Iridium Q3 2026 revenue rises 8% to $246M
A $103.9 million Aireon-related gain was included in net income; OEBITDA was $135.6 million.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Form Type
8-K
Rhea-AI Filing Summary
Iridium Communications Inc. (IRDM) reported third-quarter 2026 revenue of $245.7 million, up 8% year over year, while service revenue rose 13%. Net income was $106.9 million, compared with $37.1 million a year earlier, primarily reflecting a $103.9 million gain related to the Aireon acquisition; OEBITDA was $135.6 million versus $136.6 million. Billable subscribers totaled 2,696,000, up 6% from a year earlier.
Iridium completed the Aireon acquisition on July 2, 2026. Its stockholders approved Rocket Lab’s acquisition, with 99.6% of votes cast in favor, representing 81.4% of outstanding common shares entitled to vote; completion is expected by mid-2027, subject to remaining regulatory approvals and closing conditions. Iridium reported $2.1 billion in net debt and plans to increase its quarterly dividend to $0.16 per share starting with the fourth-quarter 2026 dividend. The U.S. Space Force extended the EMSS Contract through March 2027 at the same contractual rate.
1 point · 0 major0 major · 1 point
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Positive
- Moderate pointThird-quarter revenue increased 8% to $245.7 million.
Negative
- Moderate pointOperating income was $31.6 million, versus $70.1 million a year earlier.
Filing Explained
For its completed Aireon acquisition, Iridium assumed Aireon’s
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, or exhibit attachments filed with this report.
Key Figures
Total revenue: $245.7 million
Net income: $106.9 million
Operating income: $31.6 million
+5 more
8 metrics
Total revenue
$245.7 million
Third quarter 2026; up 8% year over year
Net income
$106.9 million
Third quarter 2026, compared with $37.1 million in third quarter 2025
Operating income
$31.6 million
Third quarter 2026, compared with $70.1 million in third quarter 2025
Operational EBITDA (OEBITDA)
$135.6 million
Third quarter 2026, compared with $136.6 million in third quarter 2025
Billable subscribers
2,696,000
As of September 30, 2026; up 6% year over year
Gain related to Aireon acquisition
$103.9 million
Included in third-quarter 2026 results
Net debt
$2.1 billion
At the end of the third quarter of 2026
Quarterly dividend
$0.16 per share
Planned starting with the fourth-quarter 2026 dividend
Key Terms
Operational EBITDA (OEBITDA), net leverage, Enhanced Mobile Satellite Services contract, Automatic Dependent Surveillance-Broadcast (ADS-B)
4 terms
Operational EBITDA (OEBITDA) financial
"Operational EBITDA (“OEBITDA”)"
net leverage financial
"net leverage of 4.2 times trailing twelve months OEBITDA"
Net leverage measures how many years it would take for a company to pay off its outstanding debt using its annual operating cash flow, after subtracting cash on hand from total debt. Think of it like a household’s mortgage balance minus savings divided by yearly income; a lower number means the company is in a safer position to handle debt, while a higher number signals greater financial risk and potential pressure on profits or growth.
Enhanced Mobile Satellite Services contract technical
"Enhanced Mobile Satellite Services contract (the “EMSS Contract”)"
Automatic Dependent Surveillance-Broadcast (ADS-B) technical
"space-based Automatic Dependent Surveillance-Broadcast (ADS-B)"
A system in which aircraft automatically broadcast their precise position, speed and identification to air traffic control and other nearby planes using satellite and GPS data. Think of it as a smartphone continuously sharing a plane’s location so controllers and pilots can see traffic more clearly. For investors, ADS-B matters because regulatory mandates and fleet upgrades drive demand for avionics, maintenance and airspace infrastructure spending that affect aerospace and airline revenues and costs.
Earnings Snapshot
Total revenue: $245.7 million
Third quarter 2026
Total revenue
$245.7 million
Up 8% year over year
Net income
$106.9 million
Compared with $37.1 million in third quarter 2025
Operating income
$31.6 million
Compared with $70.1 million in third quarter 2025
Operational EBITDA (OEBITDA)
$135.6 million
Compared with $136.6 million in third quarter 2025
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
How much revenue did IRDM report in the third quarter of 2026?
