Globalstar, Inc. · NASDAQ:GSAT
Globalstar — TD Cowen Technology, Media & Telecom Conference 2024
22 slides from Globalstar's conference presentation, May 2024
Slide 1: TD Cowen Technology, Media & Telecom Conference May 2024
TD Cowen Technology, Media & Telecom Conference May 2024
Slide 2: Disclaimer
Disclaimer This presentation contains certain statements that are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on current expectations and assumptions that are subject to risks and uncertainties wh
Slide 3: About Globalstar
About Globalstar Globalstar empowers its customers to connect, transmit, and communicate in smarter ways – easily, quickly, securely, and affordably – offering reliable satellite and terrestrial connectivity services as an international telecom infrastructure provider. The Company’s LEO satellite co
Slide 4: Senior management team
Senior management team Wen Doong Sr. VP, Engineering & Operations Wen Doong Dr. Paul Jacobs Matt Grob Peter Black Sr. VP, Engineering & Chief Executive Officer Chief Technology Officer Chief Scientist Operations Tim Taylor Rebecca Clary Barbee Ponder General Counsel & VP of Tamer Kadous VP of Financ
Slide 5: Key 2023 figures
Key 2023 figures $116.7m 52% Adjusted EBITDA Adjusted EBITDA margin $223.8m Total revenue $56.7m Millions Total cash Direct and indirect users as of 12/31/2023 5 Connect smarter Refer to "Net income (loss) to adjusted EBIT DA reconciliation" in Appendix.
Slide 6: Financial progress
Financial progress TOTAL REVENUE ADJUSTED EBITDA 34% CAGR 74% CAGR (amounts in thousands) 6 Connect smarter
Slide 7: Multifaceted Growth Opportunity
Multifaceted Growth Opportunity IoT Government Spectrum L: 8.725 MHz Retail S: 16.5 MHz (11.5 Wholesale Consumer MHz Band n53) Consumer C: 339 MHz XCOM RAN Band n53 7 Connect smarter
Slide 8: Global footprint & ground infrastructure
Global footprint & ground infrastructure Globalstar International Terrestrial Status Terrestrial Authority Obtained Kilingi-Nomme, Estonia Nem ea, Greece Du blin, Terrestrial authority in U.S., W a silla, AK Ir eland Canada, Spain & Brazil is 11.5 MHz. High River, Authority over South Africa, Canada
Slide 9: Benefits of Globalstar’s satellite system
Benefits of Globalstar’s satellite system Mid-band spectrum for mobility Focusing remaining system capacity on IoT growth Allows for small, lower cost and energy efficient terminals Bent pipe architecture offers flexibility for ground upgrades Satellite coverage across ~99% of world’s population Low
Slide 10: Commercial IoT products
Commercial IoT products 2-way multimode STX-3 SmartOne C SmartOne Solar ST100 ST150 module and modem • Company’s smallest • Tracking of assets • Tracking of assets • Launched in 2020 • Launched in 2023 • Currently under M2M satellite • Line powered or • Solar power recharges • Satellite transmitter
Slide 11: Key IoT verticals
Key IoT verticals Vertical Illustrative Use Cases Key Partners TAM (2025-2035) • Tracking location of various field assets • Remote monitoring of pumps & • Tank level monitoring compression equipment • Leak detection and pipeline integrity • Flow, pressure and temperature $1-2 billion monitoring at
Slide 12: Retail Consumer
Retail Consumer Consumer / SPOT Voice & Data / Duplex SPOT Trace SPOT X SPOT Gen4 GSP-1700 • Tracking of assets beyond terrestrial • Two-way messaging with SPOT • Next generation SPOT Satellite GPS • Full voice / data capabilities coverage tracking and emergency capabilities Messenger • GSP-1700 -co
Slide 13: Government
Government • While other satellite service providers have benefited greatly from government contracts, this segment has historically been a small contributor to Globalstar revenue. • The recently announced contract is expected to escalate to a minimum of $20 million in the final year of the contract
Slide 14: Terrestrial spectrum & technology
Terrestrial spectrum & technology • Band n53 is a uniform and increasingly “borderless” spectrum resource. • Band n53 offers users reliable connectivity for important and high-value use cases. • Globalstar seeks to generate recurring revenue from its partners, including cable companies, legacy or up
Slide 15: Private 5G TAM
Private 5G TAM U.S. Private 5G Network Market 40 36.0 36 50% US Market CAGR 32 2023 - 2030 • Driven by high-value applications: 28.6 28 • Industry 4.0 sensor-based technologies • Industrial robots $US bn 24 22.1 20 • Reliable capacity Backhaul & Transport Radio Access Network 1 6.4 16 • Secure bandw
Slide 16: XCOM RAN benefits
• >4X increased capacity over baseline 5G NR systems • Fully standards-based system – no changes to devices or radio XCOM RAN hardware • Unlike WiFi, no handoff issues between radios within a sector, which benefits is critical for advanced distribution facilities relying on automation • Already bein
Slide 17: Assets, leadership and opportunity
Assets, leadership and opportunity Unique and irreplicable satellite assets and worldwide spectrum authorizations in multiple favorable bands. Core 1 MSS business operating for 20 years & generating >$100mm revenue annually. Wholesale business brought innovative direct-to-device services to market,
Slide 18: Q&A Session
Q&A Session 18 Connect smarter
Slide 19: Contact us
Contact us Investor contact information investorrelations@globalstar.com 19 Connect smarter
Slide 20: Appendix
Appendix 20 Connect smarter
Slide 21: Net income (loss) to adjusted EBITDA reconciliation
Net income (loss) to adjusted EBITDA reconciliation (in thousands) 2023 Net loss $ (24,718) Interest income and expense, net 14,609 Derivative gain (1,588) Income tax expense 1,123 Depreciation, amortization and accretion 88,191 EBITDA $ 77,617 Non-cash compensation 22,489 Non-cash consideration und
Slide 22: Capitalization table
Capitalization table (in millions, except for per share price) March 31, 2024 Share price (as of 5/28/24) $ 1.09 Basic shares outstanding 1,882.61 Plus: Treasury method shares 105.96 Adjusted total shares outstanding 1,988.57 Market capitalization $ 2,167.54 Debt outstanding $ 434.45 Preferred equit
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