Viasat Q1 FY2027: Net Loss Narrows to $52M, Record Defense Awards, VS-3 Satellites Near Service Entry
VSAT has more than doubled off its 52-week low of $18.31.
Summary
Viasat reported Q1 FY2027 revenue of $1.2B and a net loss of $52M, but record defense awards and the nearing service entry of two ViaSat-3 satellites point to a potential inflection in growth.
Key Events · Earnings and Guidance · VSAT
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Q1 Revenue Slightly Down, Net Loss Narrows
Revenue of $1.2B declined 1% YoY, while the net loss improved to $52M from $56M, driven by lower interest expense. Adjusted EBITDA fell 7% to $381M.
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Record Defense Awards Drive Backlog Growth
Defense and Advanced Technologies awards surged 22% to a record $524M, pushing total awards up 10% to $1.3B. Total backlog reached $4.2B, up 19% YoY.
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ViaSat-3 Satellites Nearing Service Entry
VS-3 F2 completed bus IOT and is expected to enter service by September 2026. VS-3 F3 entered IOT phase and is expected to serve APAC by late August or early September 2026.
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FY2027 Guidance Reaffirmed
Management expects mid-single-digit revenue growth, Adjusted EBITDA flat to up slightly, free cash flow of ~$180M, and capex of $950M-$1.0B, with a stronger second half.
Analysis · VSAT · Technology
Viasat's Q1 results present a mixed picture: revenue dipped 1% to $1.2B and Adjusted EBITDA fell 7% to $381M, yet the net loss improved to $52M from $56M a year ago. The real story, however, lies in the backlog and awards. Defense segment awards hit a record $524M, up 22%, and total awards rose 10% to $1.3B, signaling strong future revenue. Meanwhile, the imminent service entry of two ViaSat-3 satellites—F2 by September, F3 by late August or early September—marks a critical operational milestone that could reshape capacity and competitiveness. Management reaffirmed FY2027 guidance for mid-single-digit revenue growth and flat to slightly up Adjusted EBITDA, with a stronger second half expected. The balance sheet continues to deleverage, with net leverage dropping to 3.2x. This filing matters because it provides the first concrete evidence that the defense business is accelerating just as the next-gen satellite fleet comes online—a combination that could shift the growth narrative after years of heavy investment.
At the time of this filing, VSAT was trading at $78.88 on NASDAQ in the Technology sector, with a market capitalization of approximately $11.9B. The 52-week trading range was $18.31 to $93.03. This filing was assessed with neutral market sentiment and an importance score of 7 out of 10.