Viasat has announced that it anticipates recovering less than 10 percent of the originally planned capacity on ViaSat-3 F1, a satellite that experienced issues during its deployment in July. However, the company expresses confidence in its ability to fulfill customer requirements without the need to replace the malfunctioning satellite.
The US-based company has indicated that it has already covered a significant portion of the capital costs associated with the ViaSat-3 satellite constellation. As a result, its capital expenditure (capex) is expected to decrease in the 2025 financial year, falling within the range of $1.4 billion to $1.5 billion.
Furthermore, Viasat has adjusted its outlook, now projecting that it will achieve sustainable positive free cash flow in the first half of the 2025 calendar year, as opposed to the previously anticipated second half. This forecast excludes any positive impact from satellite insurance claims.
Following its acquisition of the British rival Inmarsat in May, Viasat has confirmed that it holds insurance coverage amounting to $420 million for ViaSat-3 F1 and plans to conclude its insurance claim before the year’s end.
Since the satellite malfunction in July, the company’s shares have experienced a significant decline, with their value decreasing by as much as two-thirds.
