Eutelsat claims fundamental robustness of video in fiscal 2020
Details
Joseph O'Halloran
| 31 July 2020
Over the last few years satellite operators have faced secular challenges in their video operations but Eutelsat is claiming to have produced a robust set of results for its 2019/20 financial year with a resilient core broadcast business despite Covid-19 headwinds.
eutelsat 10August2018
For the year ended 30 June 2020, Eutelsat posted total revenues of €1.278 billion, down 3.2% on an annual basis, with vertical industry revenue slipping 2.8% compared with the previous financial year to €1.276 billion. EBITDA for the year fell 4.9% compared with fiscal 2019 to €982 million. Fourth quarter revenues stood at €320 million down 2.1% on a reported basis and by 4.4% like-for-like. revenues from the company’s five operating verticals stood at €317 million, down 4.3% year-on-year and 2.1% quarter-on-quarter on a like-for-like basis.

Looking at business lines, the broadcast vertical posted yearly revenues of €785 million, down 1.2% on a like-for-like basis, reflecting said the company notably lower revenues at the 36° East video neighbourhood due to a return of a couple of transponders in Russia, and 7° East after the termination of a contract in Sub-Saharan Africa. Fourth quarter broadcast revenues stood at €196 million, down by 1.5% year-on-year and by 1.4% quarter-on-quarter with net one-off items representing most of the sequential decline.

By 30 June 2020, the total number of channels broadcast by Eutelsat satellites stood at 6,788 down 4.3% year-on-year. HD penetration continued to increase, standing at 1,679 channels compared with 1,551 a year earlier, implying a penetration rate of 24.7%, up 2.8 percentage points annually.

Looking forward Eutelsat said that the signature of an anchor deal with Canal+ in Ethiopia at 7° East has prepared the ground for future growth across this region and a deal with Greek operator Forthnet had secured business for the long term.