Gilat Satellite Networks Ltd. (NASDAQ:GILT) Q1 2023 Earnings Conference Call May 9, 2023 9:30 AM ET

Company Participants

Ehud Helft - Co-Founder, EK Global Investor Relations

Adi Sfadia - Chief Executive Officer

Gil Benyamini - Chief Financial Officer

Conference Call Participants

Chris Quilty - Quilty Space

Gunther Karger - Discovery Group

Operator

Ladies and gentlemen, thank you for standing by. Welcome to Gilat’s First Quarter 2023 Results Conference Call. All participants are at present in listen-only mode. Following management’s formal presentation, instruction will be given for the question-and-answer session. [Operator Instructions] As a reminder, this conference is being recorded, May 9, 2023.

By now, you should have all received the company’s press release. If you have not received it, please contact Gilat’s Investor Relations team at EK Global Investor Relations at 1-646-688-3559 or view it in the news section of the company’s website, www.gilat.com.

I would now like to hand over the call to Mr. Ehud Helft of EK Global Investor Relations. Mr. Helft, would you like to begin?

Ehud Helft

Yeah, good morning and good afternoon, everyone. Thank you for joining us today for Gilat’s first quarter 2023 results conference call and webcast. A recording of this call will be available beginning at approximately noon Eastern Time today, May 9, as a webcast on Gilat website for a period of 30 days.

Also, please note that investors are urged to read the forward-looking statements in Gilat’s earnings release with a reminder that statements made on this earnings call that are not historical facts may be deemed forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All such forward-looking statements, including statements regarding future financial operating results, involve risks, uncertainties and contingencies, many of which are beyond the control of Gilat, and which may cause actual results to differ materially from anticipated results.

Gilat is under no obligation to update or alter these forward-looking statements, whether as a result of new information, future events or otherwise, and the company expressly disclaims any obligation to do so. More detailed information about risk factors can be found in Gilat’s reports filed with the Securities and Exchange Commission.

With that, let me turn to introductions. On the call today are Mr. Adi Sfadia, Gilat’s CEO; and Mr. Gil Benyamini, Gilat’s CFO. I would now like to turn the call over to Adi Sfadia.

Adi Sfadia

Thank you, Ehud, and good day to everyone. I want to thank you for join us today for our first quarter 2023 earnings call. 2023 started very well for Gilat. The first quarter of 2023 was another quarter in which we showed solid year-over-year revenue growth. Our growth was broad, across multiple business areas in total 15% compared to the same quarter last year. Adding to that, the significant improvement in our profit margins, with gross margins reaching a multi-year high of 42% and adjusted EBITDA of $8.4 million, more than tripled the adjusted EBITDA of the same quarter last year.