Telesat Corporation ( (TSAT) ) has released its Q4 earnings. Here is a breakdown of the information Telesat Corporation presented to its investors.
Telesat Corporation, a leading global satellite operator, provides critical connectivity solutions through its innovative satellite networks, including the advanced Low Earth Orbit (LEO) satellite program, Telesat Lightspeed.
In its latest earnings report, Telesat revealed a challenging financial year with a significant decrease in revenue and net income for 2024, while also highlighting strategic advancements in its Telesat Lightspeed project, supported by substantial financing agreements with the Canadian and Quebec governments.
Key financial metrics showed a 19% decline in annual revenue to $571 million and a net loss of $302 million, attributed to foreign exchange impacts, reduced demand from North American DTH customers, and competitive pressures in the maritime and aero markets. The company also reported a substantial backlog of $1.1 billion and continued investments in its LEO program.
Despite the financial setbacks, Telesat made notable progress in its Telesat Lightspeed initiative, securing $2.54 billion in loan financing and completing important design milestones. The company also announced strategic partnerships and continued debt repurchase efforts to strengthen its financial position.
Looking ahead, Telesat anticipates further revenue challenges in 2025 due to market dynamics and increased operating expenditures for Telesat Lightspeed, with expectations of a significant decrease in Adjusted EBITDA. The company remains focused on executing its strategic initiatives and mitigating revenue declines in its GEO business.