SES YTD and Q3 2024 Results
Luxembourg, 7 November 2024 -- SES S.A. announces financial results for the nine months and three months ended 30 September 2024 with solid operational and financial performance driving the Full Year 2024 revenue and Adjusted EBITDA outturn which is now expected to close at the top end of SES’s financial outlook range.
• Revenue of €1,475 million (-1.1% YOY) and Adjusted EBITDA of €775 million (-2.0% YOY)
• Networks up +2.9% YOY with high single digit growth in Government, Aviation, and Cruise
• Media performance (-5.5% YOY YTD) in line with expectations and improving trend in Q3 2024 of -3.1% YOY
• €900 million renewals & new business. Signed $200 million NATO government contract for O3b mPOWER; Thai Airways and Turkish Airlines for SES Open Orbits; multi-year media renewals with Sky, Warner Brothers Discovery, Telekom Srbija, RTL, and ORF/ORS
• Adjusted Free Cash Flow of €262 million up 5% YOY with Net Leverage at 1.1x. Cash & cash equivalents at €3.2 billion including €1 billion of proceeds from the successful Hybrid bonds issuance
• 2024 Revenue outlook and Adjusted EBITDA outlook are now both tracking to the top end of the expected range
• Intelsat acquisition on track to complete during H2 2025 with progress towards regulatory clearances and integration planning
• IRIS² concession award enables MEO network expansion to keep pace with growing customer demand in line with financial policy
Adel Al-Saleh, CEO of SES, commented: “2024 financial performance continues to track in line with our expectations, reflecting solid execution and the strength of SES’s differentiated customer solutions across our target segments. We expect to deliver Full Year 2024 revenue and Adjusted EBITDA at the top end of our outlook, as we work towards improving the business’ growth trajectory.
Our Networks business continues to grow led by high single digit growth in Government, Aviation, and Cruise. The launch of mPOWER satellites 7 and 8 is on track for December 2024 which, along with the launch of satellites 9, 10, and 11 during 2025 and satellites 12 and 13 at the end of 2026, will add much needed capacity to the constellation to support the rapidly expanding demand for our MEO-based vertical solutions. In Media, we expect our solid Q3 2024 performance to continue for Q4, underscoring the underlying value of our core TV neighbourhoods and customer offerings, as reflected by the important multi-year deals signed this year.
The regulatory process for the Intelsat acquisition is beginning to gather pace with a number of clearances already granted, while the integration planning has further advanced to ensure execution from Day 1 of closing which remains on course for H2 next year.
Lastly, the award to SES and our consortium partners to design, deliver, and operate Europe’s sovereign multi-orbit IRIS² government communications network creates value for the European Union and enables the expansion of our differentiated MEO infrastructure, where customer demand continues to grow, while remaining committed to all our financial policy objectives.”
Read the press release in full.
For further information please contact:
Richard Whiteing
Investor Relations
Tel: +352 710 725 261
[email protected]
Suzanne Ong
Communications
Tel: +352 710 725 500
[email protected]
Presentation of Results:
A presentation of the results for investors and analysts will be hosted at 9.30 CET on 7 November 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/20241107_1/
The presentation is available for download from https://www.ses.com/company/investors/financial-results and a replay will be available shortly after the conclusion of the presentation.
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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 provider of global content and connectivity solutions, SES owns and operates a geosynchronous orbit fleet and medium earth orbit (GEO-MEO) constellation of satellites, offering a combination of global coverage and high performance services. By using its 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 telecommunications companies, mobile network operators, governments, connectivity and cloud service providers, broadcasters, video platform operators and content owners around the world. The company is headquartered in Luxembourg and listed on Paris and Luxembourg stock exchanges (Ticker: SESG). Further information is available at: www.ses.com
Forward looking statements
This communication contains forward-looking statements. Generally, the words “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “contemplate,” “predict,” “forecast,” “likely,” “believe,” “target,” “will,” “could,” “would,” “should,” “potential,” “may” and similar expressions or their negative, may, but are not necessary to, identify forward-looking statements.
Such forward-looking statements, including those regarding the timing and consummation of the transaction described herein, involve risks and uncertainties. SES’s and Intelsat’s experience and results may differ materially from the experience and results anticipated in such statements. The accuracy of such statements is subject to a number of risks, uncertainties and assumptions including, but not limited to, the following factors: the risk that the conditions to the closing of the transaction are not satisfied, including the risk that required approvals of the transaction from the shareholders of Intelsat or from regulators are not obtained; litigation relating to the transaction; uncertainties as to the timing of the consummation of the transaction and the ability of each party to consummate the transaction; risks that the proposed transaction disrupts the current plans or operations of SES or Intelsat; the ability of SES and Intelsat to retain and hire key personnel; competitive responses to the proposed transaction; unexpected costs, charges or expenses resulting from the transaction; potential adverse reactions or changes to relationships with customers, suppliers, distributors and other business partners resulting from the announcement or completion of the transaction; the combined company’s ability to achieve the synergies expected from the transaction, as well as delays, challenges and expenses associated with integrating the combined company’s existing businesses; the impact of overall industry and general economic conditions, including inflation, interest rates and related monetary policy by governments in response to inflation; geopolitical events, and regulatory, economic and other risks associated therewith; and continued uncertainty around the macroeconomy. Other factors that might cause such a difference include those discussed in the prospectus on Form F-4 to be filed in connection with the proposed transaction. The forward-looking statements included in this communication are made only as of the date hereof and, except as required by federal securities laws and rules and regulations of the SEC, SES and Intelsat undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Additional Information and Where to Find It
In connection with the proposed transaction, SES intends to file with the SEC a registration statement on Form F-4 that also constitutes a prospectus of SES. SES also plans to file other relevant documents with the SEC regarding the proposed transaction. No offer of securities shall be made, except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended. INVESTORS AND SHAREHOLDERS ARE URGED TO READ THE REGISTRATION STATEMENT, PROSPECTUS AND OTHER DOCUMENTS THAT MAY BE FILED WITH THE SEC CAREFULLY AND IN THEIR ENTIRETY IF AND WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION. Investors and shareholders will be able to obtain free copies of these documents (if and when available), and other documents containing important information about SES and Intelsat, once such documents are filed with the SEC through the website maintained by the SEC at http://www.sec.gov. Copies of the documents filed with the SEC by SES will be available free of charge on SES’s website at www.ses.com or by contacting SES’s Investor Relations Department by email at [email protected]. Copies of the documents filed with the SEC by Intelsat will be available free of charge on Intelsat’s website at www.intelsat.com or by contacting Intelsat’s Investor Relations Department by email at [email protected].
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