ASTSW AST SpaceMobile Inc

 

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): November 14, 2024

 

 

AST SpaceMobile, Inc.

(Exact name of Registrant as Specified in Its Charter)

 

 

Delaware			001-39040	84-2027232
(State or Other Jurisdiction of Incorporation)			(Commission File Number)	(IRS Employer Identification No.)
Midland Intl. Air & Space Port 2901 Enterprise Lane
Midland, Texas				79706
(Address of Principal Executive Offices)				(Zip Code)

 

Registrant’s Telephone Number, Including Area Code: (432) 276-3966

 

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

 

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:

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

Title of each class		Trading Symbol(s)		Name of each exchange on which registered
Class A common stock, par value $0.0001 per share		ASTS		The Nasdaq Stock Market LLC

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).

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. ☐

 

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Item 2.02. Results of Operations and Financial Condition.

On November 14, 2024, AST SpaceMobile, Inc. (“AST SpaceMobile” or the “Company”) issued a press release announcing financial results for the three and nine months ended September 30, 2024. A copy of the press release is attached hereto as Exhibit 99.1.

The information included in this Item 2.02 and in Exhibit 99.1 shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (“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 or the Exchange Act, except as expressly set forth by specific reference in such a filing.

 

Item 7.01. Regulation FD Disclosure.

AST SpaceMobile is also furnishing a Third Quarter 2024 Business Update, dated November 14, 2024 (the “Presentation”), attached as Exhibit 99.2 to this Current Report on Form 8-K, which may be referred to on the Company’s third quarter 2024 conference call to be held on November 14, 2024. The Presentation will also be available on the Company’s website at www.ast-science.com.

The information included in this Item 7.01 and in Exhibit 99.2 shall not be deemed “filed” for purposes of Section 18 of 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 or the Exchange Act, except as expressly set forth by specific reference in such a filing.

Item 9.01. Financial Statements and Exhibits.

Exhibit No.	Description
99.1	Press Release dated November 14, 2024
99.2	Third Quarter 2024 Business Update
104	Cover Page Interactive Data File (embedded within the Inline XBRL document).

 

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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 thereunto duly authorized.

			AST SpaceMobile, Inc.
Date:	November 14, 2024	By:	/s/ Andrew M. Johnson
			Name: Andrew M. Johnson Title: Chief Financial Officer and Chief Legal Officer

 

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PRESS RELEASE	EXHIBIT 99.1

 

 

AST SpaceMobile Provides Business Update and Third Quarter 2024 Results

 

MIDLAND, Texas, November 14, 2024 – AST SpaceMobile, Inc. (“AST SpaceMobile”) (NASDAQ: ASTS), the company building the first and only space-based cellular broadband network accessible directly by everyday smartphones, and designed for both commercial and government applications, is providing its business update for the third quarter ended September 30, 2024.

 

“We achieved many significant milestones in the quarter and continue our momentum with several key pieces now in place.” said Abel Avellan, Founder, Chairman and CEO of AST SpaceMobile. “With the first five BlueBird satellites successfully unfolded and entering initial operations, our business is progressing according to plan. We’ve advanced our strategy across multiple efforts including progress on securing orbital launch capacity, growing our manufacturing capability, and expanding our customer ecosystem.”

 

Business Update

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Third Quarter 2024 Financial Highlights

(1) See reconciliation of Adjusted operating expenses to Total operating expenses, Adjusted engineering services costs to Engineering services costs and Adjusted general and administrative costs to General and administrative costs in the tables accompanying this press release.

 

Non-GAAP Financial Measures

 

We refer to certain non-GAAP financial measures in this press release, including Adjusted operating expenses, Adjusted engineering services costs and Adjusted general and administrative costs. We believe these non-GAAP financial measures are useful measures across time in evaluating our operating performance as we use these measures to manage the business, including in preparing our annual operating budget and financial projections. These non-GAAP financial measures that have no standardized meaning prescribed by U.S. GAAP, and therefore have limits in their usefulness to investors. Because of the non-standardized definitions, these measures may not be comparable to the calculation of similar measures of other companies and are presented solely to provide investors with useful information to more fully understand how management assesses performance. These measures are not, and should not be viewed as, a substitute for their most directly comparable GAAP measures. Reconciliation of non-GAAP financial measures and the most directly comparable GAAP financial measures are included in the tables accompanying this press release.

