Gilat Satellite Networks Eyes Defense Sector Growth After DataPath Acquisition, Beats Q4 EPS Estimates
Portfolio Pulse from Anusuya Lahiri
Gilat Satellite Networks Ltd (NASDAQ:GILT) reported a 4% year-on-year revenue growth for Q4 fiscal 2023, reaching $75.61 million but missing the consensus estimate of $75.99 million. Adjusted EPS was $0.11, beating the consensus of $0.07. The company concluded the acquisition of DataPath, aiming for long-term growth in the defense sector. Gilat expects FY24 revenue of $305 million-$325 million, above the consensus of $291.62 million. GILT shares were down 1.26% to $6.25 in premarket trading.
February 26, 2024 | 1:11 pm
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Gilat Satellite Networks reported a 4% revenue growth in Q4 but missed consensus estimates. The acquisition of DataPath is expected to drive long-term growth in the defense sector. FY24 revenue outlook exceeds expectations.
While Gilat's Q4 revenue growth and the optimistic FY24 outlook could be positive signals, the miss on consensus revenue estimates and the premarket share price drop indicate mixed investor sentiment. The acquisition of DataPath suggests strategic growth in the defense sector, potentially offsetting short-term negative reactions.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100