KVH Industries, Inc.

Good day, and thank you for standing by. Welcome to the Q3 2025 KVH Industries, Inc. Earnings Conference Call. At this time, all participants are in the listen-only mode. After the speaker's presentation, there will be a question-and-answer session. To ask a question during the session, you will need to press star 11 on your telephone. You will then hear an automated message advising you your hand is raised. To withdraw your question, please press star 11 again. Please be advised that today's conference is being recorded. I would now like to hand the conference call over to your first speaker today, Chief Financial Officer Anthony Pike. Please go ahead.

Thank you, Dana. Good morning, everyone, and thank you for joining us today for KVH Industries' third quarter results, which are included in the earnings release we published earlier this morning. Joining me on the call is the company's Chief Executive Officer, Brent Bruin. Before I get into the numbers, a few standard statements. Firstly, if you would like a copy of the earnings release, or if you would like to listen to a recording of today's call, both will be available on our website, and if you are listening via the web, please feel free to submit questions to ir at kvh.com. Further, this conference call will contain certain forward-looking statements that are subject to numerous assumptions and uncertainties that may cause our actual results to differ materially from those expressed in these statements. We undertake no obligation to update or revise any of these statements. We will also discuss adjusted EBITDA, which is a non-GAAP financial measure. You will find the definition of this measure in our press release, as well as a reconciliation to comparable GAAP numbers. We encourage you to review the cautionary statements made in our SEC filings, specifically those under the heading risk factors in our most recently filed 10Q. The company's other SEC filings are available directly from the investor information section of our website. Now, to walk you through the highlights of our third quarter, I'll turn the call over to Brett.

Thank you, Anthony, and good morning, everyone. The positive momentum that we reported in the second quarter has continued into the third quarter. On our last call, we talked about an inflection point. In this quarter, we have reinforced that inflection point. This is due to our strategic focus on LEO airtime revenue and subscriber growth, which have yielded positive results. Highlights to the quarter include a new record for vessel subscriber growth, record quarterly shipments of satellite communication terminals, sequential and year-over-year service revenue growth, closing the sale of our Middletown, Rhode Island facility, and the acquisition of customer and vendor agreements, along with other assets from a satellite service provider operating in the Asia-Pacific region. At the same time, we maintained our commitment to strong cost control, with flat OPX and reduced CapEx compared to the second quarter of 2025. Service revenue for Q3 was $25.4 million, a 10 percent increase from the prior quarter, and a 4 percent increase from Q3 2024. The increase in year-over-year revenue is particularly encouraging, as the prior year included a significant amount of U.S. Coast Guard revenue, which has drastically decreased since the third quarter of last year. Equally encouraging are subscriber growth continued in the third quarter. Our total subscribing vessel count increased by 11% to approximately 9,000 compared to the second quarter. And as a result, our subscribing vessel count is up 26% year to date. This growth is being driven by the ongoing demand for the Starlink and OneWebLeo services we provide. During Q3, we shipped roughly 1,600 terminals, a new record. There continues to be strong demand for both standalone LEO services and hybrid installations, which represent a combined service utilizing a LEO service in tandem with our legacy VSAT offering. Our Starlink subscriber growth also helped us to stay on target to consume the bulk data pool we purchased in July of 2024 before the end of this year. We're in the final stages of negotiations with Starlink to purchase an additional data pool. We expect that a new purchase commitment will scale to reflect the significant growth trajectory of Starlink Airtime as a portion of our business, enable us to retain flexibility to create custom, competitive data plans to meet our subscribers' needs, and allow us to sustain solid airtime margins. In addition, we continue to pursue strategic growth opportunities. In Q3, we completed the acquisition of the maritime communications customer base of a service provider operating in the Asia Pacific region. This acquisition is expected to bring on board more than 800 vessels that are currently utilizing satellite communication services, approximately 300 of which receive our VSAT service, more than 4,400 land-based subscribers who use Inmarsat and Iridium handheld services, and a corresponding increase in annual top-line revenue. This strategic move represents an essential milestone in our evolution as it is intended to expand our customer base, broaden our product and service portfolio, and significantly increase our land connectivity subscriber base. This step is representative of our commitment to investing in KVH and strengthening our market position. And finally, We successfully closed the sale of our facility in Rhode Island, which generated approximately $8 million in net proceeds. Now, I will turn the call back to Anthony to discuss the numbers.