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Welcome to the Eutelsat Third Quarter 2025-2026 Revenues Call. [Operator Instructions] Now I will hand the conference over to the speaker Sébastien Rouge, Chief Financial Officer. Please go ahead.

Good evening. Welcome, and thank you for joining us today for Eutelsat's Third Quarter '25-'26 Revenue Presentation. I'm Sébastien Rouge, Chief Financial Officer; and here with me, Joanna Darlington, Head of Investor Relations and [ Hugo ] in her team. Let's start with the highlights of the past quarter. Third quarter operating verticals revenue of EUR 283.7 million, up 0.9% year-on-year, in line with our expectations. Connectivity saw further double-digit growth of 15%, driven by LEO-enabled solutions, up 65% year-on-year.

During the quarter, we successfully completed the closing of a EUR 1.5 billion senior note offering that was the final milestone in the group's comprehensive EUR 5 billion equity and debt refinancing strategy.

And finally, based on the performance of the first 9 months, we confirm our objectives of the full year. If we turn now to the Q3 performance. As a reminder, all comments are on a like-for-like basis, which means at current scope and currency.

Total revenues for the third quarter stood at EUR 293 million, up 3.1% on a like-for-like basis. They reflected a EUR 20 million negative currency effect and a EUR 10 million positive swing in other revenue, mainly driven by the recognition of IRIS2 and related to Eutelsat's involvement as consortium System Development Prime. Revenues of the 4 operating verticals were up 0.9% on a like-for-like basis.

Let's now have a look at the segmental reporting. Video representing 45% of revenue stood at EUR 128 million, a decline of 13.3%. Fixed connectivity revenues, representing 21% of the group total rose 10.6% to EUR 60 million. Government Services, 18% of our revenue stood at EUR 50 million, a rise of 11.8%. And finally, mobile connectivity, representing 16% of our group total stood at EUR 45 million, representing an increase of 27%.

Let's start with the details of video. As said above, third quarter video revenues amounted to EUR 128 million, down 13.3% year-on-year. This reflects the impact of sanctions on Russian channels imposed at the beginning of the year and from March '26 onwards, the termination of capacity contract at the Express AT1 and AT2 satellites.

On a quarter-on-quarter basis, revenue were down 3.6%, reflecting notably the above-mentioned termination of AT1 and AT2 contracts. Since February 26, Eutelsat has renewed multiple capacity agreements, notably with VSAT at the 7/8° West video neighborhood to support development of broadcast market in MENA.

In Mexico with Cadena Tres part of Grupo Imagen and with PCTV, a leader in continued distribution of video services using our Eutelsat 117 West A satellite. Elsewhere, Eutelsat in a new partnership with Co-op Cable for direct-to-home and connectivity offering across the Caribbean, leveraging our Eutelsat 65 West A satellite.

Let's now take a closer look at connectivity, which accounts for 55% of our sales, well over half of our operating verticals revenue. Total connectivity revenue for the third quarter stood at EUR 155.7 million, up 15.3% year-on-year. Once again, they were driven by the strong LEO growth, up 65%. If we look now at each vertical in more detail. Third quarter fixed connectivity revenues stood at EUR 60.3 million, up 10.6% year-on-year.

They reflected the continued momentum of LEO-enabled connectivity solutions, partially offset by more challenging conditions for GEO-enabled services. Quarter-on-quarter revenues were down 12.9%. This was due to the one-off positive impact that we shared in Q2 coming from the upfront recognition of revenue relating to a capacity contract.

On the commercial front, Eutelsat signed a multiyear agreement with MTM Côte d’Ivoire to deliver satellite connectivity services using EUTELSAT KONNECT high-throughput capacity. Third quarter Government Services revenues stood at EUR 50.4 million, up 11.8% year-on-year. They reflected continued growth in LEO-enabled solutions, notably through services delivered in Ukraine, alongside rising demand from non-U.S. governments.

Quarter-on-quarter revenues were up 10%, notably due to the acceleration of LEO activities. In the fourth quarter, Eutelsat expects to recognize revenue from the Nexus framework agreement with the French Ministry of Defense. As previously communicated, revenues will ramp over the 10-year duration of this agreement.

Third quarter connectivity -- mobile connectivity revenues stood at EUR 45 million, up 27% year-on-year, reflecting the ongoing growth in the Aero segment across both GEO and LEO solutions. Quarter-on-quarter, revenues were up 8.3%. In Aero Mobility, a significant new connectivity agreement powered in part through our LEO network was announced for Japan Airlines with more than 40 wide-body aircraft set to be equipped with a next generation of in-flight connectivity solutions.

It adds to the significant numbers of aircraft already equipped and in the pipeline. Elsewhere, Eutelsat entered a multiyear partnership with Singapore-based Can Marine to deliver maritime connection LEO services. Furthermore, Eutelsat and its long-standing partner, India's Station Satcom, a leader in maritime connectivity, signed an expanded multiyear multimillion dollar agreement to scale the deployment of LEO connectivity services across its global maritime fleet.

Finally, Eutelsat continued to expand its portfolio of user terminals for rail applications with partners, including Kymeta and Hughes Network Systems developing and testing dedicated rail-certified hardware optimized for the OneWeb LEO network. If we look at the backlog, it stood at EUR 3.4 billion at the end of March '26, stable as compared to end of December '25.

The natural erosion of the backlog was completely offset by the renewal of Polsat video contract and growth in the LEO backlog. It was equivalent to 2.8x our fiscal year '25 revenues with connectivity representing 58% of this backlog.

Let's now turn to the outlook. On the back of the performance of the first 9 months, well in line with what we thought, we confirm our objective for the full year '25-'26. Revenue of the 4 operating verticals in line with the level of last year, LEO revenues to grow by 50% year-on-year, adjusted EBITDA margin slightly below the level of the one of fiscal year '24-'25.

Also, we expect gross capital CapEx, capital expenditure to be around EUR 900 million. Following the successful completion of the capital increase in December '25, net debt to EBITDA is estimated at circa 2.7x by year-end. Our longer-term objectives in terms of revenue and EBITDA margin are also confirmed.

I thank you very much for your attention, and we are now ready to take some questions.

[Operator Instructions] The next question comes from Roshan Ranjit from Deutsche Bank.

I've got 3 questions, please. Sébastien, you mentioned in your presentation, the government revenue pickup expected in Q4. Now this was around the French framework agreement. Can you remind us, is there a kind of nominal amount for the absolute framework and what the time period for that is, please?

Secondly, on to mobile connectivity and the air aviation installation, you highlight a connectivity agreement with Japan Airlines. Is that a pure capacity agreement? Does that also involve some installation revenues as well? And within the 600 installations that you highlight, can you give us a kind of mix as to which geographies that is predominantly based, please?

And lastly, just a kind of high-level question. We've seen continued interest around the Indian market for consumer broadband. From my understanding, we're still waiting for regulatory approvals. Can you give us just a bit of an overview as to what approvals are specifically needed and when you think you can have a service starting in that region?

