CARLSBAD, Calif. - Viasat, Inc. (NASDAQ: VSAT), a prominent satellite communications company, reported a significant earnings miss for the fourth quarter, which has led to its shares falling sharply by 11%.
The company posted an adjusted EPS of -$0.24, which was substantially below the analyst consensus of $0.47. Despite the earnings shortfall, Viasat's revenue for the quarter was $1.15 billion, surpassing the consensus estimate of $1.1 billion and indicating a robust demand for its satellite services.
The company's financial performance in the fourth quarter was a mix of surpassing revenue expectations but falling short on profitability. The revenue figure represents an increase from the previous year, reflecting Viasat's continued growth in the satellite communications sector.
Looking ahead, Viasat anticipates adjusted EBITDA growth in the low to mid-single digits for the fiscal year 2025. Additionally, the company expects satellite services revenue to decline by a low to mid-single-digit percentage. This guidance suggests a cautious outlook, which may have contributed to the market's reaction.
In a statement addressing the fourth quarter results, Viasat's management highlighted the company's strategic initiatives and the completion of the Inmarsat acquisition as key steps toward building a sustainable future in space communications. The company stated, "While we faced challenges this quarter, our long-term strategy remains on track. The integration of Inmarsat's resources enhances our ability to deliver high-quality, reliable, and secure communications globally."
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