KVHI · KVH Industries, Inc.

KVH Industries delivered strong Q1 2026 results with total revenue rising 27% year-over-year to $32.3 million, primarily propelled by a 30% surge in service revenues to $28.2 million. This growth was driven by a $6.2 million increase in airtime services, reflecting substantial subscriber gains in LEO offerings from Starlink and OneWeb, which now comprise over 45% of airtime sales compared to less than 30% a year ago. This shift partially offset a significant decline in VSAT service sales due to fewer subscribers. Product revenues grew 10% to $4.2 million, supported by higher OneWeb and Starlink terminal sales, though tempered by drops in TracVision and VSAT Broadband amid competition from low-cost streaming alternatives. Operating expenses held steady at $9.7 million, with minor offsets in warranty, dues, and facilities costs balancing rises in salaries and software maintenance. The company swung to GAAP net income of $0.6 million ($0.03 per share) from a $1.7 million loss last year, while non-GAAP adjusted EBITDA improved to $2.8 million from $1.0 million. CEO Brent C. Bruun highlighted the expanding LEO market, record Starlink connectivity shipments, and sustained subscriber growth via KVH's multi-orbit platform. Additionally, KVH completed its Rhode Island operations migration to a new Bristol facility, and announced MOL Chemical Tankers signing up for KVH Link services. Intensifying LEO competition and VSAT declines pose risks, but strong adoption signals positioning for maritime connectivity demand.