Israel’s defense ministry awards Gilat multimillion dollar contract

PETAH TIKVA, Israel - Gilat Satellite Networks Ltd. (NASDAQ:GILT, TASE: GILT), a satellite communications company with a market capitalization of $503 million and impressive revenue growth of nearly 20% in the last twelve months, has secured a multimillion dollar contract from Israel’s Ministry of Defense for satellite communication systems and services, according to a press release statement issued Tuesday.

The contract requires Gilat’s defense division to deliver and integrate advanced SATCOM systems designed for Israel’s defense forces before the end of 2025. The systems are engineered specifically for operation in harsh environments to support military communication needs.

"We continue witnessing the fact that SATCOM is becoming a very important and critical tool for Defense forces around the world," said Gilad Landsberg, President of Gilat Defense. "We are proud to deliver a tailor-made, time-sensitive solution for the Israeli Ministry of Defense."

Gilat Satellite Networks, headquartered in Israel, has been operating in the satellite communications industry for over 35 years. The company provides satellite-based broadband communications through its subsidiaries Gilat Wavestream, Gilat DataPath, and Gilat Stellar Blu.

The company’s product portfolio includes cloud-based platforms, modems, satellite terminals, antennas, solid state power amplifiers, block upconverters, and integrated ground systems for both commercial and defense markets.

Gilat’s stock is listed on both the NASDAQ and Tel Aviv Stock Exchange under the ticker symbol GILT. The company’s shares have shown remarkable momentum, gaining over 21% in the past week and trading near its 52-week high of $9.40. InvestingPro analysis reveals 15+ additional investment insights and key metrics for GILT, available exclusively to subscribers.

In other recent news, Gilat Satellite Networks Ltd. has announced several significant contracts, underscoring its robust business activities. The company secured a contract valued at over $8 million from Israel’s Ministry of Defense for advanced satellite communication systems, designed to operate in challenging environments. Additionally, Gilat’s Peruvian subsidiary received approximately $60 million in orders from Peru’s national telecommunications program, Pronatel, to upgrade broadband infrastructure in multiple regions. In the United States, Gilat DataPath, a subsidiary of Gilat, won a contract worth more than $7 million to provide field and technical services to the U.S. Army, with the potential to extend to $70 million over five years.

Moreover, Gilat has received orders exceeding $22 million from satellite operators globally, focusing on connectivity across various satellite constellations, with particular interest in the In-Flight Connectivity market. The company also secured a $27 million contract for its Gilat Stellar Blu™ ESA Terminal technology, aimed at enhancing connectivity in commercial, business, and defense aviation markets. These developments reflect a period of active contract acquisition and expansion for Gilat Satellite Networks.

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