Company: VSAT
Filing Date: 2025-02-10
Form Type: 10-Q
Source: 0000950170-25-016993
Chunk: 122

Company: VIASAT INC
Filing Date: 2025-02-10
Form: 10-Q
Item: Part I, Item 2
Chunk 122
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671.9

    703.6

    (31.7
    )

    (5
    )%

    Total cost of revenues
     
    $
    2,247.9

    $
    2,078.5

    $
    169.4

    8
    %

Cost of revenues increased by $169.4 million due to a $201.1 million increase in cost of service revenues, partially offset by a $31.7 million decrease in cost of product revenues. The increase in cost of service revenues was primarily attributable to increased service revenues, resulting in a $147.9 million increase in cost of service revenues on a constant margin basis and also lower margins, both of which were mainly in our communication services segment. The decrease in cost of product revenues was primarily driven by higher margins primarily in our defense and advanced technologies segment due to a higher mix of our product revenues associated with our royalty and licensing agreements versus hardware and other product related revenues.

53

Selling, general and administrative expenses

    Nine Months Ended

    Dollar

    Percentage

    (In millions, except percentages)
     
    December 31,2024

    December 31,2023

    Increase(Decrease)

    Increase(Decrease)

    Selling, general and administrative
     
    $
    761.6

    $
    1,640.3

    $
    (878.7
    )

    (54
    )%

The $878.7 million decrease in SG&A expenses was primarily due to a net loss of $905.5 million related to satellite impairment, including liabilities associated with the termination of certain subcontractor agreements, net of estimated insurance claim receivables recorded in our communication services segment in the prior year period. The decrease in SG&A expenses was further driven by lower selling costs of $13.1 million, partially offset by higher support costs of $41.2 million, both of which were mainly in our communication services segment.

Independent research and development

    Nine Months Ended

    Dollar

    Percentage

    (In millions, except percentages)
     
    December 31,2024

    December 31,2023

    Increase(Decrease)

    Increase(Decrease)

    Independent research and development
     
    $
    108.7

    $
    104.2

    $
    4.5

    4
    %

The $4.5 million increase in IR