Okay. Thanks for your questions. If we start with the government, so you remember that we are with the French government, the DGA, we have signed a global frame agreement that we announced was over 10 years and around EUR 1 billion covering both capacity and more specific projects embedded into that.

The way it works is that actually, as part of this frame agreement, gradually, we sign firm commitments with specific deliverables. And one of them, we are actually about to sign very soon. And then depending on the exact timing and the final technical setup of the contract, we'll be able to recognize revenue in Q4.

We have no real doubt on the fact that we will enter that into the agreement. The exact date and the exact fiscal year revenue recognition will depend on the very specifics. Overall, we do not comment on the specific size of the contract. They will keep on building up. That's for sure.

We will start with revenue in Q4 that hopefully will be noticeable, but actually, it's a little bit too early to speak about the amount directly. And then throughout the years, it will gradually increase year-on-year between now and the next decade.

Hi Roshan. We see you snuck in 3 questions being -- rather than being limited to just 2. So on the -- your second question concerns Japan Airlines. So just to be clear, we are not an integrator. The Japan airlines contract that we allude to is via a distributor. In this case, it's SES. I think SES alluded to it on their call this morning.

But SES distributes LEO capacity as do other distributors, which, as you know, includes Panasonic, it includes Gogo, it includes the Anuvu. So that is what that Japan Airlines contract alludes to. So it's pure capacity as are all of the contracts or the LEO capacity that we sell to airlines via distributors.

Of the installations, I think you know some of them. I mean, obviously, Japan Airlines is one of the latest ones. Canada is another one. I mean, I don't have the exact ones that -- I mean, off the top of my head, but it's pretty global. I mean there are some in North America.

There are some in the Middle East, obviously, with [ JA ] now, there are some in the Far East. So it's a global business. So it's not limited to any particular market. On your third question, the Indian market, we are still waiting for approval from the Indian regulator. And that's the case for all of the operators who want to who want to address or to offer LEO services.

So I mean, basically, I mean, in a nutshell, the approvals that we're waiting for or the green light is from the Indian regulator to give the go-ahead for operators of LEO broadband services to operate in India straightforward. And all of the operators are in the same situation, whether it's ourselves, it's Starlink, it's GEO, it's Airtel. It's the same for all of it.

That's helpful. And any visibility on that time frame or just wait and see?

We get asked every quarter. I mean, we don't know. I mean it's no secret that we're obviously pushing very hard. We're bringing all of the influence to bear that we can, including, of course, the support of one of our major shareholders, but we can't comment. It's out of our hands.

I mean I would just add that it doesn't stop us from doing business, which is India related. And particularly, you just had -- we have some examples where we are dealing with and supplying Indian maritime companies, but it's the kind of -- it's the fixed within India that is awaiting the approval of the regulator.

The next question comes from Ben Rickett from New Street Research.

I had 2 questions. The first question on the IRIS2 process. That process has been going on for a while now. And I was just wondering like what should we be expecting in terms of like how significantly the terms of the contract could change? So are you just -- are they just negotiating the technical details? Or could we see big changes to the contract, for example, reducing your contribution.

And then second question, this again is quite a sort of general question. I wonder if you could talk at all about what you're seeing in the market for capacity pricing. So what sort of level you see capacity pricing at and how rapidly that pricing is declining over time, particularly given the huge amount of capacity that Starlink is putting.

Thanks, Ben. So on IRIS2 it's a very large comprehensive program. You have that in mind with dual use infrastructure being put in place with several partners and different stakeholders. So we cannot enter all the details of all the discussions.

But indeed, it takes a little bit more time than was anticipated, but it does not mean that our portion of the contract would be anywhere lower than what we had in mind. Eutelsat is working very actively with -- along with its partners with the European -- with the EU to make it happen.

I think there is a very large commitment and engagement towards the signature of the contract itself. I think it's also well described that the LEO responsibility is under Eutelsat's hands. But with that many stakeholders, such a big contract, which is a little bit unique, it does take more time.

We believe it's a matter of weeks before we get to the conclusion of the Grand one. But up until that, we cannot give more specific deadlines or comments on the way it will turn, again, except that the scope is very large. We have multiple stakeholders that are all motivated to make that happen.

On capacity pricing, we do not obviously comment on specific capacity price. I think the big fee and it's -- the answer is part of the question that everybody has in mind that there will be down the road probably other players with capacity going on.

The truth is, as of today, the only alternative to Starlink in terms of LEO capacity is with Eutelsat. And we have the natural advantage of being in the first joiner to the club. On the GEO capacity, I would say, not a lot of changes right now as compared to the overall trend. there is a structural abundance of GEO capacity.

But when you look in the detail, it's more about making sure that we have dedicated capacity in each and every of the geographical location that does require and where GEO is still the best fit for purpose. So saying that there is no pressure on price would be probably a little bit too much. But then the strategy is in the details of what you can supply for how long in which services and in which geography.

I would say still, and we have multiple examples, the combination for connectivity, our GEO and LEO capabilities is also a good asset for a fair amount of mobile connectivity business in particular.

There are no more questions at this time. So I hand the conference back to the speaker to conclude the call.

So just wanted to thank you for your time for this third quarter revenues that were -- I think that's the headline in line with our expectations, and I wish you all a good evening.

Thank you, ladies and gentlemen. The conference is over. You may now disconnect.

Welcome to the Eutelsat Half Year 2025-2026 Results Presentation. [Operator Instructions]

Now I will hand the conference over to the speaker, Jean-François Fallacher, Chief Executive Officer; and Sébastien Rouge, Chief Financial Officer. Please go ahead.

Hello. Good morning, everyone, and thank you for joining us today. I am Jean-François Fallacher, CEO of Eutelsat. And I am joined on this call by Sébastien Rouge, our new CFO.

So before getting into the details, a quick recap of the highlights of the first semester, which has been truly pivotal for Eutelsat. In terms of performance, first half operating verticals were almost stable. Within this, LEO revenues were up nearly 60%, reflecting the ongoing strong commercial dynamic and driving rise in revenues in all 3 connectivity verticals. The adjusted EBITDA margin is just over 52%. It's reflecting the impact of sanction-related loss of video revenues as well as the effect of the product mix with LEO revenues that are still during their ramp-up stage.

As a result of the first half year performance, we are able to confirm our full year financial objectives. We made great strides in our refinancing plan with the successful completion of our EUR 1.5 billion capital raise in December, leading to credit rating upgrades from Moody's and Fitch. Subsequently, we have recently announced that we obtained almost EUR 1 billion in expert credit agency financing.

We have also secured operational continuity for the OneWeb constellation with the procurement of a total of 440 new LEO satellites with technology enhancements. Finally, the disposal of our passive ground segment asset has been halted. While disappointing, this has no impact on Eutelsat's ability to finance its strategic development plan. And I will come back to this later.