IRDM reported $245.7 million in total revenue, an 8% year-over-year increase. Service revenue was $187.5 million, up 13%, and commercial service revenue was $159.9 million, up 16%, primarily due to the Aireon acquisition.
What financing did Iridium take on in connection with the Aireon acquisition?
Iridium assumed Aireon’s existing credit facility with an aggregate principal balance of $154.7 million. It also deferred 50% of the purchase price as a $183.4 million loan from the sellers, bearing no interest and maturing one year following closing.
AI-generated analysis. How Rhea-AI works. Not financial advice.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
____________________________________________
FORM 8-K
_____________________________________________
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): October 20, 2026
_____________________________________________
(Exact name of registrant as specified in its charter)
_____________________________________________
| (State or other jurisdiction of incorporation) | (Commission File Number) | (I.R.S. Employer Identification No.) | ||||||
(Address of principal executive offices)
(Registrant’s telephone number, including area code)
_____________________________________________
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol | Name of each exchange on which registered | ||||||||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02 Results of Operations and Financial Condition.
On October 20, 2026 , Iridium Communications Inc. issued a press release announcing its financial results for the second quarter ended September 30, 2026. The text of this press release is attached hereto as Exhibit 99.1. Pursuant to the rules and regulations of the Securities and Exchange Commission, such exhibit and the information set forth therein and herein are deemed to be furnished and shall not be deemed to be filed.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.
| Exhibit Number | Description | ||||||||||
| 99.1 | Press release dated October 20, 2026 | ||||||||||
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document)* | ||||||||||
* Submitted electronically with this Report in accordance with the provisions of Regulation S-T
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
IRIDIUM COMMUNICATIONS INC.
Date: | By: | /s/ Vincent J. O’Neill | ||||||
| Vincent J. O’Neill | ||||||||
| Chief Financial Officer | ||||||||
FOR RELEASE Tuesday, October 20, 2026
Investor Contact: Press Contact:
Kenneth Levy
Iridium Communications Inc.
+1 (703) 287-7570
ken.levy@iridium.com
Jordan Hassin
Iridium Communications Inc.
+1 (703) 287-7421
jordan.hassin@iridium.com
Iridium Announces Third Quarter 2026 Results
Completes acquisition of Aireon; Pending acquisition by Rocket Lab receives stockholder approval
MCLEAN, Va. – October 20, 2026 – Iridium Communications Inc. (Nasdaq: IRDM) (“Iridium” or the “Company”), a leading provider of global voice, data, aircraft surveillance, and positioning, navigation, and timing (PNT) satellite services, today reported financial results for the third quarter of 2026.
Update on Pending Transaction with Rocket Lab
On June 28, 2026, the Company entered into a definitive agreement with Rocket Lab Corporation (Nasdaq: RKLB) (“Rocket Lab”) under which Rocket Lab will acquire the Company. Iridium stockholders approved the transaction at a Special Meeting of Stockholders on September 24, 2026 with 99.6% of the votes cast voting in favor of the transaction, representing 81.4% of Iridium's outstanding shares of common stock entitled to vote. The transaction is expected to be completed by mid-2027, subject to the satisfaction of the remaining regulatory approvals and closing conditions.
“Last month’s stockholder approval for Rocket Lab’s acquisition of Iridium was an important milestone in creating a next generation space powerhouse,” said Matt Desch, CEO, Iridium. Desch continued, “The combination of these two leading space companies will unlock new innovation in the space industry and accelerate our growth in critical space-based missions.”
Third Quarter 2026 Financial Results
Iridium reported third quarter total revenue of $245.7 million, an 8% increase versus the comparable period of 2025. Service revenue grew 13% from the year-ago period, primarily due to the acquisition of Aireon, and was 76% of total revenue for the third quarter of 2026.
