We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
AST SpaceMobile to Post Q2 Earnings: What's in the Cards?
Read MoreHide Full Article
Key Takeaways
{\"0\":\"ASTS will report Q2 results on Aug. 11, with revenues expected to rise from $1M to $5.15M year over year.\",\"1\":\"ASTS\' deal with Vi targets Indias vast mobile base with direct-to-smartphone satellite service.\",\"2\":\"Challenging macro conditions continue to weigh on ASTS\' operational performance.\"}
AST SpaceMobile (ASTS - Free Report) is set to report its second-quarter 2025 results on Aug. 11, after the closing bell. In the last reported quarter, the company delivered a negative earnings surprise of 17.65%, with the bottom line missing the Zacks Consensus Estimate by 3 cents.
However, the company is expected to report a top-line improvement year over year, backed by healthy momentum in both the government and private sectors.
Factors at Play for ASTS’ Q2
During the quarter, ASTS entered into a strategic partnership with Vodafone Idea (Vi), a major network service provider in India, to bring satellite-based mobile connectivity directly to smartphones across the country. With 1.1 billion mobile subscriber bases, India is one of the world’s largest and dynamic telecom markets.
Under this partnership, AST SpaceMobile will deploy and manage the satellite constellation, while Vi will manage the terrestrial network integration. Once operational, this will open up new possibilities in the domain of emergency response, disaster management, agriculture, remote learning, remote work and various other applications. The company also collaborated with Fairwinds Technologies to evaluate the applicability of space-based mobile broadband in defense applications.
In the quarter under review, the company has retired $225 million aggregate principal amount of the 2032 convertible notes to reduce its debt burden and cash interest obligations. This represents approximately half of the 2032 convertible notes, with an aggregate principal amount of about $235 million remaining outstanding. This has enabled ASTS to free up cash for research and development activities to propel long-term growth. These developments are likely to have a favorable impact on the company’s earnings in the to-be-reported quarter.
However, the company operates in a highly competitive market. It faces competition from new industry leaders like SpaceX’s Starlink and Globalstar, which are developing satellite communications technology using LEO constellations. Unfavorable macroeconomic conditions continue to impact its operations.
For the June quarter, the Zacks Consensus Estimate for total revenues is pegged at $5.15 million, indicating growth from $1 million a year ago.
The consensus estimate for adjusted earnings per share indicates a loss of 19 cents per share. It incurred a loss of 14 cents per share in the year-ago quarter.
Earnings Whispers for ASTS
Our proven model does not conclusively predict an earnings beat for AST SpaceMobile this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. That is not the case here.
ASTS’ Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, for ASTS is +26.32%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: AST SpaceMobile currently has a Zacks Rank #5 (Strong Sell).
Stocks to Consider
ere are some companies you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat this season.
Nice (NICE - Free Report) is set to release quarterly numbers on Aug. 14. It has an Earnings ESP of +0.88% and carries a Zacks Rank #3 at present.
The Earnings ESP for Plug Power Inc. (PLUG - Free Report) is +2.44% and it carries a Zacks Rank of 3. The company is scheduled to report quarterly numbers on Aug. 11.
The Earnings ESP for Genpact Limited (G - Free Report) is +0.78% and it carries a Zacks Rank of 2. The company is scheduled to report quarterly numbers on Aug. 7.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
AST SpaceMobile to Post Q2 Earnings: What's in the Cards?
Key Takeaways
AST SpaceMobile (ASTS - Free Report) is set to report its second-quarter 2025 results on Aug. 11, after the closing bell. In the last reported quarter, the company delivered a negative earnings surprise of 17.65%, with the bottom line missing the Zacks Consensus Estimate by 3 cents.
However, the company is expected to report a top-line improvement year over year, backed by healthy momentum in both the government and private sectors.
Factors at Play for ASTS’ Q2
During the quarter, ASTS entered into a strategic partnership with Vodafone Idea (Vi), a major network service provider in India, to bring satellite-based mobile connectivity directly to smartphones across the country. With 1.1 billion mobile subscriber bases, India is one of the world’s largest and dynamic telecom markets.
Under this partnership, AST SpaceMobile will deploy and manage the satellite constellation, while Vi will manage the terrestrial network integration. Once operational, this will open up new possibilities in the domain of emergency response, disaster management, agriculture, remote learning, remote work and various other applications. The company also collaborated with Fairwinds Technologies to evaluate the applicability of space-based mobile broadband in defense applications.
In the quarter under review, the company has retired $225 million aggregate principal amount of the 2032 convertible notes to reduce its debt burden and cash interest obligations. This represents approximately half of the 2032 convertible notes, with an aggregate principal amount of about $235 million remaining outstanding. This has enabled ASTS to free up cash for research and development activities to propel long-term growth. These developments are likely to have a favorable impact on the company’s earnings in the to-be-reported quarter.
However, the company operates in a highly competitive market. It faces competition from new industry leaders like SpaceX’s Starlink and Globalstar, which are developing satellite communications technology using LEO constellations. Unfavorable macroeconomic conditions continue to impact its operations.
For the June quarter, the Zacks Consensus Estimate for total revenues is pegged at $5.15 million, indicating growth from $1 million a year ago.
The consensus estimate for adjusted earnings per share indicates a loss of 19 cents per share. It incurred a loss of 14 cents per share in the year-ago quarter.
Earnings Whispers for ASTS
Our proven model does not conclusively predict an earnings beat for AST SpaceMobile this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. That is not the case here.
ASTS’ Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, for ASTS is +26.32%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
AST SpaceMobile, Inc. Price and EPS Surprise
AST SpaceMobile, Inc. price-eps-surprise | AST SpaceMobile, Inc. Quote
Zacks Rank: AST SpaceMobile currently has a Zacks Rank #5 (Strong Sell).
Stocks to Consider
ere are some companies you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat this season.
Nice (NICE - Free Report) is set to release quarterly numbers on Aug. 14. It has an Earnings ESP of +0.88% and carries a Zacks Rank #3 at present.
The Earnings ESP for Plug Power Inc. (PLUG - Free Report) is +2.44% and it carries a Zacks Rank of 3. The company is scheduled to report quarterly numbers on Aug. 11.
The Earnings ESP for Genpact Limited (G - Free Report) is +0.78% and it carries a Zacks Rank of 2. The company is scheduled to report quarterly numbers on Aug. 7.