# Comtech Reports Fiscal 2026 Results as Strategic Satellite Unit Sale Nears Completion

- URL: https://stocks.freetheai.org/news/comtech-reports-fiscal-2026-results-as-strategic-satellite-unit-sale-nears-bb237f
- Published: 2026-10-14T20:34:00Z
- Category: earnings; sentiment: mixed; impact: medium
- Symbols: [NASDAQ:CMTL](https://stocks.freetheai.org/symbols/NASDAQ-CMTL), [NASDAQ:GILT](https://stocks.freetheai.org/symbols/NASDAQ-GILT)
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Comtech Telecommunications Corp. (NASDAQ:CMTL) reported full-year fiscal 2026 net sales of $249.6 million, down 17% from $300.9 million in the previous year. The revenue decline was primarily driven by the deliberate phase-out of legacy satellite contracts. The company narrowed its annual net loss attributable to common shareholders to $51.0 million, down from $67.9 million in fiscal 2025, while adjusted EBITDA grew to $20.6 million. For the fourth quarter, net sales reached $66.2 million with a net loss of $9.4 million.

The financial results reflect Comtech's operational pivot toward its Allerium public safety and emergency communications business. In June 2026, the company signed a definitive agreement to sell the majority of its Satellite and Space Communications division to an affiliate of Gilat Satellite Networks Ltd. (NASDAQ:GILT) for $157.5 million in cash. Comtech utilized a $10.0 million advance payment from the transaction to prepay debt in July, helping increase its year-end consolidated liquidity to $61.3 million. Entering fiscal 2027, the remaining core public safety business holds $520.4 million in funded backlog.

Looking ahead, investors will be monitoring the anticipated completion of the satellite business sale in calendar 2026, which remains subject to regulatory approvals and closing conditions. Comtech expects to incur between $13.0 million and $15.0 million in transition costs over the next two fiscal years, followed by estimated annual cost savings of $16.0 million to $18.0 million. Executive changes are also underway, with incoming Chief Financial Officer Rich Nyren and Chief Legal Officer Amy Rothstein-Hovey stepping into their roles during the transition.

## Key points

- Comtech Telecommunications reported fiscal 2026 net sales of $249.6 million and narrowed its net loss to $51.0 million.
- Full-year adjusted EBITDA increased to $20.6 million, up from $16.4 million in fiscal 2025.
- The company is selling most of its satellite communications segment to a Gilat affiliate for $157.5 million.
- Comtech entered fiscal 2027 with $520.4 million in funded backlog for its core public safety business.

## Questions and answers

### What were Comtech's financial results for fiscal 2026?

Comtech reported net sales of $249.6 million and a net loss of $51.0 million for fiscal 2026, alongside adjusted EBITDA of $20.6 million and $61.3 million in year-end liquidity.

### Why is Comtech selling its satellite communications business?

Comtech is selling most of its satellite division for $157.5 million to focus on its Allerium public safety technologies and cybersecurity training services while lowering debt.

### When will the sale of Comtech's satellite segment close?

The divestiture to an affiliate of Gilat Satellite Networks is expected to close in calendar year 2026, subject to regulatory approvals and closing conditions.