Income from Operations
Net income was $106.9 million, or $0.98 per diluted share, for the third quarter of 2026, as compared to net income of $37.1 million, or $0.35 per diluted share, for the third quarter of 2025. The increase was primarily the result of the $103.9 million gain related to the acquisition of Aireon, which is included in the Company’s condensed consolidated statements starting in the third quarter. Operational EBITDA (“OEBITDA”)(1) for the third quarter of 2026 was $135.6 million, as compared to $136.6 million for the prior-year period. The year-over-year change in OEBITDA was partly due to $4.5 million in higher expenses related to the previously disclosed change to pay annual incentive compensation solely in cash.
Subscribers
The Company ended the third quarter with 2,696,000 total billable subscribers, up from 2,542,000 for the year-ago period and 2,627,000 for the quarter ended June 30, 2026. Total billable subscribers grew 6% year-over-year, led by growth in commercial Internet of Things (IoT).
Business Highlights
Service – Commercial
Commercial service remained the largest part of Iridium’s business, representing 65% of the Company’s total revenue during the third quarter. Commercial service revenue was $159.9 million, up 16% from the comparable period last year, primarily due to the acquisition of Aireon. Hosted payload and other data service revenue increased $22.7 million, or 121%, in the third quarter, primarily due to the acquisition of Aireon.
Service – U.S. Government
Government service revenue grew 2% to $27.6 million in the third quarter, reflecting contractual rate increases in the Enhanced Mobile Satellite Services contract (the “EMSS Contract”) over the prior year. The U.S. government continues to be Iridium’s largest single customer, representing 15% of service revenue and nearly all of the Company’s engineering services and support business.
On September 11, 2026, the U.S. Space Force exercised its option to extend the EMSS Contract with Iridium through March 2027, at the same contractual rate. Iridium continues to expect a renewal of the EMSS Contract in 2027.
Equipment
Equipment revenue was $19.0 million in the third quarter, compared to $21.5 million in the prior-year quarter.
Engineering & Support
Engineering and support revenue was $39.2 million during the third quarter, compared to $40.2 million in the prior-year quarter.
Closing of Aireon Acquisition
Iridium completed its acquisition of Aireon, operator of the world's only space-based Automatic Dependent Surveillance-Broadcast (ADS-B) air traffic surveillance system, on July 2, 2026. The acquisition solidifies Iridium as the premier global provider of integrated communications, navigation, and surveillance solutions for airlines and air navigation service providers to enable a safer, more connected, and more efficient aviation ecosystem.
Capital Allocation
Capital expenditures were $27.4 million for the third quarter, including $2.2 million in capitalized interest. The Company ended the third quarter with gross debt of $2.2 billion, and a cash and cash equivalents balance of $97.9 million, for a net debt balance of $2.1 billion.
In conjunction with the Company’s acquisition of Aireon, Iridium assumed Aireon’s existing credit facility with an aggregate principal balance of $154.7 million with a scheduled maturity date of October 10, 2028 and deferred 50% of the purchase price in the form of a $183.4 million loan from the sellers, bearing no interest and maturing one year following closing. The Company also drew $100.0 million on the Company’s revolving credit facility in advance of closing and $50.0 million remained outstanding as of September 30, 2026. The Company ended the third quarter with net leverage of 4.2 times trailing twelve months OEBITDA.
Iridium paid its third quarter dividend of $0.15 per share of common stock on September 30, 2026, resulting in a total payment of $16.3 million to stockholders. The Company’s Board of Directors plans to increase the quarterly dividend to $0.16 per share starting with the fourth quarter 2026 dividend, which would result in a full-year dividend increase of 5.2%.