Now let's have a quick look at the key financial data. Total revenues for the first half stood at EUR 592 million, stable on a like-for-like basis and down 2.4% reported. Revenues on the 4 operating verticals stood at EUR 574 million. They were down 0.6% on a like-for-like basis, excluding a EUR 20 million negative currency impact. As stated above, LEO revenues grew almost 60% to EUR 111 million and adjusted EBITDA was equating to a margin of 52.1% on a like-for-like basis. That means excluding currency and hedging effect, the EBITDA margin declined by 3.4 points. CapEx was at EUR 291.5 million, but clearly should not be extrapolated for the year as a whole. We will come back to this.

Let's now have a look at our H1 performance in more depth. Noting please that all commentary from now on will be on a like-for-like basis, [indiscernible] at a constant currency rate.

Let's have a look at our revenues by vertical. I remind they stood in total at EUR 592 million for the last semester. So revenues of the 4 operating verticals excluding other revenues amounted to EUR 574 million. Video is representing 46% of the revenues, EUR 266 million, down 12%. And I am pleased now to note that all the connectivity verticals delivered growth this semester. Fixed connectivity, representing 23% of our revenue was up 17%. Government Services representing 17% of the revenues was up 8% and mobility, representing 13% of the revenues, up 8.5%.

Our other revenues amounted to EUR 18 million. This is reflecting the revenue recognition from IRIS2 project. As you know, we are involved in the consortium system development -- in the consortium system development prime. And these other revenues are also including EUR 8 million positive impact from hedging operations.

Let's now zoom in the Video business unit -- in the Video segment. First half year revenues were down by 12.3% to EUR 260 million. They are reflecting the impact of further sanctions imposed on Russia. This is amounting to circa EUR 16 million for the full year '25-'26 as a whole, which came on top of the underlying trend in this mature business.

Second quarter revenues stood at EUR 133 million, down by 14.1% year-on-year, but broadly stable quarter-on-quarter, as you can see there. And on the commercial front, we had good news. We announced several renewals with quite long-standing partners at very key orbital positions, notably beIN, the media company, for distribution of DTH services across the MENA regions. This is reaffirming the strategic value of our 7/8-degree West video neighborhood. And in Europe, we were very pleased to announce the renewal of the deal with Polsat. We renewed a multiyear multi-transponder contract at a very flagship HOTBIRD Video neighborhood.

Let's now take a closer look at the connectivity. Our total connectivity revenues for the first half stood at EUR 307 million, up by 11.8%. Within this mix, GEO revenues stood at EUR 196.8 million, which is a decline of 4.5%. And as you can see, obviously, this decline was more than offset by the strong ongoing momentum in GEO revenues, which rose 60% up to EUR 110.5 million. And second quarter revenues stood by EUR 157.9 million, up by 15% year-on-year and by 5.8% quarter-on-quarter. LEO revenues up 50% at 56.4%, while GEO revenues were stable, as you can see there at EUR 101.5 million.

Let's now zoom in each vertical in more detail. I will start with the fixed connectivity vertical. The first half fixed connectivity revenues, they stood at EUR 132 million, up by 17.2% year-on-year. This is clearly reflecting the continued growth on LEO-enabled connectivity solution. As well, we have a one-off impact, and this is resulting for the upfront recognition of revenues relating to a capacity contract with a GEO customer for an amount of circa EUR 7 million.

The second quarter revenues stood at EUR 70 million, up EUR 18.3 million year-on-year. On the commercial front, Eutelsat reinforced its presence in Africa with a distribution agreement with MSTelcom in Angola for LEO services for businesses located in hard-to-reach regions as well as new multi-million, multi-year agreement with Paratus for services across Southern Africa.

Let's now have a look at the Government Services segment. Revenue stood at EUR 99 million, up 7.7% year-on-year. They are reflecting again here the growth of LEO-enabled solutions, notably with a number of services delivered in Ukraine as well as increased demand from other governments. Second quarter revenue stood at EUR 46 million, down by 2.2% year-on-year. This is mainly reflecting the softer revenues coming from the U.S. as well as lower terminal sales in Q2 than Q1.

Key highlights of the past semester, including the successful partnership with Airtel to support the Indian Army's relief operation with LEO connectivity. And we had also some activities in flood impacting Sri Lanka.

Elsewhere, Eutelsat obtained approval for the first military-grade manpack terminal with our OneWeb network. This is a terminal for the armed forces developed in partnership with Intellian Technologies. It's now -- this terminal is now available to government and defense customers that will need a portable, resilient connectivity solutions.

Now let's have a look at the mobility segment. Revenues stood there at EUR 77 million, up 8.5% year-on-year, reflecting the activation of contracts with aero mobility customers. We now have almost 600 certified antennas installation on planes, out of backlog of over 1,500 aircraft compared to what we had last year, 100 certified antennas and a backlog of 1,000 antenna. So you see the great evolution of our backlog and a number of antennas, which are actually active on planes.

This impact is even more visible on the second quarter, where revenue stood at EUR 42 million, up to 34% year-on-year and 21% quarter-on-quarter. On the commercial front, we are happy also to pinpoint the multi-year deal we've inked with CMA CGM Group on maritime. This is a deal we closed with Marlink to integrate OneWeb into the connectivity solutions of CMA CGM global maritime fleet.

Elsewhere, Eutelsat's OneWeb LEO network will provide passenger WiFi services on railways. We have signed a deal with Transgabon in partnership with Airtel Gabon. This is also reinforcing the Eutelsat Airtel partnership. And this is the start of business we are going to do in rail connectivity across Africa.

Let's now if you wish to have a look at the backlog. The backlog stood at EUR 3.4 billion on end of December '25 versus EUR 3.7 billion earlier. This backlog of EUR 3.4 billion is equivalent to 2.7x the 2024-'25 revenues. And for you to know, connectivity represents 59% of the total backlog versus 56% a year ago. This evolution is reflecting the rapidly increasing weight of LEO business in the mix.

And as a reminder, these LEO business contracts tend to be shorter. Moreover, only the success of the take-or-pay contracts, the LEO take-or-pay contracts are -- while what we call pay-as-you-go contracts are not reflected in the backlog at all. As a result, while it remains a useful indicator, the evolution of the backlog is a bit less correlated -- is now less correlated with future revenue trends than it used to be in the past.

Let's now turn to the financial performance, and I will pass the floor to Sébastien.

Thank you, Jean-François. Good morning, everybody. Revenues were covered in detail. So let's now jump to group profitability.

Adjusted EBITDA stood at EUR 308 million for the half year ended on the 31st of December compared to EUR 335 million a year earlier, so down by 8%. On a like-for-like basis, it's down 6.1%. Operating costs stood at EUR 283 million, up EUR 12 million and well contained in spite of the large growth of the LEO business. They reflected mostly an increase in the -- related cost of goods sold. The adjusted EBITDA margin stood at 52.1% reported versus 55.2% a year earlier, so down 3.1 points. It is a consequence of the impact of sanction-related losses on Video revenue as well as the effect of product mix within LEO revenues during the ramp-up stage.

