Company: IRDM
Filing Date: 2025-04-22
Form Type: 10-Q
Source: 0001628280-25-018712
Chunk: 35

Company: Iridium Communications Inc.
Filing Date: 2025-04-22
Form: 10-Q
Item: Part I, Item 8
Chunk 35
---
 obligations of approximately $12.0 million for inventory purchases with Benchmark, our primary third-party equipment supplier. Our purchase obligations, all of which are due during 2025, did not change materially from the end of 2024.

Our only material long-term cash requirement is the repayment of the remaining principal amount under the Term Loan upon its maturity in 2030, which is expected to be $1,702.8 million. We expect to refinance this amount at or prior to maturity.

Dividends

Total dividends paid during the three months ended March 31, 2025 and March 31, 2024 were $15.7 million and $16.1 million, respectively. While we expect to continue regular cash dividends, any future dividends declared will be at the discretion of our Board of Directors and will depend, among other factors, upon our results of operations, financial condition and cash requirements, as well as such other factors our Board of Directors deems relevant. The Board of Directors plans to increase the quarterly dividend to $0.15 per share starting with the third quarter 2025 dividend. 

25

Cash Flows

The following table summarizes our cash flows:

 Three Months Ended March 31,  20252024Change (In thousands)Cash provided by operating activities$61,081 $71,426 $(10,345)Cash used in investing activities$(24,546)$(14,564)$(9,982)Cash provided by (used in) financing activities$(81,063)$45,524 $(126,587)

Cash Flows Provided by Operating Activities

Net cash provided by operating activities for the three months ended March 31, 2025 decreased by $10.3 million from the prior year period. Working capital decreased by approximately $17.5 million, primarily due to higher cash outflows associated with cash incentive, offset in part by inventory and timing of cash receipts, including accounts receivable and recognition of deferred revenue for projects and Satelles. These changes were offset in part by increased net income.

Cash Flows Used in Investing Activities

Net cash used in investing activities for the three months ended March 31, 2025 increased by $10.0 million as compared to the prior year period, primarily as a result of increased capital expenditures, including costs associated with NB-IoT, which we expect to continue for the remainder of 2025.

Cash Flows Provided by (Used in) Financing Activities

Net cash used in