Viasat Q1 FY2027: Revenue Holds at $1.16B, Net Loss Narrows, Satellites Near Service
VSAT has more than doubled off its 52-week low of $21.28.
Summary
Viasat reported Q1 FY2027 revenue of $1.16 billion and a net loss of $51.7 million, with communication services profit up 53% but defense profit down 30%. Two key satellites are poised to enter service soon, potentially boosting future growth.
Key Events · Earnings and Guidance · VSAT
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Q1 Revenue Flat, Net Loss Narrows
Total revenue of $1.16 billion was down 1% year-over-year. Net loss attributable to Viasat improved to $51.7 million from $56.4 million a year ago.
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Communication Services Profit Surges
Segment operating profit rose 53% to $62.4 million, driven by a $31.5 million increase in aviation services revenue and improved margins.
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Defense Segment Profit Declines
Defense and advanced technologies operating profit fell 30% to $49.9 million, as product revenue dropped 8% and the prior-year period benefited from higher-margin licensing revenue.
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ViaSat-3 Satellites Nearing Service
ViaSat-3 F2 and F3 are in orbit, with commercial service expected to commence in September 2026 and late summer 2026, respectively, which could ease capacity constraints.
Analysis · VSAT · Technology
Viasat's Q1 FY2027 results present a mixed picture. Revenue came in at $1.16 billion, roughly flat year-over-year, but the net loss attributable to Viasat narrowed to $51.7 million from $56.4 million. The communication services segment delivered a strong 53% increase in operating profit, fueled by growth in aviation and government satcom, while defense and advanced technologies saw a 30% profit decline due to lower product revenue and a less favorable mix. Operating cash flow reached $260.6 million, and the quarter ended with $1.74 billion in cash. Two critical ViaSat-3 satellites are now in orbit and expected to enter commercial service by late summer 2026, which could alleviate capacity constraints and unlock new revenue. However, the $100 million Ligado payment remains outstanding, and the company carries $6.6 billion in total debt. The results are notable for the improving trajectory in the core connectivity business, but the defense segment's weakness and the heavy debt load temper the outlook.
At the time of this filing, VSAT was trading at $82.21 on NASDAQ in the Technology sector, with a market capitalization of approximately $11.3B. The 52-week trading range was $21.28 to $93.03. This filing was assessed with neutral market sentiment and an importance score of 7 out of 10.