In This Article:
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Total Revenue: $26.9 million for Q4 2024, a 4.5% decrease from Q4 2023.
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Airtime Gross Margin: 28.2% in Q4, down from 36.5% in the prior quarter.
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Excluding Depreciation Airtime Gross Margin: 41.4% in Q4, compared to 48.6% in the prior quarter.
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Total Subscribing Vessels: Just below 7,100 at the end of Q4, approximately 4% up from the prior quarter.
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Product Gross Profit: $0.3 million in Q4, compared to a negative $0.6 million in Q4 of the previous year.
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Operating Expenses: $9.3 million in Q4, down $1 million or 10% from the prior quarter.
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Adjusted EBITDA: $0.5 million for Q4.
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Capital Expenditures: $0.8 million for Q4.
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Adjusted EBITDA less CapEx: Negative $0.3 million for Q4.
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Ending Cash Balance: $50.6 million, up approximately $0.8 million from the beginning of the quarter.
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2025 Revenue Guidance: $115 million to $125 million.
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2025 Adjusted EBITDA Guidance: $9 million to $15 million.
Release Date: March 06, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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KVH Industries Inc (NASDAQ:KVHI) has successfully transitioned to offering multi-orbit multi-channel solutions, including LEO solutions like Starlink, which is the fastest growing product line in the company's history.
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The company shipped over 1,000 Starlink units and 200 VSAT terminals in the fourth quarter, marking a record for terminal shipments.
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KVH Industries Inc (NASDAQ:KVHI) has expanded its portfolio with the Commbox Edge, a cutting-edge appliance for advanced remote bandwidth management, and demand for this product remains strong.
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The introduction of the TracNet Coastal Cellular Wi-Fi system offers high-speed data at competitive costs, enhancing the company's connectivity solutions.
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KVH Industries Inc (NASDAQ:KVHI) has added OneWeb to its satellite communications service portfolio, positioning the company for future growth with hybrid connectivity solutions.
Negative Points
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Total revenue for the fourth quarter was $26.9 million, a 4.5% decrease from the fourth quarter of 2023.
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Airtime gross margin decreased to 28.2% from the prior quarter's 36.5%, primarily due to churn from the geo-based VSAT network.
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The company experienced a contraction in non-US Coast Guard GEO Airtime revenue by around $1 million in the fourth quarter.
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Adjusted EBITDA less CapEx was negative $0.3 million for the fourth quarter, indicating challenges in generating free cash flow.
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The company anticipates continued revenue contraction in 2024, although it has implemented cost reduction initiatives to mitigate this impact.