Eutelsat Communications (EUTLF) Q2 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

Welcome to the Udalsat Half-Year 2025-2026 Results Presentation. For the first part of the conference, the participants will be in listen-only mode. During the questions and answers session, participants are able to ask questions by dialing pound key five on their telephone keypad. Now I will hand the conference over to the speaker, Jean-Francois Fallaché, Chief Executive Officer, and Sébastien Rouge, Chief Financial Officer. Please go ahead. Hello, good morning, everyone, and thank you for joining us today. I am Jean-François Fallacher, CEO of Eutelsat, and I am joined on this call by Sébastien Rouge, our new CFO. So before getting into the details, a quick recap of the highlights of the first semester, which has been truly pivotal for Eutelsat. In terms of performance, first half operating verticals were almost stable. Within this, Leo revenues were up nearly 60%. reflecting the ongoing strong commercial dynamic and driving rise in revenues in all three connectivity verticals. The adjusted EBITDA margin is just over 52%. It's reflecting the impact of sanction-related loss of video revenues as well as the effect of the product mix with Leo revenues that are still during their ramp-up stage. As a result of the first half year performance, we are able to confirm our full year financial objectives. We made great strides in our refinancing plan with the successful completion of our 1.5 billion capital raise in December, leading to credit rating upgrades from Moody's and Fitch. Subsequently, we have recently announced that we obtained almost 1 billion euros in export credit agency financing. We have also secured operational continuity for the OneWeb constellation with the procurement of a total of 440 new LEO satellites with technology enhancements. Finally, the disposal...