Credit: SES SA
On Thursday 31 July 2025, SES, a Luxembourgish space solutions company, published its financial results for the six months ended 30 June 2025.
The company reported revenue of €978 million for the first half of 2025, representing a slight year-on-year decrease of 0.2%, while adjusted EBITDA stood at €521 million, down 0.7% compared to the same period in 2024. SES confirmed that its full-year 2025 financial outlook remains on track, with expectations of stable revenue and broadly stable adjusted EBITDA year-on-year.
Revenue from SES’s Networks segment grew by 10.3% year-on-year, driven by 17.1% growth in Government services and 9.5% growth in Mobility. Media revenue declined by 12.1%, in line with expectations, though the company noted the signing of several significant long-term renewals. SES recorded €690 million in new business and contract renewals during the period, contributing to a total gross contract backlog of €4.2 billion.
Adjusted free cash flow reached €193 million, up 32.0% year-on-year. Net leverage stood at 1.1 times at the end of the period, supported by cash and cash equivalents of €4.3 billion. The company’s O3b mPOWER satellites 7 and 8 entered service in May 2025, while satellites 9 and 10 were successfully launched on Tuesday 22 July 2025, expanding network capacity and resilience.
SES also announced plans to collaborate with the Luxembourg Government to develop and launch a new defence satellite under the GovSat programme. A final dividend of €103 million for FY 2024 was paid to shareholders in April 2025, and an interim dividend is scheduled for October 2025.
The announcement follows SES’s completion of its acquisition of Intelsat on 17 July 2025 for a cash consideration of $2.6 billion (€2.2 billion), along with contingent value rights. The company expects €2.4 billion in net present value synergies from the transaction, with approximately 70% of the projected €370 million annual run-rate synergies to be realised within three years. SES reported that the combined backlog of the merged entity now exceeds €8 billion, providing long-term revenue visibility.
Looking ahead, SES anticipates a low to mid-single-digit revenue compound annual growth rate (CAGR) and mid-single-digit adjusted EBITDA CAGR for the period 2024-2028, supporting a projected normalised adjusted free cash flow of over €1 billion by 2027/28 (pre-IRIS²). Annual capital expenditure is expected to average €600-€650 million over the same period, with a net leverage target of below three times within twelve - eighteen months of the transaction closing.
Commenting on the results, SES CEO Adel Al-Saleh stated: “H1 2025 delivered solid operational and financial performance. Through continued strategic execution and solid commercial momentum, we have stabilised revenue and adjusted EBITDA and are firmly on track to meet our reiterated FY25 financial outlook.”
