Viasat Inc
Q3 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: −6.97%.
Did VSAT Beat Earnings? Q3 2025 Results
Viasat delivered a split verdict in its fiscal third quarter, posting non-GAAP diluted EPS of $0.11 — more than double the $0.05 consensus estimate, a 120.00% beat — while revenue of $1.12 billion fell just shy of the $1.13 billion Wall Street had anticipated, down 0.4% year-over-year. The quarter's defining tension came from its two business segments pulling in opposite directions: Defense and Advanced Technologies surged 20% to $303.42 million, buoyed by a broad-based push in tactical networking and a sole-source IDIQ contract worth up to $568 million, while Communication Services slipped 6% to $820.35 million as maritime and fixed broadband declines offset double-digit growth in aviation and government satcom. A $96.61 million loss on extinguishment of Inmarsat debt weighed on the net loss, which widened to $158.41 million. Adjusted EBITDA rose 3% to $393.26 million, and operating cash flow improved by $86 million year-over-year. Management maintained full-year FY2025 guidance and projected <a href="https://247wallst.com/investing/2026/02/24/viasat-is-up-396-but-reddit-still-doesnt-trust-it/">positive free cash flow</a> in the second half of FY2026, alongside expected revenue and Adjusted EBITDA growth.
- Strong 20% YoY revenue growth in Defense and Advanced Technologies driven by tactical networking, information security, and space and mission systems
- Aviation services revenue grew 12% YoY with commercial IFC aircraft in service up ~13% YoY and business jets up ~18% YoY
- Government satcom services revenue grew 11% YoY
- Capital expenditures declined 40% YoY to $253 million
- Operating cash flow increased $86 million YoY to $219 million
- Lower SG&A and R&D expenditures supported Adjusted EBITDA margin improvement
“Our Q3 fiscal year 2025 results are good and moderately better than expectations — and we remain on track for our full fiscal year guidance.”
Viasat CEO, on the earnings call
Forward Guidance & Outlook
Viasat is maintaining its FY2025 revenue and Adjusted EBITDA guidance. Communication Services FY2025 revenue guidance reflects strong aviation and government satcom growth offset by declines in U.S. fixed broadband and maritime. DAT revenue is expected to grow in the mid-teens for FY2025, driven by tactical networking, licensing agreements, and demand for Type 1 encryptors. FY2025 capital expenditures are now expected to decline to approximately $1.1 billion (including ~$300 million for Inmarsat-related capex). Net Debt relative to LTM Adjusted EBITDA is expected to increase modestly by end of FY2025. Looking to FY2026, Viasat expects YoY revenue and Adjusted EBITDA growth, capital expenditures of approximately $1.3 billion, and an inflection to positive free cash flow in the second half of FY2026. The company targets a return to maritime revenue growth in FY2026. VS-3 F2 is expected to enter commercial service in late CY2025, and VS-3 F3 commercial in-service date has shifted into CY2026.
VSAT YoY Financials
VSAT Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.