Eutelsat Group (ETL) H2 2025 earnings summary

Executive summary

• Full-year revenues reached €1.244 billion, up 2.5% year-over-year, with operating verticals contributing €1.226 billion, up 0.8% like-for-like.

• LEO segment revenues surged over 80% year-on-year to €187 million, now representing 15% of group revenues, driven by strong commercial traction and demand.

• Major contracts signed with European institutions, including a €1 billion, 10-year framework with the French Ministry of Armed Forces and a deal with the UK Foreign and Commonwealth Office.

• Announced a €1.5 billion capital increase, fully backed by core shareholders and the French State, to support strategic growth and deleveraging.

• IRIS² public-private partnership launched, with Eutelsat in a lead role.

Financial highlights

• Adjusted EBITDA was €676.2 million, down 5.9% year-over-year, with a margin of 54.4%.

• Net loss attributable to shareholders was €1,081.9 million, impacted by €535 million GEO goodwill impairment and €186 million satellite impairments.

• CapEx for the year was €449.8 million, down from €517.1 million, reflecting lower LEO and GEO capex.

• Net debt stood at €2,626.6 million, with a net debt/EBITDA ratio of 3.88x.

• Liquidity remains strong with €1.07 billion in undrawn credit lines and cash.

Outlook and guidance

• LEO revenues expected to grow by 50% year-on-year in FY 2025-26, offsetting but not outweighing GEO revenue declines.

• Group targets revenues and adjusted EBITDA margin slightly below FY 2024-25 levels for FY 2025-26.

• CapEx guidance for FY 2025-26 is €1.0–1.1 billion, focused on LEO expansion.

• Net debt/EBITDA expected to fall to ~2.5x by year-end 2025-26 post capital increase and asset disposal.

• Long-term revenue target of €1.5–1.7 billion and EBITDA margin of at least 60% by FY 2028-29.