Gilat Cuts Revenue Outlook as Satellite Delays Push Orders Back

Shares fell 21% to $6.01 in premarket trading Tuesday. At Monday’s close, the stock was down 41% for the year. The revised outlook also followed lower third-quarter sales that missed FactSet analysts’ estimate.

Chief Executive Adi Sfadia said delays in low-earth-orbit (LEO) and geostationary-earth-orbit (GEO) satellite development and launches had pushed back the expected timing of some network equipment orders. In Peru, agreements were reached later than anticipated, moving some expected revenue into 2027. The company also cited rescheduled terminal deliveries.

Sfadia said vertically integrated LEO providers were gaining market share from traditional GEO providers, increasing competitive pressure. He said the shifts in the market reinforced Gilat’s strategy of building its defense segment through acquisitions and investments.