Download PDF

1. Company Snapshot

1.a. Company Description

Gilat Satellite Networks Ltd., together with its subsidiaries, provides satellite-based broadband communication solutions in Israel and internationally.It operates through Fixed Networks, Mobility Solutions, and Terrestrial Infrastructure Projects segments.The company designs and manufactures ground-based satellite communications equipment; and provides solutions and end-to-end services.


Its portfolio consists of very small aperture terminals, amplifiers, modems, on-the-move antennas, solid state power amplifiers, block upconverters, transceivers, low-profile antennas, and on-the-move/on-the-pause terminals and modems.The company also offers turnkey integrated solutions, including managed satellite network services, network planning and optimization, satellite capacity, remote network operation, call center support, hub and field operations, and communication networks construction and installation services.In addition, it provides connectivity services, Internet access, and telephony services to enterprise, government, and residential customers; and builds telecommunication infrastructure using fiber-optic and wireless technologies for broadband connectivity.


The company sells its products and solutions to communication service providers, satellite operators, governments, mobile network operators, telecommunication companies, and system integrators, as well as to defense and homeland security organizations, and directly to end-users.Gilat Satellite Networks Ltd.was incorporated in 1987 and is headquartered in Petah Tikva, Israel.

Show Full description

1.b. Last Insights on GILT

Gilat Satellite Networks Ltd.'s recent performance is driven by strong Q2 2025 earnings, with revenues increasing by 37% and adjusted EBITDA of $11.8 million. The company raised its 2025 revenue and EBITDA guidance, citing growth in its commercial segment and adjacent markets. Additionally, Gilat's defense division secured a multimillion-dollar Israeli SATCOM contract and a $7 million order from the U.S. DoD. The company's AI-powered network management system and solid fundamentals have earned it a Zacks Rank #1 (Strong Buy) rating.

1.c. Company Highlights

2. Gilat Satellite Networks' Q3 2025 Earnings: Strong Growth Across Segments

Gilat Satellite Networks Ltd. reported a robust third quarter of 2025, with revenue reaching $117.7 million, a 58% increase year over year, driven by organic growth of 19%. The adjusted EBITDA was $15.6 million, 46% above the same quarter last year. The company's GAAP net income in Q3 2025 was $8.1 million, or a diluted income per share of $0.14, while non-GAAP net income was $11.8 million, or a diluted income per share of $0.19, beating analyst estimates of $0.13. The gross margin in Q3 2025 was 30%, and non-GAAP gross margin was 32%.

Publication Date: Nov -23

📋 Highlights
  • Revenue Surge:: Q3 2025 revenue hit $117.7M (+58% YoY), driven by 19% organic growth.
  • Adjusted EBITDA Growth:: Rose to $15.6M, a 46% increase compared to Q3 2024.
  • Commercial Segment Outperformance:: Generated $73M revenue (+116% YoY), fueled by in-flight connectivity and $42M in SkyEdge IV orders.
  • Peru Market Expansion:: Revenue doubled to $20.6M YoY, with $85M in total awards after a $25M expansion contract.
  • Investor Confidence:: $66M private placement secured from institutional investors, reflecting strong strategic validation.

Segmental Performance

The Defense segment reported revenues of $24 million, a decrease reflecting the transition from mature programs to new initiatives. However, the company secured over $14 million in orders for DKAT terminals from the U.S. Army and the Department of Defense. The Commercial segment delivered strong results, with revenues of $73 million, a 116% growth primarily driven by the in-flight connectivity vertical. Gilat received $42 million in orders from leading global satellite operators for SkyEdge IV. In Peru, revenues were $20.6 million, more than double the $9.8 million in Q3 2024, driven by higher revenues related to new upgrade projects.

Guidance and Outlook

The company is narrowing its revenue range to between $445 million and $455 million, representing year-over-year growth of 47% at the midpoint, and adjusted EBITDA guidance range to $51 million to $53 million, representing year-over-year growth of 23% at the midpoint. Gilat expects to ramp up production in Q4, with a target of delivering around 70-80 units per month, and potentially over 100 units per month in 2026. The EBITDA guidance was raised, driven by growth in commercial and Peru segments, which outperformed expectations.

Valuation and Growth Prospects

With a P/E Ratio of 27.7 and an EV/EBITDA of 15.38, the market is pricing in significant growth expectations. Analysts estimate next year's revenue growth at 13.5%. The company's return on equity (ROE) is 7.4%, and return on invested capital (ROIC) is 5.37%. The net debt to EBITDA ratio is 0.02, indicating a healthy balance sheet. As the company continues to execute on its projects and ramp up production, investors will be watching for further improvements in gross margin, which is expected to recover to mid-30% in 2026.

