Gilat Satellite Networks (GILT) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue reached $122.7 million, up 17% year-over-year, with adjusted EBITDA of $15.4 million, a 31% increase, reflecting broad-based growth across defense, commercial, and Peru segments.

• Announced a definitive agreement to acquire most of Comtech's Satellite & Space Communications segment, expected to close by year-end, more than doubling defense revenues and expanding U.S. presence.

• Expanded product offerings and global market reach in both defense and commercial segments, with strong operating leverage and margin expansion.

Financial highlights

• Q2 2026 revenue: $122.7 million (up from $105 million in Q2 2025); adjusted EBITDA: $15.4 million (up from $11.8 million in Q2 2025).

• Commercial segment revenue: $83 million (+20% YoY), driven by in-flight connectivity and strong ESA terminal orders.

• Defense segment revenue: $22.5 million (+12% YoY); Peru segment: $17.2 million (+8% YoY), with 98% deployment of $85 million broadband contracts.

• GAAP gross margin: 30%; non-GAAP gross margin: 32%.

• GAAP net income: $8.1 million ($0.10/share); non-GAAP net income: $15.6 million ($0.20/share).

• Ended quarter with $157.2 million in net cash and $545 million in equity.

Outlook and guidance

• 2026 revenue guidance reiterated at $500–$520 million (13% YoY growth at midpoint); adjusted EBITDA expected between $61–$66 million (19% YoY growth at midpoint).

• Margin expansion expected despite currency headwinds from Israeli shekel vs. US dollar.

• Full-year outlook supported by strong first-half performance, robust backlog, and healthy pipeline across all segments.

• Defense segment forecasted to see much higher H2 revenues, aligned with backlog and delivery schedules.