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Jun 30, 2023

NextNav Q2 2023 Earnings Report

NextNav's Q2 2023 financial results were reported, showing a decrease in revenue but strategic momentum with debt financing and technology licensing.

Key Takeaways

NextNav reported a decrease in revenue for Q2 2023, with $0.8 million compared to $1.4 million in the prior year period. The company closed a $50 million debt financing deal and subsequently an additional $20 million investment. They also signed a licensing agreement with a top-tier global chip manufacturer and expanded their E911 partner network.

Closed $70 million in debt financing, including $50 million in Q2 2023.

Signed a licensing agreement with a top-tier global chip manufacturer for NextNav technology.

Expanded E911 partner network with an additional nationwide U.S. carrier.

FCC approved experimental license to validate 3D geo-location and resilient PNT capabilities using a 5G waveform.

Total Revenue
$800K
Previous year: $1.42M
-43.7%
EPS
-$0.15
Previous year: $0.01
-1600.0%
Gross Profit
-$2.34M
Previous year: -$1.58M
+48.2%
Cash and Equivalents
$52.8M
Previous year: $82.5M
-36.0%
Free Cash Flow
-$9.97M
Previous year: -$11.1M
-10.5%
Total Assets
$161M
Previous year: $124M
+30.3%

NextNav

NextNav

Forward Guidance

NextNav anticipates leveraging recent funding to advance business initiatives and expects initial revenue from a new licensing agreement in the second half of 2023.

Positive Outlook

  • Expected revenue from new licensing agreement with chip manufacturer in H2 2023.
  • Focus on executing against business initiatives.
  • Leveraging funds for multiple years of runway.
  • Significant traction in underlying technology licenses and government grants.
  • Building more value for shareholders going forward.