Earnings Call Transcript - GILT Q1 2026

Operator, Operator

Ladies and gentlemen, thank you for standing by. The conference will begin shortly. Ladies and gentlemen, thank you for standing by. Welcome to Gilat's First Quarter 2026 Results Conference Call. All participants are at present in a listen-only mode. Following the management's formal presentation, instructions will be given for the question-and-answer session. As a reminder, this conference is being recorded. 05/13/2026. By now, you should have all received the company's press release. If you have not received it, please view it in the news section of the company's website www.gilat.com. I would now like to hand over the call to Mr. Sanjay Harry of Alliance Advisors IR. Mr. Harry, would you like to begin, please? Thank you, Gilat. Good morning, everyone. Thank you for joining us for Gilat Satellite Networks' earnings conference call for 2026. With us on the call today are Mr. Adi Sfadia, Gilat's CEO, and Mr. Gil Benyamini, Gilat's Chief Financial Officer. Before turning the call over to management, I would like to remind everyone that some statements made during this conference call contain forward-looking statements based on current expectations. Actual results could differ materially from those projected as a result of various risks and uncertainties. The potential risks and uncertainties that could cause actual results to differ materially include uncertain global economic conditions, reductions in revenues from key customers, delays or reductions in U.S. and foreign military spending, acceptance of the company's new products on a global basis, and disruptions or delays in its supply of raw materials and components due to business conditions, global conflicts, weather, or other factors not under the company's control. The company cautions investors to not place undue reliance on forward-looking statements which reflect the company's analysis as of today's date. The company undertakes no obligation to publicly update forward-looking statements to reflect subsequent events or circumstances. Further information on these factors and other factors that could affect Gilat's financial results is included in the company's filings with the Securities and Exchange Commission including its latest quarterly report. In addition, on today's call, management will refer to certain non-GAAP financial measures that management considers to be useful and differ from GAAP. These non-GAAP measures should be considered supplemental to corresponding GAAP figures. With that, I would like to turn the call now to Gilat's CEO, Adi Sfadia. Please go ahead, Adi.

Sanjay Harry, Investor Relations

Thank you. Gilat. Good morning, everyone. Thank you for joining us today to discuss Gilat's first quarter results. I will now hand the call over to Adi Sfadia, Gilat's CEO.

