Financial Data and Key Metrics Changes - Service revenue for Q3 was $25.4 million, a 10% increase from the prior quarter and a 4% increase from Q3 2024 [5] - Airtime gross margin was 31.9%, down by 3.9% compared to the prior quarter gross margin of 35.8% [8] - Adjusted EBITDA for the quarter was $1.4 million, compared to $2.7 million in Q2 2025 [10] - Ending cash balance was $72.8 million, up approximately $16.9 million from the beginning of the quarter [10] Business Line Data and Key Metrics Changes - Total subscribing vessel count increased by 11% to approximately 9,000 compared to the second quarter, and up 26% year-to-date [5] - Approximately 1,600 satellite communication terminals were shipped in Q3, a new record [5] - Reported Q3 product gross profit was negative $6.8 million, including a $5.5 million write-down of VSAT inventory [9] Market Data and Key Metrics Changes - Strong demand for both standalone LEO services and hybrid installations was noted, with significant growth driven by Starlink and OneWeb services [5][6] - The acquisition of a maritime communications customer base in the Asia-Pacific region is expected to bring on board more than 800 vessels [7] Company Strategy and Development Direction - The company is focusing on LEO Airtime revenue and subscriber growth, which has yielded positive results [4] - The sale of the Rhode Island facility generated approximately $8 million in net proceeds, indicating a commitment to strong cost control [4][10] - The company is pursuing strategic growth opportunities, including the acquisition of customer agreements and assets from a satellite service provider [6][7] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, citing successful growth in recurring revenue service business and strong LEO margins [11] - The company expects GEO bandwidth commitments to decline significantly from January 2026, which should reduce pressure on margins [8] Other Important Information - The company has maintained flat operating expenses and reduced capital expenditures compared to the second quarter of 2025 [4] - The strategic acquisition is intended to expand the customer base and broaden the product and service portfolio [7] Q&A Session Summary Question: What is driving the growth in the LEO business? - Demand is evenly spread across regions and vessel types, with some competitive wins and new installations contributing to growth [13][15] Question: How is the company managing hardware inventory and pricing in a dynamic environment? - The company is managing inventory carefully and has an understanding with Starlink regarding price concessions [16] Question: Will the acquisition lead to a one-time jump in vessel numbers in Q4? - Yes, over 500 vessels will be reflected in Q4 numbers, with higher margins expected from those already receiving service [31] Question: Are there notable trends due to tariffs or geopolitical situations affecting demand? - No significant impact from tariffs or geopolitical environment has been observed [34]