Gilat Satellite Networks Ltd. · NASDAQ:GILT
Gilat Satellite Networks — Investor Presentation (November 2024)
25 slides from Gilat Satellite Networks's investor presentation, November 2024
Slide 1: Gilat Satellite Networks Investors Presentation
Gilat Satellite Networks Investors Presentation November 2024 Gilat Proprietary and Confidential
Slide 2: Forward Looking Statements Disclaimer
Forward Looking Statements Disclaimer Certain statements made herein that are not historical are forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. The words “estimate”, “project”, “intend”, “expect”, “believe” and similar expressions are intended to identify
Slide 3: A World Leader in Satellite Communications
A World Leader in Satellite Communications Innovative Ground Equipment Cel elllul ular ar Backhaul Aero / IFC 2G 3G 4G 5G Telecom Inf nfrrastructure Maritime & Serv Servic ices es Gov ove ernmen entt Land ~1,200 Employees 7 R&D Centers Ent Enteerp rpris rise e Defense 1987 Founded 3 NOC Centers 16 S
Slide 4: Leading Global Customer Base
Leading Global Customer Base Satellite Operators Service Providers & MNO’s 100+ Countries 300+ Customers Hundreds of Networks System Integrators Gilat Proprietary and Confidential 4
Slide 5: Value Chain
Value Chain Satellite Manufacturer Satellite Operator Ground Equipment Service Provider End Users Gilat Proprietary and Confidential 5
Slide 6: Uniquely Positioned to Unlock Growth Opportunities
Uniquely Positioned to Unlock Growth Opportunities 1 2 3 VHTS & NGSO Strong Peru Terrestrial Networks Constellations - Tailwinds "Investment" Shifting to Abundance of Capacity in Defense Operation IFC, Maritime, Cellular Backhaul, Increased focus on military Recurring revenue model Enterprise, Socia
Slide 7: VHTS/NGSO Constellations - Abundance of Capacity
VHTS/NGSO Constellations - Abundance of Capacity Large Capital Spending in Satellite Industry Total Addressable Market ($M) GEO 4,500 35,786 km 4,000 ~550msec HTS/VHTS 3,500 3,000 2,500 MEO 2,000 2,000-10,000 km SES/O3B 1,500 ~120msec 1,000 500 0 LEO 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031
Slide 8: SkyEdge IV – Industry Leading Ground Platform
SkyEdge IV – Industry Leading Ground Platform For VHTS & Multi Orbit Constellations Land Mobility Aviation Broadband Defense IoT Maritime Enterprise Cellular The Satellite Operators Choice Gilat Proprietary and Confidential 8
Slide 9: In Flight Connectivity
In Flight Connectivity Aero Antennas 400Mbps Modem Superior Passenger Experience Transceivers Ground Equipment Expanding Fleets Enabling Large IFC Global Networks Commercial Aircrafts Business Aircrafts Global Coverage | > 30 Satellites | ~16,000 ~19,500 (2032) (2032) 28 Teleports | 32 Airlines | CA
Slide 10: Stellar Blu – First-to-Market ESA Multi-Orbit for Commercial Aviation IFC
Stellar Blu – First-to-Market ESA Multi-Orbit for Commercial Aviation IFC ~60 employees About Main Locations: Ft. Worth, TX, San Diego CA, Europe Strategy First-to-market commercial aviation ESA Technology ESA based multi-orbit aero satcom terminal Main Customers Longer Term Ka Operators and Service
Slide 11: Winning Product Offering
Winning Product Offering Select Product Features GPS Antenna ‒ Low profile, no radome – lowest TCO ‒ Operate with LEO, GEO, and MEO networks ‒ Agnostic architecture allowing customization to different service providers Bombardier CRJ-700 Test Flight (Dec 2022) Aircraft Personality Power Supply Unit
Slide 12: Financial Highlights: Initial cash of $98M + up to $147M
Financial Highlights Deal Size Deal Financing Expected Closing Initial cash of $98M A combination of Gilat’s cash Q4/24 resources and a credit facility, + up to $147M leveraging Gilat’s strong goals based earnout: balance sheet $29M Delivery ramp up objectives $19M Additional orders objectives $99M
