ViaSat Inc., the Carlsbad company that sells satellite electronics and services to government and commercial markets, reported net income of $4.5 million (9 cents per share) on revenue of $372.0 million in the fourth quarter ended March 31. The business reported its earnings on May 24.
In the year-ago quarter, the company reported net income of $7.4 million (16 cents per share) on revenue of $364.8 million.
For the 2016 fiscal year, ViaSat turned in net income of $21.7 million (44 cents per share) on revenue of $1.42 billion. In fiscal 2015, ViaSat posted net income of $40.4 million (84 cents per share) on revenue of $1.38 billion.
Seven analysts surveyed by Thomson/FirstCall predicted fourth-quarter earnings of 37 cents per share after one-time items. ViaSat reported non-GAAP diluted earnings of 29 cents per share. GAAP is short for generally accepted accounting principles.
Quarterly and annual revenue numbers were at record highs thanks to satellite services and government systems work, ViaSat said. The segments produced “solid revenue and margin growth,” said Mark Dankberg, the company’s chairman and CEO in a prepared statement.
The company benefited from $27.5 million and $53.7 million in legal settlements in fiscal 2016 and fiscal 2015, respectively. Much but not all of those amounts were put on the books as product revenue.
ViaSat also announced on May 24 that it was increasing its revolving credit facility from $500 million to $800 million, and that it had extended the credit deal for five years.
ViaSat used its earnings announcement to offer details on its satellite launches.
“Our ViaSat-2 satellite launch window begins in less than seven months,” Dankberg said in a prepared statement. “ViaSat-2 is expected to more than double the capacity of the record-breaking ViaSat-1 satellite, with even greater gains expected from the first ViaSat-3 class satellites.”
Significant new research and development costs for designing the ViaSat-3 class satellites will affect the company’s earnings in the current fiscal year, Dankberg said, adding that the expenses will grow in future quarters.
The number of commercial aircraft using ViaSat’s in-flight internet service grew to 476 at the end of fiscal 2016, the company said.
ViaSat’s fourth quarter sales backlog was $941.9 million, up from $915.6 million in the fourth quarter of 2015. New contract awards in the fourth quarter were up 55 percent from the year-ago quarter to $451.2 million, and up 4.9 percent to a record $1.48 billion in the fiscal year.
Shares of ViaSat trade on the Nasdaq under the symbol VSAT.