Slide 1: Earnings Call Presentation Fourth Quarter 2015
Earnings Call Presentation Fourth Quarter 2015 February 25, 2016
Slide 2: Safe Harbor Language
Safe Harbor Language 1 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 unce
Slide 3: Globalstar Board / Management Team Additions
Globalstar Board / Management Team Additions 2 27+ years of experience in the telecommunications sector – experience spans the transformation of modern telco and cable systems into data centric, small cell, macro cell and similar infrastructure Serves as President and CEO of Lightbridge Communic
Slide 4: Global Subscriber Composition
Global Subscriber Composition 3 Note: Duplex composition for prior period excludes the deactivation of certain subscribers across Latin America during Q3 2015. Two-Way Duplex One-Way SPOT and Simplex Gross Subscriber Additions Composition End of Period Subscriber Composition 2014 2015 2014 2015 2014
Slide 5: Second-Generation Ground Rollout – On Track
Second-Generation Ground Rollout – On Track Initial Deliveries North American RAN Installations Rest of the World RAN Installations Complete Complete 2016 Second-Generation Rollout Schedule Summary Successfully completed the radio access network (RAN) deployments in gateways located in the United
Slide 6: Satellite Product Evolution and New Products
Satellite Product Evolution and New Products Existing / Legacy Product Line New Products: Second-Generation Simplex Duplex GSP 1600 GSP 1700 Commercial Sat-Fi Second-Generation Sat-Fi Satellite Transmitter Unit STX2 STX3 Second-Generation Simplex SPOT SPOT Personal Tracker SPOT 2 SPOT Gen3 Turns a
Slide 7: Second-Generation Sat-Fi Capabilities
Second-Generation Sat-Fi Capabilities Wi-Fi 6 Hughes-based mass market product that connects any Wi-Fi enabled device to Globalstar’s satellite network for full data services beyond the range of cellular networks, targeting 2/3rds of the planet beyond terrestrial coverage Dimensions – 3” x 4.5”
Slide 8: Regulatory Process Overview
7 Regulatory Process Overview Nov 2012: GSAT files petition for rulemaking Jan 2013: Conclusion of Comment period for petition Nov 2013: FCC unanimously votes for and releases NPRM Feb 2014: NPRM published in Federal Register May 2014: Comment period end date Jun 2014: Reply comment period end date
Slide 9: Financial Results Summary
Financial Results Summary (1) Adjusted to exclude non-cash compensation expense, reduction in the value of assets, foreign exchange (gains)/losses, R&D costs associated with the development of new products and certain other charges. See reconciliation to GAAP Net Income (loss) on Annex A. (2) Duplex
Slide 10: Service Revenue Highlights
44.4 41.8 287.2 303.6 240.3 265.9 67.4 77.0 - 100.0 200.0 300.0 400.0 500.0 600.0 700.0 800.0 2014 2015 $5.4 $4.2 $8.4 $9.1 $29.1 $33.5 $27.0 $27.4 $0.0 $10.0 $20.0 $30.0 $40.0 $50.0 $60.0 $70.0 $80.0 2014 2015 Service Revenue Highlights 9 Duplex SPOT Simplex IGO / Other ($ in millions) (in thousand
Slide 11: Equipment Revenue Highlights
8.3 10.6 60.5 59.7 62.4 67.1 14.0 21.6 - 20.0 40.0 60.0 80.0 100.0 120.0 140.0 160.0 180.0 2014 2015 $1.2 $1.1 $6.6 $5.3 $6.3 $5.1 $6.2 $4.9 $0.0 $5.0 $10.0 $15.0 $20.0 $25.0 2014 2015 Equipment Revenue Highlights 10 Duplex SPOT Simplex IGO / Other Equipment revenue decreased year-over-year due pr
Slide 12: Liquidity Review
Liquidity Review Liquidity and Capital Sources (excl. operating cash flow) Cash & Cash Eq. Common Stock Purchase Agreement with Terrapin Debt Service Reserve Account Total Liquidity Unrestricted Liquidity $7.5 $60.0 $37.9 $105.4 $67.5 ($ in millions) Note: Balances as of 12/31/15. In February 2016,
Slide 13: Key Value Drivers
Key Value Drivers 12 Diverse product and service offerings across consumer, commercial and government markets New product offerings – Second-Generation Sat-Fi, Simplex and SPOT devices Operational focus expanded to include new territories, such as Latin America and Southern Africa Second-Gen
Slide 14: Annex A – Reconciliation of Adjusted EBITDA
Annex A – Reconciliation of Adjusted EBITDA 13 ($ in millions) Q1 2014 Q2 2014 Q3 2014 Q4 2014 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015 2015 Net Income (loss) ($250.5) ($433.7) $129.4 $92.0 ($462.9) ($129.7) $204.8 $24.1 ($26.8) $72.3 Interest income and expense, net 10.9 13.9 9.1 9.4 43.2 8.5 9.2 9.0 9