Eutelsat gained the spotlight this year as European governments sought home-grown solutions for satellite services, aiming to reduce their reliance on US providers.

Revenues from video, connectivity and government services reached €1.23 billion (US$1.43 billion) in the year ended June 30, up 0.8% from a year earlier.

Financial analysts had expected those revenues to total €1.21 billion, according to a consensus poll provided by Eutelsat.

The Paris-based group hopes to offset declining income from its video business by gaining a foothold in the satellite internet market, where SpaceX’s Starlink dominates.

Eutelsat said revenues from its low Earth orbit (LEO) satellites rose 84.1% yearly to €187 million.

Higher revenues for government services reflected services delivered in Ukraine and increased demand from other non-US governments, the company said.

The German government has been paying for Ukraine’s access to Eutelsat’s network for about a year.

Eutelsat expects LEO revenues to grow by 50% next year, saying it will compensate but not yet outweigh the decline in its legacy business, which is impacted by additional Russian sanctions.

However, the operator said it took a €1.1 billion loss through the year, partly due to impairments from its geostationary (GEO) assets.

In addition to its 34 GEO satellites – mostly used for broadcasting and fixed satellite internet – Eutelsat owns a constellation of over 600 in low Earth orbit, managed by its London-based subsidiary OneWeb, which was acquired in 2023.

The company is undergoing a radical shake-up following the appointment of a new CEO and a chairman as well as new injections of capital led by the French state alongside Britain and other anchor shareholders for €1.5 billion.