Tear Sheet: Viasat Guides To Positive Cash Flow In Late 2025

anagement?s guide is in line with S&P Global Ratings' forecast, which called for roughly break-even cash flow for the full-year calendar 2025 before turning positive thereafter. Our ?BB? rating on Viasat remains focused on the company?s ability to reach an inflection point after the peak investment cycle is completed, such that it can generate sustained positive free operating cash flow (FOCF) in 2026 and beyond. . We have lowered our forecast for EBITDA growth, as in-home broadband subscribers will continue to decline due to less available capacity stemming from the Viasat-3 F1 reflector anomaly. Still in-flight connectivity revenue growth, supported by a backlog of 1,600 aircraft coupled with strong government demand, will likely spur mid-single-digit percentage EBITDA growth in fiscal

...August 10, 2023 The Viasat-3 anomaly does not immediately affect our cash flow forecast for the company. Viasat Inc. management's guide is in line with S&P Global Ratings' forecast, which called for roughly break-even cash flow for the full-year calendar 2025 before turning positive thereafter. Our `##' rating on Viasat remains focused on the company's ability to reach an inflection point after the peak investment cycle is completed, such that it can generate sustained positive free operating cash flow (FOCF) in 2026 and beyond. EBITDA growth will be less than previously expected in fiscal 2025. We have lowered our forecast for EBITDA growth, as in-home broadband subscribers will continue to decline due to less available capacity stemming from the Viasat-3 F1 reflector anomaly. Still in-flight connectivity revenue growth, supported by a backlog of 1,600 aircraft coupled with strong government demand, will likely spur mid-single-digit percentage EBITDA growth in fiscal (FY) 2025 (on the...

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