10-QPeriod: Q1 FY2026

Globalstar, Inc. Quarterly Report for Q1 Ended Mar 31, 2026

Filed May 7, 2026For Securities:GSAT

Summary

Globalstar, Inc. reported a total revenue of $70.1 million for the three months ended March 31, 2026, an increase of 17% from the prior year's $60.0 million. This growth was primarily driven by a 26% increase in wholesale capacity services, largely due to updated service agreements with their primary customer, Apple Inc. Despite revenue growth, the company reported a net loss of $17.4 million for the quarter, a slight increase from the $17.3 million net loss in the same period of 2025. The company's cash position decreased to $358.4 million from $447.5 million, reflecting significant investments in network upgrades and expansion, including for the Extended MSS Network. A significant development disclosed is the pending acquisition of Globalstar by Amazon.com, Inc., announced on April 13, 2026. The transaction is subject to regulatory approvals and other closing conditions, with an expected closing in 2027. This acquisition introduces considerable uncertainty and potential benefits, with stockholders having the option to receive either cash or Amazon stock, subject to proration and potential adjustments based on operational milestones. The company's financial position remains impacted by substantial capital expenditures for network development, which are crucial for fulfilling its contractual obligations with its key customer and for future growth. The company's balance sheet shows total assets of $2.38 billion and total liabilities of $2.03 billion as of March 31, 2026. Key assets include property and equipment, with significant ongoing investments in network infrastructure. Long-term debt stands at $432.2 million. While the company is investing heavily in its future network capabilities, the ongoing net losses and the pending acquisition by Amazon are critical factors for investors to consider.

Financial Highlights

39 data points
Beta

Revenue

$70.06M

Net Income

-$17.42M

-24.9% Net Margin

EPS (Diluted)

$-0.16

Total Assets

$2.38B

Cash & Equivalents

$358.45M

Free Cash Flow

$35.23M

Financial Statements
Beta
Revenue$70.06M
SG&A Expenses$14.83M
Operating Expenses$61.89M
Operating Income$8.17M
Net Income-$17.42M
EPS (Basic)$-0.16
EPS (Diluted)$-0.16
Shares Outstanding (Basic)128.42M
Shares Outstanding (Diluted)128.42M

Key Highlights

  • 1Total revenue increased 17% year-over-year to $70.1 million for Q1 2026, driven by wholesale capacity services.
  • 2Net loss remained consistent at $17.4 million for Q1 2026, compared to $17.3 million in Q1 2025.
  • 3Cash and cash equivalents decreased to $358.4 million as of March 31, 2026, from $447.5 million at year-end 2025, due to capital expenditures.
  • 4The company announced a definitive agreement to be acquired by Amazon.com, Inc. for an expected closing in 2027.
  • 5Significant investments are being made in network upgrades and expansion, particularly for the Extended MSS Network.
  • 6Wholesale capacity services, largely from Apple Inc., accounted for 66% of total revenue in Q1 2026.
  • 7The company continues to manage substantial long-term debt, totaling $432.2 million as of March 31, 2026.

Frequently Asked Questions

The most significant event is the announced definitive agreement for Amazon.com, Inc. to acquire Globalstar, Inc., which was entered into on April 13, 2026. The transaction is expected to close in 2027, subject to regulatory approvals and other customary closing conditions. This acquisition will fundamentally change Globalstar's ownership structure and operations.

Globalstar's total revenue increased by 17% to $70.1 million in the first quarter of 2026 compared to the same period in 2025. This growth was primarily driven by a 26% increase in wholesale capacity services, which represented 66% of total revenue and is largely attributable to updated service agreements with its major customer (Apple Inc.). Commercial IoT revenue also saw a 13% increase.

Globalstar reported a net loss of $17.4 million for the quarter ended March 31, 2026, which is similar to the prior year's loss. While the company generated positive cash flow from operations ($35.2 million for the quarter), its cash and cash equivalents decreased to $358.4 million from $447.5 million due to substantial investments in network upgrades and expansion. The company has total assets of $2.38 billion and total liabilities of $2.03 billion, including $432.2 million in long-term debt.

Globalstar has a significant strategic relationship with Apple Inc. ('the Customer') through updated service agreements related to an Extended MSS Network. Apple is Globalstar's largest customer, accounting for 66% of revenue in Q1 2026. Apple has prepaid and is required to continue prepaying for services, and has also made substantial prepayments for capital expenditures related to the Extended MSS Network. This relationship is crucial to Globalstar's current and future business.