Adi Sfadia, Chief Executive Officer

Thank you, Sanjay, and good day, everyone. Thank you for joining us today to discuss Gilat's first quarter results. I am pleased to report that we opened the year with solid execution across the business, reflecting strong performance. Our results underscore the competitiveness of our portfolio across the satellite communication landscape and strong year-over-year revenue growth and profitability. As satellite operators and government customers advance next-generation programs, from VHTS satellites to NGSO constellations, we are seeing our capabilities translate into new orders, expanding customer engagement and growing opportunities. This momentum is closely tied to the progress we continue to make in technology development as we invest in advanced and interoperable systems designed to support the evolving requirements of next-generation satellite communication networks. During the quarter, Gilat Defense conducted a live demonstration of its virtualized Satcom Gateway modem architecture at Satellite 2026 in Washington, D.C., in collaboration with Amazon AWS, SES and the Wave consortium. The demonstration showcased a flexible cloud-based and software-defined gateway architecture designed to improve scalability, resiliency and agility for defense and government networks, and represents a significant step forward in how future SATCOM gateways will be deployed and operated. In parallel, we successfully conducted a 5G non-terrestrial network demonstration, highlighting how satellite systems can integrate with future 5G-based architectures. Together, this milestone reflects our continued investment in technology solutions that will support next-generation satellite hybrid networks across both commercial and defense markets. First quarter revenues reached $110.5 million, representing 20% year-over-year revenue growth. First-quarter adjusted EBITDA reached $15.1 million, almost double the same quarter last year. Overall, the first quarter reflects continued traction and positions us well for the remainder of the year. Now on to the business review. I will start with the defense business. We are seeing a significant increase in interest for transportable and portable Satcom solutions driven by the growing importance of mobility, rapid deployment, and operational flexibility. As militaries and government users increasingly operate in dynamic and contested environments, the value proposition of highly mobile, resilient Satcom solutions continues to strengthen. This demand translated into meaningful orders during the quarter. In February, we announced a $16 million order from a European Ministry of Defense for our DKeT transportable solutions, reinforcing our leadership in high-performance, rapidly deployed systems. These orders also reflect increased penetration into the European market driven in part by the evolving geopolitical environment and higher defense readiness requirements across the region. In Israel, we continue to strengthen our relationship with the Ministry of Defense. During the quarter, we announced an order of $9 million, further expanding the deployment of our solution and reinforcing our long-term strategic partnership. The order includes next-generation defense modems built for mission-critical operations to ensure reliable connectivity across a wide range of operational scenarios. During the quarter, we received an order for over $7 million for our new Wavestream solid-state power amplifiers to support a U.S. defense program. Wavestream delivers the reliability and operational resilience required for mission-critical environments as defense customers transition away from legacy technologies. Also in the United States, we continue our long-standing support of the U.S. Army. During the quarter, we received an order of approximately $6 million for field and technical service, reflecting the continued reliance on Gilat Defense to support mission-critical Satcom operations and ensure system availability in the field. Our defense pipeline remains strong, supported by sustained global demand and our continued investment in R&D, advanced system architectures and customer engagement. Turning to our commercial business. In the first quarter, our commercial business continued to show solid performance supported by ongoing customer engagement and steady execution across our programs. As satellite operators and service providers move forward with next-generation networks, they are increasing their focus on platforms that offer scalability, flexibility and multi-orbit support for mobility applications. Gilat remains well positioned within this evolving landscape. In-flight connectivity remains one of our key growth engines. Demand for IFC continues to increase driven by airline expectations for consistent high-performance connectivity, growing passenger usage and the industry's transition towards NGSO and multi-orbit networks. This environment strongly aligns with Gilat's technology roadmap and product portfolio. As of today, we have delivered approximately 750 Sidewinder terminals, of which more than 570 are already installed and in service. During the quarter, Boeing and Gilat reached an important in-cabin milestone to offer the Sidewinder terminal as a line-fit solution available to airlines and IFC service providers. Certification is on track and deliveries of the first units are expected in Q4 this year. In addition, we have started a process to achieve line-fit availability with Airbus. During the quarter, we announced $39 million in orders for our Sidewinder terminal. This award reinforces market confidence in its performance, low-profile design and multi-orbit capability. We have also expanded our ESA portfolio with the ESR2030 which is now commercially available. The ESR2030 is designed to support commercial and defense applications over the OneWeb LEO constellation, complementing our Sidewinder offering and broadening our addressable market. With growing interest in LEO services, we believe the ESR2030 positions us well to support new programs as operators move from network deployments towards commercial service. We also received a multimillion-dollar order from a leading IFC integrator for solid-state power amplifiers to support connectivity solutions for commercial aviation aircraft. Across the industry, operators are upgrading ground infrastructure to support a wider range of services across multiple orbits. SkyEdge IV is built for this shift, providing a scalable software-defined platform that enables efficient management of complex multi-service satellite networks. A recent example is our strategic multimillion-dollar partnership with Nelco in India to deploy SkyEdge IV in support of India's first Ka-band service deployment using the JSAT N2 HTS satellite. India represents an important growth market for Gilat and a central part of our expansion strategy in the Asia Pacific region. The deployment will enable scalable, high-performance connectivity across multiple services, including IFC, cellular backhaul and enterprise connectivity, delivering the performance and flexibility required for Ka deployments. Overall, the commercial pipeline remains healthy, supported by continued IFC demand alongside longer-term investments in advanced satellite network architectures. Our Peru business continued to execute very well, with strong operational progress across our national connectivity programs. We expect to complete an upgrade project that we announced a few quarters ago ahead of schedule in 2026, demonstrating Gilat Peru's ability to deliver large-scale complex infrastructure projects reliably and on time. These results strengthen our position as a trusted partner for national digital inclusion initiatives and provide a solid foundation for continued activity in the region. We expect additional large RFPs and follow-on orders during the year. I am pleased to say that we continue to have a strong backlog and a healthy pipeline. Therefore, we feel comfortable reiterating our 2026 annual guidance. We expect 2026 revenues of between $500 million and $520 million and adjusted EBITDA of between $61 million to $66 million. Technology development remained a core pillar of our strategy across defense and commercial markets. During the quarter, we advanced software-defined system capabilities that enable more scalable and resilient satellite networks while also continuing our work on integrating satellite networks with future 5G NTN frameworks. Together, these efforts support next-generation satellite systems serving defense, mobility, and commercial applications. Demand across our core markets continued to develop favorably and our strategic focus on mobility, multi-orbit architectures, and next-generation systems is translating into tangible momentum across our business. Gilat Defense continued to see strong customer interest as defense and government organizations expand investment in mobile, resilient Satcom capabilities. We continue to see growing engagement across the United States, Europe, and Israel, supported by a robust pipeline and ongoing investment in advanced architectures that address evolving defense requirements. IFC remains one of our key growth engines supported by increasing airline demand and continued adoption of ESA-based solutions. We continue to maintain a strong balance sheet and financial flexibility, while remaining disciplined in our capital allocation. Mergers and acquisitions continue to be a key element of our defense and long-term growth strategy with a focus on opportunities that complement our core technologies, strengthen our defense portfolio and support sustainable value creation. Overall, we delivered a solid start to 2026, validating the strength of our diversified portfolio across our business. With growing backlog, a healthy pipeline and continued investment in technology leadership, Gilat is well positioned to sustain growth and create long-term value. And with that, I will hand over the call to Gil Benyamini, our CFO. Gil, please go ahead.

