This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Iridium Announces First-Quarter 2013 Results; Company Affirms 2013 Outlook

MCLEAN, Va., May 2, 2013 (GLOBE NEWSWIRE) -- Iridium Communications Inc. (Nasdaq:IRDM) ("Iridium") today reported financial results for the first quarter of 2013 and affirmed its outlook for the full-year 2013. Net income was $14.9 million, or $0.17 per diluted share, for the first quarter of 2013, as compared to $12.4 million, or $0.16 per diluted share, for the first quarter of 2012. Operational EBITDA ("OEBITDA") (1) for the first quarter was $46.8 million, as compared to $43.9 million for the prior-year period, representing year-over-year growth of 7 percent and an OEBITDA margin (1) of 53 percent. OEBITDA benefited from growth in commercial service revenue and lower operating costs.

Iridium reported first-quarter total revenue of $89.2 million, which consisted of $68.8 million of service revenue and $20.4 million of equipment, engineering and support revenue. Total revenue declined 5 percent versus the comparable period of 2012, while service revenue grew 3 percent from the year-ago period. Total revenue declined largely due to 20 percent lower equipment revenue resulting from fewer overall unit sales. Service revenue, which represents primarily recurring revenue from Iridium's growing subscriber base, was 77 percent of total revenue for the first quarter of 2013 as compared to 72 percent in the year-ago period.

The Company ended the quarter with 621,000 total billable subscribers, which compares to 544,000 for the year-ago period and is up from 611,000 for the quarter ended December 31, 2012. Total billable subscribers grew 14 percent year-over-year, driven by strength in machine-to-machine ("M2M") and commercial voice customers.

"We affirmed our 2013 financial outlook across the board today, while continuing to make strong progress in key strategic areas for our business," said Matt Desch, CEO, Iridium. "Our satellite network continues to perform well, and the Iridium NEXT build remains on budget and on schedule. Our global aviation monitoring venture, Aireon, has also taken a big step forward, recently announcing its first long-term commercial data service contract with NAV CANADA, the world's largest provider of air traffic services for oceanic flights. This transformational new business is really beginning to take shape, as Iridium is now targeting nearly $500 million in revenue from the Aireon opportunity."

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,203.37 -85.26 -0.47%
S&P 500 2,107.78 -9.61 -0.45%
NASDAQ 4,979.9010 -28.1950 -0.56%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs