Orbsat Corp Stock price
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Key metrics
📘 Market Capitalization
📈 What is it?
Market capitalization shows how much a company is currently worth on the stock market.
🧮 How is it calculated?
🏛️ Why is it important?
It helps classify companies by size (Large, Mid, Small Cap) and indicates their market presence and relative stability.
🧮 Calculation
🎯 What does this mean for investors?
- Large-cap companies tend to be more stable, often pay dividends, but may grow more slowly.
- Smaller firms may offer higher growth potential but come with more volatility.
- Market capitalization is a useful indicator of company size — but not a measure of whether a stock is undervalued or overvalued.
📘 Enterprise Value (EV)
📈 What is it?
Enterprise Value represents the total cost to acquire a company — including its debt and excluding its cash reserves.
🧮 How is it calculated?
(= Market Cap + Net Debt)
🏛️ Why is it important?
EV gives a more complete picture of a company's value than market cap alone and is used in key valuation ratios like EV/FCF or EV/Sales.
🧮 Calculation
🎯 What does this mean for investors?
- Enterprise Value shows the true cost of buying a company, including all financial obligations.
- It is more accurate than just looking at market cap, especially when comparing companies with different levels of debt or cash.
- Professional investors prefer EV-based multiples because they better reflect the company’s full financial footprint.
📘 Net Debt
📈 What is it?
Net Debt shows how much debt remains after subtracting a company’s available cash reserves.
🧮 How is it calculated?
🏛️ Why is it important?
It indicates how dependent a company is on borrowed money and how easily it can service its debt in the short term.
🧮 Calculation
🎯 What does this mean for investors?
- Low or negative net debt signals financial strength and flexibility.
- Companies with strong cash positions are better positioned in crises.
- High net debt increases financial risk — especially in environments with rising interest rates or economic downturns.
📘 Cash
📈 What is it?
Cash represents all liquid assets a company can access immediately — including cash, bank deposits, and short-term investments.
🧮 How is it calculated?
🏛️ Why is it important?
It reflects a company’s financial flexibility and resilience — enabling investments, buybacks, or buffer in downturns.
🧮 Calculation
🎯 What does this mean for investors?
- A strong cash position means greater room for maneuver and crisis resistance.
- Cash-rich companies can invest, pay down debt, or repurchase shares.
- But excess idle cash might indicate a lack of growth opportunities.
📘 Shares Outstanding
📈 What is it?
Shares outstanding represent the total number of a company’s shares currently held by investors — excluding treasury stock.
🧮 How is it calculated?
🏛️ Why is it important?
It’s the basis for key metrics like Earnings Per Share (EPS), Market Capitalization, or the Price/Earnings ratio (P/E).
🧮 Calculation
🎯 What does this mean for investors?
- Fewer shares in circulation typically increase earnings per share — making each share more valuable.
- Share buybacks reduce the number of shares and boost per-share metrics.
- Issuing new shares does the opposite — diluting shareholder value and lowering per-share figures.
📘 Price-to-Earnings Ratio (P/E)
📈 What is it?
The P/E ratio shows how many times a company's earnings per share are reflected in its current share price — in other words, how "expensive" the stock appears relative to its profits.
🧮 How is it calculated?
🏛️ Why is it important?
The P/E ratio is one of the most widely used valuation metrics. It helps investors assess whether a stock appears cheap or expensive compared to its earnings power.
🧮 Calculation
📊 P/E (TTM) = Based on earnings from the last 12 months (Trailing Twelve Months):🎯 What does this mean for investors?
- A low P/E may indicate undervaluation — or signal underlying issues.
- A high P/E may reflect strong growth expectations — or an overvalued stock.
📘 Price-to-Sales Ratio (P/S)
📈 What is it?
The P/S ratio shows how much investors are paying for $1 of the company’s revenue – regardless of profitability.
🧮 How is it calculated?
🏛️ Why is it important?
P/S is especially useful for evaluating growth companies or businesses not yet profitable. It reflects how the market values the company’s sales.
🧮 Calculation
Market Cap = $23.06m | Revenue (TTM) = $48.29m
Market Cap = $23.06m | Estimated Revenue = $50.73m
🎯 What does this mean for investors?
- A low P/S may indicate undervaluation — or low profitability.
- A high P/S can reflect strong growth expectations — or excessive optimism.
- Especially helpful when evaluating companies where profits are low, volatile, or negative.
📘 Enterprise Value to Sales (EV/Sales)
📈 What is it?
EV/Sales shows how much investors are paying for $1 of revenue — considering not just equity, but also debt and cash. It’s the capital structure–adjusted version of the P/S ratio.
🧮 How is it calculated?
🏛️ Why is it important?
It’s ideal for comparing companies with different levels of debt. It reflects a company's true cost relative to its revenue.
🧮 Calculation
Enterprise Value = $12.12m | Revenue (TTM) = $48.29m
Enterprise Value = $12.12m | Forward Revenue = $50.73m
🎯 What does this mean for investors?
- EV/Sales allows for capital structure–neutral company comparisons.
- A lower ratio may indicate undervaluation; a higher one may signal strong growth expectations or overvaluation.
- Especially helpful when evaluating high-growth companies with low or negative earnings.
📘 Enterprise Value to Free Cash Flow (EV/FCF) | ex SBC
📈 What is it?
EV/FCF compares a company’s enterprise value with its free cash flow. The metric therefore shows the multiple of current free cash flow at which a company is valued. EV/FCF ex SBC additionally accounts for stock-based compensation (SBC). While SBC does not represent a direct cash outflow, issuing shares as compensation can dilute existing shareholders. Therefore, SBC is deducted from free cash flow in this adjusted version.
🧮 How is it calculated?
EV/FCF ex SBC = Enterprise Value ÷ (Free Cash Flow (TTM) − SBC)
🏛️ Why is it important?
EV/FCF provides a valuation based on free cash flow and therefore complements earnings-based valuation metrics such as the P/E ratio. The ex SBC version additionally accounts for the economic impact of stock-based compensation and provides a more conservative view from a shareholder perspective.
🧮 Calculation
🎯 What does this mean for investors?
- A low EV/FCF means that enterprise value is low relative to current free cash flow. The reasons should always be considered in the context of the company and its industry.
- A high EV/FCF means that enterprise value is high relative to current free cash flow. This can, for example, reflect high growth expectations or temporarily weak cash generation.
- When SBC is positive and adjusted free cash flow remains positive, EV/FCF ex SBC is generally higher than the standard EV/FCF.
- The metric is particularly useful for companies with relatively stable and predictable cash flows.
- If free cash flow is negative or very low, EV/FCF has limited usefulness and should not be interpreted like a standard valuation multiple.
📘 Price-to-Book Ratio (P/B)
📈 What is it?
The P/B ratio compares a company’s market value to its book value — showing how much investors are paying for each dollar of net assets.
🧮 How is it calculated?
🏛️ Why is it important?
P/B is commonly used for asset-heavy industries like banks or industrials. It helps assess whether a stock is trading above or below its net asset value.
🧮 Calculation
🎯 What does this mean for investors?
- A P/B below 1 may signal undervaluation — or weak profitability.
- A P/B above 1 implies the market expects future value creation (e.g., brand, IP, growth).
- Best used for companies with tangible assets and strong balance sheets.
📘 Equity Ratio
📈 What is it?
The equity ratio indicates what portion of a company’s total assets is financed by shareholders’ equity – in other words, how much it relies on its own capital.
🧮 How is it calculated?
🏛️ Why is it important?
A high equity ratio reflects financial strength and stability, especially during downturns. It’s a key indicator of a company’s solvency and long-term risk profile.
🧮 Calculation
🎯 What does this mean for investors?
- Companies with high equity ratios are generally more resilient and less dependent on external debt.
- Low equity ratios can signal higher risk or aggressive financial strategies.
- Important: Always assess the equity ratio in combination with the return on equity (ROE). This shows not just how stable the company is – but also how efficiently it uses shareholder capital.
📘 Return on Equity (ROE)
📈 What is it?
Return on equity (ROE) shows how efficiently a company uses its shareholders’ equity to generate profit. In other words: how much net income is earned per dollar of equity.
🧮 How is it calculated?
🏛️ Why is it important?
ROE is a core profitability metric. It helps investors understand whether a company delivers attractive returns on the capital provided by its shareholders.
🧮 Calculation
🎯 What does this mean for investors?
- A high ROE indicates that the company is using its capital efficiently and profitably.
- It’s especially meaningful for capital-intensive businesses or firms with high equity bases.
- Important: A very high ROE can also result from high debt levels – always interpret it alongside the equity ratio to assess financial health.
📘 Return on Capital Employed (ROCE)
📈 What is it?
ROCE measures how efficiently a company generates profits from its total capital – including both equity and interest-bearing debt.
🧮 How is it calculated?
It evaluates the return on all capital employed, regardless of how it’s financed.
🏛️ Why is it important?
ROCE is ideal for comparing companies with different financing structures. It shows how well management uses capital to create value for both shareholders and creditors.
🧮 Calculation
🎯 What does this mean for investors?
- A high ROCE means the company uses its capital efficiently – regardless of whether it's funded by debt or equity.
- The higher the ROCE compared to peers, the more value the company creates with its invested capital.
- Especially relevant for capital-intensive sectors like industrials, energy, or infrastructure.
📘 Return on Invested Capital (ROIC)
📈 What is it?
ROIC measures how efficiently a company generates returns from the capital invested in its core operations – regardless of whether the capital comes from equity or debt.
🧮 How is it calculated?
- NOPAT = Net Operating Profit After Taxes
- Invested Capital = Operating assets minus non-interest-bearing liabilities
🏛️ Why is it important?
ROIC is one of the most accurate indicators of capital efficiency. Unlike return on equity, it is not distorted by leverage and shows how much value is created for all capital providers.
🧮 Calculation
🎯 What does this mean for investors?
- A high ROIC shows how effectively a company uses the capital that is truly invested in its core operations.
- Unlike ROCE, ROIC focuses only on the capital that is actively used to run the business – and that requires a return (i.e. interest-bearing).
- Especially useful when comparing companies with large amounts of excess cash or non-interest-bearing liabilities – giving a more realistic picture of capital efficiency.
📘 Leverage Ratio (Debt-to-Equity)
📈 What is it?
The leverage ratio indicates how much a company relies on interest-bearing debt (such as loans and bonds) relative to its shareholders’ equity.
🧮 How is it calculated?
🏛️ Why is it important?
This ratio helps assess a company’s financial structure and risk profile. High leverage can enhance returns – but also increases exposure to interest rate changes and financial stress.
🧮 Calculation
🎯 What does this mean for investors?
- A low leverage ratio signals financial strength and independence.
- A higher ratio can improve returns in good times but increases risk during downturns or rising interest rate periods.
- 👉 Always interpret in the context of industry, capital intensity, and interest rate environment.
📘 Revenue
📈 What is it?
Revenue shows how much a company earns in total from selling its products and services – the gross income before any costs are deducted.
🧮 How is it calculated?
🏛️ Why is it important?
Revenue is one of the key figures to assess a company’s size, market position, and growth potential.
🧮 Calculation
🎯 What does this mean for investors?
- Growing revenue indicates rising demand and can be an early signal of future earnings growth.
- Comparing actual and expected revenue reveals trends in the market environment and analyst sentiment.
- Note: Strong revenue alone isn’t enough – margins and profitability matter just as much.
📘 EBITDA
📈 What is it?
EBITDA stands for “Earnings Before Interest, Taxes, Depreciation, and Amortization.” It reflects a company’s operating profit before the effects of financing, taxes, and accounting depreciation.
🧮 How is it calculated?
🏛️ Why is it important?
EBITDA is widely used to evaluate a company’s operating performance – especially across capital-intensive sectors or international comparisons.
🧮 Calculation
🎯 What does this mean for investors?
- A high or growing EBITDA indicates strong operational profitability – independent of taxes, interest, or accounting methods.
- It’s especially useful for comparing companies across sectors or geographies.
- Important: EBITDA is not a net income figure – it excludes key costs like depreciation and interest.
📘 EBIT
📈 What is it?
EBIT stands for “Earnings Before Interest and Taxes.” It reflects a company’s operating profit after depreciation, but before interest and tax expenses.
🧮 How is it calculated?
🏛️ Why is it important?
EBIT is a core profitability metric that shows how well the company performs in its main business operations – independent of capital structure and tax environment.
🧮 Calculation
🎯 What does this mean for investors?
- A high EBIT indicates strong profitability from the company’s core business – before financial and tax effects.
- It allows better comparison between companies with different debt levels or tax structures.
- Compared to EBITDA, EBIT already accounts for depreciation and reflects capital intensity more clearly.
📘 Net Income
📈 What is it?
Net income is the company’s total profit – the amount left after all expenses, taxes, interest, and depreciation have been deducted.
🧮 How is it calculated?
🏛️ Why is it important?
Net income is the most comprehensive measure of a company’s profitability – showing how much actual profit remains after all business and financing costs.
🧮 Calculation
🎯 What does this mean for investors?
- Growing net income indicates that the company is managing all of its costs efficiently.
- It directly influences valuation metrics like P/E ratio and the company’s dividend capacity.
- Over time, net income trends reveal how resilient and profitable the business model really is.
📘 Free Cash Flow (FCF) | ex SBC
📈 What is it?
Free cash flow shows how much cash remains after a company has covered its operating and capital expenditures. FCF ex SBC additionally deducts stock-based compensation (SBC) to adjust the cash flow for the effect of non-cash SBC.
🧮 How is it calculated?
Free Cash Flow ex SBC = Operating Cash Flow − SBC − Capital Expenditures (CAPEX)
🏛️ Why is it important?
FCF reflects a company’s actual financial strength – independent of reported accounting earnings. It shows how much flexibility a company has for dividends, share buybacks, or debt reduction. FCF ex SBC also deducts stock-based compensation and shows how much cash generation remains after SBC.
🧮 Calculation
🎯 What does this mean for investors?
- High free cash flow indicates that a company has strong financial strength – independent of reported earnings.
- It is often a solid basis for sustainable dividends and share buybacks.
- Declining FCF can be a warning sign, even if reported earnings remain stable.
📘 Revenue Growth
📈 What is it?
Revenue growth shows how much a company’s sales have changed compared to the previous year – both on a trailing basis (TTM) and based on forward projections.
🧮 How is it calculated?
Forward = (Expected revenue ÷ Revenue in prior year − 1) × 100
Forward growth is based on analyst estimates for the current fiscal year.
🏛️ Why is it important?
Rising revenue signals growing demand, business expansion, and market share gains – especially important for growth-oriented companies.
🧮 Calculation
🎯 What does this mean for investors?
- Growth is the engine of long-term value creation – especially in tech and growth sectors.
- What matters is not just current growth, but its sustainability.
- Forward projections reflect whether analysts expect continued momentum – or a slowdown.
📘 EBITDA Growth
📈 What is it?
EBITDA growth shows how much a company’s operating profit (before interest, taxes, depreciation, and amortization) has increased or decreased compared to the previous year.
🧮 How is it calculated?
Forward = (Expected EBITDA ÷ EBITDA from prior year − 1) × 100
The forward estimate is based on analyst projections for the current fiscal year.
🏛️ Why is it important?
Growing EBITDA indicates improving operational profitability – regardless of financing or accounting effects.
🧮 Calculation
🎯 What does this mean for investors?
- Strong EBITDA growth signals operational efficiency and scalability – especially during growth phases.
- EBITDA growth can be an early indicator of margin and earnings expansion – but should be assessed alongside revenue and EBIT.
📘 EBIT Growth
📈 What is it?
EBIT growth shows how much a company’s operating profit (after depreciation, but before interest and taxes) has increased compared to the previous year.
🧮 How is it calculated?
Forward = (Expected EBIT ÷ EBIT from prior year − 1) × 100
The forward estimate is based on analyst projections for the current fiscal year.
🏛️ Why is it important?
EBIT growth is a direct indicator of a company’s business performance – taking into account capital intensity through depreciation.
🧮 Calculation
🎯 What does this mean for investors?
- Rising EBIT signals improving operating profitability – even after accounting for depreciation.
- It’s especially important for evaluating companies with significant capital expenditures.
- Combined with revenue and EBITDA growth, EBIT growth provides a well-rounded view of operational progress.
📘 Net Income Growth
📈 What is it?
Net income growth shows how much a company’s bottom-line profit has increased or decreased compared to the previous year – both on a trailing basis (TTM) and based on analyst projections.
🧮 How is it calculated?
Forward = (Expected net income ÷ Net income from prior year − 1) × 100
The forward estimate reflects analysts’ expectations for the current fiscal year.
🏛️ Why is it important?
Net income is the ultimate measure of profitability. Growing net income signals stronger efficiency, cost control, and sustainable earnings power.
🧮 Calculation
🎯 What does this mean for investors?
- Stronger net income boosts valuation, dividend potential, and investor confidence.
- If profits stall while revenue grows, it may signal margin pressure.
📘 Free Cash Flow Growth
📈 What is it?
Free cash flow (FCF) growth shows how a company’s available cash – after covering operating expenses and capital expenditures – has changed compared to the previous year.
🧮 How is it calculated?
🏛️ Why is it important?
Free cash flow reflects real financial strength. Growing FCF indicates more flexibility for dividends, share buybacks, and reinvestment.
🧮 Calculation
🎯 What does this mean for investors?
- Declining FCF may point to rising investments, increasing costs, or weaker operating performance.
- Especially for dividend investors, FCF growth is critical – since dividends are paid from actual available cash.
- A negative trend isn't always bad, but it deserves closer attention.
📘 Gross Margin
📈 What is it?
Gross margin shows how much of a company’s revenue remains after deducting the direct costs of goods sold (like materials and production). It represents the company’s “raw profit” before fixed costs, taxes, and interest.
🧮 How is it calculated?
Or simply: Gross Margin = Gross Profit ÷ Revenue × 100
🏛️ Why is it important?
Gross margin indicates how efficiently a company can produce or procure what it sells. It is a key measure of product-level profitability and pricing power.
🧮 Calculation
🎯 What does this mean for investors?
- A high gross margin suggests strong pricing power and efficient production.
- Falling margins may signal rising input costs or competitive pressure.
- Compared to peers, gross margin offers insights into the quality of a business model.
📘 EBITDA Margin
📈 What is it?
The EBITDA margin shows how much of a company’s revenue remains as operating profit before interest, taxes, depreciation, and amortization.It reflects operating efficiency without being distorted by financing or accounting factors.
🧮 How is it calculated?
🏛️ Why is it important?
The EBITDA margin reveals how much operating income a company generates per dollar of revenue – independent of capital structure and tax effects.
🧮 Calculation
🎯 What does this mean for investors?
- A high EBITDA margin reflects strong core profitability – before accounting distortions.
- It allows for effective comparisons across companies and sectors.
- A stable or growing margin signals efficient cost control and business scalability.
📘 EBIT Margin
📈 What is it?
The EBIT margin shows what percentage of revenue remains as operating profit after depreciation but before interest and taxes.
🧮 How is it calculated?
🏛️ Why is it important?
The EBIT margin reflects a company’s core profitability while accounting for capital intensity (e.g. machinery, infrastructure). It’s especially useful for comparing businesses with different levels of depreciation.
🧮 Calculation
🎯 What does this mean for investors?
- A high EBIT margin shows that the company remains efficient even after factoring in depreciation.
- It’s especially relevant for capital-intensive industries.
- Stable or rising EBIT margins over time are a strong indicator of pricing power and business quality.
📘 Net Margin
📈 What is it?
Net margin shows how much of a company’s revenue remains as bottom-line profit after deducting all costs, interest, taxes, and depreciation.
🧮 How is it calculated?
🏛️ Why is it important?
Net margin reflects a company’s overall efficiency – across operations, financing, and taxation. It shows how much actual profit is generated from each dollar of revenue.
🧮 Calculation
🎯 What does this mean for investors?
- A high net margin means the company is not only strong operationally but also manages financing and taxes efficiently.
- Peer comparisons reveal business quality and competitiveness.
- Declining margins despite revenue growth can be a red flag for rising costs or inefficiencies.
📘 Free Cash Flow Margin | ex SBC
📈 What is it?
The Free Cash Flow Margin shows how much free cash flow a company generates relative to its revenue. In simplified terms, free cash flow is calculated as operating cash flow minus capital expenditures. The Free Cash Flow Margin ex SBC additionally accounts for stock-based compensation (SBC). While SBC does not represent a direct cash outflow, issuing shares as compensation can dilute existing shareholders. Therefore, SBC is deducted from free cash flow in this adjusted metric.
🧮 How is it calculated?
Free Cash Flow Margin ex SBC = (Free Cash Flow − SBC) ÷ Revenue × 100
🏛️ Why is it important?
The Free Cash Flow Margin shows how efficiently a company converts its revenue into free cash flow. Strong free cash flow can provide financial flexibility for dividends, share buybacks, debt repayment, or further investments. The ex SBC version additionally accounts for the economic impact of stock-based compensation and therefore provides a more conservative view of cash generation from a shareholder perspective.
🧮 Calculation
🎯 What does this mean for investors?
- A high Free Cash Flow Margin shows that a company converts a high proportion of its revenue into free cash flow.
- This can provide greater financial flexibility for dividends, share buybacks, debt repayment, or investments.
- The Free Cash Flow Margin ex SBC additionally accounts for potential shareholder dilution from stock-based compensation.
- The long-term trend is particularly important. Declining margins can, for example, result from higher investments, changes in working capital, or weaker operating performance.
📘 Earnings per share (EPS)
📈 What is it?
Earnings per Share (EPS) shows how much profit is attributable to a single share – and is one of the most important metrics for evaluating a company's performance.
🧮 How is it calculated?
The diluted share count reflects potential new shares that could be issued through options, convertible bonds, or other rights.
🏛️ Why is it important?
EPS is the basis for many key valuation metrics like P/E ratio, PEG ratio, or payout ratio. It enables comparisons of profitability across companies, regardless of their size.
🧮 Calculation
🎯 What does this mean for investors?
- EPS captures per-share profitability and is especially useful for comparisons over time or with analyst estimates.
- Rising EPS may signal consistent growth or share buybacks.
- Important: Always use diluted EPS for more realistic valuations – especially in companies with stock-based compensation.
📘 Free cash flow per share (FCF per share)
📈 What is it?
