SES H1 2026 revenue hits €1.6B, outlook held steady, and FCC unlocks $5.6B C-band windfall
SGBAF has more than doubled off its 52-week low of $2.94.
Summary
H1 2026 revenue doubled to €1.6 billion after the Intelsat deal, but higher costs drove an adjusted net loss and negative free cash flow. The FCC's approval of the Upper C-band plan unlocks a $5.6 billion incentive payment, a major catalyst for debt reduction.
Key Events · Earnings and Guidance · SGBAF
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Revenue Doubles to €1.6B
H1 2026 revenue reached €1,602 million, up 72.4% at constant FX, driven by the Intelsat consolidation and strong growth in Mobility (+169.9%) and Government & Defense (+41.9%).
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Adjusted Net Loss of €89M
Despite higher revenue, adjusted net loss was €89 million vs. a €77 million profit a year ago, reflecting €250 million higher depreciation and amortization from the Intelsat acquisition and increased financing costs.
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Free Cash Flow Turns Negative
Adjusted free cash flow was an outflow of €130 million, down €323 million year-on-year, due to higher capex, interest payments, and adverse working capital movements.
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Leverage Rises to 4.4x
Adjusted net debt to Adjusted EBITDA increased to 4.4x from 3.9x at year-end 2025, reflecting the debt taken on for the Intelsat deal and negative free cash flow.
Analysis · SGBAF · Technology
Top-line momentum was unmistakable as revenue nearly doubled, fueled by the Intelsat acquisition and standout growth in Mobility and Government & Defense. Yet the bottom line flipped to an adjusted net loss, pressured by higher depreciation and financing costs tied to the deal, while free cash flow turned negative amid elevated capex. Leverage now sits at 4.4x, stretching the balance sheet, but the FCC's formal approval of the Upper C-band framework charts a clear course to $5.6 billion in gross incentive payments—a transformative catalyst for deleveraging and future shareholder returns. The reiterated full-year outlook and upcoming satellite launches point to operational stability, though near-term financial strain and C-band execution risks demand close attention.
At the time of this filing, SGBAF was trading at $6.52 on OTC in the Technology sector, with a market capitalization of approximately $2.7B. The 52-week trading range was $2.94 to $11.40. This filing was assessed with neutral market sentiment and an importance score of 8 out of 10.