Globalstar Reports Q2 2026 Revenue Decline to $64.8 Million, Net Loss of $26.5 Million

Globalstar, Inc. reported a total revenue of $64.8 million for the second quarter of 2026, a decrease of 3% compared to $67.1 million in the same period of 2025. For the first half of 2026, revenue increased by 6% to $134.8 million from $127.2 million year-over-year. The decline in quarterly revenue was primarily attributed to fluctuations in wholesale capacity services, which accounted for 62% of total revenue in Q2 2026. Service revenue, which includes wholesale capacity services and subscriber services, totaled $60 million for the quarter, down from $63.2 million in Q2 2025. Subscriber equipment sales also rose to $4.8 million, up from $3.9 million in the prior year.

The company's operating expenses increased to $69.5 million in Q2 2026 from $61 million in Q2 2025, driven by higher costs in services and marketing, general, and administrative expenses. Notably, marketing and administrative costs surged by $13.3 million due to increased legal and professional fees related to the pending merger with Amazon. The net loss for the quarter was $26.5 million, compared to a net income of $19.2 million in the same quarter last year. For the first half of 2026, the net loss totaled $41.4 million, a significant decline from a net income of $1.9 million in the first half of 2025.

Globalstar's subscriber base reached approximately 811,000 as of June 30, 2026, reflecting a 4% increase from the previous year. The company reported a 9% rise in average subscribers for its Commercial IoT services, while SPOT and Duplex services saw declines in subscriber numbers. The average revenue per user (ARPU) for Commercial IoT remained stable at $4.31, while SPOT and Duplex ARPU showed slight increases. The company continues to focus on expanding its service offerings and enhancing its satellite network capabilities.

Strategically, Globalstar is in the process of merging with Amazon, a move that is expected to close in 2027, pending regulatory approvals. The merger is anticipated to enhance Globalstar's operational capabilities and market reach. The company has also made significant investments in upgrading its satellite infrastructure, with plans to launch new satellites in August 2026. As of June 30, 2026, Globalstar's cash and cash equivalents stood at $409.8 million, down from $447.5 million at the end of 2025, reflecting ongoing capital expenditures related to network upgrades and satellite launches.

Looking ahead, Globalstar aims to leverage its strategic partnership with Amazon to expand its service offerings and improve operational efficiencies. The company is also focused on achieving key milestones related to its satellite network, which are critical for the successful execution of the merger and future growth. Despite the current financial challenges, Globalstar's management remains optimistic about the long-term prospects of the business, driven by its unique market position and ongoing investments in technology and infrastructure.