# EDGAR Filing Document

**Accession Number:** 0001007587
**File Stem:** 0001007587-25-000011
**Filing Date:** 2025-8
**Character Count:** 24616
**Document Hash:** 7a8101f8a8851a590723cb16eda3043e
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001007587-25-000011.hdr.sgml**: 20250807

**ACCESSION NUMBER**: 0001007587-25-000011

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 13

**CONFORMED PERIOD OF REPORT**: 20250807

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20250807

**DATE AS OF CHANGE**: 20250807

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** KVH INDUSTRIES INC \DE\
- **CENTRAL INDEX KEY:** 0001007587
- **STANDARD INDUSTRIAL CLASSIFICATION:** RADIO & TV BROADCASTING & COMMUNICATIONS EQUIPMENT [3663]
- **ORGANIZATION NAME:** 04 Manufacturing
- **EIN:** 050420589
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-35843
- **FILM NUMBER:** 251191843

**BUSINESS ADDRESS:**
- **STREET 1:** 75 ENTERPRISE CENTER
- **CITY:** MIDDLETOWN
- **STATE:** RI
- **ZIP:** 02842
- **BUSINESS PHONE:** 4018473327

**MAIL ADDRESS:**
- **STREET 1:** 75 ENTERPRISE CENTER
- **CITY:** MIDDLETOWN
- **STATE:** RI
- **ZIP:** 02842

?xml version='1.0' encoding='ASCII'? kvhi-20250807

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**WASHINGTON, D.C. 20549**

**FORM 8-K**

**CURRENT REPORT**

**PURSUANT TO SECTION 13 OR 15(d) OF THE**

**SECURITIES EXCHANGE ACT OF 1934**

**Date of Report (Date of earliest event reported): August 7, 2025**

**KVH Industries, Inc.**

**(Exact Name of Registrant as Specified in Charter)**

---

| | | |
|:---|:---|:---|
| **Delaware** | **0-28082** | **05-0420589** |
| **(State or Other Jurisdiction of Incorporation)** | **(Commission File Number)** | **(IRS Employer Identification No.)**  |

---

**75 Enterprise Center, Middletown, RI 02842**

*(Address of Principal Executive Offices) (Zip Code)*

**(401) 847-3327**

(Registrant's Telephone Number, Including Area Code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

*Securities registered pursuant to Section 12(b) of the Act:*

---

| | | |
|:---|:---|:---|
| **Title of Each Class** | **Trading Symbol(s)** | **Name of Each Exchange on which Registered** |
|  |  | The Nasdaq Stock Market LLC |
| Common Stock, par value $0.01 per share | KVHI | (Nasdaq Global Select Market) |

---

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

&nbsp;&nbsp;&nbsp;&nbsp; Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

------

**ITEM 2.02. RESULTS OF OPERATIONS AND FINANCIAL CONDITION**

On August 7, 2025, we issued a press release announcing our financial results for the second quarter ended June 30, 2025 and forward-looking statements. The press release is attached hereto as Exhibit 99.1 and incorporated by reference herein.

The information in this Item 2.02 of Form 8-K and the Exhibit attached hereto shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or the Exchange Act, or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended (or the Securities Act), or the Exchange Act, regardless of any general incorporation language in such filing.

**ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)Exhibits

---

| | |
|:---|:---|
| **Exhibit<br>No.** | **Description** |
| 99.1 | August 7, 2025 press release entitled "KVH Industries Reports Second Quarter 2025 Results" (furnished pursuant to Item 2.02) |

---

------

**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

---

| | | |
|:---|:---|:---|
| | **KVH INDUSTRIES, INC.** | **KVH INDUSTRIES, INC.** |
| Date: August 7, 2025 | BY: | /s/&nbsp;&nbsp;&nbsp;&nbsp;Anthony F. Pike |
| | | **Anthony F. Pike** |
| | | **Chief Financial Officer** |