(1)Non-GAAP Financial Measures & Definitions
In addition to disclosing financial results that are determined in accordance with U.S. GAAP, the Company reports OEBITDA, which is a non-GAAP financial measure, as a supplemental measure to help investors evaluate the Company’s fundamental operational performance. OEBITDA represents earnings before interest, income taxes, depreciation and amortization, gain (loss) on equity method investments, transaction related expenses, and share-based compensation expenses. The Company considers the loss on early extinguishment of debt to be financing-related costs associated with interest expense or amortization of financing fees, which by definition are excluded from OEBITDA. Management believes such charges are incidental to, but not reflective of, the Company’s day-to-day operating performance. OEBITDA does not represent, and should not be considered, an alternative to U.S. GAAP measurements such as net income or loss. In addition, there is no standardized measurement of OEBITDA, and the Company’s calculations thereof may not be comparable to similarly titled measures reported by other companies. The Company believes OEBITDA is a useful measure across time in evaluating its fundamental operational performance. Management also uses OEBITDA to manage the business, including in preparing its annual operating budget, debt covenant compliance, financial projections and compensation plans. The Company believes that OEBITDA is also useful to investors because similar measures are frequently used by securities analysts, investors and other interested parties in their evaluation of companies in similar industries. OEBITDA does not include interest expense on borrowed money, the payment of income taxes, amortization of the Company’s definite-lived intangible assets, or depreciation expense on the Company’s capital assets, which are necessary elements of the Company’s operations. Since OEBITDA does not account for these and other expenses, its utility as a measure of the Company’s operating performance has material limitations. Due to these limitations, the Company’s management does not view OEBITDA in isolation, but also uses other measurements, such as net income, revenues and operating profit, to measure operating performance. Please refer to the schedule below for a reconciliation of consolidated GAAP net income to OEBITDA and Iridium’s Investor Relations webpage at www.iridium.com for a discussion and reconciliation of this and other non-GAAP financial measures.
| Iridium Communications Inc. | ||||||||||||||||||||||||||
| Supplemental Reconciliation of GAAP Net Income to Operational EBITDA | ||||||||||||||||||||||||||
| (In thousands) | ||||||||||||||||||||||||||
| Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||||||||||||
| GAAP net income | $ | 106,896 | $ | 37,127 | $ | 138,169 | $ | 89,507 | ||||||||||||||||||
| Interest expense, net | 26,788 | 22,593 | 65,400 | 67,169 | ||||||||||||||||||||||
| Income tax expense | 2,186 | 10,003 | 14,138 | 19,629 | ||||||||||||||||||||||
| Depreciation and amortization | 62,094 | 52,975 | 169,698 | 157,479 | ||||||||||||||||||||||
| Share-based compensation | 20,231 | 13,155 | 48,972 | 43,992 | ||||||||||||||||||||||
Transaction-related expenses(1) | 21,294 | — | 36,318 | — | ||||||||||||||||||||||
| (Gain) loss on equity method investments | (103,868) | 734 | (101,626) | 2,242 | ||||||||||||||||||||||
| Operational EBITDA | $ | 135,621 | $ | 136,587 | $ | 371,069 | $ | 380,018 | ||||||||||||||||||
(1) Represents direct costs incurred in connection with the evaluation, negotiation, consummation, financing and integration of strategic transactions, including acquisitions, divestitures and investments, whether or not actually completed. These costs generally include legal and advisory fees, severance and other related costs.
About Iridium Communications Inc.
Iridium Communications Inc. (Nasdaq: IRDM) operates the world’s only truly global mobile satellite network. It serves as a platform for innovation, enabling voice, data, and messaging, positioning, navigation, and timing (PNT), and aircraft surveillance services anywhere on Earth. Through its satellite constellation and integrated capabilities like Aireon, the world’s only space-based air traffic surveillance system, Iridium delivers services that support safety-focused operations across aviation, maritime, government, industrial, and consumer markets. The Company is a leader in satellite Internet of Things (IoT) connectivity and is advancing direct-to-device (D2D) communications based on open standards to expand access to satellite services.
Headquartered in McLean, Virginia, Iridium innovates through an ecosystem of more than 500 technology and distribution partners, serving millions of customers worldwide. For more information, visit www.iridium.com.
