Eutelsat Communications

ETL

Equity

ISIN FR0010221234 / Valor 2231843

Euronext - Euronext Paris (2026-09-04)

EUR 1.79-2.40%

Eutelsat Communications
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About company

Eutelsat Communications is a Paris-listed satellite operator that sells wholesale satellite capacity and related managed services to broadcasters, telecom operators, internet service providers, enterprises and government customers worldwide. Historically built on a fleet of geostationary satellites and ground infrastructure, the company generates revenue by leasing transponder capacity for video distribution and providing connectivity for fixed, maritime and airborne platforms, as well as enterprise networks and backhaul for mobile operators. In recent years it has extended its product mix into low‑Earth‑orbit broadband through a strategic tie‑up with OneWeb to offer more ubiquitous, low‑latency internet access alongside its GEO-based services, and it also packages software and operational services such as network management and customer premises solutions to support end-to-end deployments.

Summarized from source with an LLMView SourceSector: Telecommunications

Top-line and mix

Total revenues for FY 2025-26 were €1,235.9m (-0.6% reported, +3.0% like‑for‑like). Operating Verticals revenues were €1,197.1m (+1.8% like‑for‑like). Video declined (to €519.2m) while Connectivity grew to €677.9m (+16.4% like‑for‑like), driven by LEO.

LEO performance

LEO revenues surged to €297.0m, up 69.5% like‑for‑like, now representing 25% of Group revenues and >40% of Connectivity. Q4 LEO was €124.3m (up ~82% like‑for‑like), and management expects LEO growth >30% in FY 2026-27.

Profitability

Adjusted EBITDA was €632.4m, down 3.1% like‑for‑like, yielding a margin of 51.2% (down 3.2 percentage points). The decline reflects Video sanctions and LEO product‑mix effects during ramp‑up.

Balance sheet and refinancing

Net debt fell to €1,464.6m (net debt / Adjusted EBITDA 2.32x) after a €1,469m capital increase and a completed €5bn refinancing package. Average cost of debt after hedging ~4.37% and weighted maturity ~4.2 years; liquidity (cash + undrawn facilities) ~€2.3bn plus ~€690m ECA capacity.

Capex and backlog

Gross Capex was €593.9m (below prior €900m expectation) as LEO GEN‑1 spending progressed; Capex is expected around €1.2bn in FY 2026-27 and approx. €4bn over 2026‑29. Backlog stood at €3.4bn (≈2.7x FY revenues), with Connectivity rising to 61% of backlog.

Contracts and regulatory items

Key commercial wins include a €138m initial firm call‑off (CENTAURE) under the €350m NEXUS framework with the French Armed Forces and broader government wins. Post‑close, Eutelsat expects $504m (€443m) of FCC C‑band incentive payments (pre‑tax, conditional on U.S. clearing milestones, expected by 2031).

Outlook

For FY 2026-27 management expects LEO growth to more than offset GEO decline, delivering slight revenue growth for Operating Verticals and an EBITDA margin broadly stable versus FY 2025-26. Longer term, the company targets €1.5–1.7bn revenues and >60% EBITDA margin by June 2029, assuming plan execution and no additional sanction impacts.

Summarized from source with an LLMView Source

Key figures

-36.1%1Y

-68.2%3Y

-82.0%5Y

Performance

75.7%1Y

97.4%3Y

78.9%5Y

Volatility