Free Cash Flow per Share shows how much free cash flow a company generates per outstanding share – after investments, but before dividends or debt repayments.
🧮 How is it calculated?
Free cash flow is calculated as operating cash flow minus capital expenditures (CapEx).
🏛️ Why is it important?
FCF per Share reveals how much real cash is available per share – useful for dividends, buybacks, or reducing debt. Unlike net income, free cash flow is harder to manipulate and often seen as a more reliable metric.
🧮 Calculation
🎯 What does this mean for investors?
- High FCF per share signals strong financial flexibility.
- It shows how much capital the company can effectively reinvest or return to shareholders.
- Particularly relevant for dividend payers and capital-efficient businesses.
📘 Short interest
📈 What is it?
Short interest indicates how many shares of a company are currently sold short – that is, borrowed and sold by investors who expect the price to decline.
🧮 How is it calculated?
It reflects the percentage of a company’s shares that are being shorted relative to the total shares available.
🏛️ Why is it important?
Short interest serves as a sentiment indicator: A high value may signal skepticism or bearish expectations – but also increases the potential for a short squeeze if prices rise unexpectedly.
🧮 Calculation
🎯 What does this mean for investors?
- Low short interest usually indicates market confidence in the company.
- High short interest can be a warning sign – or an opportunity if sentiment shifts.
- Especially relevant in volatile markets or ahead of key earnings releases.
📘 Employees
📈 What is it?
The employee count shows how many people a company employs worldwide – offering insights into its size, structure, and business model.
🧮 How is it calculated?
🏛️ Why is it important?
It helps assess operational scale, labor intensity, and cost structure. Combined with revenue and profit, it enables key metrics like revenue per employee or productivity.
🧮 Calculation
🎯 What does this mean for investors?
- A high headcount can signal operational complexity – but also significant growth capacity.
- Revenue per employee is a key indicator of efficiency.
- Especially useful for comparing tech, industrial, or service-heavy companies.
📘 Revenue per employee
📈 What is it?
Revenue per employee indicates how much revenue a company generates on average per employee – a key measure of efficiency and productivity.
🧮 How is it calculated?
The employee count is typically taken from the most recent annual report.
🏛️ Why is it important?
This metric helps compare business models – especially between labor-intensive and technology-driven companies. A high value suggests automation, operational efficiency, or strong value creation per head.
🧮 Calculation
🎯 What does this mean for investors?
- A high revenue per employee indicates a scalable and margin-strong business model.
- A low figure may reflect labor-intensive operations or lower value-add.
- Especially helpful when comparing tech companies to industrial or service sectors.
Orbsat Corp Stock Analysis
Analyst Opinions
7 Analysts have issued a Orbsat Corp forecast:
Analyst Opinions
7 Analysts have issued a Orbsat Corp forecast:
Orbsat Corp Events
Past Events
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MAY
14
Q1 2026 Earnings Call
5 months ago
|
StocksGuide Free
Orbsat Corp — Q1 2026 Earnings Call
1. Management Discussion
Welcome to the NextPlat Corp. First Quarter 2026 Earnings Conference Call.
Certain statements made during this conference call constitute forward-looking statements. These statements include the capabilities and success of the company's business and any of its products, services or solutions. The words believe, forecast, project, intend, expect, plan, should, would and similar expressions and all statements, which are not historical facts, are intended to identify forward-looking statements. These forward-looking statements involve and are subject to known and unknown risks, uncertainties and other factors, any of which could cause the company to not achieve some or all of its goals or the company's previously reported actual results, performance, finance or operating, including those expressed or implied by such forward-looking statements.
More detailed information about the company and the risk factors that may affect the realization of forward-looking statements is set forth in the company's filings with the Securities and Exchange Commission, the SEC, copies of which may be obtained from the SEC's website at www.sec.gov. The company assumes no and hereby disclaims any obligation to update the forward-looking statements made during this conference call.
Joining us on the call today are David Phipps, Chief Executive Officer; Amanda Ferrio, Chief Financial Officer; and Birute Norkute, Vice President of Healthcare Operations. I will now turn the meeting over to David Phipps for opening remarks.
Good morning, and welcome to NextPlat's First Quarter 2026 Results Conference Call. Thank you for joining us. On today's call, we will discuss our first quarter results and highlight many of the improvements now being delivered in our business because of our turnaround efforts. In addition to discussing the results of the quarter, we will also share with you some insights into what we expect for the remainder of 2026, specifically the progress we are making on achieving our growth and profitability goals.
As is customary, I will begin today's call by briefly recapping the results of the first quarter. Then I will turn the call over to Birute Norkute, our Vice President of Healthcare Operations, to discuss that segment in more detail and then turn the call over to Amanda Ferrio, our Chief Financial Officer, to review our financial results. Following that, I will make closing remarks and then conclude the conference call by responding to questions that were submitted by our shareholders.
Let me start by commenting on our Nasdaq listing status. On April 27, we announced that we regained our compliance with Nasdaq's minimum bid requirement as a result of us completing a required reverse split. As I indicated on our last call, this was not something we wanted to do. It was required to maintain our listing on Nasdaq, which we believe is in the best interest of our shareholders. With that behind us, instead of looking back, we are now 100% focused on delivering on the promise we see of a bright future for our company as evidenced by our significantly improved Q1 operating results announced today. These improvements are the direct result of our efforts to turn the business around and position it for long-term profitable growth.
As you can see, we now have a fundamentally improved business, featuring dramatic margin expansion, supported by a leaner operating structure and an expanding domestic and international new business pipeline. With the turnaround largely complete, we are now looking to add scale and expand the scope of our business, in particular, in our Healthcare Operations. This is highlighted by our expansion into all 50 states from our current base in Florida and other developments, which we intend to announce shortly. I will discuss these and other critical developments in a minute.
