On this page of StockholderLetter.com we present the latest annual shareholder letter from VIASAT INC — ticker symbol VSAT. Reading current and past VSAT letters to shareholders can bring important insights into the investment thesis.

 •  7/25/2025 Letter Continued (Full PDF)
 •  7/28/2023 VSAT Stockholder Letter
 •  7/26/2024 VSAT Stockholder Letter
 •  More "Communications Services" Category Stockholder Letters
 •  VSAT Benford's Law Stock Score = 90

VSAT Shareholder/Stockholder Letter Transcript:

FY
25
Annual Report

A letter to
shareholders
from Mark Dankberg

We enter our 40th year with a long history of technology
innovation and growth. We   ve seen enormous changes in
our core satellite markets over those decades and have
consistently emerged with stronger competitive positions.
One of the keys to our long-term sustained growth has
always been to focus on competing effectively in the present,
while investing and preparing for the business models and
technology of the future. We are fortunate to hold leading
market positions and valuable assets in key commercial
and government satellite mobility markets. The insights we
gain lend increased conviction to our understanding of what
those markets need and want, both now and in the future;
the technologies that can enable delivering the products
and services they desire; and the business models and
economic factors that can make our business rewarding
for all our stakeholders. The competitive environment is
changing rapidly on multiple fronts     technology, use cases
and applications, regulatory frameworks, and especially the
impact that space technology will have on the prosperity,
national security and sovereignty of virtually every nation
on earth. Viasat is evolving to respond to those changes
    and meet and overcome the very unique challenges of
rapid innovation in the high stakes and demanding physical
environments of the space industry. This letter offers a
view on our recent accomplishments, our near-term goals,
and how those near-term goals relate to our longer term
objectives.
We achieved important financial and operational milestones
in fiscal year 2025, continuing into early fiscal 2026.
Mark Dankberg, Chairman of the Board, Chief Executive
Officer and Co-founder
Highlights include:

Record FY2025 revenue of $4.5 billion.

Record FY2025 new contract awards of $4.7 billion.

Record FY2025 Adjusted EBITDA(1) of $1.5 billion.

Our Defense and Advanced Technologies (DAT) segment
grew at a very attractive rate year-over-year. While
business patterns can be uneven across periods, FY2025
Q4 new contract awards reached $395 million, which
We believe that continued growth, a stronger capital
structure, and reduced capital intensity will reward
shareholders who participate in our journey.

contributed to a DAT segment order backlog of $984 million as of the end of FY2025     an increase
of 50% on a year-over-year basis, and an increase of 6% compared to FY2025 Q3.

In the latter half of FY2025 we launched our new NexusWave multi-orbit maritime connectivity
platform. NexusWave integrates broadband geostationary earth orbit (GEO) satellites,
broadband low Earth orbit (LEO) satellites, highly weather-resilient L-band satellites, and shorebased mobile wireless into a seamless, extremely reliable managed network. NexusWave is off
to an impressive start, with over 1,000 vessels already under contract before the end of the first
quarter of FY2026. Those orders include an attractive mix of upgrades to existing vessels and new
subscribers. Installations are ramping up, lending confidence to renewed growth in net vessels
in service, which is expected to be followed by renewed growth in revenue in our maritime
business. Importantly, the additional bandwidth, speed and features offered by NexusWave is
expected to yield meaningfully greater service revenue per vessel, relative to our existing Fleet
Express maritime offering.
Airline and passenger feedback on their experience
with VS-3 has been very positive, with third-party
party passenger satisfaction scores equivalent to that
of Starlink LEO service as measured on same/similar
routes (primarily U.S. mainland to/from Hawaii).

We are continuing to enhance our multi-orbit capabilities for all our business lines in addition
to what we are currently supporting for government, maritime, and energy services. We see
opportunities for extending multi-orbit services to business and commercial aviation in the
near to mid term and have reached an agreement to include Telesat   s Lightspeed Ka-band LEO
constellation when it enters service     which they plan to do in 2027, based on expected initial
launches in 2026.

We integrated the first ViaSat-3 satellite (VS-3 F1) into our global network in FY2025, and it has
already served well over 50,000 commercial flights on over 2,000 different aircraft. Airline and
passenger feedback on their experience with VS-3 F1 has been very positive, with third-party
passenger satisfaction scores equivalent to that of Starlink LEO service as measured on same/
similar routes (primarily U.S. mainland to/from Hawaii).

Our broadband aviation business surpassed over 6,000 commercial aircraft and business jets in
service as of the end of FY2025.

We have continued to add significant new capacity in high demand geographic locations to our
global broadband network     integrating multiple third-party satellites into our network. That is
Viasat Annual Report 2025

Increasing return on invested capital and
decreasing capital intensity is at the top
of our    must do    list     and we believe the
benefits are already beginning to be reflected
in reduced capital spending and in improved
Free Cash Flow (FCF).
expected to enable us to grow our platforms in service and to support much higher bandwidth
demand per platform as airlines and ships add new service options that respond to operational
and passenger demand, and develop new business models that benefit from more connectivity
and improved end user engagement, while continuing to reduce our capital expenditures.

We have continued to enhance and refine our AI-driven bandwidth demand forecasting tools
    and our ability to cost effectively match bandwidth supply to user demand across our global
mobility networks. Those tools are contributing to more efficient use of our satellite network
and decreasing the capital intensity of the business. Increasing return on invested capital and
decreasing capital intensity is at the top of our    must do    list     and we believe the benefits are
already beginning to be reflected in reduced capital spending and in improved Free Cash Flow
(FCF)(1). We achieved positive FCF in two quarters during FY2025 and are targeting sustained and
growing positive FCF by the end of FY2026.

In early FY2026 we reached a settlement with Ligado regarding the legacy Inmarsat L-band
cooperation agreement. Subject to Bankruptcy Court approval, we expect to receive
approximately $568 million dollars in cash payments during FY2026, as well as ongoing quarterly
payments of approximately $16 million per quarter with an annual escalator of 3% through 2107.
The settlement comprehensively addresses the terms of the cooperation agreement previously
entered into by Inmarsat     and preserves the value of Inmarsat   s spectrum for both current and
substantially enhanced future services, including for the emerging direct-to-device (D2D) market.

We have initiated business portfolio actions intended to better allow us to assess and capture
the value associated with each of our business lines.

We refinanced over $1.9 billion in debt during FY2025 to strengthen our capital structure and
extend maturity dates. We intend to use cash from the Ligado settlement, and other sources,
primarily to reduce net debt.

Gary Chase joined Viasat as CFO in mid-FY2025. His prior experience includes serving as co-CFO
at Delta Airlines.



 7/25/2025 Letter Continued (Full PDF)