Gil Benyamini, Chief Financial Officer

Thank you, Adi. Good morning and good afternoon to everyone. Before I dive into the numbers, I would like to remind everyone that our financial results are presented on both GAAP and non-GAAP basis. I will now walk through our financial highlights for 2026. As Adi mentioned, we delivered a strong first quarter with 20% revenue growth, margin expansion and a significant increase in profitability, reflecting continued execution across all three segments and continued momentum into 2026. Revenues for the first quarter were $110.5 million, representing 20% growth compared with $92 million in Q1 2025. The growth was driven by all three segments. Revenues for the Commercial segment in Q1 2026 were $72.8 million compared with $64.2 million in the same quarter last year. The 13% year-over-year growth was primarily driven by the in-flight connectivity vertical. Revenues for the Defense segment in Q1 2026 were $25.4 million, 10% higher than $23 million in the same quarter last year. And Q1 2026 revenues for the Peru segment were $12.3 million compared with $4.8 million in Q1 2025. The increase was mainly driven by the higher revenues related to the new upgrade projects in four of the six regions in which we operate, reflecting the continued expansion of our long-term Peru programs, which provide multiyear recurring revenue streams. Our GAAP gross margin in Q1 2026 was 34% compared with 31% in Q1 2025. The increase is primarily attributable to a favorable deal mix as well as better margins from Stellar Blu. GAAP operating expenses in Q1 2026 were $33.3 million compared with $31.1 million in Q1 2025. As a result, we delivered a significant improvement in profitability with GAAP operating income of $4.4 million compared to a loss of $2.7 million in Q1 2025, representing a year-over-year swing of $7.1 million. GAAP net income in Q1 2026 was $5.2 million, or diluted income per share of $0.07, compared with a GAAP net loss of $6 million, or a diluted loss per share of $0.11, in Q1 2025. The improvement was driven by the higher operating income as well as higher financial income associated with our stronger net cash position and lower tax expense. Turning to non-GAAP results: our non-GAAP gross margin in Q1 2026 was 36% compared with 32% in Q1 2025. Non-GAAP operating expenses for the quarter were $26.8 million compared with $24.1 million in Q1 2025, and non-GAAP operating income in Q1 2026 was $12.5 million compared with $5.2 million in Q1 2025. The non-GAAP net income in Q1 2026 was $13.6 million or diluted income per share of $0.18 compared with a net income of $1.8 million or income per share of $0.03 in Q1 2025. The adjusted EBITDA reached $15.1 million, nearly doubling year-over-year, reflecting strong operating leverage on higher revenues. Moving to our balance sheet and cash flow. Over the past several quarters, we significantly strengthened our balance sheet and liquidity position. During the quarter, we used approximately $12.2 million in operating cash, primarily driven by working capital timing, while generating approximately $15 million over the trailing 12 months. We ended the quarter with a strong liquidity position of $171 million, comprised of cash, cash equivalents, restricted cash and short-term deposits. DSOs were 112 days, excluding Peru construction activity, and remain within our expected range. During the quarter, we reached an agreement with the former shareholders of DataPath to satisfy the share-linked component of the earnout associated with our 2023 acquisition of the company before 2026. Under the original terms, this component called for Gilat to issue up to 3.1 million shares tied to DataPath's performance from 2024 through 2026. Under the agreement with the former shareholders of DataPath, we issued a total of 2.5 million shares in full satisfaction of the portion of the earnout at an average price of $15.45 per share. The remaining bonus earnout component, capped at $9 million in cash or shares at Gilat's discretion, is unchanged and continues to be evaluated each quarter based on performance against agreed targets for its settlement by 2026. Our shareholders' equity as of March 31, 2026, totaled $536 million compared with $500 million on December 31, 2025, resulting mainly from issuance of shares for the DataPath earnout and net earnings. Looking ahead, based on our strong backlog and visibility, we are reiterating our full-year 2026 guidance. Revenues are expected to be between $500 million to $525 million, representing 13% growth year-over-year at the midpoint. We expect adjusted EBITDA of between $61 million to $66 million, representing 19% growth at the midpoint. That concludes my financial review. I would now like to open the call for questions. Operator, please go ahead.

