SES Full Year 2023 Results
Execution against 2023 targets and strengthened financial position with C-band.
Luxembourg, 29 February 2024 -- SES S.A. announces financial results for the twelve months ended 31 December 2023.
• Revenue of €2,030 million above Full Year 2023 financial outlook
• Networks (+6.1% YOY) driving group revenue growth (+0.8%YOY) with Video (-4.4% YOY)
• Adjusted EBITDA of €1,025 million impacted by unplanned expense in Q4 2023
• $3 billion U.S. C-band Accelerated Relocation Payment received, lowering net leverage ratio from 3.5 times to 1.5 times
• €1 billion of debt repayments planned, including €550 million already repaid in January 2024
• Solid Adjusted Free Cash Flow of €431 million during 2023
• FY 2023 dividend of €0.50 per A-share to be paid in April 2024, complemented by ongoing €150 million share buyback
• From FY 2024 onwards SES will move to semi-annual dividend payments, aligning to operational cash flows
• Rewarding shareholders with additional interim dividend of €0.25 per A-share in October 2024 and, starting in 2025, payment of at least €0.25 per A-share in both April and October
• First 6 O3b mPOWER satellites launched with start of commercial services on track for early Q2 2024
• Discussions initiated with insurers on claim for O3b mPOWER (satellites 1-4) of $472 million
• Full Year 2024 financial outlook expects revenue of €1,940-€2,000 million and Adjusted EBITDA of €950-€1,000 million
Adel Al-Saleh, CEO of SES, commented: “It’s an exciting time to be joining SES and an honour to lead this established, world-class operator on the next phase of the journey. The 2023 results demonstrate the strong fundamentals of our business and attraction of our multi-orbit offering to a customer base of world-leading organisations, governments, and institutions.
We delivered on all the financial objectives for 2023 including exceeding revenue expectations, secured €1.5 billion of new business and renewals across Networks and Video, and launched the first 6 O3b mPOWER satellites which will bring high-performance connectivity services to committed and prospective customers from early Q2 2024.
With the hard work of C-band clearing in the U.S. behind us and cash proceeds received, we have strengthened our industry-leading investment grade balance sheet and unlocked important financial flexibility which creates the opportunity to expand our capabilities, enhance commercial offering, drive free cash flow, and deliver returns to our shareholders.
While the competitive landscape in which we operate is evolving rapidly, SES is well positioned to succeed and grow as we continue to deliver differentiated and compelling solutions to our customers, underpinned by next-level execution and rigorous financial discipline.”
Presentation of Results
A presentation of the results for investors and analysts will be hosted at 9.30 CET on 29 February 2024 and will be broadcast via webcast and conference call. The details for the conference call and webcast are as follows:
U.K. +44 (0) 33 0551 0200
France +33 (0) 1 70 37 71 66
Germany +49 (0) 30 3001 90612
U.S.A. +1 786 697 3501
Confirmation code SES
Webcast registration https://channel.royalcast.com/landingpage/ses/20240229_1/
The presentation is available for download from https://www.ses.com/investors/financial-results and a replay will be available shortly after the conclusion of the presentation.
Follow us on
About SES
SES has a bold vision to deliver amazing experiences everywhere on earth by distributing the highest quality video content and providing seamless data connectivity services around the world. As a leader in global content connectivity solutions, SES owns and operates the world’s only geosynchronous orbit and medium earth orbit (GEO-MEO) constellation of satellites with the unique combination of global coverage and high performance. By leveraging its vast and intelligent, cloud-enabled network, SES delivers high-quality connectivity solutions anywhere on land, at sea or in the air, and is a trusted partner to the world’s leading telecommunications companies, mobile network operators, governments, connectivity and cloud service providers, broadcasters, video platform operators and content owners. SES’s video network carries over 6,400 channels, reaching 363 million households, delivering managed media services for both linear and non-linear content. The company is headquartered in Luxembourg and listed on Paris and Luxembourg stock exchanges (Ticker: SESG). Further information is available at: www.ses.com
Disclaimer
This presentation does not, in any jurisdiction, including without limitation in the U.S., constitute or form part of, and should not be construed as, any offer for sale of, or solicitation of any offer to buy, or any investment advice in connection with, any securities of SES, nor should it or any part of it form the basis of, or be relied on in connection with, any contract or commitment whatsoever.
No representation or warranty, express or implied, is or will be made by SES, its directors, officers or advisors, or any other person, as to the accuracy, completeness or fairness of the information or opinions contained in this presentation, and any reliance you place on them will be at your sole risk. Without prejudice to the foregoing, none of SES, or its directors, officers or advisors accept any liability whatsoever for any loss however arising, directly or indirectly, from use of this presentation or its contents or otherwise arising in connection therewith.
This presentation includes “forward-looking statements”. All statements other than statements of historical fact included in this presentation, including without limitation those regarding SES’s financial position, business strategy, plans and objectives of management for future operations (including development plans and objectives relating to SES products and services), are forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors that could cause the actual results, performance, or achievements of SES to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements. Such forward-looking statements are based on numerous assumptions regarding SES and its subsidiaries and affiliates, present and future business strategies, and the environment in which SES will operate in the future, and such assumptions may or may not prove to be correct. These forward-looking statements speak only as at the date of this presentation. Forward-looking statements contained in this presentation regarding past trends or activities should not be taken as a representation that such trends or activities will occur or continue in the future. SES, and its directors, officers and advisors do not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