Forward-Looking Statements
Statements in this press release that are not purely historical facts may constitute forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Iridium has based these statements on its current expectations and the information currently available to it. Forward-looking statements in this press release include statements regarding Iridium’s strategy and growth opportunities; Iridium’s acquisition by Rocket Lab and the benefits and expected timing and completion thereof; the expected benefits of Iridium’s acquisition of Aireon; expectations related to the renewal of the EMSS Contract and the expected timing thereof; and plans regarding Iridium’s quarterly dividends. Forward-looking statements can be identified by the words “anticipates,” “may,” “can,” “believes,” “expects,” “projects,” “intends,” “likely,” “will,” “to be” and other expressions that are predictions or indicate future events, trends or prospects. These forward-looking statements involve known and unknown risks, uncertainties, and other factors that may cause the actual results, performance, or achievements of Iridium to differ materially from any future results, performance or achievements expressed or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to, uncertainties regarding customer demand for Iridium’s products and services, including demand from the U.S. government; Iridium’s ability to maintain the health, capacity and content of its satellite constellation; the development of and market for Iridium’s products and services; increased competition; risks related to Iridium’s pending acquisition by Rocket Lab, including the risk that regulatory approvals or other closing conditions may not be obtained, satisfied or waived, that the proposed transaction may be delayed or not completed, that the anticipated benefits of the proposed transaction may not be realized, the impact of pending or potential litigation relating to the proposed transaction against Rocket Lab, Iridium or their respective directors, managers, or officers, including the effects of any outcomes related thereto, the risk that disruptions from the proposed transaction will harm Rocket Lab’s or Iridium’s businesses, including current plans and operations, or will otherwise divert management time from ongoing business operations on transaction-related issues, potential adverse reactions or changes to business relationships resulting from the announcement or completion of the proposed transaction, fluctuations in, and uncertainty as to the long-term value of, Rocket Lab or Iridium common stock (including as relating to the risk that any announcements related to the proposed transaction could have adverse effects on the market price of such stock), restrictions during the pendency of the proposed transaction that may impact Iridium’s ability to pursue certain business opportunities or strategic transactions, and unexpected costs, charges or expenses resulting from the proposed transaction; risks related to Iridium’s recent acquisition of Aireon; the risk that the EMSS Contract may not be renewed on as favorable terms or at all; changes in trade policy, including tariff rates, as well as general industry and economic conditions; and legal, governmental and technological factors. Other factors that could cause actual results to differ materially from those indicated by the forward-looking statements include those factors listed under the caption “Risk Factors” in the Company’s Form 10-K for the year ended December 31, 2025, filed with the Securities and Exchange Commission (“SEC”) on February 12, 2026, and the Company’s Form 10-Q for the quarter ended September 30, 2026, filed with the SEC on October 20, 2026, as well as other filings Iridium makes with the SEC from time to time. There is no assurance that Iridium’s expectations will be realized. If one or more of these risks or uncertainties materialize, or if Iridium’s underlying assumptions prove incorrect, actual results may differ materially from those expected, estimated or projected. Iridium’s forward-looking statements are based on information available to it as of the date of this press release and speak only as of the date of this press release, and Iridium undertakes no obligation to update forward-looking statements, except as required by applicable law.