If we look now at the rest of the P&L, the net result was a loss of EUR 236 million, largely reduced from the loss of EUR 873 million a year earlier. This reflected limited other operating losses at EUR 69.6 million as compared to EUR 691 million last year. As a reminder, in the first half of '24-'25, we included goodwill and satellite impairments totaling EUR 650 million.

You can note we have also lower D&A at EUR 357 million versus EUR 434 million last year, reflecting notably the end of the amortization of certain intangible assets. As well, we have the positive effect from the securing of operational continuity of the LEO constellation, and that follows the procurement of the additional 340 satellites. Finally, we have a favorable currency impact in D&A.

Net financial cost of EUR 95 million versus EUR 99 million last year, notably reflecting lower interest following the full repayment of the 2025 bond. And finally, corporate tax of EUR 21 million versus EUR 7.6 million last year. That's an effective tax rate of 10%.

If we move now to our CapEx plan. Gross CapEx amounted to EUR 292 million as compared to EUR 175 million a year earlier. This reflects the timing of key milestones in LEO investment programs. I will remind, it should not be extrapolated for the full year since most of the investment will be deployed in the second half. Nevertheless, because of the phasing of LEO programs as well as an increased vigilance on our GEO spend, CapEx for the full year is now expected around EUR 900 million, while we announced EUR 1 billion to EUR 1.1 billion previously. Going forward, CapEx will remain focused on LEO activities in line with the group's strategic vision, primarily for the OneWeb follow-on program. GEO CapEx will be limited to ensuring service continuity.

In this context, the group has canceled the procurement of the so-called Flexsat Americas following a review of its business case, resulting in future CapEx savings over EUR 100 million.

Now in terms of financing structure of Eutelsat. The most important thing, on December 31, '25, net debt stood at EUR 1.3 billion, down EUR 1.3 billion as well versus the end of June '25. That is clearly reflecting the net proceeds from the capital increase. As a result, the net debt to adjusted EBITDA ratio stood at 2x as compared to 3.9x at the end of June '25. It will not stay at this level up to the end of the year because of the phasing of CapEx, which is skewed to the second half. The average cost of debt after hedging stood at 4.2%. It was 4.8% in the first half of last year. Weighted average maturity of the group's debt is 2.3 years as compared to 3 years at the end of December '24. We enjoy a great level of liquidity with undrawn credit lines and cash, which stood in total around EUR 2.1 billion.

On this good note, now back to Jean-François to comment the outlook and next steps.

Thank you, Sébastien. On the first half of 2025-'26, clearly, it's been a crucial semester for Eutelsat, most notably with the successful execution of the foundation of the refinancing plan with the success of the EUR 1.5 billion capital raise, that was clearly fully supported by our core shareholders and followed by credit rating upgrades from Moody's, up two notches to Ba3; and Fitch up three notches to BB with stable outlook. Subsequently, as announced, earlier on this, we have secured almost EUR 1 billion Export Credit Agency financing. And our intention is clearly to build on these strongly improved financial fundamentals to undertake the refinancing of our bonds in order to complete the strategic refinancing plan.

In parallel, now I'm going to the next slide. We are taking steps. We have taken steps -- important steps to secure the operational continuity of our LEO constellation. We've procured 341 web satellites on top of the previous order of 100 bringing the total number of new satellites to 440. The availability of these satellites will assure full operational continuity for customers of the constellation that will be progressively replacing early batches of satellites that were coming to an end of life. And moreover, we are having the possibility of taking on board hosted payloads on some of these satellites, opening the possibility for Eutelsat OneWeb to a new type of business development.

Furthermore, we diversified our options for access to space. We have signed a multi-launch agreement for the future launch of LEO satellites starting in 2027 with France launcher MaiaSpace.

Before wrapping up, a quick word on the recent announcement on the transaction to dispose of the passive ground segment. At the end of January, we announced that this transaction will not proceed as all the condition precedents have not been satisfied. In that case, the condition precedent was the approval of the French state. While disappointing the noncompletion of the transaction does not affect our ability to fund the capital expenditure related to our strategic growth trajectory following the refinancing measures that we have undertaken since this announcement.

It has no effect on our financial objectives for the current year with the exception of the net debt to EBITDA, which is now expected to stand at around 2.7x at the end of the year versus the 2.5x previously announced this project would have gone through. On the other hand, the effect on the EBITDA margin is positive to the tune up to roughly 5 points as clearly, we will not be paying the leases of circa EUR 75 million, EUR 80 million per annum that was planned to be paid to the acquirer.

Let's now turn to our financial objectives. The first half performance was in line with expectations, enabling us to confirm our full year '25-'26 objectives. I'm reminding them now. Combined revenues of the 4 operating verticals in line with the levels of '24-'25 with LEO revenues growing by 50% year-on-year, and adjusted EBITDA margin expected slightly below the level of full year of '24-'25. Gross capital expenditure in full year '25-'26 initially expected in a range of EUR 1 billion to EUR 1.1 billion, now expected to around EUR 900 million.

Following the capital increases in December '25 and taking into account the nondisposal of the Ground segment, net debt to EBITDA is estimated at circa 2.7 multiple by end of the year '25-'26, reflecting clearly a robust and self-funded financing structure. Looking further out, Eutelsat demonstrates, I believe, some of the most attractive growth and profitable prospects in the sector with revenues expected in a range between EUR 1.5 billion and EUR 1.7 billion in the end of the full year '28-'29, supported by the strong momentum of LEO revenues, which are significantly outperforming the market. Our operating leverage is expecting to drive to a mid- to high single-digit percentage points of improvement in the EBITDA margin, resulting in a margin of around 65% by '28-'29. In the long term, post full year '28-'29, the B2B connectivity market is expected to pursue its growth, clearly with a double-digit rate driven by the LEO market expansion.

So a few words to sum up. First half revenues once again confirmed the significant momentum in LEO revenues. Our financial situation is significantly reinforced following the capital raise of EUR 1.5 billion and the attention of the EUR 1 billion ECF funding and the operational continuity of OneWeb constellation well assured with the procurement of further 440 LEO satellites. So now with both financing secured and operational continuity assured, we can look forward with confidence as we focus on our growth strategy based on the development of our LEO business.

I'm thanking you very much for your attention, and we are now ready to take your questions.

[Operator Instructions] The next question comes from Aleksander Peterc from Bernstein.

I just have a first a couple on connectivity. Do you expect government to bounce back? We had a bit of a weaker-than-expected revenue in the reported quarter. So I was wondering if this is just due to one-off installation effects and so on. And conversely, on aviation, do you see the strong traction there continuing given your strong backlog numbers and installed planes numbers that you disclosed in the report? So should we be a bit more bold in our estimates for this vertical going forward?

And then secondly, on your debt, do you plan a bond issuance soon? The bond issuance conditions your access to the ECA financing? Is that a near-term event? And once you complete that and you have access to the ECA EUR 1 billion, do you think you have a credible path to investment grade in the medium term?