 

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Conference Call Information

 

AST SpaceMobile will hold a quarterly business update conference call at 5:00 p.m. (Eastern Time) on Thursday, November 14, 2024. The call will be accessible via a live webcast on the Events page of AST SpaceMobile’s Investor Relations website at https://ast-science.com/investors/. An archive of the webcast will be available shortly after the call.

 

About AST SpaceMobile

AST SpaceMobile is building the first and only global cellular broadband network in space to operate directly with standard, unmodified mobile devices based on our extensive IP and patent portfolio, and designed for both commercial and government applications. Our engineers and space scientists are on a mission to eliminate the connectivity gaps faced by today’s five billion mobile subscribers and finally bring broadband to the billions who remain unconnected. For more information, follow AST SpaceMobile on YouTube, X (Formerly Twitter), LinkedIn and Facebook. Watch this video for an overview of the SpaceMobile mission.

 

Forward-Looking Statements

This communication contains “forward-looking statements” that are not historical facts, and involve risks and uncertainties that could cause actual results of AST SpaceMobile to differ materially from those expected and projected. These forward-looking statements can be identified by the use of forward-looking terminology, including the words “believes,” “estimates,” “anticipates,” “expects,” “intends,” “plans,” “may,” “will,” “would,” “potential,” “projects,” “predicts,” “continue,” or “should,” or, in each case, their negative or other variations or comparable terminology. These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from the expected results. Most of these factors are outside AST SpaceMobile’s control and are difficult to predict.

 

Factors that could cause such differences include, but are not limited to: (i) expectations regarding AST SpaceMobile’s strategies and future financial performance, including AST’s future business plans or objectives, expected functionality of the SpaceMobile Service, anticipated timing of the launch of the Block 2 BlueBird satellites, anticipated demand and acceptance of mobile satellite services, prospective performance and commercial opportunities and competitors, the timing of obtaining regulatory approvals, ability to finance its research and development activities, commercial partnership acquisition and retention, products and services, pricing, marketing plans, operating expenses, market trends, revenues, liquidity, cash flows and uses of cash, capital expenditures, and AST SpaceMobile’s ability to invest in growth initiatives; (ii) the negotiation of definitive agreements with mobile network operators relating to the SpaceMobile Service that would supersede preliminary agreements and memoranda of understanding and the ability to enter into commercial agreements with other parties or government entities; (iii) the ability of AST SpaceMobile to grow and manage growth profitably and retain its key employees and AST SpaceMobile’s responses to actions of its competitors and its ability to effectively compete; (iv) changes in applicable laws or regulations; (v) the possibility that AST SpaceMobile may be adversely affected by other economic, business, and/or competitive factors; (vi) the outcome of any legal proceedings that may be instituted against AST SpaceMobile; and (vii) other risks and uncertainties indicated in the Company’s filings with the Securities and Exchange Commission (SEC), including those in the Risk Factors section of AST SpaceMobile’s Form 10-K filed with the SEC on April 1, 2024.

 

AST SpaceMobile cautions that the foregoing list of factors is not exclusive. AST SpaceMobile cautions readers not to place undue reliance upon any forward-looking statements, which speak only as of the date made. For

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information identifying important factors that could cause actual results to differ materially from those anticipated in the forward-looking statements, please refer to the Risk Factors in AST SpaceMobile’s Form 10-K filed with the SEC on April 1, 2024. AST SpaceMobile’s securities filings can be accessed on the EDGAR section of the SEC’s website at www.sec.gov. Except as expressly required by applicable securities law, AST SpaceMobile disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

 

Investor Contact:

Scott Wisniewski

investors@ast-science.com

Media Contact:

Allison

Eva Murphy Ryan

917-547-7289

ASTSpaceMobile@allisonpr.com

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Third Quarter Financial Results

 

AST SPACEMOBILE, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)

(Dollars in thousands, except share data)

 

