Shares of satellite communications provider fell 12.9% in the morning session after the company reported mixed first quarter 2025 results. Revenue beat expectations by a narrow margin, though earnings beat by a more convincing amount. In addition, the number of subscribers in the broadband and voice segments fell short of expectations, raising concerns about demand.
Zooming out, we think this was a mixed quarter.
Satellite communications provider reported Q1 CY2025 results topping the market’s revenue expectations, with sales up 5.4% year on year to $214.9 million. Its GAAP profit of $0.27 per share was 27% above analysts’ consensus estimates.
Although the S&P 500 is down 7.2% over the past six months, Iridium’s stock price has fallen further to $24.70, losing shareholders 17.7% of their capital. This might have investors contemplating their next move.
Earnings results often indicate what direction a company will take in the months ahead. With Q4 behind us, let’s have a look at Iridium (NASDAQ:IRDM) and its peers.
Business services providers use their specialized expertise to help enterprises streamline operations and cut costs. But cutbacks in corporate spending and the threat of new AI products have kept sentiment in check,
and over the past six months, the industry has tumbled by 2.3%. This drop mirrored the S&P 500’s decline.
The end of an earnings season can be a great time to discover new stocks and assess how companies are handling the current business environment. Let’s take a look at how Globalstar (NASDAQ:GSAT) and the rest of the telecommunication services stocks fared in Q4.
Ark Invest made notable trades on Feb. 28, 2025. They purchased shares in ACHR, RXRX, TEM, and IRDM, while selling shares in TWST, ADYEY, ACCD, and EXAS.