Alex, it's Joa on the line. So I'll take your first question, and then I'll pass the other questions on to the others. So you're right, there's a slight slowdown in Q2 on government services. I think that the first thing to remember is that in Q4 of last year and Q1 of this year, there was quite a high level of equipment sales in the mix, and this obviously reflects the very strong momentum that we saw in government services throughout financial or calendar year 2025. The fact is that, that mix has been slightly different in the second quarter. But I think I would say 2 things. The first thing is that the -- it's absolutely a good signal to have terminal sales in the mix because obviously, you need to install the terminals so that you can then get the service revenues going. And the other thing I would say is these are long-term businesses. So I wouldn't extrapolate a trend based on the performance of one quarter to another.

I think on your second question, I mean, yes, obviously, we have been making very strong progress on aviation. You can see that the number of installations has gone up as has the backlog of planes. As a reminder, all of these customers are serviced by our distributors, not directly by us. So this means that the distributors who are Intelsat, Gogo, I mean, obviously, they're Panasonic, they're getting momentum in terms of selling the OneWeb service. So yes, it's a positive sign. We knew that once the kind of we got to a certain critical level of global coverage, then it would unblock the pipeline for Aero, and this is what you're beginning to see. I mean how you adjust your forecast is up to you. I would highlight that for the year as a whole, we are not changing our revenue forecast for the group.

And I think your third question about the bond issuance, maybe Sébastien wants to take that.

Look, I think you're right. The last step of the full refinancing of the group after the capital increase, renegotiation with the banks and the setup of the ECA loan is actually to issue some bonds to make sure that we refinance some of the maturities that come in the next years. The only thing we can say is that it's clearly on the radar, and we're in preparation mode. Whenever we are ready, we'll announce that to the market.

As far as investment grade is concerned, I had the first interaction with our rating agencies. Before we anchor ourselves completely in investment grade, I think there are a few steps that have to be followed, in particular, phasing and the way IRIS2 will be financed. I think we first have to answer to this question before we entertain a complete clarity vis-a-vis the rating agencies.

Can I just have a very quick follow-up? You have one expensive bond at 9.75%. Would that be a candidate for an early redemption?

Yes, we are looking at this one in particular with -- in the foreseeable future, yes.

The next question comes from Roshan Ranjit from Deutsche Bank.

I have 3 questions, please and I guess, perhaps related to the first one around government. Interesting that you have canceled the Flexsat Americas satellite. I was just wondering what the kind of reasoning behind that is. If I remember correctly, that satellite was clearly directed over the Americas for activity and government business. So are you perhaps seeing less of a U.S. kind of demand? Clearly, you are seeing strong pickup in Europe. But is there a bit of a softening, as you say, the U.S. side, please? And just added to that, if you could give us -- remind us of the mix of U.S. DoD revenues within your government vertical, that would be helpful.

The second question is on video. And clearly, the headwinds from the Russian sanctions still impact it. But if I adjust for that on my calculations, I think high single digit, perhaps very low kind of double-digit underlying decline in video. Your previous message was kind of a mid-single-digit decline. So should we think the new normal is kind of high single digit for the video business?

And lastly, could you just give us a quick update on IRIS2? I understand that we're supposed to be getting a kind of this rendezvous point in the coming weeks to kind of finalize the numbers and get the ultimate go ahead. Is that still the case?

Maybe I will take -- thank you for your questions. On the Flexsat Americas, I mean, the decision is not linked to the U.S. or to the continent itself, the U.S. continent itself. Now the decision we have taken is linked to the fact that we didn't see a viable business case or at least the return was going much further down the years, 2030s with the Flexsat Americas, simply linked to the fact that we see more LEO constellations coming, and we thought, basically, we would not have a flying business case anymore if I may say so. And that was the main reason why we decided to cancel now on an amicable basis this -- the construction of this GEO satellite. So this is obviously going to avoid a lot of CapEx to us in the very short term for a business case that was more and more shaky. So that's the main reason of this decision.

Maybe I will take the question on the IRIS2, and I will let Joanna tell you a few words about -- on the video and how we see the evolution of our video business. Keep in mind always that on the video business, of course, we can talk about trends, but we have long-term big contracts with a number of different parties. So every year is a bit different. So it's a bit difficult to talk about trends, but I will let Joanna say more on that.

On IRIS2, where are we? So we are, as you know, one of the key, let's say, players in the consortium, SpaceRISE consortium together with SES and Hispasat that have won this concession from Europe. We've been working the full year 2025, calendar year 2025 with actually suppliers and the supply chain in order to solidify the constellation we want to build. We are now entering a so-called -- on level 1 with European Commission. And this semester will be key because this is the moment where we will actually finalize our commitments. I'm talking about the SpaceRISE consortium towards Europe to actually build this constellation, this European constellation further. So we are having a very important semester now in this project. So stay tuned.

Maybe Joanna, a few words on the video.

Yes. So I think -- thanks, Jean-François. So on video, not really a lot more to say. You're right that this year, obviously, is affected by Russia. And I mean, technically, if you remove Russia and recalculate, yes, it gives you a decline, which is a bit higher than mid-single digits. But as you know, because you've been covering the sector for a long time, it can be quite lumpy based on renewals. So again, I wouldn't necessarily extrapolate that into a long-term trend. I think we can probably say that what we've been seeing in the last year or so is a bit higher than mid-single digit underlying.

But -- so your other question, I think, was the mix of U.S. DoD within government. It's now less than 50%, and we expect it to continue to decline as we build up with other governments and obviously, notably the framework agreement with the French DoD, but not only.

The next question comes from Ben Rickett from New Street Research.

I had 2 questions, please. Firstly, in the context of your Flexsat Americas cancellation, I'm just wondering how you think about the long-term viability of your GEO constellation. Do you think you will ever launch a GEO satellite again? And related to that, what level of GEO CapEx should we be expecting going forward?

And then second question, it seems increasingly likely that Germany is going to build its own LEO constellation for their military. I don't know how much interaction you've had with the German government, but I'd be interested in your perspective in why Germany is doing this rather than using the IRIS2 constellation. Are there technical limitations with IRIS2? Or are there other factors?

Thanks very much for your 2 questions. On the GEO satellites in your question, will we ever build new GEO satellites in the future? So first of all, we have one project, one GEO satellite project still live, new GEO satellite with -- together in partnership with Thaicom, so which is a satellite that will fly over Asia. It's a connectivity satellite. So this one, we are feeling very confident, and we are really happy to keep it. We see the business plan still extremely valid over that region.

Let's remind that when we look at our fleet of 34 GEO satellites, we have a big number of video GEO satellites. So these satellites have a long life duration. I believe in the future, we will have to invest in new GEO satellites for video because we have a number of regions where actually video is still -- the video business is still going very well.

I was just saying, we are proud to have re-signed an important contract with Polsat, which is 1 of our 2 large customers in Poland. So there are a number of geographies where actually video is holding very well. I'm not even quoting Africa, where we have Canal+, MultiChoice as big customers. MENA, where you have seen we have renewed the contract with beIN. Our 7, 8 West position is a very strong one over MENA.