Slide 13: Maritime
Maritime Active VSAT Terminals 2022 2032 1 52,500 23,600 Merchant 1,100 2,600 Passenger 11,600 5,000 Leisure 9,700 4,500 Fishing 4,200 2,200 Oil & Gas Euroconsult 2023 Gilat Proprietary and Confidential 10 13
Slide 14: Cellular Backhaul
Cellular Backhaul 4G/5G Ubiquitous Connectivity Bridging the Digital Divide 1 ~75% of Satellite Backhaul 4G/LTE Market Share NSR & GILAT ESTIMATION, 2022 Global CPE Revenues ($M) Demonstrated 5G Capabilities Over NGSO: 140.9 284.8 141.5 31.1 8.4 3.2 2022 2028 2G 3G 4G 5G NSR 2023 Gilat Proprietary a
Slide 15: Defense & Government
Defense & Government Increased Focus on Military Satcom Networks 2 Secure & Resilient SATCOM Technology for Today’s Net-Centric Battlefield • End-to-end in-house capabilities for land, sea and air missions • Ruggedized antennas, modems and SSPAs • Enable mission-critical COMMs/C5ISR operations over
Slide 16: Acquisition of DataPath
Acquisition of DataPath Completed November 2023 2 DataPath is a market leader in trusted communications for the US DoD Military and Government sectors, generating annual revenues of ~$45M and profitable • A strategic step in Gilat’s role in the defense markets • High Synergy potential between the co
Slide 17: Peru Terrestrial Networks
Peru Terrestrial Networks Shifting to Operations Recurring Revenue Model 3 Amazonas Telecommunications Rural Government Gilat Delivers Internet to Millions Annual Recurring Revenues >$50M of People in Peru Lima Huancavelica Cusco Pronatel Terrestrial Projects totaling $565M Ica Apurimac 5 regions in
Slide 18: Financial Highlights
Financial Highlights Gilat Proprietary and Confidential 18
Slide 19: Q3 2024 Profit and Loss Highlights
Q3 2024 Profit and Loss Highlights US$ Millions Q3/24 Q2/24 Q1/24 Q4/23 Q3/23 GAAP Revenue 74.6 76.6 76.1 75.6 63.9 Operating Expenses 20.9 23.8 22.7 26.0 13.1 Operating Income 6.7 2.8 5.4 2.9 12.7 Net Income 6.8 1.3 5.0 3.4 10.2 Non-GAAP Gross Margin 38% 37% 38% 39% 41% Adj. EBITDA 10.7 10.1 9.3 9.
Slide 20: YTD 2024 Profit and Loss Highlights
YTD 2024 Profit and Loss Highlights US$ Millions Q3/24 Q3/23 GAAP Revenue 227.3 190.5 Operating Expenses 67.4 50.8 Operating Income 14.9 25.2 Net Income 13.1 20.1 Non-GAAP Gross Margin 38% 40% Adj. EBITDA 30.1 27.1 Operating Expenses 63.2 58.9 Operating Income 22.2 17.4 Net Income 19.7 13.4 Gilat Pr
Slide 21: Balance Sheet Highlights
Balance Sheet Highlights US$ Millions Q3/24 Q2/24 Q1/24 Q4/23 Q3/23 Cash, net 1 106.0 92.6 98.5 95.3 100.3 DSO 2 83 88 76 64 75 Cash From Operations 14.7 (3.5) 4.2 10.0 13.8 Equity 291.5 282.8 280.8 274.7 265.5 1) Cash includes Cash and cash equivalents and restricted cash, net of loans 2) DSO exclu
Slide 22: Executing Profitable Growth Strategy
Executing Profitable Growth Strategy Updated 2024 Market Guidance (US$ Millions) Annual revenues GAAP Operating Income 305-315 Adjusted EBITDA 28.1 41-43 24-26 36.4 266.1 239.8 25.2 10 2022 2023 2024E 2022 2023 2024E 2022 2023 2024E Revenues: GAAP Operating Income: Adjusted EBITDA: $305M - $315M $24
Slide 23: Updated 2024 Market Guidance by Segment
Updated 2024 Market Guidance by Segment Annual Revenues (US$ Millions) Satellite Networks Integrated Solutions Network Infrastructure and Services 61 201-205 58 53-56 50 51-54 51 50 169 46 115 120 2021 2022 2023 2024E 2021 2022 2023 2024E 2021 2022 2023 2024E $201M - $205M $51M - $54M $53M - $56M Gi
Slide 24: Summary
Summary Uniquely Positioned to Unlock Growth Opportunities VHTS and NGSO Opening New Markets SkyEdge IV is a leading VHTS and NGSO Platform Leading in Main Growth Areas – Cellular Backhaul (4G, 5G) & In-Flight Connectivity Focused on Military SATCOM Networks Demonstrating Profitable Growth 24 Gilat
Slide 25: Thank You
Thank You info@gilat.com Gilat.com
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