In a trading update released on Friday, the French satellite company said it expects slight revenue growth in 2027, improving from the stable revenue outlook projected for the current financial year. The company also said its adjusted core profit margin is expected to remain broadly in line with 2025/26 levels.
The positive outlook is being fuelled by the rapid expansion of Eutelsat's LEO business, which is expected to grow by more than 30% next year. That growth is anticipated to offset continued weakness in the company's traditional video broadcasting operations, which have faced persistent declines as consumers increasingly shift to streaming and digital platforms.
Eutelsat's LEO capabilities are powered by its OneWeb satellite constellation, currently the only operational global low-Earth orbit connectivity network outside Elon Musk's Starlink. The strategic position has placed the company at the centre of Europe's efforts to reduce reliance on U.S.-based satellite providers and build greater technological independence.
The company said LEO services contributed roughly a quarter of total group revenue during the 2025/26 financial year, highlighting the growing importance of the segment as its legacy geostationary satellite business continues to come under pressure from shrinking video revenues.
For the financial year ended in June, Eutelsat reported like-for-like revenue growth of 3%, with total revenue reaching €1.24 billion ($1.43 billion). The result exceeded analysts' expectations, with market forecasts compiled by the company pointing to average revenue of €1.20 billion.
Despite stronger revenue, profitability came under some pressure. Adjusted core earnings declined 3.1% to €632.4 million, reflecting higher operating expenses during the year.
The company's bottom line, however, showed significant improvement. Eutelsat's net loss was cut by more than half after recording substantially lower impairment charges compared with the previous financial year, when it booked write-downs of around €720 million.
The latest results underscore the company's ongoing transition from a business heavily dependent on traditional satellite television services to one increasingly focused on broadband connectivity through low-Earth orbit satellites. As governments and businesses seek secure, resilient and globally accessible communications infrastructure, Eutelsat is positioning OneWeb as a key growth engine for the years ahead.