Executive Summary
AST SpaceMobile, Inc. released its business update and financial results for the fourth quarter and full year ended December 31, 2025. The company is actively building a space-based cellular broadband network designed to be accessible directly by everyday, unmodified smartphones for both commercial and government applications. The year 2025 represented a transitional milestone for the company, as it evolved into a revenue-generating business for the first time. This transition was supported by the delivery of commercial infrastructure and the advancement of key operational, manufacturing, and capital capabilities.
Business and Strategic Overview
The core mission of AST SpaceMobile is to eliminate global connectivity gaps for approximately five billion mobile subscribers through a direct-to-device (D2D) cellular broadband network in space. The technological foundation of this network is the “BlueBird” satellite architecture.
- Satellite Technology & Microns: The company’s differentiated technology relies on modular building blocks known as “microns,” which are approximately 9 square feet in size.
- Array Scale: More than 200 microns are utilized to form a phased array for a single Block 2 BlueBird satellite, creating an array measuring approximately 2,400 square feet.
- Design Capabilities: These purpose-built arrays are the largest commercial communications arrays ever deployed in low Earth orbit (LEO), enabling digital beamforming across various frequencies to facilitate true space-based cellular broadband.
Spectrum Strategy
AST SpaceMobile’s commercial roadmap is anchored by a comprehensive global spectrum strategy combining shared and controlled frequencies:
- Access to 1,150 MHz of low and mid-band tunable mobile network operator (MNO) spectrum globally.
- Control of 45 MHz of mobile satellite service (MSS) mid-band spectrum access in North America.
- Control of 60 MHz of AST SpaceMobile-licensed S-band spectrum priority rights globally.
- Access to over 80 MHz of spectrum within the United States designated for satellite and terrestrial usage.
Financial Performance Analysis
Revenue Profile
The company reported total revenues of $70.9 million for the full year 2025, a significant increase from $4.4 million reported in 2024. Total revenue for the fourth quarter of 2025 was $54.3 million, compared to just $1.9 million in the prior-year period.
- Products Revenue: Full-year product revenue was $44.4 million (up from $0.5 million in 2024), underpinned by the delivery of 15 commercial gateways across five continents. Fourth-quarter product revenue contributed $36.2 million of this total.
- Services Revenue: Full-year services revenue totaled $26.5 million (up from $3.9 million in 2024), generated across multiple contracts and developmental use cases in partnership with the U.S. Government. Fourth-quarter services revenue was $18.1 million.
Operating Expenses and Profitability
AST SpaceMobile’s cost base scaled materially as the company advanced its commercial deployments and manufacturing throughput.
- Total operating expenses for the full year 2025 were $358.6 million, compared to $247.2 million in 2024.
- For the fourth quarter of 2025, total operating expenses reached $126.6 million, representing an increase of $32.2 million over the third quarter of 2025.
- The quarter-over-quarter expense growth was primarily driven by a $23.9 million increase in the cost of revenues connected to gateway delivery volume, alongside increases in engineering services ($5.4 million), R&D ($3.5 million), and depreciation and amortization ($3.0 million). General and administrative costs saw a sequential decrease of $3.6 million.
- Net loss attributable to common stockholders for the full year 2025 was $(341.9) million, translating to a basic and diluted net loss per share of $(1.34). This compares to a net loss of $(300.1) million, or $(1.94) per share, in 2024.
Non-GAAP Adjusted Metrics
Management utilizes specific Non-GAAP financial measures, adjusting for depreciation, amortization, and stock-based compensation.
- Adjusted operating expenses for Q4 2025 were $95.7 million, up $28.0 million from $67.7 million in Q3 2025.
- Excluding adjusted cost of revenues, adjusted operating expenses for Q4 2025 were $66.8 million, a moderate sequential increase from $62.2 million in Q3 2025.
Balance Sheet, Cash Flow, and Liquidity
The company maintains a highly capitalized balance sheet positioned to fund its aggressive orbital deployment schedule.
- Current Liquidity: As of December 31, 2025, AST SpaceMobile held cash, cash equivalents, and restricted cash of approximately $2.8 billion.
- Pro Forma Position: Pro forma for a recent convertible notes offering and available capacity under an ATM facility, the company commands a liquidity position of over $3.9 billion.
