Key Points
Eutelsat expects 2027 revenue growth as LEO satellite demand accelerates.
OneWeb LEO business projected to grow more than 30% in FY2027.
Company revenue reached €1.24 billion, with LEO contributing around 25%.
Eutelsat shifts focus from satellite TV toward connectivity, government, and enterprise markets.
On 7 August 2026, Eutelsat said it expects revenue growth in fiscal 2027 as its low Earth orbit (LEO) satellite business is set to expand by more than 30%. The company is moving away from its declining TV broadcasting operations and focusing more on connectivity services powered by OneWeb. With demand increasing from governments, businesses, and remote users, investors are watching whether Eutelsat can grow its satellite connectivity business and compete with larger players in the market.
Why Eutelsat Expects Revenue Growth in 2027?
LEO business becomes the growth driver
Eutelsat expects modest revenue growth in fiscal 2027, supported mainly by its low Earth orbit (LEO) business, which is forecast to grow by more than 30%. The company said OneWeb will remain the primary driver of expansion as demand for broadband connectivity increases among governments, enterprises, aviation companies, and maritime operators.
At the same time, revenue from Eutelsat’s traditional TV broadcasting business is expected to continue declining. Management expects its adjusted EBITDA margin to remain broadly stable despite higher operating costs. The shift reflects Eutelsat’s move from a satellite TV-focused business toward a connectivity provider.
FY2025-26 Results Show Strong Momentum Before 2027
What do the latest earnings reveal?
Eutelsat entered fiscal 2027 after reporting better-than-expected financial results. Revenue rose 3% year over year to €1.24 billion, above analyst expectations of around €1.20 billion. Adjusted EBITDA fell 3.1% to €632.4 million due to higher operating expenses.
The company also reported a much smaller net loss compared with the previous year after lower asset impairment charges. The LEO business now generates around 25% of total revenue, showing how quickly it is becoming a larger part of Eutelsat’s operations.
These results show progress in Eutelsat’s shift toward satellite connectivity, although its traditional business continues to face pressure.
How Is OneWeb Changing Eutelsat’s Business Model?
Why is OneWeb becoming more important?
OneWeb has changed Eutelsat’s long-term direction. Unlike geostationary (GEO) satellites, low Earth orbit (LEO) satellites operate much closer to Earth. This allows them to provide lower-latency, faster internet services.
The technology is useful for remote broadband, government communications, airlines, and maritime services. After merging with OneWeb in 2023, Eutelsat became the first integrated GEO-LEO satellite operator with more than 600 LEO satellites.
The company is also gaining attention as European governments look for more secure satellite infrastructure and alternatives to foreign providers. Demand for sovereign communications services could create new opportunities across public and private markets.
What Could Drive or Limit Future Growth?
Opportunities
Several factors could support Eutelsat’s growth plans:
- Higher demand for enterprise connectivity services.
- More government and defence contracts.
- Expansion of aviation and maritime broadband.
- European investment in independent satellite networks.
Risks
Eutelsat also faces several challenges:
- Lower revenue from its traditional video business.
- Competition from Starlink and Amazon’s Project Kuiper.
- High investment costs required to expand satellite networks.
The company’s ability to manage these challenges will decide whether LEO growth can deliver consistent revenue gains over the coming years.
Why Investors are Watching Eutelsat Closely?
Investors are tracking whether strong LEO growth can offset the decline in traditional broadcasting revenue. Eutelsat’s performance will also depend on new contracts, profit margins, and its ability to expand connectivity services.
For investors monitoring the stock, platforms such as Meyka’s AI stock analysis tool can help review market trends and company fundamentals. Analysts will continue watching revenue growth, customer demand, and the pace of OneWeb expansion.
Conclusion
Eutelsat’s growth plans for 2027 depend heavily on the expansion of its OneWeb LEO satellite business. Rising demand for satellite connectivity could support revenue growth, even as the company manages declines in its legacy video operations. If Eutelsat achieves its expected 30%+ LEO expansion while maintaining stable margins, it could build a stronger position in the global satellite communications market.
Disclaimer:
The content shared by Meyka AI PTY LTD is for research and informational purposes only. Meyka is not a financial advisory service, and the information provided should not be treated as investment or trading advice.
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