Loading...
•
Dec 31, 2023
Iridium Q4 2023 Earnings Report
Iridium's Q4 2023 financial results were released, showcasing revenue in line with the previous year and an increase in service revenue.
Key Takeaways
Iridium Communications Inc. reported a net income of $38.0 million for Q4 2023, compared to a net loss in Q4 2022. Total revenue was $194.7 million, with service revenue increasing by 8%. The company ended the quarter with 2,279,000 total billable subscribers, a 14% year-over-year increase.
Commercial service revenue increased by 10% year-over-year, driven by broad-based growth across all revenue lines.
Commercial IoT data subscribers grew by 18% year-over-year, reaching 1,709,000 customers.
Engineering and support revenue increased due to a rise in activity with the U.S. government.
The estimated useful lives of Iridium's satellites have been extended by five years.
Iridium
Iridium
Iridium Revenue by Segment
Revenue by Segment
Commercial Voice & Data Revenue
CapyFin.comCommercial IoT Data Revenue
CapyFin.comHosted Payload & Other Revenue
CapyFin.comGovernment Services Revenue
CapyFin.comSubscriber Equipment Revenue
CapyFin.comEngineering & Support Revenue
CapyFin.com Forward Guidance
Iridium issued its full-year 2024 outlook. Total service revenue growth between 4% and 6% for full-year 2024. Full-year 2024 OEBITDA between $460 million and $470 million.Cash taxes of less than $10 million per year from 2024 through 2026.
Positive Outlook
- Total service revenue growth between 4% and 6% for full-year 2024.
- Full-year 2024 OEBITDA between $460 million and $470 million.
- Cash taxes of less than $10 million per year from 2024 through 2026.
- Net leverage below 2.5 times OEBITDA between 2026 and 2029.
- Net leverage falling below 2.0 times OEBITDA by the end of the decade.
Revenue & Expenses
Visualization of income flow from segment revenue to net income