		As of
		September 30, 2024				December 31, 2023
ASSETS
Current assets:
Cash and cash equivalents		$	516,389			$	85,622
Restricted cash			2,497				2,475
Prepaid expenses			7,073				4,591
Other current assets			19,662				14,194
Total current assets			545,621				106,882
Non-current assets:
Property and equipment, net			260,068				238,478
Operating lease right-of-use assets, net			12,088				13,221
Other non-current assets			3,872				2,311
TOTAL ASSETS		$	821,649			$	360,892
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable		$	8,962			$	20,575
Accrued expenses and other current liabilities			16,480				23,926
Contract liabilities			22,468				-
Current operating lease liabilities			1,534				1,468
Current portion of long-term debt			44,635				252
Total current liabilities			94,079				46,221
Non-current liabilities:
Warrant liabilities			57,460				29,960
Non-current operating lease liabilities			11,057				11,900
Long-term debt, net			156,252				59,252
Total liabilities			318,848				147,333
Commitments and contingencies
Stockholders' Equity:
Class A Common Stock, $.0001 par value; 800,000,000 shares authorized; 170,039,305 and 90,161,309 shares issued and outstanding as of September 30, 2024 and December 31, 2023, respectively.			17				9
Class B Common Stock, $.0001 par value; 200,000,000 shares authorized; 39,747,447 and 50,041,757 shares issued and outstanding as of September 30, 2024 and December 31, 2023, respectively.			4				5
Class C Common Stock, $.0001 par value; 125,000,000 shares authorized; 78,163,078 shares issued and outstanding as of September 30, 2024 and December 31, 2023, respectively.			8				8
Additional paid-in capital			762,426				288,404
Accumulated other comprehensive income			353				227
Accumulated deficit			(453,888	)			(189,662	)
Noncontrolling interest			193,881				114,568
Total stockholders' equity			502,801				213,559
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY		$	821,649			$	360,892

 

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AST SPACEMOBILE, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)

(Dollars in thousands, except share and per share data)

 

		For the Three Months Ended September 30,									For the Nine Months Ended September 30,
		2024				2023					2024				2023
Revenues		$	1,100			$	-				$	2,500			$	-
Operating expenses:
Engineering services costs			21,828				19,523					62,546				58,818
General and administrative costs			15,551				10,995					45,677				31,073
Research and development costs			14,724				9,418					23,435				36,721
Depreciation and amortization			14,543				19,029					54,880				34,877
Total operating expenses			66,646				58,965					186,538				161,489
Other income (expense):
(Loss) gain on remeasurement of warrant liabilities			(236,912	)			7,481					(284,839	)			21,454
Interest (expense) income, net			(1,386	)			495					(5,846	)			4,311
Other income (expense), net			1,410				507					1,661				(10,237	)
Total other income (expense), net			(236,888	)			8,483					(289,024	)			15,528
Loss before income tax (expense) benefit			(302,434	)			(50,482	)				(473,062	)			(145,961	)
Income tax (expense) benefit			(646	)			(266	)				(1,172	)			408
Net loss before allocation to noncontrolling interest			(303,080	)			(50,748	)				(474,234	)			(145,553	)
Net loss attributable to noncontrolling interest			(131,134	)			(29,839	)				(210,008	)			(89,918	)
Net loss attributable to common stockholders		$	(171,946	)		$	(20,909	)			$	(264,226	)		$	(55,635	)
Net loss per share attributable to holders of Class A Common Stock
Basic and diluted		$	(1.10	)		$	(0.23	)			$	(1.89	)		$	(0.70	)
Weighted-average shares of Class A Common Stock outstanding
Basic and diluted			155,644,888				89,514,621					139,485,036				79,065,471

 

 

 

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AST SPACEMOBILE, INC.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (UNAUDITED)

(Dollars in thousands)

 

		For the Three Months Ended September 30,								For the Nine Months Ended September 30,
		2024				2023				2024				2023
Net loss before allocation to noncontrolling interest		$	(303,080	)		$	(50,748	)		$	(474,234	)		$	(145,553	)
Other comprehensive loss
Foreign currency translation adjustments			529				(358	)			190				(526	)
Total other comprehensive loss			529				(358	)			190				(526	)
Total comprehensive loss before allocation to noncontrolling interest			(302,551	)			(51,106	)			(474,044	)			(146,079	)
Comprehensive loss attributable to noncontrolling interest			(130,906	)			(30,050	)			(209,944	)			(90,226	)
Comprehensive loss attributable to common stockholders		$	(171,645	)		$	(21,056	)		$	(264,100	)		$	(55,853	)

 

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AST SPACEMOBILE, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

(Dollars in thousands)

