Comtech Telecommunications Reports Fiscal 2026 Loss of $2.31 Per Share as Margins Improve
Comtech Telecommunications Corp. (CMTL) reported net sales of $249.61 million for fiscal year 2026, down 17% from the previous year. Despite the revenue drop, the company narrowed its net loss to $2.31 per share. Strengthening profit margins and higher adjusted EBITDA helped cushion the impact of top-line declines as the business continues its broader operational shift.
The earnings results reflect an ongoing transformation following the divestiture of its S&S business. Revenue increasingly moved toward recurring software-as-a-service contracts for emergency call-handling and Next Generation 9-1-1 services, with expansion among state and domestic commercial clients balancing weaker government sales. Gross margin rose to 38.9%, driving gains in operating cash flow and adjusted earnings.
Investors will look at how the company converts its project pipeline as cloud adoption grows. New bookings totaled $263.7 million for the fiscal year, yielding a book-to-bill ratio of 1.06x and expanding total backlog to $520.4 million. With multi-year revenue visibility reaching approximately $862 million, management continues funding internal software and cloud infrastructure to support ongoing emergency services migrations, including international expansion at its new facility in Gatineau, Canada.
Key points
- Comtech Telecommunications Corp. generated $249.61 million in net sales for fiscal year 2026, a 17% drop from the prior year.
- Diluted loss per share narrowed to $2.31 as gross margin increased to 38.9%.
- Total backlog ended at $520.4 million with new bookings reaching $263.7 million.
- Revenue visibility expanded to about $862 million driven by Next Generation 9-1-1 software services.
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What were Comtech Telecommunications fiscal year 2026 earnings?
Comtech Telecommunications Corp. reported fiscal year 2026 net sales of $249.61 million and a diluted loss per share of $2.31, showing margin improvement despite a 17% decline in revenue.
What is Comtech Telecommunications backlog for fiscal 2026?
Comtech Telecommunications ended fiscal year 2026 with a backlog of $520.4 million and new bookings of $263.7 million, yielding a book-to-bill ratio of 1.06x.
Why did Comtech profit margins improve in fiscal 2026?
Gross margin reached 38.9% due to a shift toward recurring emergency call-handling software and Next Generation 9-1-1 cloud services, which boosted adjusted EBITDA and operating cash flow.