Eutelsat Group (ETL) Q1 2026 TU earnings summary

Executive summary

• First quarter revenues reached €293 million, stable year-on-year at -0.3% like-for-like, with a negative currency effect partially offset by a €5 million positive swing from hedging and IRIS2 revenue recognition.

• LEO revenues surged 70.7% year-over-year, now representing over one-third of Connectivity revenues and driving overall growth in this segment.

• All full-year 2025-2026 financial objectives and long-term targets are confirmed.

• Shareholder approval for a €1.5 billion capital increase and new Board appointments was secured at the General Meeting.

Financial highlights

• Operating verticals contributed €283 million, down 1.2% like-for-like year-over-year.

• Video revenues declined 10.5% year-over-year to €133.6 million, impacted by secular market decline and Russian sanctions.

• Fixed Connectivity revenues rose 15.9% year-over-year to €62.3 million, supported by LEO service growth.

• Government Services revenues increased 18.5% year-over-year to €52.4 million, driven by demand for LEO-enabled solutions, especially in Ukraine.

• Mobile Connectivity revenues fell 12.1% year-over-year to €34.7 million, affected by lower GEO revenues and the absence of a prior one-off contract.

Outlook and guidance

• Full-year 2025-2026 revenue for operating verticals expected in line with FY 2024-2025.

• LEO revenues projected to grow 50% year-over-year for FY 2025-2026.

• Adjusted EBITDA margin expected slightly below FY 2024-2025; long-term margin target of at least 60% by FY 2028-2029.

• Gross CapEx expected between €1 billion and €1.1 billion.

• Net debt to adjusted EBITDA ratio estimated at 2.5x by year-end 2025-2026 post capital increase.