			For the Nine Months Ended September 30,
			2024				2023
Cash flows from operating activities:
Net loss before allocation to noncontrolling interest			$	(474,234	)		$	(145,553	)
Adjustments to reconcile net loss before noncontrolling interest to cash used in operating activities:
Depreciation and amortization				54,880				34,877
Amortization of debt issuance costs				3,047				374
Loss on disposal of property and equipment				2,221				-
Loss (gain) on remeasurement of warrant liabilities				284,839				(21,454	)
Stock-based compensation				20,617				10,595
Paid-in-kind ("PIK") interest expense				2,959				-
Changes in operating assets and liabilities:
Prepaid expenses and other current assets				(7,940	)			1,601
Accounts payable and accrued expenses				(7,998	)			(6,215	)
Operating lease right-of-use assets and operating lease liabilities				357				54
Contract liabilities				22,468				-
Other assets and liabilities				1,081				1,680
Net cash used in operating activities				(97,703	)			(124,041	)
Cash flows from investing activities:
Purchase of property and equipment				(92,095	)			(96,462	)
Net cash used in investing activities				(92,095	)			(96,462	)
Cash flows from financing activities:
Proceeds from debt				145,000				63,500
Repayments of debt				(187	)			(180	)
Payments for debt issuance costs				(9,435	)			(9,653	)
Proceeds from issuance of common stock				338,911				65,003
Payments for equity issuance costs				(6,903	)			(1,527	)
Proceeds from warrants exercises				153,307				-
Issuance of equity under employee stock plan				3,058				225
Employee taxes paid for stock-based compensation awards				(3,325	)			-
Net cash provided by financing activities				620,426				117,368
Effect of exchange rate changes on cash, cash equivalents and restricted cash				161				(395	)
Net increase (decrease) in cash, cash equivalents and restricted cash				430,789				(103,530	)
Cash, cash equivalents and restricted cash, beginning of period				88,097				239,256
Cash, cash equivalents and restricted cash, end of period			$	518,886			$	135,726
Supplemental disclosure of cash flow information:
Non-cash activities:
Right-of-use assets obtained in exchange for operating lease liabilities			$	-			$	6,709
Non-cash investing and financing activities:
Purchases of property and equipment in accounts payable and accrued expenses			$	5,086			$	7,120
PIK interest paid through issuance of PIK notes				2,959				-
Settlement of warrant liabilities by issuing shares				257,337				-
Cash paid for:
Interest			$	6,694			$	1,071
Income taxes, net				1,135				510

 

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AST SPACEMOBILE, INC.

RECONCILIATION OF GAAP REPORTED TO NON-GAAP ADJUSTED MEASURES (UNAUDITED)

(Dollars in thousands)

 

		For the Three Months Ended September 30, 2024
		GAAP Reported				Stock-Based Compensation Expense				Adjusted
Engineering services costs		$	21,828			$	(3,431	)		$	18,397
General and administrative costs			15,551				(3,379	)			12,172
Research and development costs			14,724				-				14,724
Depreciation and amortization			14,543				-				14,543
Total operating expenses		$	66,646			$	(6,810	)		$	59,836
Less: Depreciation and amortization											(14,543	)
Adjusted operating expenses										$	45,293

 

		For the Three Months Ended June 30, 2024
		GAAP Reported				Stock-Based Compensation Expense				Adjusted
Engineering services costs		$	21,202			$	(2,032	)		$	19,170
General and administrative costs			17,839				(6,842	)			10,997
Research and development costs			4,460				-				4,460
Depreciation and amortization			20,392				-				20,392
Total operating expenses		$	63,893			$	(8,874	)		$	55,019
Less: Depreciation and amortization											(20,392	)
Adjusted operating expenses										$	34,627

 

Adjusted operating expenses, Adjusted engineering services costs and Adjusted general and administrative costs are alternative financial measures used by management to evaluate our operating performance as a supplement to our most directly comparable U.S. GAAP financial measure. We define Adjusted operating expense as Total operating expenses adjusted to exclude amounts of stock-based compensation expense and depreciation and amortization expense. We define Adjusted engineering services costs and Adjusted general and administrative costs as engineering services costs and general and administrative costs adjusted to exclude stock-based compensation expenses.

We believe Adjusted operating expenses, Adjusted engineering services costs and Adjusted general and administrative costs are useful measures across time in evaluating our operating performance as we use these measures to manage the business, including in preparing our annual operating budget and financial projections. Adjusted operating expenses, Adjusted engineering services costs, and Adjusted general and administrative costs are non-GAAP financial measures that have no standardized meaning prescribed by U.S. GAAP, and therefore have limits in their usefulness to investors. Because of the non-standardized definitions, these measures may not be comparable to the calculation of similar measures of other companies and are presented solely to provide investors with useful information to more fully understand how management assesses performance. These measures are not, and should not be viewed as, a substitute for their most directly comparable GAAP measure of Total operating expenses, Engineering services costs and General and administrative costs.

