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Comtech Telecommunications (CMTL) investor relations material
Comtech Telecommunications Q1 2026 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Achieved third consecutive quarter of positive operating cash flow, ending with $51 million in total liquidity and marking a significant turnaround from prior losses.
Net sales for Q1 FY26 were $111 million, down 4.1% year-over-year and 14.8% sequentially, reflecting a strategic focus on higher-margin opportunities.
Gross margin improved to 33.1% from 12.5% year-over-year, driven by operational efficiency and product mix changes.
Operating loss narrowed to $2.8 million from $129.2 million year-over-year; net loss attributable to common shareholders was $19.8 million, improved from $155.9 million loss last year.
Adjusted EBITDA was $9.6 million, a significant improvement from a $30.8 million loss in the prior year period.
Financial highlights
Net sales: $111 million (down 4.1% year-over-year, down 14.8% sequentially); Satellite and Space Communications: $55.1 million; Allerium: $55.9 million.
Gross profit: $36.8 million (33.1% margin), up 153.3% year-over-year.
Operating loss: $2.8 million, compared to $129.2 million loss year-over-year; net loss attributable to common shareholders: $19.8 million, improved from $155.9 million loss.
Adjusted EBITDA: $9.6 million, versus a $30.8 million loss year-over-year.
Bookings: $101.9 million, book-to-bill ratio 0.92x; backlog $663 million.
Operating cash flow: $8.1 million, third consecutive positive quarter.
Liquidity at quarter end was $51 million, including $41.4 million in cash and $9.6 million available on the revolver.
Outlook and guidance
Positioned at an inflection point for regrowth after phasing out low-margin products and focusing on higher-margin, strategic opportunities.
Revenue visibility at approximately $1.1 billion, including funded backlog and multi-year contracts.
Backlog and bookings do not yet include a $130 million+ contract extension secured in November.
Management expects attractive growth opportunities ahead, with improved margins and a focus on cash flow optimization.
No forward-looking GAAP or Non-GAAP guidance provided due to unpredictable operating environment.
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