Comtech Announces Financial Results for Fourth Quarter and Fiscal Year 2026
Key Highlights
- ➤$157.5 million sale of most S&S business to Gilat affiliate expected to close in calendar 2026
- ➤Fiscal 2026 adjusted EBITDA $20.6 million, up 26%, with gross margin expanding to 38.9%
- ➤Fiscal 2026 operating cash flow $25.0 million versus $29.2 million outflow previously
- ➤Year-end liquidity reached $61.3 million as Comtech reduced senior debt
- ➤Allerium entered fiscal 2027 with $520.4 million funded backlog and approximately 80% recurring revenue
Expert Statements
Ken Traub, Chairman, President and CEO of Comtech Telecommunications Corp.
“Our accomplishments in Fiscal 2026 highlight the successful execution of the transformation plan we announced when I took over as CEO during Fiscal 2025.”
Ken Traub, Chairman, President and CEO of Comtech Telecommunications Corp.
“Comtech is now a far stronger company operationally, financially, organizationally and strategically.”
Ken Traub, Chairman, President and CEO of Comtech Telecommunications Corp.
“We generated positive consolidated operating cash flows for each of the last six quarters, with Fiscal 2026 generating $37.4 million.”
Ken Traub, Chairman, President and CEO of Comtech Telecommunications Corp.
“This enabled us to both increase our consolidated liquidity to $61.3 million at the end of the year, while also reducing our senior debt.”
Ken Traub, Chairman, President and CEO of Comtech Telecommunications Corp.
“We conducted a broad review of strategic alternatives and determined that the best path was to divest the majority of the Satellite and Space Communications (“S&S”) business and retain its cyber security training services and related businesses, so that we can dedicate our focus and attention on building upon Allerium's leadership position in public safety.”
Ken Traub, Chairman, President and CEO of Comtech Telecommunications Corp.
“We concluded that process in June with what we believe is an excellent outcome, a definitive agreement to sell most of the S&S business to an affiliate of Gilat Satellite Networks Ltd for $157.5 million.”
Ken Traub, Chairman, President and CEO of Comtech Telecommunications Corp.
“We are looking forward to additional refinancings following the anticipated closing of the sale of most of S&S, which we expect will further enhance our financial flexibility and reduce our cost of capital.”
Ken Traub, Chairman, President and CEO of Comtech Telecommunications Corp.
“We are excited that the anticipated closing of this transaction will enable us to create a focused and dedicated business centered around Allerium's leadership position in mission critical public safety and communications technologies and our proprietary cyber security training services.”
Jeff Robertson, President of Allerium
“We are entering an exciting time for Allerium, one that focuses on innovation and execution as we support the evolution of emergency communications.”
Jeff Robertson, President of Allerium
“The market is shifting from traditional voice-based systems toward data-centric communications, real-time coordination and AI-enhanced decision making, creating new opportunities across public safety and mobile networks.”
Jeff Robertson, President of Allerium
“We believe Allerium is uniquely positioned to lead this large and growing market for years to come.”
Jeff Robertson, President of Allerium
“Allerium entered fiscal 2027 with $520.4 million of funded backlog, about 80% recurring revenue and long-term relationships with states, public safety agencies and leading mobile network operators.”
Comtech Announces Financial Results for Fourth Quarter and Fiscal Year 2026
Sixth Consecutive Quarter of Consolidated Positive Operating Cash Flow Contributes to Rise in Consolidated Year-End Liquidity to $61.3 Million and Debt Reduction
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