Eutelsat - comment

Steady for the bonds. RG Group revenues were slightly down on our forecast, as Video is falling even faster than expected; government pick-up disappoints (same picture for SES the other day). But costs were also contained, ending up with EBITDA of €309m, only €-6m behind model. Contract assets built a whopping €84m, leading to a large WC outflow, and Capex was EUR 106m above our EUR 41m forecast — the E113WX satellite construction was still running before it was terminated (agreement with Thales Alenia signed 30 January 2026), and the Flexsat Americas programme is progressing. Against both, the M&A/OneWeb funding line came in at nil versus our -341m forecast, because the rights issue proceeds meant ESA had no need to upstream cash to OneWeb in this half. Net cash of EUR 254m came in EUR 27m below our 281m forecast — broadly the P&L miss flowing through.