Eutelsat Communications Reports Strong LEO Revenue Growth

Eutelsat Communications ( (EUTLF) ) has released its Q4 earnings. Here is a breakdown of the information Eutelsat Communications presented to its investors.

Eutelsat Communications is a global leader in satellite communications, providing connectivity and broadcast services through a combination of geostationary and low Earth orbit satellites.

Eutelsat Communications has reported its financial results for the fiscal year 2024-25, achieving all its financial objectives. The company saw a modest increase in total revenues, driven by significant growth in its low Earth orbit (LEO) segment.

The company’s total revenues for the year reached €1,244 million, marking a 2.5% increase. Notably, LEO revenues surged by over 80% to €187 million, now accounting for approximately 15% of the group’s total revenues. Despite a decline in video revenues, government services and fixed connectivity showed strong growth, with government services increasing by 24.1% year-on-year. Eutelsat also announced a €1.5 billion capital raise to support its strategic ambitions.

Eutelsat’s adjusted EBITDA stood at €676.2 million, with a margin of 54.4%, reflecting stable profitability despite a decrease in reported EBITDA. The company’s net debt increased slightly to €2,626.6 million, with a net debt to adjusted EBITDA ratio of 3.88x. Looking ahead, Eutelsat expects continued growth in LEO revenues, aiming to offset declines in its geostationary segment.

Eutelsat’s management is optimistic about the company’s future, with plans to expand its LEO capabilities and strengthen its financial structure through the announced capital increase. The company is poised to play a significant role in the development of the European sovereign space, supported by strategic partnerships and government contracts.