ViaSat Inc. (NASDAQ:VSAT) Q1 2021 Earnings Conference Call - Final Transcript
Aug 07, 2020 • 08:30 am ET
Welcome to Viasat's FY '21 First Quarter Earnings Conference Call. Your host for today's call is Mark Dankberg, Chairman and CEO. You may proceed, Mr. Dankberg.
Okay. Thanks very much. So we published our shareholder letter last night that described our first quarter results and most of the details that we'll discuss is in there. I just want to make a few quick points before we go ahead and take questions.
So overall, the results came in better than what we had expected looking at things from parking up in the end of March. [Indecipherable] EBITDA grew about 8%. Just on revenue that was just slightly lower, despite all the headwinds that we had from the COVID situation on -- especially on our commercial in-flight connectivity business. We've got, I think, very good diversity in our business space and that was really helped us have such strong results.
Government business did really well. Fixed broadband showed very significant demand and that helped the results there and along with our cost management. In-flight connectivity business, it was actually probably a little worse than what we had expected in that first quarter, but we're still able to grow adjusted EBITDA. And overall, our new contract awards were really strong, which gave a lot of confidence for the rest of this year. That kind of leads into our second theme here is -- the second main point, which is opportunity for us. We have a lot of opportunities in our government segment. I'm talking about very strong demand plus proposal activity and value. We see opportunities for our aeronautical business to grow out of the low point of the first quarter. And our international businesses, we expect to be able to start expanding after some delay that we encountered and our partners encountered during the first quarter, again, due to the COVID pandemic.
Last point that I want to make is just that we're making good progress on our ViaSat-3 satellite program. So the COVID pandemic is definitely creating some issues for us to overcome. But we've got -- we continue to make good progress. We're at the point of the program where the payload integration is coming together. So we're testing larger and larger subsets of the payload and we're making really good progress on those milestones.
We were aiming for being able to ship that payload at around the time that we reported next quarter. It doesn't look we will have shifted by then, but we'll be close enough to have a more definitive date that we can report -- when we report earnings next quarter.
So with that, I'd be happy to take questions now.