Company: VSAT
Filing Date: 2025-02-10
Form Type: 10-Q
Source: 0000950170-25-016993
Chunk: 117

Company: VIASAT INC
Filing Date: 2025-02-10
Form: 10-Q
Item: Part I, Item 2
Chunk 117
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 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. The increase in cost of service revenues was primarily attributable to lower margins, partially offset by a decrease in cost of service revenues of $10.0 million on a constant margin basis as a result of lower service revenues, both of which were mainly in our communication services segment.

50

Selling, general and administrative expenses 

    Three Months Ended

    Dollar

    Percentage

    (In millions, except percentages)
     
    December 31,2024

    December 31,2023

    Increase(Decrease)

    Increase(Decrease)

    Selling, general and administrative
     
    $
    238.0

    $
    271.7

    $
    (33.7
    )

    (12
    )%

The $33.7 million decrease in selling, general and administrative (SG&A) expenses was primarily due to lower support costs of $17.5 million and lower selling costs of $8.9 million, both of which were mainly in our communication services segment. The decrease in support costs reflects a reduction in our global workforce in November 2023 and related one-time costs included in the prior year period as we continue to integrate our business post-Inmarsat Acquisition and streamline our global operations. SG&A expenses are comprised primarily of personnel costs and expenses for business development, marketing and sales, bid and proposal, acquisition and transaction related expenses, facilities, finance, contract administration and general management.

Independent research and development 

    Three Months Ended

    Dollar

    Percentage

    (In millions, except percentages)
     
    December 31,2024

    December 31,2023

    Increase(Decrease)

    Increase(Decrease)

    Independent research and development
     
    $
    36.7

    $
    41.7

    $
    (5.0
    )

    (12
    )%

The $5.0 million decrease in independent research and development (IR&D) expenses was due to a $7.3 million decrease in our communication services segment (primarily related to narrowband and safety of communication capabilities), partially offset by a $2.3 million increase in our defense and advanced technologies segment (primarily related to advanced technologies and other). 

Amortization of acquired intangible