Viasat, Inc. (NASDAQ:VSAT) Q2 2024 Earnings Call Transcript

Mark Dankberg: The schedule for integration of the reflector once it’s delivered to Boeing is pretty clear. That’s the thing that we’re going to get more information on next week is what that lead time will be for the reflector delivery. We have a, I think we have a very good understanding of what step in the deployment process, failed, and how to avoid that, on the next deployment. And then, there’s a there’s potentially even additional measures that we could use to back those up. That’s what we’ll find out, and we’ll have that discussion. I think it’d be better to get the data before we speculate. The Flight 3 has been on the same schedule for quite a long time. I think since the last time we reported, we executed a launch contract and that’s for the Q4, which was really driven by launch vehicle availability launch window availability.

So that one, I think, that one, we’re pretty confident in. Then the issue will just be, if it turns out that the two satellites end up being very close together, to figure out how to prioritize or the extent to which we could do them both at the same time if that was the case.

Mike Crawford: And then just maybe two really quick ones. You mentioned Space Force mobility services. Is that something that’s new and is that something that would be show up in government systems or satellite services?

Mark Dankberg: That would show up in government systems and it’s, yes. It is new. It’s new for us, and it’s, a little bit unique to our networking services, more of networking technology and our services, both.

Mike Crawford: And then the last one, just, did I hear correctly that the IP from ViaSat-4, even though it was supposed to give you some kind of sevenfold increase in capacity versus say a ViaSat-3, there’s no way to put any of those innovations in any of these next 7 Ka-band satellites that are launching, but it would, first we would see what would be in the mobility satellite after that, is that what I heard?

Mark Dankberg: Yes. So, I mean, the seven satellites that are under construction are all in very, well, at least the ViaSat-3and the GX10s are pretty close to completion. The GX7, 8, 9 are also already they’re well underway. So, they don’t go, those techniques will go into the next generation broadband one. And the main thing that we’re really focused on is getting very large field of view in this dynamic beam hopping and improving not just the raw capacity, but the capacity that we deliver overlaid on top of the demand distributions that we’re seeing in these mobility markets, which are we spent, some time discussing on our shareholder presentation in September, but those, being able to match those patterns is really, really valuable. And so that I think we think that’s a better metric for value creation.

Operator: Next up, we have a question from Ric Prentiss, Raymond James.

Ric Prentiss: First, appreciate the guidance kind of clarity helping us understand growth rates, but also dollars that really helped us. So there’s a lot of moving pieces here obviously. One question on Guru, I think I heard you say that the fiscal ’24 revenue guidance would exclude let me just ask the question this way. Does the revenue guidance include or exclude the litigation and the revenue?

Mark Dankberg: Go ahead, Shawn.

Shawn Duffy: Yes. That excludes the non-recurring part of that, Rick.

Mark Dankberg: The growth percentage.

Shawn Duffy: Yes.

Guru Gowrappan: And the range and the growth percentage.

Shawn Duffy: Yes. That excludes the effect of the nonrecurring litigation. Yes, I was going to say, Ric, and just one thing to clarify, in the dollars, only include 10 months of Inmarsat.

Ric Prentiss: Whereas the percentage are apples to apples, 12 month, 12 month?