So some of these satellites will, at some point, come to an end of life, but that will be post 2035, more in the '35 -- 2035-2040 region. So probably in a few years, we will need to look at the evolution of our GEO satellites, take decisions.

Not much I can say now because, I mean, these GEO satellites can be also moved from one place to another place. So all of this is basically going to be looked at carefully. In the very short term, I mean, in the foreseeable short term, there is no such project, but for sure, in the future, there will be additional investments in GEO satellite. That's the first question.

The second question about the public announcements of Germany. So just to put back these things in their context, first of all, there are announcements. We are taking them, obviously, very seriously. There are announcements from the German Bundeswehr, so the German MoD wishing to build its own military-grade LEO constellation.

Obviously, we are in touch with Germany at multiple level. The reading and the reason why this project came to see the light, I think, it should be more asked to the Germans. We have obviously our ideas. One of them could be that they were expecting a very late arrival of IRIS2. And believe me, we are working very hard to have IRIS2 coming and becoming live in 2030 as was initially explained. So that's the only thing that I want to say.

I take the opportunity that you are all here to say that what I'm advocating, we had a press conference this morning, and it's not the first time I'm saying it. Basically, personally, I believe that this is one of the pitfalls or one of the traps that Europe could have, is to fragment and that each country. And we understand that Europe is 27 countries, with 20 sovereign countries -- 27 sovereign countries, and there is always the temptation to build your own national object.

But looking at the size and the complexity of building a LEO constellation, I remind, OneWeb, $7 billion invested since the beginning of the project in 2015, 7 years before OneWeb became really operational, and we could start to sell services over this constellation. So I believe, for Europe, that would be a trap, that would be a pity that Europe would fragment and that some of the countries would build their own constellation. I mean nonetheless, obviously, we are respecting the sovereignty of Germany and whatever decision they will take, but we are clearly advocating and trying to convince the Germans not to go that way.

[Operator Instructions] The next question comes from Stéphane Beyazian from ODDO BHF.

Just a follow-up on the discussion about Germany, and perhaps I could add Italy as well. I mean if these 2 countries were to decide to build their own constellation, I would suspect that this probably changes your guidance for revenues coming from IRIS2 and possibly the return on investment. So yes, I was just wondering to what extent these 2 countries are important in the calculations that have been made about future revenues coming from IRIS2.

And second question, I was just wondering if -- obviously, without revealing anything that could be confidential. But is there any major or big contract tender that is ongoing and which is public? I was thinking about the SNCF, which I think is looking for a provider of connectivity. Any update there? I mean any other major contracts that could be coming up and that is publicly known?

So just on your first question, it's much too early to answer to this question, obviously, but just -- I mean, because, again, I'm insisting, I mean, these are announcements. There is nothing concrete at this stage. Takes very long time to build a constellation. Let's never forget that this constellation, whether it's ours, whether it's IRIS2, are worldwide constellations. Low orbit satellites are flying by construction all over the earth, meaning that the economic model of this constellation cannot be standing on just one region. The economic model of OneWeb, the economic model of this constellation are worldwide.

Just a few numbers, they are facts. The French -- the turnover of Eutelsat in France, France represents 7% of our turnover. Full Europe represents 27%, out of my memory, of the total turnover of the group. So I mean, of course, I mean, Germany is an important country, no discussion. Italy is at the same -- I mean, evenly a very important country in Europe, no discussions. But again, I mean, the revenue expectations and the business case we are having post 2030 linked to IRIS2 are also based clearly on international revenues in many other countries than just European countries.

I remind that, as we speak, OneWeb is opened and we can sell in 180 countries across the world, not to name maritime, not to name planes, aero. So again, too early to make any statements about that. And we are working extremely hard and very focused on the Eutelsat side on making IRIS2 a success.

Your last question, SNCF. Yes, obviously, we are in discussions with SNCF. Much too early to say. I mean SNCF is still in the process of, let's say, preparing their RFP. They have announced it. I believe there will be an RFP somewhere this year on basically the equipment of the French trains.

Allow me also to give you an update on our NEXUS contract. We had a bit of, let's say, late start of the revenues in this contract simply because, as you have probably seen, France was having difficulties to finalize the budget for the country. The good news is that this has been now finalized 2 weeks ago. So that will also allow the French MoD to really take actions now. We've been working very closely with them since the announce of this frame contract since summer last year. We have things in the pipe, and hopefully, we'll be able to make some announcements in the second semester that has already engaged because now that the French Army has a budget, I mean, they will be capable of taking some actions and taking -- sorry, and signing purchase orders basically, which is what we expect now.

And I have a third question. Do you think it's possible?

Yes.

My third question is do you see any area for possible diversification? I'm thinking about earth observation or data analytics. And I would stretch the question to something that is probably a little bit different and more CapEx intensive. There's been a lot of talks also about computing in space. Anything, any color you could provide on that?

Thank you for your question. It's an excellent question. The first -- so we are not going to go into space observation. This is too far from our current business, although, I mean, it's -- actually, I understand why you think about that.

There are 2 things we could quote now: one -- the first one because this is very concrete and this is very material. This is hosted payloads. In the satellites we have purchased to Airbus, 340 satellites, we have actually built an option on these satellites to embark what we call hosted payloads. So this is some, let's say, physical space we have on these satellites.

Well, for those of you in the call, which are not familiar, I mean, the size of this OneWeb satellites are the size of, let's say, a big refrigerator or a big washing machine, something like that. We have actually some space that allows us to take an additional payload. So -- and what we would provide to these payload is basically electricity coming from our solar panels and batteries and a little bit of connectivity so that we could have people indeed doing earth observation or some kind of monitoring or whatever payload, scientific payload, military payloads. We can plug them in the space, in our satellite and take them with us in space and fly them with us.

So these are -- this is really a new business in which we believe because this is win-win. This is, for us, the possibility to open a new stream of business. And this is for parties, which are having projects to put in space some specific missions and could not do it because it's very expensive to build a platform, to build a satellite. It's very expensive to launch a satellite. It's very expensive to maintain a satellite, to operate a satellite fleet. So that's a win-win. It's a new business line that we have opened with these 340 satellites that we are now marketing, selling to a number of space and new space actors across the globe. And I hope, without revealing anything, that we can have some announcements in the first semester. That's the first thing.

The second thing, although it's very early to say, I mean, obviously, the deal with EQT that has been halted has been actually showing -- I mean, putting an eye on the ground assets of Eutelsat. These assets used to be seen as technical assets and operational assets in the past. Through the deal, we have prepared with EQT -- I mean, it became very clear that this asset could be a bit sweated. So we could derive some business from these assets.

So clearly, now that the deal has been halted, these assets are still ours, obviously. We have started some kind of carve-out. So we are going to look, obviously, at the possibility to monetize a bit more these assets. So this is, I would say, the second direction. I want to pinpoint on what additional businesses could we -- aside our core business, could we start to launch basically.