Looking at the first quarter, the positive trends established late last year and as outlined in our previous guidance announcement have continued. The business is now beginning to deliver tangible financial results. This is especially visible in terms of improved profitability as reflected by our consolidated gross margin percentage, which is now at record levels.
This is largely driven by a dramatic improvement in our Healthcare business, which represented about 68% of our revenue in the first quarter. As we previously indicated, our efforts here were focused on new business development, targeting higher-margin 340B covered entities and long-term care facilities, securing medication fulfillment contracts, reengagement with former clients and improving customer service. Initiated late last year, these efforts are now delivering sustainable margin improvement and are expected to support revenue growth later this year. This is a major contributor to our ability to achieve operational profitability in the latter half of 2026.
Furthermore, as evidenced by our first quarter results, the combination of new higher-margin revenue and a greatly streamlined and cost-efficient operating structure means that we have created a clear path to meaningful reductions in operating losses in the second half of the year. At this point, I'd like to now review our business and provide some additional insights, which I believe will be helpful for investors in measuring our progress.
In our Healthcare segment, we are pleased to report the following improvements in operations during the first quarter: although revenue continues to be down on a year-over-year basis, as expected, our focus on attracting and supporting the needs of contracted 340B entities, long-term care providers and other healthcare facility operators is delivering bottom-line improvements. Furthermore, momentum in this segment is building, having secured new 340B pharmacy service agreements with 5 new entities, a single quarter record. These entities are now onboarding, a process which usually takes about 90 days to complete before they can start directing prescriptions for us for fulfillment. As such, we believe these new customers will start contributing to our revenue during the third quarter.
The contributions from our medication fulfillment contracts continue to surpass expectations as we filled an average of 7,500 prescriptions per month to the contract facilities in Florida. The service fees we recognize in these fulfillments are driving significant bottom-line profit improvement each month. In terms of retail, although we remain focused on expanding our contracted services, over the past few months, we have seen some improvement in this segment of our business. As we are now demonstrating a well-managed retail pharmacy operation, combined with strong margin discipline, operational efficiency and strategic customer relationships can continue to generate attractive margins and meaningful profitability. Birute will comment a bit more on this in just a minute.
And finally, as I mentioned earlier, we are now actively expanding the scale and scope of our business, currently through our newly created nationwide partnership. We are now moving quickly to leverage our relationships with current and potential customers and preparing for the launch of a new online e-commerce healthcare website, which will feature an array of popular prescription medications such as GLP-1s and over-the-counter products, including our Florida Sunshine brand premium vitamins and supplements. The new site is expected to go live before the end of the second quarter. Additionally, I can say we are working on other developments here, which we believe will quickly add more scale to our Pharmco operations in the state of Florida, which we hope to announce very soon.
In our e-Commerce segment, here are the most recent highlights: we continue to see strong global demand for satellite connectivity products during Q1, generating sales from customers in more than 130 countries. In addition, several European government and military orders received during the quarter have helped to build a strong business pipeline for the coming years, supported by the award of multiple multi-year contracts. These orders, together with the recent growth in demand for satellite-enabled IoT products offered by our partners, such as Iridium and Globalstar, have driven IoT sales and recurring revenue to record highs.
At this point, I would like to now turn the call over to Birute for her updates.
Thank you, David. As David mentioned, during the first quarter, we continued executing on operational restructuring and strategic repositioning of our Healthcare business with a strong focus on improving margin quality, operational efficiency and long-term scalability. While overall retail prescription volume during the quarter declined compared to the prior-year period, we significantly improved the profitability and quality of our pharmacy operations.
Gross margin within the pharmacy business improved to an impressive 39% compared to approximately 20% in the prior-year period. This improvement was driven by optimization of payer and product mix, stronger gross profit per retail prescription and increasing contributions from higher-margin 340B relationships and contracted medication fulfillment services. Additionally, beginning January 1, 2026, the federally implemented Medicare Maximum Fair Price program impacted reimbursement economics on certain Medicare prescriptions. While this government program was not company-specific, the updated reimbursement framework favorably affected margins on certain therapies that historically generated lower profitability under prior pricing structures, contributing to overall improvement in pharmacy gross profit during the quarter.
Importantly, these results demonstrate that well-managed pharmacy operations, combined with strong margin discipline, operational efficiency and strategic customer relationships can continue to generate attractive margins and meaningful profitability. We believe this operating model supports our long-term expansion strategy, including selective acquisitions in strategic markets where we can expand our geographic footprint, strengthen local relationships and further support covered entities and healthcare providers.
We are also continuing to invest in future growth initiatives across both our 340B and long-term care verticals, including expansion of our sales and account management teams to support additional business development opportunities throughout Florida and other strategic markets.
Another important strategic development during the quarter was entering in nationwide fulfillment partnership designed to support our expansion beyond Florida. While the operational rollout and supporting infrastructure are still in development, we believe this relationship creates an important foundation for future national growth. Over time, we expect the platform to support broader prescription access, cash fee opportunities, e-Commerce initiatives and future offerings in high-demand therapeutic categories, including GLP-1 therapies.
Overall, we believe the operational improvements implemented over the last several quarters have created a substantially more efficient and scalable healthcare platform, positioning us for sustained margins and growth as additional customers and partnerships come online through 2026.
That concludes my remarks. Back to you, David.
Thank you, Birute. At this point, I'll turn the call over to Amanda to discuss our financial results for the quarter ended March 31, 2026.