3. NewsRoom

Card image cap

Gilat Receives Approximately $10 Million Order for Direct Downlink Earth Observation Solution

Dec -02

Source: globenewswire.com

Card image cap

Gilat Receives More Than $6 Million in Orders to Support Low Earth Orbit Constellations

Nov -20

Source: globenewswire.com

Card image cap

Gilat Satellite's Valuation Makes Zero Sense -- The Setup For A Repricing Is Clear

Nov -17

Source: seekingalpha.com

Card image cap

GILT Q3 Earnings Top on 58% Y/Y Sales Growth, View Raised, Stock Up 7%

Nov -13

Source: zacks.com

Card image cap

Gilat Satellite Networks Ltd. (GILT) Q3 2025 Earnings Call Transcript

Nov -12

Source: seekingalpha.com

Card image cap

Gilat Reports Third Quarter 2025 Results

Nov -12

Source: globenewswire.com

Card image cap

Gilat Gears Up to Report Q3 Earnings: What's in Store for GILT?

Nov -10

Source: zacks.com

Card image cap

Satellites And Communications: Stellar Stocks Flying High On AI

Oct -23

Source: seekingalpha.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (11.70%)

6. Segments

Satellite Networks

Expected Growth: 12.0%

Gilat Satellite Networks' 12.0% growth in Satellite Networks is driven by increasing demand for broadband connectivity in underserved regions, growth in cellular backhaul, and adoption of satellite-based IoT solutions. Additionally, the company's strategic partnerships and investments in 5G and LEO satellite technologies position it for further growth.

Network Infrastructure and Services

Expected Growth: 11.5%

Gilat Satellite Networks Ltd.'s 11.5% growth in Network Infrastructure and Services is driven by increasing demand for satellite-based broadband connectivity, expansion into new markets, and growing adoption of Ka-band and HTS technologies. Additionally, the company's strategic partnerships and investments in 5G and IoT enablement are contributing to its growth momentum.

Integrated Solutions

Expected Growth: 10.8%

Gilat Satellite Networks Ltd.'s Integrated Solutions segment growth of 10.8% is driven by increasing demand for satellite-based broadband connectivity, expansion into new markets, and growing adoption of Ka-band and HTS technologies. Additionally, the company's strategic partnerships, investments in R&D, and cost-effective solutions are contributing to its growth momentum.

7. Detailed Products

SkyEdge II-c

A high-performance, multi-service satellite platform for broadband and cellular backhaul applications

SkyEdge II

A high-performance, multi-service satellite platform for broadband and cellular backhaul applications

AeroEdge

A high-performance, airborne satellite communication system for in-flight connectivity

CellEdge

A satellite-based cellular backhaul solution for mobile network operators

RaySat Antenna

A high-performance, electronically steerable antenna system for satellite communications

Gilat's Network Management System (NMS)

A comprehensive network management system for satellite and hybrid networks

8. Gilat Satellite Networks Ltd.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Gilat Satellite Networks Ltd. operates in a niche market with limited substitutes, but the increasing adoption of alternative technologies such as 5G and fiber optics poses a moderate threat.

Bargaining Power Of Customers

Gilat Satellite Networks Ltd. has a diverse customer base, and no single customer accounts for a significant portion of its revenue, reducing the bargaining power of customers.

Bargaining Power Of Suppliers

Gilat Satellite Networks Ltd. relies on a few key suppliers for components and services, giving them some bargaining power, but the company's size and reputation mitigate this threat.

Threat Of New Entrants

The satellite communications industry has high barriers to entry, including significant capital expenditures and regulatory hurdles, making it difficult for new entrants to challenge Gilat Satellite Networks Ltd.'s position.

Intensity Of Rivalry

The satellite communications industry is highly competitive, with several established players competing for market share, driving prices down and increasing the need for innovation and differentiation.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 4.15%
Debt Cost 6.88%
Equity Weight 95.85%
Equity Cost 6.88%
WACC 6.88%
Leverage 4.32%

11. Quality Control: Gilat Satellite Networks Ltd. passed 5 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
AudioCodes

A-Score: 5.1/10

Value: 5.8

Growth: 5.7

Quality: 5.9

Yield: 6.9

Momentum: 5.0

Volatility: 1.7

1-Year Total Return ->

View Full Report
Stock-Card
Gilat Satellite Networks

A-Score: 4.8/10

Value: 2.1

Growth: 5.9

Quality: 5.6

Yield: 3.8

Momentum: 10.0

Volatility: 1.3

1-Year Total Return ->

View Full Report
Stock-Card
Invisio

A-Score: 4.6/10

Value: 0.0

Growth: 8.3

Quality: 7.9

Yield: 0.6

Momentum: 8.0

Volatility: 3.0

1-Year Total Return ->

View Full Report
Stock-Card
ADVA Optical Networking

A-Score: 4.4/10

Value: 3.5

Growth: 1.1

Quality: 2.2

Yield: 1.9

Momentum: 7.5

Volatility: 10.0

1-Year Total Return ->

View Full Report
Stock-Card
Bittium

A-Score: 4.4/10

Value: 1.1

Growth: 5.9

Quality: 6.9

Yield: 1.2

Momentum: 10.0

Volatility: 1.0

1-Year Total Return ->

View Full Report
Stock-Card
Frequentis

A-Score: 4.1/10

Value: 1.7

Growth: 4.4

Quality: 6.0

Yield: 0.6

Momentum: 10.0

Volatility: 1.7

1-Year Total Return ->

View Full Report

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

11.86$

Current Price

11.86$

Potential

-0.00%

Expected Cash-Flows