Gilat upbeat on Peru amid election season

Gilat expects traction in Peru despite presidential elections in April, with two network upgrade contracts to be signed and new requests for proposals (RFPs) for internet connectivity expected to be published.

Nevertheless, the company’s guidance anticipates an 11% revenue decrease this year as construction work declines and the business shifts toward operations.

The company reported revenues of US$28.5 million (mn) in 4Q25, up from US$11.8mn in 4Q24, driven by network upgrade projects totaling US$85mn.

Gilat operates six regional networks in Peru, of which four have been upgraded.

“We are in discussion with the government to upgrade the remaining two networks. We believe that we’d be able to close it before the election in the second quarter,” CEO Adi Sfadia said in a Q4 call.

Peru has a portfolio of telecommunications projects worth US$830mn that will be activated or auctioned in 2026.

The government is considering awarding five projects worth US$436mn, aimed at bringing connectivity to 1,775 localities in jungle and border areas by 2030. A project to achieve satellite connectivity in nine border regions, with an estimated investment of US$50mn, is also being evaluated.

Gilat expects at least two “very large RFPs” for both terrestrial and satellite connectivity to be launched.

“We don’t believe that the election will cancel any of those RFPs. Probably, we’ll see most of the RFPs during the first quarter and during the fourth quarter of the year,” Sfadia said.

(The original version of this content was written in English)