Reported revenue up 12.2%, net profit increase of 11.5%

LUXEMBOURG, 28 April 2017 -- SES S.A. (Euronext Paris and Luxembourg Stock Exchange: SESG) announced financial results for the three months ended 31 March 2017.

Delivering return to (like for like) growth in revenue and profitability  

• Revenue EUR 540.6 million, up 12.2% over prior period (up 1.0% like for like[1])
• EBITDA margin 66.2% and operating profit margin 34.5% (Q1 2016: 67.6% and 32.2% like for like¹)
• Net profit attributable to SES shareholders of EUR 128.4 million, up 11.5% over prior period
• Net debt to EBITDA ratio[2] 3.05 times (Q1 2016: 2.43 times), in line with SES’s financial framework

Improved business mix supporting growth acceleration, re-affirming outlook for FY 2017

• Substantial contract backlog of EUR 7.8 billion (Q1 2016: EUR 7.6 billion)
• HDTV +6% (YOY) to 2,496 HDTV channels; total TV channels increased 4% (YOY) to 7,610 channels
• Return to growth in Enterprise driven by enhanced go-to-market capabilities
• Additional Mobility contracts signed with Global Eagle Entertainment and Gogo using existing assets
• Return to growth in Government underpinned by expanding market reach    

Karim Michel Sabbagh, President and CEO, commented: “The first quarter 2017 results were fully in line with our expectations. SES returned to growth in Q1 2017 with all of our data-centric markets developing positively, and we remain well placed to deliver sustained growth in all four of our market verticals.

The restructuring of SES’s go-to-market organisation model, with the creation of two natural business units, represents a further acceleration of our market-centric strategy. With SES Video and SES Networks, we are coalescing our differentiated capabilities to best serve customers globally.  

The launch of SES-10 on SpaceX’s first ever mission using a flight-proven rocket was a further step towards more efficient launch capabilities, and is yet another demonstration of SES’s strategy of working with our industrial partners to be at the forefront of innovation.”

OPERATIONAL REVIEW

In April 2017, the Board approved a restructuring of SES’s go-to-market organisation model with the creation of two highly focused communities – SES Video and SES Networks. The new organisation, which will be implemented during 2017, allows SES to deliver increasingly differentiated and essential satellite-enabled communication solutions to clients in the video and data-centric verticals.

Ferdinand Kayser, formerly Chief Commercial Officer, was appointed CEO of SES Video. Steve Collar, formerly CEO of O3b, was appointed CEO of SES Networks, which comprises the Enterprise, Mobility and Government verticals and integrates O3b.

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