- Capital Raising Initiatives: In February 2026, the company secured $1.075 billion in gross proceeds via a 10-year convertible senior notes offering bearing a 2.250% coupon and an effective conversion price of $116.30 per share. Concurrently, the company efficiently managed existing debt by equitizing $250.0 million of its 2.375% notes due 2032 and $46.5 million of its 4.250% notes due 2032.
Cash Flow Dynamics
A review of the 2025 statement of cash flows illustrates substantial investments in growth and infrastructure:
- Operating Activities: Net cash used in operating activities was $(71.5) million, improved from $(126.1) million used in 2024.
- Investing Activities: Cash consumed by investing activities saw a profound acceleration to $(1.54) billion from $(174.1) million in 2024. This was heavily driven by the purchase of property and equipment ($(1.06) billion), capital advances to Ligado ($(420.0) million), and the purchase of spectrum intangibles ($(56.4) million). Total incurred capitalized property and equipment costs to date reached approximately $1.6 billion by year-end 2025.
- Financing Activities: Net cash provided by financing activities surged to $3.83 billion in 2025, facilitated by $2.61 billion in debt proceeds, $551.9 million from the issuance of common stock, and $1.01 billion from share issuances related to note repurchases.
Operational Pipeline and Segment Developments
Commercial Partnerships and Backlog
AST SpaceMobile continues to aggressively expand its global partner ecosystem ahead of a scaled service activation.
- The company has secured over $1.2 billion in aggregate contracted revenue commitments from its commercial partners.
- This backlog is highlighted by a $175.0 million commercial prepayment from the stc Group, tied to a 10-year regional definitive commercial agreement.
- The broader ecosystem now encompasses over 50 MNO partners representing nearly 3 billion subscribers globally.
- Partnerships were expanded globally in 2025 with operators including Orange, Telefonica, CK Hutchison, Taiwan Mobile, and Sunrise, while initiatives with Vodafone also progressed.
Government Contracts
The U.S. Government segment achieved notable momentum in 2025. The company was awarded a $30.0 million prime contract by the Space Development Agency for the HALO Europa Track 2 program. Additionally, AST SpaceMobile was awarded a prime contract position on the U.S. Missile Defense Agency SHIELD Program.
Satellite Deployment and Manufacturing
The company maintains an active orbital launch campaign designed to establish a functional, scaled constellation.
- BlueBird Deployments: The company successfully completed the unfolding of BlueBird 6 in LEO during February 2026, which is expected to greatly exceed peak data speeds of 120 Mbps.
- Near-term Launches: BlueBird 7 was encapsulated at Cape Canaveral in February 2026 and is scheduled for launch in March.
- Production Scaling: BlueBird 8 through BlueBird 29 are currently in varying stages of production. AST SpaceMobile expects to complete the assembly of the equivalent of 40 satellites’ worth of microns by the first half of 2026. Management targets placing 45 to 60 satellites in orbit by the end of 2026, supported by an expected launch cadence of one to two months on average.
- Facilities: To support this manufacturing throughput, the company acquired a fourth site in Midland, Texas dedicated to micron production. This addition increases AST SpaceMobile’s global manufacturing footprint to an anticipated footprint exceeding 500,000 square feet.
Management Commentary
Leadership views the current operational posture as a pivot point for commercialization. Chairman and CEO Abel Avellan noted that 2025 was the first year the company became a revenue-generating entity, advancing its operations across commercial, government, manufacturing, and capital spectrums. Looking ahead, Avellan stated, “In 2026, we expect to scale our space-based direct-to-device network from initial commercial activation toward the start of broader commercial service”. The company expects revenue to continue growing throughout 2026 in advance of commercial service activation, fortified by its MNO backlog and government contract milestones.
Key Risks and Challenges
The company’s forward-looking statements detail several material risks and uncertainties that could affect future results and planned network deployments:
- Definitive Contracting: Future execution relies heavily on the successful negotiation of definitive agreements with MNOs that must supersede existing preliminary agreements and memoranda of understanding.
- Capital and Financing Requirements: The company will require continued ability to finance its research and development activities, capital expenditures, and ongoing operating expenses while investing in broader growth initiatives.
- Deployment Timing and Approvals: The timing of the launch and shipment of Block 2 BlueBird satellites remains contingent upon the satisfactory completion of assembly, testing, and securing necessary regulatory approvals, many of which are explicitly stated to be beyond the company’s direct control.
- Competitive and Operational Pressures: Challenges include managing rapid operational growth profitably, retaining key employees, and effectively responding to competitive actions in the evolving mobile satellite services market.