Q1 2026 Net Profit Surged 93% to NIS 7.35 Million

Adjusted EBITDA Increased 45% to NIS 14.2 Million

Shareholders' Equity Reached NIS 119 Million, Up Sharply from NIS 77.6 Million at Year-End 2025

The Company Strengthened Its Equity Base by More Than NIS 41 Million During the Quarter

Gilat Telecom Continues to Strengthen Its Position as a Significant Communications Provider in Israel Across Satellite, Government and Integration Markets, Supported by Diversified Growth Engines, a Strong Financial Foundation and an Expanding Competitive Position

PETAH TIKVA, Israel, June 2, 2026 /PRNewswire/ -- Gilat Telecom Global Ltd. (TASE: GLTL) today announced its financial results for the first quarter of 2026, reporting continued strong and consistent growth across its key business metrics, significant profitability improvement, a strengthened balance sheet, ongoing expansion in its government and satellite activities, and continued growth in its internet and integration operations in Israel.

For the first quarter of 2026, the Company reported net profit of approximately NIS 7.35 million, compared with approximately NIS 3.85 million in the corresponding quarter of 2025, representing growth of approximately 93%.

Adjusted EBITDA totaled approximately NIS 14.2 million, compared with approximately NIS 9.8 million in the prior-year quarter, an increase of approximately 45%.

Revenue for the quarter amounted to approximately NIS 68.5 million, compared with approximately NIS 57.7 million in the corresponding period last year.

Gross profit increased to approximately NIS 21.2 million, compared with approximately NIS 16.3 million in the prior-year quarter, while gross margin improved to approximately 31%, compared with approximately 28.2% a year earlier. The improvement was driven, among other factors, by the continued implementation of the long-term IRU agreement with Bezeq, operational efficiencies within the ISP business and growth in higher-margin activities.

The Company continued to significantly strengthen its balance sheet and capital structure. As of March 31, 2026, shareholders' equity totaled approximately NIS 119 million, compared with approximately NIS 77.6 million at December 31, 2025, representing an increase of more than NIS 41 million within a single quarter.

Cash and short-term deposits totaled approximately NIS 90.5 million, while the Company maintained a net financial asset position of approximately NIS 50 million.

The Company also continues to maintain a substantial long-term business backlog. As of the report date, signed backlog stood at approximately NIS 182.2 million through 2029, providing a stable foundation for future growth.

Satellite and Government Division Remains the Primary Growth Engine

The commercial and government satellite segment continued to deliver strong results and remained the Company's primary growth driver.

Segment revenue totaled approximately NIS 58.7 million during the quarter, compared with approximately NIS 48.5 million in the corresponding period last year. Segment profit reached approximately NIS 20.2 million, representing a significant increase from approximately NIS 11.9 million in the prior-year quarter.

Growth in the segment was driven by higher service revenues, one-time equipment sales, increased demand from defense and government customers, and deeper relationships with strategic suppliers and customers in Israel and internationally.

The Company continues to expand its integration and multi-infrastructure solutions activities for government and defense customers, combining satellite infrastructure, terrestrial networks and advanced communications solutions.

ISP Business Continues to Grow, Remain Profitable and Strengthen Its Competitive Position

The Company's internet and cloud operations continued to attract customers at a strong pace, maintain consistent profitability and expand across both residential and business markets.

During the quarter, the Company further expanded its fiber-based activities, leveraging the strategic advantages created by its long-term IRU agreement with Bezeq.

The ISP business delivered its fifth consecutive profitable quarter, generating direct profit of approximately NIS 732 thousand during the first quarter of 2026.

The Company continues to expand its customer base, with its internet operations in Israel currently serving approximately 24,000 residential customers and hundreds of business customers.

Management believes that the expanded Bezeq agreement, which includes broader fiber infrastructure usage rights and the acquisition of additional long-term network rights, further strengthens the Company's competitive position and supports continued profitable growth in its internet business for years to come.

Management Commentary

Itzik Ben Eliezer, Chief Executive Officer of Gilat Telecom, commented:

"The Company delivered a very strong quarterly report that reflects its development over recent years and highlights the strength of its current business position.

"We operate from a position of strength, supported by a robust financial foundation, a strong brand, a meaningful backlog, diversified growth engines and a proven ability to continue expanding our operations, profitability and shareholder value creation in the years ahead."

Contact:
Ami Barlev, Chairman
amib@gilat.net 

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SOURCE Gilat Telecom Global Ltd.