Globalstar, whose satelitte-based messaging systems and modems are popular with outdoor explorers, reported total revenue of $18.3 million in the quarter ended March 31, up 17.3 percent from the $15.6 million in the same quarter a year earlier. The company lost $2.5 million on an Adjusted EBITDA basis, up from its loss of $1.8 million a year earlier. Net loss, however, dropped sharply for the quarter, falling to $6.5 million from $35.6 million in the comparable three-month period in 2010.
Globalstar provides satellite-based voice and data services to a broad array of customers in the maritime, energy, government, mining, forestry, commercial fishing and military sectors, but is now targeting consumers with its SPOT Connect line of devices and services. SPOT Connect provides one-way messaging connectivity using the Globalstar satellite network for sending GPS location-based messages from anywhere within its global coverage area including areas far beyond the range of cellular phone coverage. By downloading the SPOT Connect app, SPOT Connect wirelessly synchs via Bluetooth with smartphone operating systems. SPOT Satellite GPS Messenger(TM) features are then initiated using the SPOT Connect app on the smartphone device.
On March 18, 2011, the Federal Communications Commission (FCC) granted Globalstar conditional authority to operate its second-generation satellites within the United States. This authority will become effective once Globalstar completes registration of the constellation with France, which is expected to occur in the near future. Once completed, Globalstar will activate its North American ground stations, thus improving coverage availability for Globalstar voice and duplex data customers in the United States, Canada, Northern Mexico, Puerto Rico and the surrounding regions.
“With the introduction and delivery of our award-winning and revolutionary SPOT Connect, we continued to execute on our strategy to develop Globalstar’s lineup of innovative consumer solutions, designed to further expand the global marketplace for mobile satellite products and services,” said Chief Executive Officer Peter Dalton.