| Iridium Communications Inc. | ||||||||||||||
| Condensed Consolidated Statements of Operations | ||||||||||||||
| (In thousands) | ||||||||||||||
| Three Months Ended September 30, | ||||||||||||||
| 2026 | 2025 | |||||||||||||
| Revenue | ||||||||||||||
| Service revenue | ||||||||||||||
| Commercial | $ | 159,925 | $ | 138,333 | ||||||||||
| Government | 27,573 | 26,910 | ||||||||||||
| Total service revenue | 187,498 | 165,243 | ||||||||||||
| Subscriber equipment | 19,045 | 21,507 | ||||||||||||
| Engineering and support service | 39,190 | 40,185 | ||||||||||||
| Total revenue | 245,733 | 226,935 | ||||||||||||
| Operating expenses | ||||||||||||||
| Cost of services (exclusive of depreciation and amortization) | 60,666 | 50,762 | ||||||||||||
| Cost of subscriber equipment sales | 11,609 | 12,661 | ||||||||||||
| Research and development | 4,810 | 4,944 | ||||||||||||
| Selling, general and administrative | 74,936 | 35,508 | ||||||||||||
| Depreciation and amortization | 62,094 | 52,975 | ||||||||||||
| Total operating expenses | 214,115 | 156,850 | ||||||||||||
| Operating income | 31,618 | 70,085 | ||||||||||||
| Other expense, net | ||||||||||||||
| Interest expense, net | (26,788) | (22,593) | ||||||||||||
| Other income, net | 384 | 372 | ||||||||||||
| Total other expense, net | (26,404) | (22,221) | ||||||||||||
| Income before income taxes and gain (loss) on equity method investments, net | 5,214 | 47,864 | ||||||||||||
| Income tax expense | (2,186) | (10,003) | ||||||||||||
| Gain (loss) on equity method investments, net | 103,868 | (734) | ||||||||||||
| Net income | $ | 106,896 | $ | 37,127 | ||||||||||
| Operational EBITDA | $ | 135,621 | $ | 136,587 | ||||||||||
| Iridium Communications Inc. | ||||||||||||||
| Condensed Consolidated Statements of Operations | ||||||||||||||
| (In thousands) | ||||||||||||||
| Nine Months Ended September 30, | ||||||||||||||
| 2026 | 2025 | |||||||||||||
| Revenue | ||||||||||||||
| Service revenue | ||||||||||||||
| Commercial | $ | 424,032 | $ | 394,695 | ||||||||||
| Government | 82,823 | 80,410 | ||||||||||||
| Total service revenue | 506,855 | 475,105 | ||||||||||||
| Subscriber equipment | 60,031 | 64,083 | ||||||||||||
| Engineering and support service | 123,141 | 119,531 | ||||||||||||
| Total revenue | 690,027 | 658,719 | ||||||||||||
| Operating expenses | ||||||||||||||
| Cost of services (exclusive of depreciation and amortization) | 161,616 | 153,152 | ||||||||||||
| Cost of subscriber equipment sales | 38,101 | 36,830 | ||||||||||||
| Research and development | 16,514 | 14,640 | ||||||||||||
| Selling, general and administrative | 187,759 | 115,887 | ||||||||||||
| Depreciation and amortization | 169,698 | 157,479 | ||||||||||||
| Total operating expenses | 573,688 | 477,988 | ||||||||||||
| Operating income | 116,339 | 180,731 | ||||||||||||
| Other expense, net | ||||||||||||||
| Interest expense, net | (65,400) | (67,169) | ||||||||||||
| Other expense, net | (258) | (2,184) | ||||||||||||
| Total other expense, net | (65,658) | (69,353) | ||||||||||||
| Income before income taxes and gain (loss) on equity method investments, net | 50,681 | 111,378 | ||||||||||||
| Income tax expense | (14,138) | (19,629) | ||||||||||||
| Gain (loss) on equity method investments, net | 101,626 | (2,242) | ||||||||||||
| Net income | $ | 138,169 | $ | 89,507 | ||||||||||
| Operational EBITDA | $ | 371,069 | $ | 380,018 | ||||||||||
| Iridium Communications Inc. | |||||||||||||||||||||||||||||||||||
| Summary Revenue and OEBITDA Highlights | |||||||||||||||||||||||||||||||||||
| (In thousands) | |||||||||||||||||||||||||||||||||||
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||||||||||||||
| 2026 | 2025 | % Change | 2026 | 2025 | % Change | ||||||||||||||||||||||||||||||
| Revenue | |||||||||||||||||||||||||||||||||||
Service revenue(1) | |||||||||||||||||||||||||||||||||||
| Commercial service revenue | |||||||||||||||||||||||||||||||||||
| Voice and data | $ | 58,002 | $ | 59,930 | (3) | % | $ | 173,822 | $ | 172,682 | 1 | % | |||||||||||||||||||||||
IoT data(2) | 48,669 | 46,707 | 4 | % | 141,706 | 135,303 | 5 | % | |||||||||||||||||||||||||||
Broadband(3) | 11,822 | 12,970 | (9) | % | 35,718 | 38,570 | (7) | % | |||||||||||||||||||||||||||
Hosted payload and other data service(4) | 41,432 | 18,726 | 121 | % | 72,786 | 48,140 | 51 | % | |||||||||||||||||||||||||||
| Total commercial service revenue | 159,925 | 138,333 | 16 | % | 424,032 | 394,695 | 7 | % | |||||||||||||||||||||||||||
Government service revenue(5) | 27,573 | 26,910 | 2 | % | 82,823 | 80,410 | 3 | % | |||||||||||||||||||||||||||
| Total service revenue | 187,498 | 165,243 | 13 | % | 506,855 | 475,105 | 7 | % | |||||||||||||||||||||||||||
| Subscriber equipment | 19,045 | 21,507 | (11) | % | 60,031 | 64,083 | (6) | % | |||||||||||||||||||||||||||
Engineering and support(6) | |||||||||||||||||||||||||||||||||||
| Commercial | 317 | 1,852 | (83) | % | 3,348 | 5,893 | (43) | % | |||||||||||||||||||||||||||
| Government | 38,873 | 38,333 | 1 | % | 119,793 | 113,638 | 5 | % | |||||||||||||||||||||||||||
| Total engineering and support | 39,190 | 40,185 | (2) | % | 123,141 | 119,531 | 3 | % | |||||||||||||||||||||||||||
| Total revenue | $ | 245,733 | $ | 226,935 | 8 | % | $ | 690,027 | $ | 658,719 | 5 | % | |||||||||||||||||||||||
| Operational EBITDA | |||||||||||||||||||||||||||||||||||
| Operational EBITDA | $ | 135,621 | $ | 136,587 | (1) | % | $ | 371,069 | $ | 380,018 | (2) | % | |||||||||||||||||||||||
| Other | |||||||||||||||||||||||||||||||||||
Capital expenditures(7) | $ | 27,447 | $ | 21,535 | $ | 79,238 | $ | 66,791 | |||||||||||||||||||||||||||
Net debt(8) | $ | 2,061,605 | $ | 1,736,188 | |||||||||||||||||||||||||||||||
| Cash, cash equivalents and marketable securities | $ | 97,853 | $ | 88,533 | |||||||||||||||||||||||||||||||
Gross debt(9) | $ | 2,159,458 | $ | 1,824,721 | |||||||||||||||||||||||||||||||
| Deferred financing costs | (20,130) | (14,878) | |||||||||||||||||||||||||||||||||
| Debt, net | $ | 2,139,328 | $ | 1,809,843 | |||||||||||||||||||||||||||||||
(1) Service revenue consists primarily of subscription-based services which often generate a long-term recurring revenue stream from subscribers.
(2) IoT data service provides a two-way short burst data transmission between Iridium’s network and a telemetry unit, which may be located, for example, on a container in transit or a buoy monitoring oceanographic conditions.
(3) Broadband is comprised of Iridium OpenPort® and Iridium Certus®.
(4) Hosted payload and other data services consist primarily of services that do not have traditional billable subscribers, including hosting and other data services to Iridium’s payload customers, Aireon (through the acquisition date of July 2, 2026), and L3Harris Technologies, Inc. After the Aireon acquisition date, hosted payload services also include revenue associated with Iridium’s space-based ADS-B, air traffic surveillance system, and related data services. Other data services primarily include Iridium’s positioning, navigation and timing service.
(5) Government service revenue consists of voice and IoT data subscription-based services provided to agencies of the U.S. government through prime contracts.
(6) Engineering and support includes engineering services for the Space Development Agency contract and to assist commercial customers in developing new technologies for use on Iridium’s satellite system, as well as maintenance services to the U.S. government’s dedicated gateway.
(7) Capital expenditures based on cash spent in the respective period.
(8) Net debt is calculated as gross debt less cash, cash equivalents, and marketable securities.
