Viasat Inc (0LPE.L) Q2 2024 Earnings Report

Viasat reported Q2 2024 (calendar year 2024, quarter ended 2024-09-30) revenue of $1.1223 billion, reflecting a year-over-year decline of 8.42% and a modest quarter-over-quarter change of -0.37%. Gross profit stood at $347.184 million, delivering a gross margin of 30.94%, while operating income remained negative at -$24.678 million. Despite a positive EBITDA of $350.684 million and an EBITDA margin of roughly 31.25%, net income was -$137.584 million, translating to an earnings per share (EPS) of -$1.07 for the quarter. The disparity between EBITDA and net income was driven by higher interest expense ($115.34 million) and other income/expenses that totaled -$91.203 million, underscoring ongoing profitability and capital allocation challenges within a capital-intensive growth trajectory.

From a cash flow and balance sheet perspective, Viasat generated $239.189 million of net cash from operating activities and achieved free cash flow of $10.381 million for QQ2 2024. The company finished the period with cash and cash equivalents of $3.5299 billion and total debt of $9.2633 billion, yielding a net debt position of $5.7335 billion. Net cash provided by financing activities was $1.5915 billion, while investing activities consumed $110.808 million. Total assets stood at $17.755 billion and total stockholders’ equity was $4.9355 billion. The balance sheet reflects meaningful depreciation and amortization of $354.666 million and substantial intangible assets and goodwill ($4.0342 billion combined), consistent with a scale-driven, asset-intensive business model.

Looking ahead, the QQ2 2024 results reinforce a dual-path dynamic: (1) the company’s liquidity and cash-generative capacity underpin ongoing network investments and R&D expenditure, (2) profitability remains challenged by operating losses and a heavy net debt burden. The near-term trajectory will hinge on margin expansion, efficiency improvements, and successful monetization of Satellite Services and Commercial Networks initiatives, alongside discipline on capex and working capital. Investors should monitor the pace of revenue recovery, the trajectory of gross and operating margins, debt refinancing risk, and the evolution of cash flow generation as the company advances its architectural and service-scale ambitions.