Thank you, David. Good morning, everyone. Before I begin, I want to reinforce David's comments regarding the operational and financial progress we are seeing across the company. The initiatives implemented throughout 2025 are translating into measurable improvements in margins, operating efficiency and overall financial performance. Our focus entering 2026 has been very clear: stabilize the business, improve profitability, reduce operating losses and position the company for more consistent and scalable earnings. Based on our first quarter results, we believe we are making meaningful progress toward those objectives.
For the first quarter of 2026, total net revenues were approximately $10 million compared to approximately $14 million in the prior-year period and approximately $13 million in the fourth quarter of 2025. While year-over-year revenue comparisons continue to reflect the operational restructuring and evolving reimbursement dynamics within our Healthcare business, we believe the more important trend is the sequential improvement we are seeing in margins and operating leverage.
Within Healthcare Operations, first quarter revenue was approximately $7 million compared to approximately $10 million in the fourth quarter of 2025. The composition of Healthcare revenue continued to shift toward higher value and more sustainable revenue streams, including 340B contract services and medication fulfillment services.
Pharmacy contract revenue increased to approximately $1.9 million during the quarter compared to approximately $1.6 million in the fourth quarter and approximately $1.4 million in the prior-year period. This continued growth in 340B related and contract pharmacy services supports improved margins and greater revenue visibility. At the same time, while -- retail prescription revenue trends began to stabilize further during the quarter following the operational changes implemented throughout 2025. While retail prescription revenue remains below prior year levels, profitability improved due to higher gross profit per prescription, reflecting changes in dispensing mix, continued margin discipline and reimbursement changes associated with the Medicare Maximum Fair Price program.
Our e-Commerce Operations continued to perform steadily and remained an important contributor to the overall business. E-commerce revenue was approximately $3.2 million during the quarter compared to approximately $3 million in the prior-year period. Although revenue moderated sequentially from the seasonally strong fourth quarter, the business continues to benefit from stable demand across satellite communications, recurring airtime services and global e-commerce channels. Importantly, we continue to see healthy customer activity in both enterprise and government-related markets, and we believe this segment remains well positioned to provide consistent cash flow generation and long-term growth opportunities.
Turning to profitability. Consolidated gross profit for the quarter was approximately $3.4 million compared to approximately $2.9 million in the prior-year period and approximately $2.4 million in the fourth quarter. Gross margin improved significantly to approximately 35% in the first quarter of '26 compared to approximately 21% in the first quarter of '25 and approximately 18% in the fourth quarter of '25. This represents one of the strongest quarterly gross margin performances in the company's history and reflects the benefits of our strategy to improve revenue quality and overall operating efficiency.
Operating expenses continue to improve as we maintain disciplined cost controls across the business. Total operating expenses favorably decreased to approximately $4.5 million in the first quarter of '26 compared to approximately $4.9 million in the prior-year period and $5.3 million in the fourth quarter of '25. Salaries and wages decreased to approximately $2.4 million compared to approximately $2.7 million in the prior-year period and approximately $2.8 million in the fourth quarter of '25. Selling, general and administrative expenses also remained well controlled. These improvements reflect the benefits of the cost optimization initiatives and operational restructuring actions implemented throughout 2025.
As a result of the combined improvement in gross profit and operating efficiency, operating loss improved substantially. Operating loss for the first quarter of '26 was approximately $1.1 million compared to approximately $2.1 million in the prior-year period and approximately $2.8 million in the fourth quarter of 2025. From a segment perspective, it is important to note that our Healthcare Operations generated positive segment operating income during the quarter of approximately $24,000 compared to a segment operating loss of approximately $1.2 million in the fourth quarter of '25 and approximately $0.9 million in the prior-year period. This represents a major milestone in the repositioning of the Healthcare business and validates the progress we are making in improving overall operating performance.
On the balance sheet, we ended the quarter with approximately $11 million in cash and working capital of approximately $14 million. While cash usage during the quarter reflected ongoing working capital investments and timing related to receivables, we continue to maintain a healthy liquidity position and a conservative balance sheet with no meaningful debt, which we believe provides flexibility to support growth initiatives, strategic opportunities and continued operational execution.
In addition, subsequent to quarter end, we regained full compliance with Nasdaq's minimum bid price requirement following the completion of our reverse stock split in April.
Finally, as disclosed in our filing earlier this week, we established an at-the-market equity program with H.C. Wainwright to provide additional financial flexibility to support potential future growth initiatives, including possible joint ventures or acquisitions. Currently, we do not have any specific plans for the use of this program.
Looking ahead, our priorities for the remainder of 2026 remain centered on the following: continuing to expand contract-based healthcare and fulfillment services, sustaining gross margins and improving operating leverage, maintaining disciplined expense management, supporting growth organically through recurring and contract-based revenue streams while also evaluating strategic opportunities such as possible joint ventures or acquisitions, improving cash flow performance and positioning the company for sustained profitability.
While the macro environment and reimbursement landscape remain dynamic, we believe the actions we have taken over the past year have materially strengthened the foundation of the business. Most importantly, we believe the sequential financial improvements we are now seeing, specifically in gross margin expansion, Healthcare segment profitability and reduced operating losses provides encouraging evidence that the operational and strategic initiatives implemented over the past year are beginning to deliver measurable financial results.
We remain focused on disciplined execution, operational efficiency and driving long-term shareholder value. I encourage you to review our financial statements and disclosures in our quarterly report on Form 10-Q for additional details.
That concludes my remarks. Back to you, David.
Thank you, Amanda. Before we turn to investor questions, I'd like to make some closing remarks and provide some insights into what we see over the remainder of 2026.
Looking at where NextPlat is today, our team is pleased with the execution of our turnaround, implementing the majority of our planned initiatives. Based upon our steady sequential operational improvements, it's clear that we have not only stabilized the business, but we have put it on a well-defined growth, profitability path. Although there is always more work to be done, we believe we now have a foundation that can support the large growth opportunities we see ahead of us.