---

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**EXHIBIT INDEX**

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| | |
|:---|:---|
| **Exhibit<br>No.** | **Description** |
| <u>[99.1](q22025exhibit991.htm)</u> | August 7, 2025 press release entitled "KVH Industries Reports Second Quarter 2025 Results" (furnished pursuant to Item 2.02) |

---

## Exhibit 99.1

**Exhibit 99.1**

**FOR IMMEDIATE RELEASE**

---

| | |
|:---|:---|
| **Contact:** | KVH Industries, Inc.<br>Chris Watson<br>401-845-2441<br>IR@kvh.com |

---

**KVH Industries Reports Second Quarter 2025 Results**

**MIDDLETOWN, RI,** August 7, 2025 — KVH Industries, Inc. (Nasdaq: KVHI), reported financial results for the quarter ended June 30, 2025 today. The company will hold a conference call to discuss these results at 9:00 a.m. ET today, which can be accessed at investors.kvh.com. Following the call, a replay of the webcast will be available through the company's website.

**Second Quarter 2025 Highlights**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Total revenues in the second quarter of 2025 increased $1.2 million, or 5%, to $26.6 million from $25.4 million in the first quarter of 2025. Total revenues decreased by 7% in the second quarter of 2025 from $28.7 million in the second quarter of 2024, due to the downgrade of the U.S. Coast Guard contract in the third quarter of 2024 and the ongoing customer transition to low earth orbit ("LEO") satellite services.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Airtime revenue increased $1.0 million, or 5%, to $21.1 million in the second quarter of 2025 from $20.0 million in the first quarter of 2025. Airtime revenue decreased $1.9 million, or 8%, in the second quarter of 2025 compared to the second quarter of 2024. The U.S. Coast Guard contract downgrade reduced airtime revenue by $2.5 million year-over-year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We completed the sale of 50 Enterprise Center in June 2025, resulting in a gain of $1.3 million and net cash of $4.9 million.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Net income in the second quarter of 2025 was $0.9 million, or $0.05 per share, compared to a net loss of $2.4 million, or $0.12 per share, in the second quarter of 2024.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Non-GAAP adjusted EBITDA (which excludes the gain on the sale of 50 Enterprise Center) was $2.7 million in the second quarter of 2025, compared to $2.6 million in the second quarter of 2024.

Commenting on the company's second quarter results, Brent C. Bruun, KVH's Chief Executive Officer, said, "Our second quarter results reflect our ongoing efforts to transform our business model and operations despite challenging industry conditions. Compared to the first quarter of this year, revenues were up $1.2 million, adjusted EBITDA increased $1.7 million, and cash grew by $7.3 million.

"By delivering on our strategic initiatives, we believe we have also reached an inflection point in our transition from a GEO-based hardware and services company to a multi-orbit, LEO-focused service provider. For the first time, the increase in our LEO revenue from the immediately preceding quarter more than offset the decline in revenue from our legacy GEO-based VSAT business. Simultaneously, our maritime airtime subscribers grew by 8% sequentially from the first quarter of 2025, which raised our subscribing vessel count to more than 8,000 for the first time. While Starlink was the primary driver for subscriber growth, we also saw increasing demand for our recently launched OneWeb service. We also expanded our CommBox Edge Communications Gateway subscriber base with the number of activations increasing by more than 24% from the first quarter of 2025."

------

**Financial Highlights -** *(in millions, except per share data)*

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 30,** | **June 30,** | **June 30,** | **June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| **GAAP Results** |  |  |  |  |
| Revenue | $26.6 | $28.7 | $52.0 | $57.9 |
| Loss from operations | $(0.4) | $(2.9) | $(2.6) | $(6.7) |
| Net income (loss) | $0.9 | $(2.4) | $(0.8) | $(5.5) |
| Net income (loss) per share | $0.05 | $(0.12) | $(0.04) | $(0.29) |
| **Non-GAAP Adjusted EBITDA** | $2.7 | $2.6 | $3.7 | $4.6 |

---

**Second Quarter Financial Summary**

Revenue was $26.6 million for the second quarter of 2025, a decrease of 7% compared to $28.7 million in the second quarter of 2024.

