May 13th, 2026

The call conveyed a decidedly positive operational and financial trajectory: strong revenue growth (+20% YoY), margin expansion, a swing to GAAP profitability, nearly doubled adjusted EBITDA, meaningful commercial and defense orders, product certification progress (Sidewinder Line‑fit with Boeing) and solid liquidity. Management reiterated full-year guidance and highlighted technology demos and strategic partnerships (AWS, Nelco, virtualized gateway, 5G NTN work). Key risks discussed include working capital timing (quarterly operating cash use and DSOs), execution/timing lag between defense bookings and revenue, remaining DataPath earnout considerations, Stellar Blu integration and R&D timing, and the multi-year timeline for full 5G NTN market maturity — factors that add timing uncertainty but do not negate the underlying growth momentum. Overall, positive financial results and a healthy pipeline outweigh the noted timing and operational risks.

Company Guidance

Gilat reiterated 2026 guidance of $500–$520 million in revenues and $61–$66 million in adjusted EBITDA (midpoint implying ~13% revenue growth and ~19% adjusted‑EBITDA growth y/y), backing it with a strong Q1: revenues of $110.5M (+20% y/y) and adjusted EBITDA of $15.1M (nearly 2x y/y); GAAP gross margin 34% (vs. 31% a year ago) and non‑GAAP gross margin 36% (vs. 32%); GAAP operating income $4.4M (vs. a $2.7M loss) and GAAP net income $5.2M ($0.07 diluted, vs. a $6.0M loss or $0.11); segment revenues were Commercial $72.8M (+13%), Defense $25.4M (+10%) and Peru $12.3M (vs. $4.8M); balance sheet metrics include $171M liquidity, DSOs of 112 days (ex‑Peru), ~$12.2M used in operating cash in Q1 (≈$15M generated trailing 12 months), shareholders’ equity $536M, issuance of 2.5M shares at $15.45 for the DataPath earnout and a remaining capped earnout of up to $9M — management cited a strong backlog and healthy pipeline as the basis for the reiterated guidance.