Operator, Operator

Thank you. Ladies and gentlemen, at this time, we will begin the question-and-answer session. If you have a question, please press 1. If you wish to cancel your request, please press 2. If you are using speaker equipment, kindly leave the handset before pressing the number. Your questions will be formed in the order they are received. Please standby, and we will pull for your questions. The first question is from Ryan Koontz of Needham and Company. Please go ahead.

Ryan Koontz, Analyst, Needham & Company

Maybe starting with the commercial segment here. It sounds like Stellar Blu is executing pretty well. You talked about margin improvement. How are you seeing the overall demand environment for the Stellar Blu products? What is behind some of the gross margin improvements? And how are you thinking about this business over the medium term and into next year? How's the visibility looking relative to backlog, etcetera? Thank you.

Adi Sfadia, Chief Executive Officer

Hi, Ryan. Stellar Blu is performing well. We are not providing explicit guidance for Stellar Blu, but we can say that we see nice year-over-year growth. We expect them to perform better this year. They reached the threshold of EBITDA, so now they are profitable. Gross margin improved mainly because of sharpening the supply chain. We replaced one of the units with internal units, which provide better margins. We do expect margins to be much better toward the end of the year once we start delivering line-fit units.

Ryan Koontz, Analyst, Needham & Company

Great. And those line-fits, is that starting initially with Boeing here?

Adi Sfadia, Chief Executive Officer

Correct. With Boeing, we passed incoming certification and are awaiting full certification, probably if not by the end of the quarter, early Q3, and we expect to deliver first units during Q4. If not earlier than that.

Ryan Koontz, Analyst, Needham & Company

Great, Adi. And then maybe continuing on commercial: relative to SkyEdge IV, nice win in India here, as well as the demo for the virtualized gateway with AWS. How are you thinking about that transition from hardware to a software-based platform? Any updates you can share about how you think that business evolves over the next year or two?

Adi Sfadia, Chief Executive Officer

I think one or two years is short-term, so I'm not sure we will see significant involvement in that timeframe. SkyEdge IV is a software-defined platform, meaning at day one you get—give or take—all the hardware units for the gateway and all the upgrades and expansion are done through software licenses. Moving to commercial off-the-shelf hardware and running on a virtualized platform, I would say is three to four years from now, and it is combined together with plans of shifting the waveform from DVB-S2X to 5G NTN.

Ryan Koontz, Analyst, Needham & Company

Perfect. Makes sense. Then maybe shifting to defense, any other color you can provide? You talked about some traction with other countries. Is this for the mobility products you mentioned, or is that more of a U.S. need for your mobility defense products?

Adi Sfadia, Chief Executive Officer

I think it is a combination of the two. Especially now after the war with Iran, everyone understands that mobility solutions—portable and transportable solutions—are crucial. We saw some U.S. gateways over the Middle East got hit, and they will need to replace them. We believe that replacements will be done with mobility solutions so you can move the gateway on a daily basis and gain operational advantage. DataPath is a leader with such a product portfolio. We are already starting to see significant orders for our transportable solution: $16 million in Europe, which is also a very big market that is growing and our presence there is important. This penetration into a new Ministry of Defense is crucial for our future growth. We also see a lot of traction in Israel. All in all, we believe that the defense pipeline will drive a significant booking year. It is important to remember there is a time between booking and revenues in defense; it is typically project-based and takes six to nine months from order until you deliver the product. In some cases, if it is a big project, it can take much longer. So we are very optimistic about our growth in defense in 2026 and more in 2027.

Ryan Koontz, Analyst, Needham & Company

Helpful, Adi. Thanks very much.