Service revenues for the second quarter were $23.0 million, a decrease of $1.6 million compared to the second quarter of 2024. The decrease in service sales was primarily due to a $1.9 million decrease in our airtime service sales, which reflected a $2.5 million reduction in sales related to the U.S. Coast Guard contract downgrade in the third quarter of 2024, as well as a decrease in other VSAT subscribers. These decreases in VSAT service sales were partially offset by an increase in LEO service sales. For the three months ended June 30, 2025, LEO services sales represented over 30% of airtime services sales, as compared to less than 10% for the three months ended June 30, 2024. The increase in LEO service sales as a percentage of total airtime sales resulted from both a substantial increase in LEO service sales and a substantial decrease in VSAT service sales. Alternative solutions offered by recent LEO entrants have heightened competition in the global leisure segment and in commercial and government markets.

Product revenues for the second quarter were $3.6 million, a decrease of 11% compared to the second quarter of 2024. The decrease in product sales was primarily due to a $0.5 million decrease in Starlink product sales and a $0.2 million decrease in TracVision product sales, partially offset by a $0.3 million increase in OneWeb product sales and a $0.2 million increase in VSAT Broadband product sales. The decrease in product sales was primarily due to discounted pricing on Starlink products. Competition from low-cost alternatives to VSAT, which include streaming capabilities, has had a significant impact on sales of our TracVision products.

Our operating expenses decreased by $2.3 million to $9.5 million for the second quarter of 2025 compared to $11.8 million for the second quarter of 2024. This decrease was primarily due to a $2.0 million decrease in salaries, benefits and taxes, after giving effect to $0.7 million in costs incurred during the three months ended June 30, 2024 related to the reduction in our workforce.

------

**Six Months Ended June 30 Financial Summary**

Revenue was $52.0 million for the six months ended June 30, 2025, a decrease of 10% compared to $57.9 million for the six months ended June 30, 2024.

Service revenues for the six months ended June 30, 2025 were $44.7 million, a decrease of 10% compared to the six months ended June 30, 2024. The decrease in service sales was primarily due to a $5.4 million decrease in our airtime service sales, of which $4.9 million related to the U.S. Coast Guard contract downgrade. In addition, there was a decrease in other VSAT subscribers, which was partially offset by an increase in LEO service sales. For the six months ended June 30, 2025, LEO services sales represented over 25% of airtime services sales, as compared to less than 10% for the six months ended June 30, 2024. The increase in LEO service sales as a percentage of total airtime sales resulted from both a substantial increase in LEO service sales and a substantial decrease in VSAT service sales.

Product revenues for the six months ended June 30, 2025 were $7.3 million, a decrease of 11% compared to the six months ended June 30, 2024. The decrease in product sales was primarily due to a $0.7 million decrease in TracVision product sales, a $0.4 million decrease in Starlink product sales and a $0.3 million decrease in accessory and service parts product sales, partially offset by a $0.3 million increase in OneWeb product sales and a $0.2 million increase in VSAT Broadband product sales. The decline in product sales was primarily driven by product sales mix and discounted pricing on Starlink units.

Our operating expenses decreased $6.3 million to $19.2 million in the six months ended June 30, 2025, compared to $25.5 million in the six months ended June 30, 2024. This decrease was primarily due to a $5.6 million decrease in salaries, benefits and taxes, after giving effect to $2.4 million in costs incurred during the six months ended June 30, 2024 related to the reduction in our workforce, a $0.5 million decrease in depreciation expense and a $0.3 million decrease in expensed materials, partially offset by a $0.3 million increase in warranty expense.

