The stock will trade on the pending Rocket Lab acquisition (mid-2027 close) and the Aireon accretion narrative, not the GAAP earnings miss. The $0.09 EPS is noise due to transaction costs. Watch for stockholder vote on the Rocket Lab deal and any updates on the EMSS contract renewal expected by March 2027.
Price Chart
Executive Summary
Iridium reported Q2 2026 revenue of $225.2M (+4% YoY), in line with consensus, but GAAP EPS of $0.09 missed the $0.26 Street estimate by 65%, driven by $14.3M in transaction costs related to the pending Rocket Lab acquisition and the Aireon purchase. The company withdrew financial guidance and suspended conference calls due to the pending acquisition, which is expected to close in mid-2027. The Aireon acquisition closed post-quarter for ~$366.7M, expected to add $100M in annual service revenue and $30M in OEBITDA, partially offsetting the earnings miss.
Key Financial Metrics
Key Facts
- Total revenue of $225.2M, up 4% YoY, in line with consensus of $220.4M.
- GAAP EPS of $0.09, down 55% YoY, a significant miss vs the $0.26 Street consensus.
- Net income fell to $9.7M from $22.0M YoY, driven by $14.3M in transaction costs.
- OEBITDA was $119.1M, down 2% YoY, impacted by a $3.9M cash compensation change.
- Total billable subscribers grew 6% YoY to 2.627M, led by 9% growth in commercial IoT.
- Company withdrew financial guidance and will not hold earnings calls due to the pending Rocket Lab acquisition.
- Closed Aireon acquisition on July 2, 2026 for ~$366.7M, expected to add $100M annual service revenue and $30M OEBITDA.
- Net leverage improved to 3.3x from 3.4x in Q1 2026; cash balance increased to $184.2M.
- Dividend maintained at $0.15/share, paid $16.2M in Q2.
Financial Impact
GAAP EPS miss of $0.17 vs consensus ($0.09 actual vs $0.26 est), a 65% miss. Revenue in line. OEBITDA down 2% YoY. Aireon acquisition adds ~$100M annual revenue.
Risk Factors
- Rocket Lab acquisition may not close or be delayed beyond mid-2027.
- Integration of Aireon may underperform the $100M revenue/$30M OEBITDA target.
- EMSS contract renewal with U.S. Space Force is not yet finalized.
- Net leverage of 3.3x remains elevated; Aireon adds ~$155M in assumed debt.
- No financial guidance or earnings calls until deal closes creates information vacuum.
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001418819-26-000046 |
| Document: irdm-20260722.htm | 0001418819-26-000046 |
| Document: 0001418819-26-000046-index-headers.html | 0001418819-26-000046 |
| Document: 0001418819-26-000046-index.html | 0001418819-26-000046 |
| Document: 0001418819-26-000046.txt | 0001418819-26-000046 |
| 8-K Data (Synthetic) | 0001418819-26-000046 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Sep 15, 2026 17d ago | 425 | $47.09 $48.65 | ▲ +3.31% | ▲ +1.20% | $48.73 (+3.48%) |
Sep 15, 2026 17d ago | 8-K | $47.09 $48.65 | ▲ +3.31% | ▲ +1.20% | $48.73 (+3.48%) |
Sep 3, 2026 28d ago | 425 | $47.21 $46.18 | ▼ −2.18% | ▼ −0.97% | $48.73 (+3.22%) |
Aug 19, 2026 6w ago | Insider Cluster | $48.45 $47.64 | ▼ −1.67% | ▼ −2.79% | $48.73 (+0.58%) |
Aug 19, 2026 6w ago | Insider Cluster | $48.71 $47.20 | ▲ +3.10% | ▲ +2.71% | $48.73 (−0.04%) |
Aug 10, 2026 7w ago | 8-K | $49.38 $49.03 | ▼ −0.71% | ▼ −0.31% | $48.73 (−1.32%) |
Aug 6, 2026 8w ago | 425 | $49.93 $50.20 | ▲ +0.54% | ▲ +0.14% | $48.73 (−2.40%) |
Jul 22, 2026 10w ago | 8-K | $46.86 $44.36 | ▼ −5.33% | ▼ −2.93% | $48.73 (+3.99%) |
Jul 9, 2026 12w ago | Press Release | $50.06 $46.61 | ▲ +6.89% | ▲ +6.33% | $48.73 (+2.66%) |
Jul 6, 2026 12w ago | 425 | $51.09 $48.86 | ▼ −4.36% | ▼ −4.92% | $48.73 (−4.62%) |
US Market Status
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