Video slips in positive third quarter for Eutelsat | Satellite | News | Rapid TV News
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Even though like others in its industry the operator faced challenges in its video vertical, satellite operator Eutelsat has posted an overall solid third quarter.
eutelsat 10August2018
For the three-month period ended 31 March 2019, the operator reported total revenues of €336.7 million, up 0.7% year-on-year on an actual basis and up 1.4% annually like-for-like at constant currency, perimeter and accounting standards.

Total operating verticals revenues amounted to €324.6 million, slipping 2.6% annually and 4.0% on a like-for-like basis when compared with Q3 2018. Video applications accounted for two-thirds of total revenues at the end of Q3 2019 and amounted to €215.4 million, falling 2.5% on a year-on-year basis. The drop was attributed to what Eutelsat called an accelerated, double-digit decline in professional video in a context of intensifying competitive pressure. Professional video now accounts for less than 8% of the company’s total video revenues while ‘pure’ broadcast revenues were stable, and indeed recorded a slight rise.

Looking at quarterly highlights for video in the quarter, Eutelsat noted that a multi-transponder contract was secured for a new DTH platform on EUTELSAT 65 West A even though other projects in the pipeline were delayed for non-structural reasons. These are expected to materialise in the near future.

At 31 March 2019 the total number of channels broadcast by Eutelsat satellites stood at 7,021, up 2.0% year-on-year and by 3.0% stripping out the effect of the disposal of EUTELSAT 25B. HD penetration rose by 11% to 1,509 channels. This represented a penetration of 21.5% of channels compared with 19.7% a year earlier.

Summing up the quarterly results, Eutelsat chief executive officer Rodolphe Belmer said that the company was encouraged by the resilience of its core broadcast business, and that it continues to target a return to slight revenue growth in FY 2019-20 on the back of the materialisation of delayed business, traction in broadband and the availability of incremental capacity with EUTELSAT 7C and EUTELSAT Quantum.