Viasat reports $1.2 billion second-quarter revenue as defense growth offsets communications declines

Viasat reported second-quarter fiscal 2027 revenue of $1.2 billion on Nov. 6, 2026, a 3% increase from the same period in the prior year, while posting a net loss of $129 million. The results reflected mixed business unit performance, where defense segment gains balanced declines in communications operations.

The Defense and Advanced Technologies segment revenue increased 20% year-over-year to $365 million, with gains across both products and services driven by tactical networking gear, information security, and cyber defense. Communications Services revenue fell 3% year-over-year to $815 million, as fixed satellite services and maritime revenues decreased while aviation and government satcom services grew. Adjusted EBITDA reached $370 million, a 4% decline year-over-year, because weakness in the Communications Services unit outweighed a 57% improvement in Defense and Advanced Technologies segment EBITDA, with the net loss accompanying the figure amid communications contractions.

Commercial aviation ended the second quarter with approximately 4,490 active aircraft in service, up 6% year-over-year but down slightly sequentially as the quarter closed. Business aviation ended the period with approximately 2,080 aircraft, unchanged compared to both the prior year and the previous quarter. The in-flight connectivity backlog totaled 660 commercial aircraft at the close of the second quarter of fiscal 2027, counting new aircraft awards added during the quarter while netting out installations and backlog removals.

Chief Financial Officer Gary Chase said recent customer announcements will ultimately affect 15% to 20% of aviation revenue, pointing to American Airlines, a Viasat client that announced plans to transition its mainline fleet to Starlink services. Viasat expects installed aircraft to decline slightly in sequence through the rest of the year and projects lower aviation revenue in fiscal 2028 than in fiscal 2027, citing a cautious outlook for installations. Chase also said new orders will expand its in-flight connectivity backlog and eventually the installed base, noting continued interest and an installation backlog.

The board disclosed a compensation plan linking executive compensation to stock price milestones ranging from $150 per share to $300 per share. Chief Executive Officer Mark Dankberg said the plan aims to align the company direction with shareholder interests. Dankberg sits on the board but does not serve on the compensation committee, and he said the new pay plan offers avenues to create shareholder value.

Dankberg said the company’s underlying assets appear to be increasing in value. William Blair analyst Louie DiPalma said Viasat’s board equity valuation belief of at least $150 per share stems from recent transactions, interpreting an SEC filing reference as tied to spectrum deals executed by Iridium and Globalstar.

Dankberg referred to recent events without naming the Starlink or Starshield disruptions in Ukraine, arguing that satellite users require trusted space-access options able to withstand threats, countermeasures or arbitrary operating changes. He used recent global developments to highlight demand for resilient satellite alternatives and competitive network options.

Viasat reported that its ViaSat-3 satellites, specifically flights two and three, are now in service and operating as intended, enabling features including countermeasures resilience and small user terminals. The company pointed to its second and third ViaSat-3 spacecraft as operational drivers of expanded capabilities and growth. Chief Executive Officer Mark Dankberg described the Amara multi-orbit aviation service as a highly attractive growth opportunity even as the company adopts a more cautious stance on its in-flight connectivity backlog, tempering near-term expectations while seeing long-term promise in the product.

A conference call hosted by Viasat management on Thursday, Nov. 5, 2026 at 2:30 p.m. PT (5:30 p.m. ET) discussed the second-quarter fiscal 2027 financial results, with a shareholder letter and webcast slides posted to the investor relations website. The company has offices in 24 countries around the world and describes itself as a global technology firm connecting consumers, businesses, governments and militaries across land, air and sea. Viasat completed its purchase of Inmarsat in May 2023, merging the two companies’ teams, technologies and resources into a new global communications partner.