EUTLF - Eutelsat Communications S.A. (EUTLF) Q2 2023 Earnings Call Transcript
2024-02-16 14:00:06 ET
Eutelsat Communications S.A. (EUTLF)
Q2 2023 Earnings Conference Call
February 16, 2024 03:00 ET
Company Participants
Eva Berneke - Chief Executive Officer
Christophe Caudrelier - Chief Financial Officer
Conference Call Participants
Aleksander Peterc - Societe Generale
Mark Watts - Citi
Brian O'Brien - UBS
Tom Singlehurst - Citi
Roshan Ranjit - Deutsche Bank
Presentation
Operator
Good day and welcome to the Eutelsat Group Half Year 2023-'24 Results Conference Call. Please note, this call is being recorded. [Operator Instructions]
At this time, I would like to turn the conference over to Eva Berneke, Chief Executive Officer; and Christophe Caudrelier, Chief Financial Officer. Please go ahead. Thank you.
Eva Berneke
Good morning. Welcome and thank you for joining us for today's first half of Eutelsat '24 presentation. I'm Eva Berneke, Chief Executive Officer and I'm joined by Christophe, our CFO. So what are we going to do this morning? For today's agenda, we have 4 points. We have a bit the highlights of this past quarter and the 6 months. We go through our operational performance, then our financial performance and then, we'll come to the outlook and financial objectives.
Let's start with the highlights of the past 6 months. First half operating verticals revenue stood at €571 million, confirming the return to top line growth. This was underpinned by Eutelsat's legacy business, thanks notably to the EUTELSAT 10B and KONNECT VHTS that gave us incremental capacity as well as the inclusion of OneWeb businesses since the second quarter. Second quarter operating verticals continues this trend, revenues up by 3.9% on a like-for-like basis and by 5.4% on a quarter-on-quarter. We delivered successful operational execution, notably with the entry into service of KONNECT VHTS in September and EUTELSAT 10B also in September, as well as the completion of the space segment of the OneWeb Constellation.
The Eutelsat and OneWeb combination is effective since very late September and the integration is progressing well and synergies are well confirmed. We're seeing commercial traction for OneWeb with further growth in secured backlog as well as the activation of numerous key customer partnerships. And this, despite the delay in the rollout of the ground segment that we flagged at the end of January. So we are progressing really well on design on the next-gen OneWeb Constellation which focused on securing continuity of the current client service as well as a stepwise capacity and functionality improvement. This will lead to a reduction in expected CapEx for the period '25 to '30....
Eutelsat Communications S.A. (EUTLF) Q2 2023 Earnings Call Transcript