SES delivered strong first-quarter 2026 financial results driven by the integration of Intelsat, expansion in mobility and government connectivity services, and growing demand for its multi-orbit satellite infrastructure.
SES, the Luxembourg-based satellite operator, reaffirmed its full-year outlook while advancing major investments in next-generation medium earth orbit (MEO) and multi-orbit connectivity networks.
SES reported Q1 2026 revenue of €847 million, compared with €509 million a year earlier. Adjusted EBITDA rose 57 percent year-on-year to €404 million.
Networks Business Drives Revenue Growth
SES said its Networks division generated €556 million in revenue during the quarter, accounting for approximately 66 percent of total revenue. The business delivered 106 percent growth, supported by strong demand across mobility, government and fixed data services.
Mobility segment emerged as the strongest-performing business line, with revenue rising 207.8 percent year-on-year. Growth was fueled by aviation connectivity contracts and maritime deployments. SES said nearly 600 aircraft are now operating with its multi-orbit inflight connectivity system, delivering broadband services to millions of airline passengers globally.
The company secured additional aviation commitments during the quarter, including a major deal involving more than 40 long-haul aircraft from Japan Airlines. SES also reached a milestone agreement with Boeing to support factory line-fit deployment of multi-orbit connectivity systems across Boeing aircraft models.
Government revenue increased 50.7 percent as SES expanded services for global government customers and strengthened its role in Europe’s sovereign satellite initiatives, including the IRIS² program.
Fixed Data revenue rose 79 percent, although underlying market conditions remained challenging due to competitive pressures in enterprise connectivity.
Media Business Faces Structural Pressure
SES reported Media revenue of €285 million, representing 34 percent of total revenue. While revenue increased 42.9 percent due to Intelsat consolidation, the underlying business declined 11 percent because of capacity optimization in mature broadcast markets and the impact of a customer bankruptcy in Brazil.
SES said its media operations continue to generate strong cash flows and secured nearly €100 million in long-term renewals and new business during the quarter.
€306 Million in Orders and Contract Renewals
SES announced €306 million worth of new business and contract renewals signed during Q1 2026, reinforcing demand for its integrated satellite and connectivity solutions.
The company highlighted growing customer adoption of its multi-orbit architecture, which combines geostationary, medium earth orbit and low earth orbit satellite networks to deliver resilient connectivity services for airlines, governments, enterprises and maritime operators.
SES extended its EGNOS GEO-1 satellite services agreement with the European Union Agency for the Space Programme through 2030, supporting high-precision navigation services for aviation and critical infrastructure across Europe.
Investment Focus on O3b mPOWER and meoSphere
SES is accelerating investments in next-generation satellite infrastructure as part of its long-term growth strategy.
The company confirmed that O3b mPOWER satellites 9 and 10 entered service in February 2026, increasing network capacity and resilience. Additional O3b mPOWER satellites 11, 12 and 13 are scheduled for launch in the second half of 2026.
SES also announced plans to develop meoSphere, a next-generation MEO satellite network targeted for deployment by 2030. The project is designed to significantly increase MEO network capacity and will use software-defined payloads alongside 28 high-power satellite buses supplied by K2 Space.
The company expects total capital expenditure of around €700 million in 2026, including investments in the IRIS² program and the first phase of the meoSphere rollout.
Financial Strategy and Debt Management
SES completed a major financing initiative during the quarter, successfully raising €650 million through SPACE Hybrid securities that were five times oversubscribed. The company ended the quarter with cash and cash equivalents of €874 million.
Net leverage stood at 4.1x adjusted EBITDA at the end of March 2026. SES reiterated its commitment to reducing leverage toward a long-term target of 3.0x or below while maintaining investment-grade metrics.
The company also repaid approximately €979 million in debt maturities during the quarter and continues to evaluate capital allocation priorities and future investment plans.
SES Reaffirms 2026 Outlook
SES reiterated its financial guidance for 2026, expecting revenue and adjusted EBITDA to remain broadly stable year-on-year on a like-for-like and constant currency basis.
The company said its long-term strategy centers on expanding multi-orbit connectivity leadership, government services, mobility applications and sovereign European space infrastructure.