So -- and we have other projects in the cupboards, but I want to stay there for now because these projects are much too -- at a much too early phase. But we are seeing actually innovation and business development as also a key potential direction for the future.

And what about the orbital data centers? Anything on that? Or that's part of what you don't want to comment too much today?

No, we -- I mean, we've obviously seen and read like everyone the starting projects on this area. I mean, at this stage, we have no such projects at Eutelsat.

There are no more questions at this time, so I hand the conference back to the speakers to conclude the call.

So thank you very much for your questions. Again, first half results confirming the momentum in LEO revenue. Our financial situation significantly reinforced capital raise of EUR 1.5 billion, ECA of EUR 1 billion. More to come as you understood today on the bond side, operational continuity of the constellation on the way with the order of 440 satellites. So now financing secured, operation continuity assured. We are looking forward to the future with confidence and we are focusing on our growth strategy based on the development of the OneWeb LEO constellation. Thank you very much, ladies and gentlemen.

This concludes the call. You may now disconnect.

Hello, everyone. I would like to greet you and welcome you here to our combined meeting, our General Shareholders' Meeting. I am Eric Labaye, President of the Board of Directors of Eutelsat Communications, and I'm here with Jean-Francois Fallacher, General Manager; Anne Carron, General Secretary and Human Resource Director; and Christophe Caudrelier, Financial Director.

Also here with us in the room among the members of the Board, and I would like to thank them for being here. We have Guillemette Kreis, who is the permanent representative of the French State; Lucia Sinapi-Thomas; Padraig McCarthy; Florence Parly; Agnes Audier, who represents the FSP. We also have [indiscernible] Erwan Candau, who represents Forvis Mazars as a member of the Auditors College Company. Absent and Excused is Nicolas Marseille, who represents Ernst & Young, who is also a member of the auditors college. And finally, here with us today is Piotr Dmochowski-Lipski, who is the Executive Secretary of Eutelsat IGO and representatives of the CSE, the Works Council for the company.

And now, as the law calls for, we will be calling on the election of the members of the Board. So, we will be voting on Bharti Space Limited. It has 114,472,331 voting rights and the French State through the Agence des Participations de l’Etat, which has 64,586,426 voting rights. So I would like to suggest that [indiscernible] representative of Bharti Space Limited and Boris Hauptmann through the French Agence des Participation to please join me here. They will join me here for the voting process.

And I would like to ask them if they would agree to designate Anne Carron, General Secretary and Human Resources Manager to be in-charge of this voting process today.

And now I turn to the Assembly's Secretary to see if she can announce a quorum and remind us of the legal formalities. Thank you very much, Mr. Chairman. The shareholders have signed the presence sheet or have named their proxies. And among those who are present and those who have sent in their proxy votes, we do have a quorum, the minimum quorum of 20%. As this has been attained, so we can now deliberate for the ordinary and extraordinary general meeting.

So we can now vote on the resolution. This meeting has been called by the Board of Directors and all of the legal formalities have been carried out. And we can, therefore, Mr. Chairman, go ahead with our agenda, which had previously been sent out to all of those attending the meeting today. So I suggest that we can talk about also certain items that have been withdrawn from the agenda given recent events. All of the information has been made available to the shareholders either at the company headquarters or on the Internet site. Everything was sent to -- any further information that was requested by shareholders has been sent to them.

Madam Secretary, thank you. I am happy to announce that a major event that recently took place has changed the agenda for this assembly today. This is the launching of the capital increase, which is a first stage in a global financial strategy, which will make our Group more solid financially. I would like to remind you that the general assembly held on the 30th of September of this year voted in favor of this operation. On the basis of this decision, the Board, which met on the 18th of November, authorized the launch for an amount of EUR 828 million at a price of EUR 4 per share subscribed by the French State, Bharti Space Limited, the British government, CMA CGM participations and Le Fonds Strategique de Participations.

This operation of capital increase is now being carried out in accordance with the approved delegations as provided for by the 30th September assembly and without any recourse to setting off against debts has -- had previously been envisioned. This decision -- so here, we have resolutions 36 to 45, which were included in the agenda to enable us to carry out this increase, and they have been removed from the agenda because they are superseded by the Board's decision on the 18th of November. So they will not be submitted to vote.

So finally, with regard to maintaining the preferential subscription rights for an amount of EUR 672 million, this has not yet been studied by the Board. And so as specified in the Board's report, the 34th resolution regarding canceling the reduction of capital with regard to losses authorized on the 30th of September could be removed from the agenda, in particular, with regard to the increase of capital with preferred subscription rights. So this 34th resolution is no longer necessary and has been removed from the agenda and will not be voted on today.

Now let us look at the amended agenda. First of all, the Board will be making a presentation about Eutelsat Communications, what we have achieved as of 30th June 2025. Jean-Francois Fallacher, the General Manager, will talk about 2024, 2025 perspectives, and this is points 1 to 3. Then, Christophe Caudrelier will talk about the financial performance of the company. This is Item 2 on the agenda. I will be giving you a report on management and governance of the company. Florence Parly, who is in-charge of the Remuneration Committee, will talk about remuneration and social mandates. And, [indiscernible], who is in-charge of corporate and social responsibility, will discuss these subjects.

And Item 6, Mr. Erwan Candau, representing the College of Auditors, will then present the reports on the accounts for this fiscal period and the project for -- drafts of resolutions, this is Item 7. The different documents regarding these reports have been made available to the shareholders at headquarters and on the Internet side of the company, and we will be giving you a summary rather than reading the whole thing out. Then we will continue with a session of question and answers. This is Item #8. And finally, we will be voting on the resolutions submitted for your approval. This is Item 9.

So Jean-Francois, let's move then on to point 1.

Hello, everyone. Thank you, dear Chairman. Thank you, Eric. So let's start with some of the main events of this year, which was a very important year for us. We had an excellent performance, meeting our expectations because our sales were up to EUR 1,244 billion, and that is an increase of 1.6% in comparable data for operational segments contributed to this at about EUR 1, 226 billion. This is up 0.8% in comparable data. Our LEO segment also Low Orbit, OneWeb also had a growth in sales that was significant because it was more than 80% with regard to the previous year. And this also shows that this is now 15% of our overall sales for the Group. So you can see this is significant growth, substantial growth, and we will be needing more capacity in low orbit and this in all segments.

During the year, we provided satellite capacity in Ukraine. We also signed key agreements with European institutions, in particular, a framework agreement with the French Ministry of the Army, very important contract, EUR 1 billion over 10 years and also with the Foreign Affairs Ministry of the Commonwealth. And they will be working with OneWeb. These different phases clearly show the growing role that we have as a partner with regard to sovereign infrastructure in Europe. And as our Chairman just said, we announced a capital increase at about EUR 1.5 billion, and this will support our strategic road map in the long term.