We see several milestones ahead of us in 2026. For our Healthcare customers, providers and patients, we intend to continue expanding the reach of our offerings across the United States through new online and physical channels. In e-Commerce, we intend to continue expanding our reach through launching new online marketplaces with a wider array of connectivity and consumer product offerings for consumers, enterprises and governments. For our investors, we are committed to delivering improved operating results, top and bottom line, and communicating the progress we are making on creating shareholder value based upon solid fundamentals.
In conclusion, 2026 represents the start of an exciting new chapter for NextPlat, and we wish to thank our shareholders for their continued support. At this point, we can now conduct the Q&A portion of today's call. We have again asked investors and shareholders to submit their questions in advance, and we would like to thank all of you who did.
Question number one. There remain challenges in the retail pharmacy business. Do you still see opportunities in this segment?
The short answer is yes. As Birute indicated, we firmly believe that well-managed retail pharmacy operations, ones that combine high-touch services with strong margin discipline, operational efficiency and strategic customer relationships can generate attractive margins and meaningful profitability as we are now demonstrating in our Pharmco operations. This is certainly true in less dense or more rural areas where there isn't a significant presence of larger retail chains and as such, is a large opportunity we are very actively exploring, which can allow us to quickly and profitably expand the scale and scope of our retail business.
Question number two, can you comment on the turnaround? Are you still working on improvements? If so, what are they? Or is it largely complete?
As you can see from our results, our plan over the last 9 months has been successful, resulting in significant improvements in nearly all of our operational metrics. While this effort is largely complete, we intend to build upon this progress by remaining very focused on prudent expense control and on generating high-quality revenue. That said, we are shifting our focus more towards driving growth in the business and leveraging the strong financial foundation we have now established, including adequate cash and no meaningful debt. That is why we are actively exploring ways to add scale to our business, as I previously indicated, and I expect to have more to report on these efforts shortly.
Question number three, can you comment on why the company filed an ATM agreement when you clearly have cash on the balance sheet and no debt?
Now that our turnaround is largely complete, as I have previously indicated, and we are turning our attention towards growth, we have seen a number of opportunities to expand our business through joint ventures and M&A. As such, we believe an ATM can provide us with more flexibility in how we pursue these opportunities. As Amanda said earlier, at this point in time, we do not have any immediate plans to access the ATM, and I would add, wouldn't consider it at these current levels.
Question number four, does the company have any update on the status of the ongoing lawsuit?
As of today, we do not have any specific update we can provide. We are continuing to work with counsel to resolve the final remaining legal matter as quickly as possible while protecting the long-term interest of our shareholders. The matter remains in the hands of counsel and our insurance company.
That was the final question that we received from investors. Thank you all again for submitting them. Please remember that you can submit your questions at our Investor Relations e-mail, which is [email protected] or with our IR contact listed on our press releases, Michael Glickman at [email protected].
That concludes our earnings conference call. We look forward to continuing to share with you our progress in the weeks and months ahead. Have a nice rest of your day.
Financial data from Orbsat Corp
Revenue
Revenue is the sum of all sales generated by a company, e.g. for its products or services.
Revenue (TTM) metric explainedDirect Costs
Direct costs are the costs incurred directly in connection with the manufacture of the product or service.
Gross Profit
Gross Profit indicates how much of the revenue remains in the company after deducting direct production costs. If the percentage share of sales is calculated, this is referred to as the gross margin.
Gross Profit metric explainedSelling and Administrative Expenses
Selling, general and administrative expenses (SG&A) include all expenses for marketing and sales as well as the general administration of the company.
Research and Development Expense
Research and development costs (R&D) provide information on how much the company invests in the research and development of its products. The costs are particularly interesting as a percentage of revenue and in comparison to direct competitors.
EBITDA
EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) is the company's earnings before interest, taxes, depreciation and amortization. The EBITDA margin is calculated as a percentage of sales.
Depreciation and Amortization
Depreciation represents reductions in the value of the company's assets (e.g. due to wear and tear on machinery).
EBIT (Operating Income)
EBIT (Earnings Before Interest and Taxes) is the company's profit before interest and taxes, also known as the operating income. The EBIT Margin is calculated as a percentage of sales at
.
Net Profit
Net Profit represents the profit or loss after deduction of all costs.
Net Profit metric explainedStocksGuide Premium
| Jun '26 |
+/-
%
|
||
| Revenue | 48 48 |
18%
18%
100%
|
|
| - Direct Costs | 36 36 |
25%
25%
74%
|
|
| Gross Profit | 13 13 |
6%
6%
26%
|
|
| - Selling and Administrative Expenses | 19 19 |
9%
9%
39%
|
|
| - Research and Development Expense | - - |
-
-
|
|
| EBITDA | -8.23 -8.23 |
5%
5%
-17%
|
|
| - Depreciation and Amortization | 0.44 0.44 |
59%
59%
1%
|
|
| EBIT (Operating Income) EBIT | -8.67 -8.67 |
11%
11%
-18%
|
|
| Net Profit | -9.84 -9.84 |
5%
5%
-20%
|
|
In millions USD.
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Orbsat Corp Stock News
Company Profile
Orbsat Corp. engages in the provision of satellite based services and solutions for commercial, government and individual users. The firm’s services include satellite communication solutions, emergency location systems, high-speed satellite internet and global asset and personnel monitoring, customized ground station systems and custom product design. It also focuses on the distribution, development and reselling of satellite enabled communications hardware. The company was founded in 1997 and is headquartered in Aventura, FL.
StocksGuide Premium
| Head office | United States |
| CEO | Mr. Phipps |
| Employees | 171 |
| Founded | 1997 |
| Website | ir.nextplat.com |
