What is the revenue and EPS growth rate for Viasat year over year?

What does Viasat do and what are its main business segments?

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What guidance did Viasat's management provide for the next earnings period?

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What were the key takeaways from Viasat’s earnings call?

- **Revenue & Profit Improvement**: 2% revenue growth to $1.1B, net loss narrowed to $61M, and 3% EBITDA expansion to $385M.
- **ViaSat-3 Launch Catalyst**: Imminent Flight 2 launch (mid-November) and Flight 3 prep to triple capacity, targeting mobility services.
- **Backlog & Growth Drivers**: DAT backlog +31% YoY to $1.2B, supported by space-based security and AI trends.
- **Cash Flow & Debt Reduction**: $147M trailing free cash flow, $23M annual interest savings from Inmarsat loan repayment.
- **Strategic Initiatives**: Equitus JV for shared infrastructure, Ligado restructuring providing $450M+ liquidity, and potential government-commercial separation.

**【CEO Summary Section】**
- **Financial Performance**: Q2 FY26 net loss improved to $61 million (vs. $138M FY25), with 2% revenue growth to $1.1B, driven by 3% growth in Defense & Advanced Technologies (DAT) and 1% in Communications Services. Adjusted EBITDA rose 3% to $385M.
- **ViaSat-3 Launch Update**: Flight 2 delayed to mid-November due to technical issues, but remains a "meaningful milestone" with each ViaSat-3 satellite offering more bandwidth than the entire existing fleet.
- **Backlog Growth**: DAT segment backlog hit $1.2B (31% YoY), supported by secular trends in space-based security, AI, and non-terrestrial networks (NTN).
- **Strategic Initiatives**: Formed Equitus JV with Space42 to share satellite infrastructure, reducing capital intensity. Exploring potential separation of government-commercial businesses.

**【CFO Financial Commentary】**
- **Cash Flow**: Generated $69M free cash flow (Q2) and $147M trailing 12-month, with $282M operating cash flow (18% YoY growth). Repaid $300M Inmarsat term loan, saving $23M annually in interest.
- **Ligado Restructuring**: Received $420M lump sum payment, with $16M quarterly payments ongoing. Total Ligado-related proceeds exceed $450M.
- **Capital Allocation**: Targeting 3x net debt/EBITDA ratio. FY26 CapEx ~$1.2B, with $200M for ViaSat-3 completion in H2.
- **Segment Highlights**: 
  - **Communications Services**: Aviation revenue +15% (425+ aircraft installed), Maritime installations +40% QoQ. Fixed broadband subscribers down to 150K, but ARPU stable at $113.
  - **DAT**: Infosec & Cyber +14%, offsetting Tactical Networking decline. DAT EBITDA $48M (down 16% YoY due to R&D investments).

**【Q&A Key Highlights】**
- **Spectrum Monetization**: Viasat holds ~100MHz harmonized MSS spectrum globally. Equitus JV aims to share infrastructure with regional operators, reducing capital intensity. Ligado payments provide liquidity but not included in free cash flow guidance.
- **Government Shutdown Impact**: Potential $100M DAT awards delay in Q3, with EBITDA impact up to $20M. Long-term outlook remains strong.
- **Equitus Progress**: Discussions with multiple regional partners, including Europe. CapEx details TBD but focus on shared infrastructure efficiency.
- **Quantum Computing & Cybersecurity**: Encryption franchise benefiting from quantum-resistant demand, with growth in data center and government solutions.
- **ViaSat-3 Capacity Utilization**: Flight 2/3 will triple bandwidth, prioritizing high-margin mobility services (aviation, maritime) over fixed broadband.


Viasat, Inc. (VSAT) Q2 2026 Earnings Call Transcript

Revenue

Sales and Services Revenue

Financing Services Revenue

Other Revenue

Cost of Revenue

Cost of Goods and Services

Cost of Financing Services

Other Cost

Gross Profit

Other Operating Income

Operating Expenses

Selling, General and Administrative Expenses

Selling and Marketing Expenses

General and Administrative Expenses

Research and Development Expenses

Loss on Bad Debts

Loss on Impairment of Other Assets

Loss on Disposal of Assets

Other Operating Expenses

Operating Income

Non-Operating Income (Loss)

Income (Loss) from Affiliates

Income (Loss) from Associates

Income (Loss) from Joint ventures

Gain (Loss) on Other Investment

Gain (Loss) on Change in Fair Value

Gain (Loss) on Foreign Currency Exchange

Other Non-Operating Income (Loss)

Net Interest Expense

Interest Expense

Interest Income

Pretax Income From Continuing Operations

Income Tax Expense

Current Income Tax

Deferred Income Tax

Income Tax Adjustments

Net Income from Continuing Operations

Income from Discontinued Operations

Other Items Before Net Income

Net Income

Net Income Attributable to Minority Interests

Net Income Attributable to Owners of the Company

Preferred Stock Dividends

Other Adjustments

Net Income Attributable to Common Stockholders

Other Comprehensive Income

Total Comprehensive Income

Total Comprehensive Income Attributable to Minority Interests

Total Comprehensive Income Attributable to Owners of the Company

Basic EPS

Basic EPS from Continuing Operations

Basic EPS from Discontinued Operations

Diluted EPS

Diluted EPS from Continuing Operations

Diluted EPS from Discontinued Operations

VSAT

VSAT fundamentals

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