 

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Transforming howthe world connects Business Update – Third Quarter 2024 November 14, 2024 NASDAQ: ASTS ast-science.com

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ast-science.com Forward Looking Statements The information in this presentation and the oral statements made in connection therewith includes “forward-looking statements” for the purposes of federal securities laws that are not historical facts and involve risks and uncertainties that could cause actual results to differ materially from those expected and projected. All statements, other than statements of historical fact in this presentation and the oral statements made in connection therewith regarding AST SpaceMobile, Inc.’s, collectively with its subsidiaries (“SpaceMobile” or the “Company”), financial position, business strategy and the plans and objectives of management for future operations, are forward-looking statements. Words such as “expect,” “believe,” “anticipate,” “intend,” “estimate,” “seek,” “plan,” “predict,” “potential,” and variations and similar words and expressions are intended to identify such forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Such forward-looking statements relate to future events or future performance, but reflect management’s current beliefs, based on information currently available. A number of factors could cause actual events, performance or results to differ materially from the events, performance and results discussed in the forward-looking statements. For information identifying important factors that could cause actual results to differ materially from those anticipated in, or implied by, the forward-looking statements, please refer to the Risk Factors contained in AST SpaceMobile’s Annual Report on Form 10-K, filed with the SEC on April 1, 2024. The Company’s securities filings can be accessed on the EDGAR section of the SEC’s website at www.sec.gov. Except as expressly required by applicable securities law, the Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise. Use of Non-GAAP Financial Measures Adjusted operating expense is an alternative financial measure used by management to evaluate our operating performance as a supplement to our most directly comparable U.S. GAAP financial measure. We define Adjusted operating expense as total operating expenses adjusted to exclude amounts of stock-based compensation expense and depreciation and amortization expense. We believe Adjusted operating expenses is a useful measure across time in evaluating the Company's operating performance as we use Adjusted operating expenses to manage the business, including in preparing our annual operating budget and financial projections. Adjusted operating expense is a non-GAAP financial measure that has no standardized meaning prescribed by U.S. GAAP, and therefore has limits in its usefulness to investors. Because of the non-standardized definition, it may not be comparable to the calculation of similar measures of other companies and are presented solely to provide investors with useful information to more fully understand how management assesses performance. This measure is not, and should not be viewed as, a substitute for its most directly comparable GAAP measure of total operating expenses. Industry and Market Data This presentation includes market data and other statistical information from sources believed to be reliable, including independent industry publications, governmental publications or other published independent sources. Although AST SpaceMobile believes these sources are reliable, we have not independently verified the information and cannot guarantee its accuracy and completeness. Trademarks and Trade Names AST SpaceMobile owns or has rights to various trademarks, service marks and trade names that they use in connection with the operation of their respective businesses. This presentation also contains trademarks, service marks and trade names of third parties, which are the property of their respective owners. The use or display of third parties’ trademarks, service marks, trade names or products in this presentation is not intended to, and does not imply, a relationship with AST SpaceMobile, or an endorsement or sponsorship by or of AST SpaceMobile. Solely for convenience, the trademarks, service marks and trade names referred to in this presentation may appear without the ®, TM or SM symbols, but such references are not intended to indicate, in any way, that AST SpaceMobile will not assert, to the fullest extent under applicable law, their rights or the right of the applicable licensor to these trademarks, service marks and trade names.

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Building the First and Only Space-Based Cellular Broadband Network ast-science.com 3

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Key Highlights 4 Secured initial contract as a Prime Contractor to the U.S. Government​ First five commercial BlueBird satellites achieved successful initial operations and filed Special Temporary Authority (STA) request with FCC to begin beta service with AT&T and Verizon Secured orbital launch capacity to enable continuous space-based cellular broadband service coverage in key markets, including U.S., Europe, Japan, the U.S. Government and other strategic markets globally​ Expanded the AST SpaceMobile customer ecosystem, adding three new contract awards with the U.S. Government and continued to advance discussions with multiple commercial partners Strong balance sheet and liquidity with $518.9 million in cash, cash equivalents, and restricted cash, benefiting from warrant redemption and ATM program

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First 5 commercial BlueBird satellites successfully unfolded BlueBird array unfold #2 BlueBird array unfold #1 First Five Commercial BlueBird Satellites Achieved Successful Initial Operations 5 Mission launch September 12th

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Secured Orbital Launch Capacity to Enable Continuous Space-Based Cellular Broadband Service Coverage Announced launch agreements with Blue Origin, ISRO, and SpaceX to deliver AST SpaceMobile’s next-generation Block 2 BlueBirds Launch campaigns from Cape Canaveral Florida Space Force Station planned during 2025 and 2026 Blue Origin to become the third launch services provider in AST SpaceMobile history 6 Targeting continuous coverage in U.S., Europe, Japan, the U.S. Government and other strategic markets globally

