Eutelsat Communications SA
XMUN:E3B
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Eutelsat Communications SA
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Eutelsat Communications SA
Eutelsat Communications SA is a satellite communications company. It owns and operates satellites in space and sells access to that capacity to customers that need to send video, data, or internet traffic over wide areas. Its main business is not building consumer products; it is selling satellite links that let other companies carry signals where ground networks are weak, expensive, or unavailable. Its customers include television broadcasters, telecom operators, internet service providers, businesses, and government agencies. Eutelsat earns money mainly by charging for satellite capacity, managed connectivity services, and long-term service contracts. A large part of its role in the industry is as a wholesaler: it sits between satellite infrastructure and the end users that need reliable coverage across countries, oceans, aircraft, ships, remote sites, and other hard-to-reach places. What makes Eutelsat different is the mix of satellite orbit types and use cases it serves. It combines traditional geostationary satellites, which are strong for broadcast and wide-area coverage, with low Earth orbit capacity aimed at faster, lower-latency data connections. That gives the company a business model built around essential communications infrastructure, with revenue tied to the long-term demand for connectivity rather than consumer subscriptions.
Eutelsat Communications SA is a satellite communications company. It owns and operates satellites in space and sells access to that capacity to customers that need to send video, data, or internet traffic over wide areas. Its main business is not building consumer products; it is selling satellite links that let other companies carry signals where ground networks are weak, expensive, or unavailable.
Its customers include television broadcasters, telecom operators, internet service providers, businesses, and government agencies. Eutelsat earns money mainly by charging for satellite capacity, managed connectivity services, and long-term service contracts. A large part of its role in the industry is as a wholesaler: it sits between satellite infrastructure and the end users that need reliable coverage across countries, oceans, aircraft, ships, remote sites, and other hard-to-reach places.
What makes Eutelsat different is the mix of satellite orbit types and use cases it serves. It combines traditional geostationary satellites, which are strong for broadcast and wide-area coverage, with low Earth orbit capacity aimed at faster, lower-latency data connections. That gives the company a business model built around essential communications infrastructure, with revenue tied to the long-term demand for connectivity rather than consumer subscriptions.
LEO Growth: Low Earth Orbit (LEO) revenues increased nearly 60% year-on-year, driving strong momentum in connectivity verticals.
Stable Revenue: Total first-half revenue was EUR 592 million, stable on a like-for-like basis but down 2.4% as reported.
Profitability: Adjusted EBITDA margin was 52.1%, down 3.1 points from last year due to video sanctions and LEO ramp-up effects.
CapEx Guidance Cut: Full-year capital expenditure guidance was lowered to around EUR 900 million from the previous EUR 1–1.1 billion.
Refinancing Progress: EUR 1.5 billion capital raise and nearly EUR 1 billion in export credit financing completed, improving credit ratings.
Operational Continuity: Procurement of 440 new LEO satellites ensures continuity for the OneWeb constellation.
Guidance Confirmed: Full-year revenue and EBITDA margin guidance confirmed; net debt/EBITDA guided to 2.7x by year-end due to halted asset disposal.
Video Headwinds: Video revenues declined 12% year-on-year, mainly due to Russian sanctions and underlying business trends.