(9) Gross debt includes amounts outstanding under Iridium’s Term Loan and Revolving Credit Facility, Aireon’s existing credit facility assumed in the acquisition, and the loan from the Aireon sellers.
| Iridium Communications Inc. | |||||||||||||||||||||||||||||||||||
| Subscriber Highlights | |||||||||||||||||||||||||||||||||||
| (In thousands, except ARPU) | |||||||||||||||||||||||||||||||||||
| As of September 30, | |||||||||||||||||||||||||||||||||||
| 2026 | 2025 | % Change | |||||||||||||||||||||||||||||||||
Billable Subscribers (1) (2) | |||||||||||||||||||||||||||||||||||
| Commercial | |||||||||||||||||||||||||||||||||||
| Voice and data, IoT data and Broadband service | |||||||||||||||||||||||||||||||||||
| Voice and data | 396 | 411 | (4) | % | |||||||||||||||||||||||||||||||
| IoT data | 2,163 | 1,991 | 9 | % | |||||||||||||||||||||||||||||||
Broadband (3) | 16.0 | 16.3 | (2) | % | |||||||||||||||||||||||||||||||
| Total commercial voice and data, IoT data and Broadband service | 2,575 | 2,418 | 6 | % | |||||||||||||||||||||||||||||||
| Government | |||||||||||||||||||||||||||||||||||
| Voice and data and IoT data service | |||||||||||||||||||||||||||||||||||
| Voice and data | 44 | 45 | (2) | % | |||||||||||||||||||||||||||||||
| IoT data | 77 | 79 | (2) | % | |||||||||||||||||||||||||||||||
| Total government voice and data and IoT data service | 121 | 124 | (2) | % | |||||||||||||||||||||||||||||||
| Total billable subscribers | 2,696 | 2,542 | 6 | % | |||||||||||||||||||||||||||||||
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||||||||||||||
| Net Billable Subscriber Additions | |||||||||||||||||||||||||||||||||||
| Commercial | |||||||||||||||||||||||||||||||||||
| Voice and data. IoT data and Broadband service | |||||||||||||||||||||||||||||||||||
| Voice and data | (6) | (4) | (6) | (4) | |||||||||||||||||||||||||||||||
| IoT data | 72 | 67 | 165 | 104 | |||||||||||||||||||||||||||||||
| Broadband | — | — | (0.1) | (0.3) | |||||||||||||||||||||||||||||||
| Total commercial voice and data, IoT data and Broadband service | 66 | 63 | 159 | 100 | |||||||||||||||||||||||||||||||
| Government | |||||||||||||||||||||||||||||||||||
| Voice and data and IoT data service | |||||||||||||||||||||||||||||||||||
| Voice and data | 2 | (4) | 1 | (17) | |||||||||||||||||||||||||||||||
| IoT data | 1 | — | (1) | — | |||||||||||||||||||||||||||||||
| Total government voice and data and IoT data service | 3 | (4) | — | (17) | |||||||||||||||||||||||||||||||
| Total net billable subscriber additions | 69 | 59 | 159 | 83 | |||||||||||||||||||||||||||||||
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||||||||||||||
| 2026 | 2025 | % Change | 2026 | 2025 | % Change | ||||||||||||||||||||||||||||||
ARPU (2) (4) | |||||||||||||||||||||||||||||||||||
| Commercial | |||||||||||||||||||||||||||||||||||
| Voice and data | $ | 48 | $ | 48 | — | % | $ | 48 | $ | 46 | 4 | % | |||||||||||||||||||||||
| IoT data | $ | 7.63 | $ | 7.95 | (4) | % | $ | 7.57 | $ | 7.75 | (2) | % | |||||||||||||||||||||||
| Broadband | $ | 246 | $ | 265 | (7) | % | $ | 248 | $ | 261 | (5) | % | |||||||||||||||||||||||
(1) Subscribers as of the end of the respective period.
(2) Billable subscriber and average monthly revenue per unit (“ARPU”) data is not applicable for hosted payload and other data service revenue items and is excluded from presentation above.
(3) Broadband is comprised of Iridium OpenPort and Iridium Certus.
(4) ARPU is calculated by dividing revenue in the respective period by the average of the number of billable subscribers at the beginning of the period and the number of billable subscribers at the end of the period and then dividing the result by the number of months in the period.