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Expanded the AST SpaceMobile Customer Ecosystem, Adding Three New Contract Awards With U.S. Government Selection by the Space Development Agency (SDA) to compete directly as a prime contractor under the Hybrid Application for proliferated low Earth orbit (HALO) program Growing pipeline of government opportunities for non-commercial applications demonstrates significant advantages of AST SpaceMobile’s dual-use technologies 7

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When operational, SpaceMobile Service will be available to MNOs on a wholesale basis, with existing relationships spanning nearly all large countries (ex. China/Russia) potential coverage These MNOs have 2.8+ billion Subscribers globally 45+MNOs Strategic Partners Selected MNO Partners 8 Continued Commercial Progress with Our Global Partners

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Operating andCapital Metrics Adj. Operating Expenses 1 Liquidity 3 $M $M Non-GAAP. See appendix for a reconciliation. Adjusted operating expenses is equal to total operating expense adjusted to exclude depreciation and amortization and stock based-compensation expense. Depreciation and amortization for the three months ended September 30, 2024 and June 30, 2024 was $14.5 million and $20.4 million, respectively. Stock-based compensation for the three months ended September 30, 2024 and June 30, 2024 consisted of $3.4 million and $2.0 million of engineering services costs and $3.4 million and $6.8 million of general and administrative costs, respectively. Gross property and equipment as of September 30, 2024, June 30, 2024 and December 31, 2023 was $374.0 million, $347.5 million, $299.7 million, respectively. Accumulated depreciation and amortization as of September 30, 2024, June 30, 2024 and December 31, 2023 was $113.9 million, $99.3 million, and $61.2 million, respectively. Cash Position as of September 30, 2024 and June 30, 2024, respectively, includes $2.5 million of restricted cash. Capital Expenditures 2 $M ASIC

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Appendix ast-science.com 11

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Reconciliation to non-GAAP Measures –Adj. Operating Expenses Adj. operating expenses – 9 months ended ($ in thousands)  Sept 30, '24 June 30,'24 Sept 30, '23 Engineering services costs 21,828 21,202 19,523 General and administrative costs 15,551 17,839 10,995 Research and development costs 14,724 4,460 9,418 Depreciation and amortization 14,543 20,392 19,029 Total operating expenses 66,646 63,893 58,965 Less: Depreciation and amortization (14,543) (20,392) (19,029) Less: Stock-based compensation expense 1 (6,810) (8,874) (2,589) Total adj. operating expenses 45,293 34,627 37,347 Stock-based compensation for the three months ended September 30, 2024, June 30, 2024, and September 30, 2023 consisted of $3.4 million, $2.0 million, and $1.5 million of engineering services costs and $3.4 million, $6.8 million, and $1.1 million of general and administrative costs, respectively. Stock-based compensation for the nine months ended September 30, 2024 and 2023 consisted of $7.1 million and $7.4 million of engineering services costs and $13.5 million and $3.2 million of general and administrative costs, respectively. Adj. operating expenses – 3 months ended ($ in thousands)  Sept 30, '24 Sept 30, '23 Engineering services costs 62,546 58,818 General and administrative costs 45,677 31,073 Research and development costs 23,435 36,721 Depreciation and amortization 54,880 34,877 Total operating expenses 186,538 161,489 Less: Depreciation and amortization (54,880) (34,877) Less: Stock-based compensation expense 2 (20,617) (10,595) Total adj. operating expenses 111,041 116,017

v3.24.3

Document And Entity Information	Nov. 14, 2024
Cover [Abstract]
Document Type	8-K
Amendment Flag	false
Document Period End Date	Nov. 14, 2024
Entity Registrant Name	AST SpaceMobile, Inc.
Entity Central Index Key	0001780312
Entity Emerging Growth Company	true
Entity File Number	001-39040
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	84-2027232
Entity Address, Address Line One	Midland Intl. Air & Space Port
Entity Address, Address Line Two	2901 Enterprise Lane
Entity Address, City or Town	Midland
Entity Address, State or Province	TX
Entity Address, Postal Zip Code	79706
City Area Code	(432)
Local Phone Number	276-3966
Entity Information, Former Legal or Registered Name	Not Applicable
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Entity Ex Transition Period	false
Title of 12(b) Security	Class A common stock, par value $0.0001 per share
Trading Symbol	ASTS
Security Exchange Name	NASDAQ

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