Iridium Communications: Stock Reaching Critical Mass
Darspal S Mann
Darspal S Mann
Short Iridium Communications: Set To Unravel As Current Constellation Nears End Of Life
AC Capital Management • 19 Comments
AC Capital Management • 19 Comments
Thu, Jul. 28, 1:57 PM
- After floating around its 52-week high over the past couple of weeks, Iridium Communications (NASDAQ:IRDM) is 4.4% lower today after Q2 profits missed after growing just 3.5% Y/Y.
- Operational EBITDA was $62.5M, up 3%. OEBITDA margin was 57%. Service revenue made up 76% of total revenue.
- Revenue breakout: Commercial service, $61.5M (up 2.4%); Government service, $22M (up 22%); Subscriber equipment, $20.4M (up 8.5%); Engineering and support service, $5.3M (up 4.1%).
- Iridium ended the quarter with 823,000 billable subscribers, vs. a year-ago 766,000 and last quarter's 788,000, with growth driven by government customers and machine-to-machine.
- The company affirmed its full-year outlook for service revenue growth of 4-6% and OEBITDA of $245M-$255M (vs. 2015's $234M). In the long view, it sees service revenue of $420M-$465M for full 2018, with OEBITDA margin of about 60%.
- Press Release
Thu, Jul. 28, 7:05 AM
Wed, Jul. 27, 5:30 PM
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Wed, Jun. 15, 9:05 AM
- Two companies with major Valley connections are getting ready to launch the next generation of satellite communications at a price of $3B.
- Iridium Communications (NASDAQ:IRDM) is ready to begin launching its first batch of NEXT satellites on Sept. 12 in what will include 81 satellites and at least 10 launches.
- Among its largest partners in the seven-year effort is Orbital ATK (NYSE:OA), which is assembling the satellites at its facility in Gilbert, Arizona.
Mon, May 23, 1:08 PM
- Iridium (NASDAQ:IRDM) has launched an alternative GPS system: Satellite Time and Location, using its 66 low-earth orbit satellites.
- The system can work to verify GPS, Glonass, Galileo and other navigation services and substitute for them if they become compromised, Iridium says, and help check integrity of GPS signals.
- That's targeted to critical infrastructure users. Iridium's working with partner Satelles to commercialize the technology; it warns that the current GPS infrastructure is easier to spoof, whereas STL applications can be location aware and operate only if the device is certified to be in the location expected.
- Now read Short Iridium Communications: Set To Unravel As Current Constellation Nears End Of Life »
Thu, Apr. 28, 7:07 AM
Wed, Apr. 27, 5:30 PM
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Thu, Feb. 25, 11:30 AM
- Iridium Communications (NASDAQ:IRDM) is trading 9% lower after Q4 earnings fell short despite EBITDA growth on higher government revenues and lower manufacturing costs.
- The company recorded a $69.4M GAAP net loss, along with a noncash goodwill impairment of $87M. Operational EBITDA of $56.8M, up 10% Y/Y, was in line.
- Revenue breakout: Service revenue, $82.4M (up 5%); Equipment sales and engineering/support projects, $24M.
- Billable subscribers at quarter's end were 782,000, up from a year-ago 739,000 (due to machine-to-machine and government customer growth) and up from Q3's 781,000.
- It's guiding to 2016 total service revenue growth of 4-6%, and OEBITDA of $245M-$255M. Looking out further (past completion of Iridium NEXT in 2017), it still sees total service revenue of $420M-$465M for 2018 -- up $317M from 2015.
- Conference call link
Thu, Feb. 25, 7:06 AM
- Iridium Communications (NASDAQ:IRDM): Q4 EPS of $0.14 misses by $0.04.
- Revenue of $106.41M (+5.9% Y/Y) beats by $1.78M.
Wed, Feb. 24, 5:30 PM
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Thu, Feb. 18, 7:04 PM
- Iridium Communications (NASDAQ:IRDM) gained another 2.9% today, bringing it to an 11% five-day gain during a week of news where it started work on a next-generation satellite handset and signed up new partners for a push-to-talk platform.
- Today, the company won an $8.57M task order from the Defense Information Systems Agency to modernize a dedicated Iridium gateway.
- Aside from general improvements, the work will increase preparation for the Iridium NEXT configuration, its new-generation satellite constellation. That's scheduled to begin launches this year and finish up in late 2017.
Wed, Feb. 17, 11:40 AM
- Iridium Communications (IRDM +6.4%) has named several new partners to spread its satellite push-to-talk service to all global regions and add new applications for the service.
- The walkie-talkie modeled service is growing with the addition of MVS Group, S4Si International, Latin America leader Tesacom, and Trace Systems as service provider partners.
- New development partners for the service include Atlantic Radio Telephone, Beam Communications, Borsight, Flightcell, Lars Thrane, Latitude Technologies, NAL Research, Qinetiq, Skytrac, Rockwell Collins and Thales. Development partners will provide for an open ecosystem, the company suggest, rather than a push-to-talk service limited to satellite handsets.
- New interoperability solutions allow Iridium's PTT service to be integrated with terrestrial PTT systems, including land mobile radio.
Tue, Feb. 16, 11:59 AM
- In a new contract, Iridium Communications (IRDM +0.1%) will work with General Dynamics (GD +0.6%) on a next-generation satellite handset for government use.
- The companies will develop the Iridium Extreme 9575, which Iridium says is less expensive but lighter, tougher and more feature-rich than previous handsets. It will replace the 9505A, which has been used around the world for 15 years by the U.S. government.
- A five-year contract struck in 2013 with the Defense Information Systems Agency allowed for Iridium to provide satellite airtime services, including Enhanced Mobile Satellite Services.
Dec. 22, 2015, 5:46 PM
- Count Iridium Communications (NASDAQ:IRDM) among the winners from the success of the SpaceX Falcon9 launch/return.
- Shares climbed steadily throughout the day on above-average volume to finish 7.4% higher. Orbcomm, whose satellites went into orbit on SpaceX's rocket, closed up 10.4%.
- A SpaceX launch failure in June had raised concerns that delays could creep into the launch of Iridium's own next-generation satellite network, originally set for late this year and to run through 2017.
- The NEXT constellation has 66 satellites that Iridium had been building in Arizona, along with spares.
Oct. 29, 2015, 12:53 PM
Oct. 29, 2015, 9:22 AM
- Iridium (NASDAQ:IRDM) is up 7.7% premarket after posting Q3 results that beat on top and bottom lines as government service revenue increased and the company cut costs on some products.
- Operational EBITDA was $63.8M, up 9% Y/Y, with a margin of 60%.
- Revenue by segment: Service revenues, $81.2M (down fractionally); Equipment, engineering and support, $24.8M (down 4%).
- Total billable subscribers were 781,000, up 7.6% Y/Y and up 2% sequentially.
- Iridium affirmed full-year outlook for total service revenue growth of 1-3% and operational EBITDA of about $230M. Looking further out, it reiterated expectations of total service revenue between $420M-$465M for 2018 (up $309.4M from 2014) and operational EBITDA margin of about 60% by then.