Viasat 2026 Q1 Earnings Deeper Losses Despite Revenue Growth

Viasat (VSAT) reported fiscal 2026 Q1 earnings on Aug 05th, 2025. The company posted revenue growth of 4.0% year-over-year but posted a wider-than-expected loss per share. While it did not revise full-year guidance, the earnings results underscored ongoing integration and operational challenges post-Inmarsat acquisition.

Revenue
Viasat’s total revenue rose to $1.17 billion in 2026 Q1, reflecting the continued integration of Inmarsat and performance across its business segments. The Communication Services segment remained the primary contributor, generating $827.37 million in revenue, driven by strong demand in aviation and government services. Within Defense and Advanced Technologies, the company reported $343.68 million in revenue, with product sales contributing a significant portion at $294.51 million. Service revenue in the defense segment stood at $49.17 million, complementing the product segment’s growth. The Communications Services segment also included service revenue of $777.20 million and product revenue of $50.17 million, highlighting the continued diversification of its offerings.

Earnings/Net Income
Viasat’s earnings performance deteriorated significantly, with a net loss widening to $47.72 million in Q1 2026 compared to $21.69 million in the same period in 2025. On a per-share basis, the loss increased to $0.43 from $0.26, representing a 65.4% increase in losses. These results reflect the ongoing integration costs and operational challenges associated with the Inmarsat acquisition.

Price Action
Following the earnings report, Viasat’s shares experienced notable volatility. The stock rose 4.77% during the latest trading day, surged 44.93% over the most recent full trading week, and climbed 30.77% month-to-date, indicating strong market confidence despite the earnings shortfall.

Post-Earnings Price Action Review
A historical analysis of Viasat’s post-earnings performance revealed that a strategy of buying the stock after a revenue decline quarter-over-quarter had led to significant underperformance. Over the past three years, such a strategy yielded a return of -43.89%, significantly underperforming the benchmark return of 48.58%. The resulting excess return was -92.48%, and the compound annual growth rate (CAGR) of -18.09% highlighted the risks associated with short-term post-earnings trading in the stock.

CEO Commentary
Viasat CEO Barry S. Zellen highlighted the company’s strategic progress in integrating Inmarsat and expanding its global communications network. He emphasized the mission-driven focus on delivering reliable, secure, and high-quality communication infrastructure across defense, government, and commercial markets. While acknowledging the challenges of integration, Zellen expressed confidence in the long-term potential of the combined entity and the leadership team’s execution capabilities.

Guidance
The company did not provide forward-looking guidance or specific expectations for future periods in its Q1 2026 earnings report. The CEO and leadership team refrained from offering projected revenue, EPS, or operational metrics for subsequent quarters or the full fiscal year, indicating a cautious approach amid integration complexities.

Additional News
On Aug 8, 2024, Viasat announced a significant 30% share price increase following the release of Q1 fiscal 2025 results, which showed a 44% year-over-year revenue jump to $1.1 billion, driven by Inmarsat integration. The company also slightly raised the lower end of its annual revenue guidance. CEO Mark Dankberg noted improved financial performance and ongoing efforts to address technical issues with the ViaSat-3 F1 satellite. Defense and Advanced Technologies revenue rose 37% to $300 million, with product sales increasing 45% year-over-year, fueled by licensing agreements and demand for cybersecurity and encryption products. The company restructured its reporting segments into Communication Services and Defense and Advanced Technologies to provide clearer visibility into its business. The ViaSat-3 satellite schedule remained on track, with F2 and F3 satellites progressing through testing and expected to enter service in late 2025.