Viasat Q3 Net Income Surges to $110.7M, Revenue Misses by $10M
Viasat reported Q3 non-GAAP net income of $110.7 million (79 cents per share) versus $14.7 million a year ago, beating estimates by $0.74. Revenues rose 3% year-over-year to $1.15 billion but missed consensus by $10 million, driven by 9% Defense & Advanced Technologies growth against flat Communication Services.
1. Q3 Financial Results
Viasat delivered mixed Q3 results, with non-GAAP net income rising to $110.7 million (79 cents per share) from $14.7 million (11 cents) in the prior year. GAAP net income was $25 million (18 cents) versus a $158.4 million loss, driven by higher interest income. Total revenues reached $1.15 billion, up from $1.12 billion, missing consensus by $10 million.
2. Segment Performance
The Defense & Advanced Technologies segment generated $332 million in revenues, up 9% year-over-year, led by information security, cyber defense and space systems. The Communication Services segment delivered $825 million, up 1% on growth in government satcom and aviation, offset by declines in maritime and U.S. fixed broadband, causing adjusted EBITDA to fall to $319 million from $330 million.
3. Cash Flow & Liquidity
Operating cash flow improved to $307 million from $219 million year-ago, reflecting stronger operations and a working capital benefit. As of December 31, 2025, Viasat held $1.35 billion in cash and equivalents against $5.1 billion net debt.
4. Fiscal 2026 Outlook
Management projects low single-digit revenue growth and flattish adjusted EBITDA for fiscal 2026. Communication Services revenues are expected to be flat with double-digit aviation growth offsetting declines in fixed services, while DAT revenues should grow mid-teens. Capital expenditures are forecast at $1.0–$1.1 billion, including $400 million for Inmarsat integration.