**Other Recent Announcement**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• May 7, 2025 – KVH Launches CommBox Edge Secure Suite for Advanced Cybersecurity Threat Detection & Response

**Conference Call Details**

KVH Industries will host a conference call today at 9:00 a.m. ET through the company's website. The conference call can be accessed at investors.kvh.com and listeners are welcome to submit questions pertaining to the earnings release and conference call to ir@kvh.com. The audio archive will be available on the company website within three hours of the completion of the call.

**Non-GAAP Financial Measures**

This release provides non-GAAP financial information as a supplement to our condensed consolidated financial statements, which are prepared in accordance with generally accepted accounting principles ("GAAP"). Management uses these non-GAAP financial measures internally in analyzing financial results to assess operational performance. The presentation of this financial information is not intended to be considered in isolation or as a substitute for the financial information prepared in accordance with GAAP. The non-GAAP financial measures used in this press release adjust for specified items that can be highly variable or difficult to predict. Management generally uses these non-GAAP financial measures to facilitate financial and operational decision-making, including evaluation of our historical operating results and comparison to competitors' operating results. These non-GAAP financial measures reflect an additional way of viewing aspects of our operations that, when viewed with GAAP results and the reconciliations to corresponding GAAP financial measures, may provide a more complete understanding of factors and trends affecting our business.

Some limitations of non-GAAP adjusted EBITDA include the following: non-GAAP adjusted EBITDA represents net income (loss) before, as applicable, interest income, net, income tax expense (benefit), depreciation, amortization, stock-based compensation expense, gains on sales of real estate and other fixed assets, goodwill impairment charges, long-lived assets impairment charges, charges for disposal of discontinued projects, loss on unfavorable future contracts, employee termination and other variable costs, executive separation costs, transaction-related and other variable legal and advisory fees, irregular inventory write-downs, excess purchase order obligations, gains and losses on sale of subsidiaries, and foreign exchange transaction gains and losses.

------

Other companies, including companies in KVH's industry, may calculate these non-GAAP financial measures differently or not at all, which will reduce their usefulness as a comparative measure.

Because non-GAAP financial measures exclude the effect of items that increase or decrease our reported results of operations, management strongly encourages investors to review our consolidated financial statements and publicly filed reports in their entirety. Reconciliations of the non-GAAP financial measures to the most directly comparable GAAP financial measures are included in the tables accompanying this release.

------

**About KVH Industries, Inc.**

KVH Industries, Inc. is a global leader in maritime and mobile connectivity delivered via the KVH ONE network. The company, founded in 1982, is based in Middletown, RI, with more than a dozen offices around the globe. KVH provides connectivity solutions for commercial maritime, leisure marine, military/government, and land mobile applications on vessels and vehicles, including the TracNet, TracPhone, and TracVision product lines, the KVH ONE OpenNet Program for non-KVH antennas, AgilePlans Connectivity as a Service (CaaS), and the KVH Link crew wellbeing content service.

______________________________________________________________________________________________________

KVH Industries, Inc., has used, registered, or applied to register its trademarks in the USA and other countries around the world, including but not limited to the following marks: KVH, KVH ONE, TracPhone, TracVision, AgilePlans, CommBox, and TracNet. Other trademarks are the property of their respective companies.

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**KVH INDUSTRIES, INC. AND SUBSIDIARIES**

**CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS**

***(in thousands, except per share amounts, unaudited)***

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three months ended June 30,** | **Three months ended June 30,** | **Six months ended June 30,** | **Six months ended June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| **Sales:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Service | $23049 | $24674 | $44691 | $49712 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Product | 3574 | 3999 | 7346 | 8228 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net sales** | 26623 | 28673 | 52037 | 57940 |
| **Costs and expenses:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Costs of service sales | 14210 | 15469 | 28445 | 29513 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Costs of product sales | 3277 | 4299 | 7017 | 9607 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Research and development | 916 | 2326 | 2103 | 5364 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Sales, marketing and support | 5010 | 5334 | 9970 | 10718 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administrative | 3580 | 4134 | 7115 | 9425 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total costs and expenses** | 26993 | 31562 | 54650 | 64627 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Loss from operations** | (370) | (2889) | (2613) | (6687) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest income | 579 | 876 | 1146 | 1787 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other income (expense), net | 826 | (366) | 817 | (564) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Income (loss) before income tax expense (benefit) | 1035 | (2379) | (650) | (5464) |
| Income tax expense (benefit) | 105 | (3) | 130 | 75 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net income (loss)** | $**930** | $**(2376)** | $**(780)** | $**(5539)** |
| **Net income (loss) per common share** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic | $**0.05** | $**(0.12)** | $**(0.04)** | $**(0.29)** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Diluted | $**0.05** | $**(0.12)** | $**(0.04)** | $**(0.29)** |
| **Weighted average number of common shares outstanding:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic | **19401** | **19381** | **19446** | **19333** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Diluted | **19441** | **19381** | **19446** | **19333** |

---

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**KVH INDUSTRIES, INC. AND SUBSIDIARIES**

**CONDENSED CONSOLIDATED BALANCE SHEETS**

***(in thousands, unaudited)***

---

| | | |
|:---|:---|:---|
| | **June 30,<br>2025** | **December 31,<br>2024** |
| **ASSETS** | | |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents | $55931 | $50572 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable, net | 25350 | 21624 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Inventories, net | 20258 | 22953 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and other current assets | 13627 | 16016 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Current assets held for sale | 7833 | 11410 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total current assets** | **122999** | **122575** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Property and equipment, net | 24071 | 27014 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Intangible assets, net | 636 | 828 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Right of use assets | 1275 | 1361 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other non-current assets | 2919 | 3146 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred income tax asset | 141 | 157 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total assets** | $**152041** | $**155081** |
| **LIABILITIES AND STOCKHOLDERS' EQUITY** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued expenses | $10982 | 14173 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred revenue | 1459 | 1039 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Current operating lease liability | 651 | 660 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total current liabilities** | **13092** | **15872** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Long-term operating lease liability | 562 | 569 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred income tax liability | 3 | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stockholders' equity | 138384 | 138625 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total liabilities and stockholders' equity** | $**152041** | $**155081** |

---

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**KVH INDUSTRIES, INC. AND SUBSIDIARIES**

**RECONCILIATION OF GAAP NET INCOME (LOSS) TO NON-GAAP**

**EBITDA AND NON-GAAP ADJUSTED EBITDA**

***(in thousands, unaudited)***

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three months ended June 30,** | **Three months ended June 30,** | **Six months ended June 30,** | **Six months ended June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| **Net income (loss) - GAAP** | $**930** | $**(2376)** | $**(780)** | $**(5539)** |
| &nbsp;&nbsp;&nbsp;&nbsp;Income tax expense (benefit) | 105 | (3) | 130 | 75 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest income, net | (579) | (876) | (1146) | (1787) |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 2606 | 3738 | 5494 | 6985 |
| **Non-GAAP EBITDA** | **3062** | **483** | **3698** | **(266)** |
| &nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation expense | 434 | 722 | 771 | 1244 |
| &nbsp;&nbsp;&nbsp;&nbsp;Long-lived assets impairment charge |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Disposal of a discontinued project | 287 |  | 287 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss on an unfavorable future contract | 12 |  | 12 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Employee termination and other variable costs | 26 | 1183 | 29 | 3360 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prior period tax settlement |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Transaction-related and other variable legal and advisory fees | 66 |  | 66 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Irregular inventory write-down |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Excess purchase order obligations |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on sale of fixed assets, including real estate | (1330) |  | (1330) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss on sale of a subsidiary |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Foreign exchange transaction loss | 101 | 248 | 132 | 269 |
| **Non-GAAP adjusted EBITDA** | $**2658** | $**2636** | $**3665** | $**4607** |

---