Gil Benyamini, Chief Financial Officer

Thank you, Ryan.

Operator, Operator

The next question is from Christopher Quilty of Quilty Analytics. Please go ahead.

Chris Quilty, Analyst, Quilty Analytics

Thanks, Adi. Just to follow up, you were saying six to nine months from booking to shipment. Are you seeing any changes or any indications here in the U.S. where the administration is really pushing hard on moving quickly? Do you see any possibility of that order-to-ship gap closing over time?

Adi Sfadia, Chief Executive Officer

It really depends on lead times and inventory. If we understand there is big demand for quicker turnaround, we can do that. We do hold some inventory, but those units are highly expensive and sometimes are made-to-build based on unique requirements, so it is not that easy. But definitely, with negotiation with the customers, we have the ability to expedite where appropriate.

Chris Quilty, Analyst, Quilty Analytics

Great. And when you talk about the uptick in portable solutions, is it fair to assume that is mainly coming out of the DataPath portfolio of products?

Adi Sfadia, Chief Executive Officer

The portable and transportable solutions are mainly from the DataPath product line, but we also see business for our modem solutions. We hope to penetrate the DoD and the U.S. Army with our modems, the SkyEdge IV modems, and our highly resilient defense portfolio.

Chris Quilty, Analyst, Quilty Analytics

Gotcha. And on defense, you mentioned demos with Amazon AWS and SES. I know on the Amazon side you do some hardware into Amazon LEO, but what is the connection with Amazon AWS?

Adi Sfadia, Chief Executive Officer

The main idea is to run our gateway on the AWS platform. That was the demonstration we showcased at Satellite in D.C., showing that we can run our gateway modem on AWS. Of course, we need to tailor the solution based on AWS and customer requirements, but the demo reflects our ability to cooperate with AWS cloud.

Chris Quilty, Analyst, Quilty Analytics

And is it fair to assume this is a virtualized platform?

Adi Sfadia, Chief Executive Officer

Yes, it is a virtualized platform. We are running our gateway modem on the AWS platform, which connects to a standard modem at the end-user side.

Chris Quilty, Analyst, Quilty Analytics

Very good. On the traditional GEO side of the business, it appears that both Airbus and Telesat Lightspeed have now progressed with next-gen software-defined satellites, with some launches next year. At what point do you expect an uptake in ground segment to support those systems?

Adi Sfadia, Chief Executive Officer

Typically, we get orders about six to twelve months before the satellite launch. Deployment depends on customer readiness to receive the equipment and deploy it in the gateways. We believe we will start getting a large part of those orders this year. I am not sure we will need to deliver everything this year, but some of it is already factored within our guidance.

Chris Quilty, Analyst, Quilty Analytics

Gross margins were nice in the quarter. On Stellar Blu, it is profitable, but you were previously targeting 10% EBITDA exiting 2025, which did not happen. Do you have a sense of when in 2026 you expect to hit that milestone?

Gil Benyamini, Chief Financial Officer

As Adi mentioned, Stellar Blu is now fully integrated into Gilat with the operations team and the R&D team. If we were to measure it as a standalone company, it would be very close to that target, but we do not present it that way anymore, so it is less relevant. We do see continuous improvement. With the line-fit deliveries expected to start in the last quarter of this year, that will give another improvement to the gross margins and to the EBITDA margin of this activity.

Adi Sfadia, Chief Executive Officer

Christopher, I think it is important to mention that we did start investing in next-generation ESA technology and terminals. R&D expenses are shifting toward Stellar Blu, which is now part of Gilat's antenna and terminal subdivision, and the integration between the commercial business and Stellar Blu is increasing. Another positive item is Stellar Blu is starting to sell their solutions to defense applications. It is not large yet, but we expect them to have more than $10 million of business with defense this year.

Chris Quilty, Analyst, Quilty Analytics

That is great. Regarding the original purchase and earnout agreement you had, some large strategic wins were part of that. How is that shaping up? Is it still on the horizon, maybe not on the initial timeline?

Adi Sfadia, Chief Executive Officer

We have significant progress with one of the strategic deals that initially we thought we would close earlier. It is progressing slower than expected. We expect to close it within the coming year, within 2026. I am not sure we will close it before June. I am not sure that the first order will be more than $35 million, but the potential can be north of $100 million.

Chris Quilty, Analyst, Quilty Analytics

All right. Thank you, gentlemen.

