MCCLEAN, Va. (AP) -- Iridium Communications Inc. cut its full-year adjusted operational earnings forecast mostly because of lower equipment revenue on reduced overall unit sales.
Its stock declined before the opening bell on Monday.
The satellite phone company now foresees operational earnings before interest, taxes, depreciation and amortization of $200 million to $205 million. Its prior outlook was for about $210 million.
Iridium also revised its total billable subscriber growth forecast to approximately 10 percent. Previously, the company predicted a 10 percent to 15 percent increase.
Iridium now expects 2013 total service revenue growth of about 6 percent. Its prior guidance was for a rise of 6 percent to 8 percent.
The McLean, Va., company said it is also evaluating its long-range outlook because of the impact of lower equipment sales, fewer subscriber additions and the long-term revenue potential of its recently announced Iridium Prime hosted payload initiative.
Iridium said it will disclose more details about its long-range outlook when it reports its third-quarter financial results on Oct. 31.
Shares slipped 9 cents to $6.69 in premarket trading. The stock closed Friday at $6.78, up less than 1 percent since the start of the year.
- Investment & Company Information