Business
Iridium Completes Milestone Year; Company Announces 2019 Results And Issues 2020 Outlook
-Financial transformation continues with new streamlined capital structure MCLEAN, Va., Feb. 25, 2020 /PRNewswire/ -- Iridium Communications Inc. (Nasdaq:
About this update from Iridium Communications Inc
[{"type":"text","content":"-Financial transformation continues with new streamlined capital structure\n\n\nMCLEAN, Va., Feb. 25, 2020 /PRNewswire/ -- Iridium Communications Inc. (Nasdaq: IRDM) (\"Iridium\") today reported financial results for the fourth quarter of 2019 and issued its full-year 2020 guidance. Net loss was $107.9 million, or $0.82 per diluted share, for the fourth quarter of 2019, as compared to net loss of $7.6 million, or $0.09 per diluted share, for the fourth quarter of 2018. This increase in net loss was primarily the result of debt extinguishment costs associated with Iridium's refinancing, as well as higher interest expense and depreciation and amortization expense related to the completion of the Iridium® NEXT program. Operational EBITDA (\"OEBITDA\")(1) for the fourth quarter was $80.1 million, as compared to $75.5 million for the prior-year period, representing a year-over-year increase of 6% and an OEBITDA margin(1) of 58%. OEBITDA primarily benefitted from higher government service revenue and strong growth in commercial IoT.\n\n \n \n\n \nIridium reported fourth-quarter total revenue of $138.9 million, which consisted of $113.6 million of service revenue and $25.3 million of revenue related to equipment sales and engineering and support projects. Total revenue increased 5% versus the comparable period of 2018, while service revenue grew 6% from the year-ago period. Service revenue, which represents primarily recurring revenue from Iridium's growing subscriber base, was 82% of total revenue for the fourth quarter of 2019.\nThe Company ended the quarter with 1,300,000 total billable subscribers, which compares to 1,121,000 for the year-ago period and is up from 1,269,000 for the quarter ended September 30, 2019. Total billable subscribers grew 16% year-over-year, driven by growth in commercial IoT and government business.\nFull-Year 2019 Iridium Business Highlights\nFor the full year, Iridium reported net loss of $162.0 million, or $1.33 per diluted share attributable to common stockholders, as compared to net loss of $13.4 million, or $0.22 per diluted share attributable to common stockholders for 2018. This increase in net loss resulted from debt extinguishment costs associated with Iridium's refinancing, as well as higher depreciation and amortization expense and interest expense related to the completion of the Iridium NEXT ...