Adi Sfadia, Chief Executive Officer

Thank you, Christopher.

Operator, Operator

The next question is from Sergey Glinyanov of Freedom Brokers. Please go ahead.

Sergey Glinyanov, Analyst, Freedom Brokers

Good day, gentlemen, and my congratulations. You provided great work on your gross margin side. My question: recently you tapped into 5G NTN solutions, and I am wondering, do you see any surge in demand on your 5G NTN solutions? Has this trend gotten better visibility?

Adi Sfadia, Chief Executive Officer

We do see a lot of traction in the market on 5G NTN. OneWeb with Gen 2 and Gen 1.5 is talking about 5G modems; IRIS² is talking about 5G modems, and other small LEO startups and some GEO players are also talking about 5G modems. I think the overall requirement in the market is not mature enough yet. We already started the work on 5G NTN, mainly building the main building blocks, but to launch it we need to work closely with one of our big customers and we hope to close something within the coming year. As for full deployment of 5G NTN, the most advanced is IRIS², so I would estimate four to five years from today for full deployment.

Sergey Glinyanov, Analyst, Freedom Brokers

Got it. A little bit about Peru: should we think the most part of the revenue will lean toward 2026?

Adi Sfadia, Chief Executive Officer

We do expect to get large awards in Peru, and once we receive them revenue will kick in. The second half of the year should have higher revenue than the first half. But in general, Peru revenue can be volatile because of the nature of the business there: usually you see relatively high revenues during implementation in a short time and then recurring revenue over a period of three, five and sometimes ten years.

Gil Benyamini, Chief Financial Officer

I would add that one of the most important takeaways about Peru is that the base level of recurring revenues this year is higher than in previous years, and construction and implementation are boosting it for the next year. So we are in a much better position there.

Sergey Glinyanov, Analyst, Freedom Brokers

Okay. Thank you very much. Thank you for taking my questions.

Operator, Operator

The next question is from Louie DiPalma of William Blair. Please go ahead.

Louie DiPalma, Analyst, William Blair

Hi, Adi and Gil. I was wondering what is the potential timing of the Airbus partnership with the Stellar Blu system—how long do you think that will take to materialize? Will it be similar to the timeline with Boeing?

Adi Sfadia, Chief Executive Officer

I think it will be slightly faster than the timeline with Boeing, because we gained knowledge and some of the tests are equivalent, so we can reuse some of the qualification and tests that we have done. Of course, the documentation is different and we need to rewrite some of it, but the Boeing process gives us a head start with Airbus.

Louie DiPalma, Analyst, William Blair

Do you have any sense for timing—should we think 2027, 2028?

Adi Sfadia, Chief Executive Officer

I would say we expect to finish the certification process early 2027 and ship the first unit in 2027.

Louie DiPalma, Analyst, William Blair

Great. And earlier in the call, did you mention that you should ship the first units to Boeing in the fourth quarter of this year?

Adi Sfadia, Chief Executive Officer

Correct.

Louie DiPalma, Analyst, William Blair

Great. My second question also relates to Stellar Blu development. Over the past year you have been working on multi-beam technology and it seems the broader IFC industry is looking for multi-band technology—terminals that can communicate in both Ka and Ku bands. What is the progress on these initiatives and how far away are we from having Stellar Blu multi-beam or multi-band capability?

Adi Sfadia, Chief Executive Officer

Multi-beam depends on availability and customer requirements. Today, with the LEO constellation developments, especially with Telesat and Intelsat, we see potential for Ku/Ka antennas that will serve LEO within the coming 18 months. We are already looking to introduce technologies either internally or with third-party cooperation. I think availability for such antennas is between two to three years, including development and certification cycles, and it will align with future service launches of the main IFC service providers.

Louie DiPalma, Analyst, William Blair

Great. Excellent. Thanks, everyone.

Adi Sfadia, Chief Executive Officer

Thanks, Louie.

Operator, Operator

If there are any additional questions, please press 1. Please stand by. We will be polling for more questions. There are no further questions at this time. This concludes the meeting. Would you like to make a concluding statement?

Adi Sfadia, Chief Executive Officer

I want to thank you all for joining us on this call and for your time and attention. We hope to see you soon or speak with you on our next call. Thank you very much, and have a great day.

Operator, Operator

Thank you. This concludes Gilat's first quarter 2026 results conference call. Thank you for your participation. You may go ahead and disconnect.