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Gilat Unveils Defense Division to Strengthen SATCOM Solutions

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Gilat Satellite Networks Ltd. (GILT - Free Report) has announced the formation of its new Defense Division to address the increasing demand for secure government and military SATCOM (Satellite Communications) solutions.

Gilat Defense unifies the expertise of Gilat, Gilat DataPath and Gilat Wavestream under one umbrella to deliver end-to-end, mission-critical SATCOM solutions for military, homeland security and government agencies. With a strong focus on supporting the U.S. Department of Defense (“DoD”), NATO and allied forces, the division ensures high-performance, battle-proven connectivity in the toughest environments.

Gilat Defense will make its official debut at Satellite 2025 in Washington, DC, where attendees will have the opportunity to explore its latest innovations. Among the event’s key highlights are the newly launched GLT 1500 terminal, DataPath 2.6m antenna and the U.S.-made Aquarius DS Family of products, including Aquarius Pro DS and Aquarius E DS. These products are compliant with FAR 889 and future DFAR 5949 regulations.

With the launch of Gilat’s Defense Division, the company is reinforcing its commitment to providing advanced, secure and resilient SATCOM solutions that meet evolving defense needs.

Based in Petah Tikva, Israel, GILT is a top provider of satellite-based broadband services, including designing and manufacturing advanced equipment and innovative technology. Gilat’s solutions support a range of applications, including broadband access, cellular backhaul, enterprise services, In-Flight Connectivity (IFC), maritime, trains, defense and public safety, all while meeting high service standards. Strength in the defense sector bodes well for Gilat, especially as demand for defense SATCOM solutions grows due to NGSO expansion and geopolitical events.

As part of its long-term strategy, Gilat plans to increase investments in R&D, sales and marketing within the Defense segment. This will allow the company to capitalize on emerging opportunities more efficiently while reinforcing its leadership in satellite communications.

Gilat recently released fourth-quarter 2024 financial results. Its Satellite Network revenues accounted for 62.8% of total net sales, amounting to $49.1 million. This marked a decline from the previous year’s $53.5 million, primarily due to the company’s exit from the Russian market. Despite this, Gilat remains focused on expanding its portfolio of secure satellite solutions tailored for government and military applications.

To streamline operations and enhance market focus, Gilat has restructured its organization into three primary divisions, effective Jan. 1, 2025. Moving forward, financial results will be reported under the categories of Gilat Defense, Gilat Commercial and Gilat Peru. This restructuring will provide greater transparency for investors while allowing Gilat to focus on key market segments more efficiently.

Gilat’s Zacks Rank & Stock Price Performance

GILT currently carries a Zacks Rank #2 (Buy). Shares of the company have surged 45.8% in the past six months compared with the Zacks Satellite and Communication industry's growth of 43.5%.

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