| Schedule of CODM and the Reconciliation Thereof to the Net Income (Loss) |
The segment information regularly reviewed by the CODM and the reconciliation thereof to the net income (loss) as well as the capital expenditures by operating segment are included in the following tables:
|
Three-month ended March 31, 2026
|
|
GEO
|
|
LEO
|
|
Other(3)
|
|
Consolidated
|
|
Broadcast
|
|
$
|
35,710 |
|
|
$
|
|
|
|
$
|
—
|
|
|
$
|
35,710 |
|
|
Enterprise
|
|
|
48,836 |
|
|
|
65 |
|
|
|
—
|
|
|
|
48,901 |
|
|
Consulting and other
|
|
|
1,082 |
|
|
|
1,367 |
|
|
|
—
|
|
|
|
2,449 |
|
|
Revenue
|
|
|
85,628 |
|
|
|
1,432 |
|
|
|
—
|
|
|
|
87,060 |
|
|
Operating expenses, net of share-based compensation and non-recurring items(1)
|
|
|
(30,406 |
)
|
|
|
(19,705 |
)
|
|
|
(1,808 |
)
|
|
|
(51,919 |
)
|
|
Adjusted EBITDA(1)
|
|
$
|
55,222 |
|
|
$
|
(18,273 |
)
|
|
$
|
(1,808 |
)
|
|
|
35,141 |
|
|
Share-based compensation
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3,129 |
)
|
|
Non-recurring items(2)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(288 |
)
|
|
Depreciation
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(22,130 |
)
|
|
Amortization
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(8,611 |
)
|
|
Other operating gains (losses), net
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(82,347 |
)
|
|
Operating income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(81,364 |
)
|
|
Interest expense
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(49,958 |
)
|
|
Gain (loss) on changes in fair value of financial instruments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(15,821 |
)
|
|
Interest and other income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4,149 |
|
|
Gain (loss) on foreign exchange
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(17,306 |
)
|
|
Income (loss) before income taxes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(160,300 |
)
|
|
Tax (expense) recovery
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
9,351 |
|
|
Net income (loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
(150,949 |
)
|
|
Capital expenditures
|
|
$
|
646 |
|
|
$
|
151,975 |
|
|
$
|
—
|
|
|
$
|
152,621 |
|
|
Three-month ended March 31, 2025
|
|
GEO
|
|
LEO
|
|
Other(3)
|
|
Consolidated
|
|
Broadcast
|
|
$
|
55,056 |
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
55,056 |
|
|
Enterprise
|
|
|
56,843 |
|
|
|
—
|
|
|
|
—
|
|
|
|
56,843 |
|
|
Consulting and other
|
|
|
3,234 |
|
|
|
1,616 |
|
|
|
—
|
|
|
|
4,850 |
|
|
Revenue
|
|
|
115,133 |
|
|
|
1,616 |
|
|
|
—
|
|
|
|
116,749 |
|
|
Operating expenses, net of share-based compensation and non-recurring items(1)
|
|
|
(29,660 |
)
|
|
|
(18,478 |
)
|
|
|
(1,204 |
)
|
|
|
(49,342 |
)
|
|
Adjusted EBITDA(1)
|
|
$
|
85,473 |
|
|
|
(16,862 |
)
|
|
|
(1,204 |
)
|
|
|
67,407 |
|
|
Share-based compensation
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3,241 |
)
|
|
Non-recurring items(2)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(459 |
)
|
|
Depreciation
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(25,909 |
)
|
|
Amortization
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(10,899 |
)
|
|
Other operating gains (losses), net
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3,950 |
|
|
Operating income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
30,849 |
|
|
Interest expense
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(56,664 |
)
|
|
Gain (loss) on foreign exchange
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2,480 |
|
|
Gain (loss) on changes in fair value of financial instruments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(33,412 |
)
|
|
Interest and other income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
6,208 |
|
|
Income (loss) before income taxes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(50,539 |
)
|
|
Tax (expense) recovery
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(918 |
)
|
|
Net income (loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(51,457 |
)
|
|
Capital expenditures
|
|
$
|
408 |
|
|
$
|
178,120 |
|
|
$
|
—
|
|
|
$
|
178,528 |
|
|
| Schedule of Geographic Regions |
Revenue by geographic region was based on the point of origin of the revenue, which was the destination of the billing invoice, and was allocated as follows:
|
Three-month ended March 31,
|
|
2026
|
|
2025
|
|
Canada
|
|
$
|
45,032 |
|
$
|
58,540 |
|
United States
|
|
|
28,471 |
|
|
38,579 |
|
Europe, Middle East & Africa
|
|
|
5,822 |
|
|
7,590 |
|
Latin America & Caribbean
|
|
|
5,726 |
|
|
7,550 |
|
Asia & Australia
|
|
|
2,009 |
|
|
4,490 |
|
Revenue
|
|
$
|
87,060 |
|
$
|
116,749 |
The satellites and intangible assets have been classified based on ownership. Satellites, property and other equipment, and intangible assets by geographic region were allocated as follows:
|
As at,
|
|
March 31,
2026
|
|
December 31,
2025
|
|
Canada
|
|
$
|
2,640,013 |
|
$
|
2,464,818 |
|
United Kingdom
|
|
|
232,074 |
|
|
238,478 |
|
United States
|
|
|
12,016 |
|
|
12,276 |
|
All others
|
|
|
1,160 |
|
|
1,136 |
|
Satellites, property and other equipment
|
|
$
|
2,885,263 |
|
$
|
2,716,708 |
|
As at,
|
|
March 31,
2026
|
|
December 31,
2025
|
|
Canada
|
|
$
|
422,301 |
|
$
|
428,909 |
|
United States
|
|
|
5,099 |
|
|
5,426 |
|
Latin America & Caribbean
|
|
|
8,144 |
|
|
7,943 |
|
Intangible assets
|
|
$
|
435,544 |
|
$
|
442,278 |
Other long-term assets by geographic region were allocated as follows:
|
As at,
|
|
March 31,
2026
|
|
December 31,
2025
|
|
Canada
|
|
$
|
300,484 |
|
$
|
343,059 |
|
United States
|
|
|
25,956 |
|
|
25,598 |
|
Other long-term assets
|
|
$
|
326,440 |
|
$
|
368,657 |
|