, compared to a net loss of $5.9 million for the same period in 2021. Total revenue increased by 24% to $193.8 million, with service revenue growing by 8% to $136.8 million. The company ended the quarter with 1,999,000 total billable subscribers, a 16% increase year-over-year.

Total revenue increased by 24% year-over-year, reaching $193.8 million.

Service revenue grew by 8% year-over-year, amounting to $136.8 million.

Commercial service revenue increased by 10% year-over-year, totaling $110.3 million.

Total billable subscribers increased by 16% year-over-year, reaching 1,999,000.

Total Revenue
$194M
Previous year: $156M
+24.3%
EPS
-$0.01
Previous year: -$0.04
-75.0%
Commercial Voice/Data ARPU
$41
Previous year: $41
+0.0%
Commercial IoT Data ARPU
$7.5
Previous year: $8.2
-8.5%

Iridium

Iridium

Iridium Revenue by Segment

Forward Guidance

Iridium issued its full-year 2023 outlook, anticipating total service revenue growth between 9% and 11% and OEBITDA between $455 million and $465 million.

Positive Outlook

  • Total service revenue growth between 9% and 11% for full-year 2023.
  • Full-year 2023 OEBITDA between $455 million and $465 million.
  • Negligible cash taxes in 2023.
  • Cash taxes are expected to be negligible through approximately 2024.
  • Net leverage of between 2.5 and 3.5 times OEBITDA at the end of 2023.