Iridium Communications Inc. reported its financial results for the third quarter of 2026, which included the completion of its acquisition of Aireon and stockholder approval for a merger with Rocket Lab.
On October 20, 2026, the company announced that its third quarter total revenue was $245.7 million, an 8% increase compared to the same period in 2025. Service revenue grew 13% year-over-year, reaching $186.9 million, or 76% of total revenue. This growth was primarily attributed to the acquisition of Aireon.
Net income for the quarter was $106.9 million, or $0.98 per diluted share, significantly higher than the $37.1 million, or $0.35 per diluted share, reported in the prior year. The increase was largely driven by a $103.9 million gain related to the Aireon acquisition. Operational EBITDA (OEBITDA) for the quarter was $135.6 million, a slight decrease from the $136.6 million recorded in the prior year.
Iridium ended the third quarter with 2,696,000 total billable subscribers, a 6% increase year-over-year. Commercial service remained the largest segment of the business, representing 65% of total revenue, while government service revenue grew 2% to $27.6 million.
In other business developments, Iridium completed the acquisition of Aireon on July 2, 2026. Additionally, the company announced that Iridium stockholders approved the pending acquisition by Rocket Lab at a Special Meeting on September 24, 2026. With 99.6% of votes cast in favor, the transaction is expected to be completed by mid-2027, subject to regulatory approvals.
Regarding capital allocation, the company ended the quarter with gross debt of $2.2 billion and cash and cash equivalents of $97.9 million, resulting in a net debt balance of $2.1 billion. Iridium paid a quarterly dividend of $0.15 per share in September and plans to increase the dividend to $0.16 per share starting with the fourth quarter of 2026.
