Aleksander Peterc's questions to SES (SGBAF) leadership • Q1 2025
Question
Aleksander Peterc of Bernstein asked for an update on the potential upper C-band disposal, including the amount of spectrum and guard band requirements. He also questioned the efforts to mitigate the Brazilian bankruptcy's impact on the Media segment and the timeline for MEO capacity to drive a return to growth in the Fixed Data vertical.
Answer
CEO Adel Al-Saleh explained that clearing the upper C-band is technically feasible but ultimately depends on the FCC's strategy, with the primary objective being the protection of incumbent client services. He stated that the company has successfully mitigated the financial impact of the Brazilian bankruptcy on a total company level through cost controls and growth in other segments. He also detailed a phased mPOWER capacity increase starting in May 2025, with significant step-ups in early 2026 and 2027 to serve all segments, including Fixed Data. CFO Sandeep Jalan added that the Network segment's high single-digit growth is now offsetting the Media decline, leading to a favorable revenue mix shift where Networks constitute 60% of the business.