Viasat (VSAT) Q4 2026 earnings summary

Executive summary

• Fiscal 2026 delivered record contract awards, backlog, and modest revenue and adjusted EBITDA growth, with strong cash generation and progress on leverage reduction.

• Achieved FY2026 revenue of $4.6B, with Q4 revenue up 2% year-over-year to $1,171M.

• Strong momentum in information security, cyber defense, space and mission systems, and aviation.

• Continued expansion of satellite fleet, with successful launches and deployments of ViaSat-3 F2 and F3.

• Board strengthened with new directors and a cooperation agreement with Carronade Capital Management.

Financial highlights

• Q4 revenue was $1.2 billion, up 2% year-over-year, driven by 12% growth in DAT, offset by a 2% decline in communication services.

• Net income for Q4 was $59 million, up $305 million, mainly due to a gain from the Navarino sale and lower expenses.

• Adjusted EBITDA for Q4 was $370 million, down 1% due to higher R&D and government shutdown impacts.

• Q4 operating cash flow increased 8% year-over-year to $322M; free cash flow for the quarter was $24M, down $27M year-over-year due to higher capex.

• Q4 awards totaled $1,280M, up 9% year-over-year; backlog reached $4,073M, up 15% year-over-year.

Outlook and guidance

• Fiscal 2027 revenue expected to grow mid-single digits, with low single-digit growth in communication services and mid-teens growth in DAT.

• Adjusted EBITDA projected to be flat to slightly up, with headwinds from IP settlement and Navarino sale.

• CapEx guidance for fiscal 2027 is $950 million–$1 billion, with a shift from ViaSat-3 to growth and success-based investments.

• Free cash flow expected to remain strong at around $180 million, with net debt to LTM Adjusted EBITDA decreasing by 0.5x.