This initiative supported by all of the main shareholders, including the French State and the British government, and this should be as well as the other important shareholders, FSP, CGM, Bharti. This supports our long-term strategy, and it should be completed by the end of the current year 2025. This financing will shore up our financial structure, and it will also help us to decrease our debt and open up capacity for investment to support the expansion and the growth of our LEO network and also to help us to play a major role in the future of IRIS, the European -- IRIS², the European project. At the same time, we are carrying out a complementary refinancing plan in order to improve our debt position and our financial flexibility.

So let's go on to the next slide. Here, you can see our key financial data. You can see that on this table, all of the data are for comparable data that is with equivalent parameters and exchange rates. So for 2025, 2026, you can see we're looking at for operational activities that contributed over EUR 1,226 billion, up 0.8%. And we have for LEO, EUR 187 million, up 84.1%, thanks to dynamic growth. EBITDA adjusted is EUR 676.2 million as of 30 June, it's very stable. And the adjusted EBITDA is about 54.2%. Investments reached EUR 450 million, which is lower than last year because of the phasing and renewal of the Low Orbit constellation, which will be carried out in the coming years. The net debt-to-EBITDA ratio is at 3.88.

As I said, these results are in accordance with our projections and our objectives, and we should have a similar level with an EBITDA margin adjusted that is slightly lower than last year's. Now let's look at the main segments of activity. You can see that Video is an important part of our business at 50% of sales, EUR 608 million, down 6.5%. Fixed Connectivity represents 20% of the total group sales. It increased to 4.3% and last year reached EUR 247 million. Government Services, which represents 17% of sales were at EUR 211 million, up 24%. As for Mobile Connectivity, we see that this figure has been stable since last year. Other revenues are at about EUR 17.5 million with a positive variation of EUR 14 million, which comes in particular from -- revenues from IRIS², which we are continuing to work on with the EU Commission.

So let's focus, first of all, on our Video business, which, as I said, is very important. Sales, as you can see here, were EUR 608 million, down 6.5%. This reflects the maturity of this historic activity of ours, our legacy activity. But the hotspots continue to attract broadcasters in particular, through the HOTBIRD pole. And we have increased our capacity, working with a long-term partner, the Swiss Group, SRG – SSR SRG. And we're also working with wedotv, a worldwide broadcaster for television streaming services. And we also signed an agreement on streaming for several non-coated chains with the HOTBIRD constellation.

In the fourth quarter, sales for Video were EUR 147 million, once again, down 6.8% compared to the last quarter of last year, but it remains stable with regard to the third quarter. As we said recently, Eutelsat has withdrawn several other Russian channels from its fleet to follow the latest Arcom directive to the French Regulatory Authority for Audiovisual and Digital Communication. And the impact on revenues from this removal is estimated at around EUR 16 million, a similar amount in terms of EBITDA for the financial year '25, '26.

I'd like now turn to fixed connectivity. So for 2024, 2025, fixed connectivity revenue was at EUR 247 million, up 4.3%. This change mainly reflects the continued growth of LEO solutions. And on the other hand, more difficult conditions for solutions with GEO technology notably with the discontinuation of TIMs revenue recognition on KONNECT-VHTS. Fourth quarter revenues amounted to EUR 69 million, so down compared with last year. And that is because of catch-up revenues that boosted the fourth quarter of fiscal year 2024. It was up 20.9% compared to the previous year, mainly driven by our LEO solutions. Amongst recent commercial successes, we've had a contract with Orange on the LEO segment, enabling Orange to strengthen its portfolio of satellite solutions with Eutelsat's LEO connectivity solutions to meet its needs where it is present.

Let's now have a look at revenues from Government Services. These revenues amounted to EUR 211 million, so plus 24% strong increase compared with last year. This reflects the growth in LEO solutions, particularly with services provided in Ukraine and increased demand from other non-U.S. governments such as countries like Taiwan. Fourth quarter revenues amounted to EUR 65 million, so a strong increase, plus 41% compared to the previous year. And in June 2025, we signed, as I said earlier, a very important key framework agreement with the Ministry of the French Armed Forces. It is called the NEXUS program, and this is going to help us reinforce our approach in terms of space communication. And that will help combining military resources and civilian capabilities.

In addition, we also recently signed, as I said earlier, a contract with the U.K. FCDO. This will provide low latency broadband connectivity to British embassies, high commissions and consulates everywhere in the world as well as British government activities worldwide. We've also signed recently a contract extension with a company called MBS, it's a German firm that is very important to us because it provides OneWeb services to government and institutional customers in Europe.

If we turn to revenues related to Mobile Connectivity now for fiscal year '24, '25, they amounted to EUR 116 million. As you can see here on the graph, they are stable compared with last year. This reflects growing demand for LEO solutions, particularly partially offset by lower GEO revenues. We are quite proud to have signed an agreement with the Indian company Station Satcom that's going to buy services from us for the global maritime sector. In this field, in mobility, air mobility is also gaining a lot of momentum to equip private aircrafts or major airlines, and we have more than 1,200 aircrafts in our backlog, thanks to our partners like Air Canada and Delta Airlines in the U.S.

Thank you for your attention. And I would now like to hand over to Christophe Caudrelier, who is our CFO, and he will give you a presentation of our financial performance.

Thank you, Jean-Francois. Hello, everyone. Let's start with profitability. Adjusted EBITDA amounted to EUR 676.2 million as of June 30, 2025, compared to EUR 718.9 million a year earlier, so a decline of 5.9%. This difference is explained by the absence of OneWeb, the first -- in quarter of fiscal year 2024. On a like-for-like basis, adjusted EBITDA remained stable. Adjusted EBITDA margin was 54.2% at constant exchange rates, 54.4% reported compared to 55% a year later -- a year earlier, sorry, and 59.3% reported. Operating expenses have gone up '23, '24. On a pro forma basis, costs have increased by 2.5%, reflecting the LEO activities.

So this impact was offset by synergies, thanks to OneWeb and by a strict measures to control cost, including the implementation of one team. The net result translated into a loss of EUR 1,081.9 million against EUR 309.9 million a year earlier. This can be explained by EUR 777 million in operating expenses compared to EUR 208.2 million last year. It includes a loss of value of goodwill of EUR 535 million for GEO assets, the first quarter as well as a loss of value linked to the satellites amounting to EUR 186 million.

And in terms of amortization, EUR 8.3 million against EUR 702.1 million a year earlier because of the OneWeb scope and the commissioning of EUTELSAT 36D as well as 20 LEO satellites during the first quarter. This is partially offset by a decrease of the GEO assets on the ground. The net financial result of minus EUR 201 million against minus EUR 123.9 million reflects mainly the developments in terms of exchange rates and an increase of interest rates.

Corporate tax went up EUR 6.7 million against EUR 28.3 million a year earlier, reflecting the non-acknowledgment of deferred taxes. And lastly, a loss of EUR 2.4 million of -- in terms of corporate results against EUR 22.8 million the previous year reflects the contribution of the participation of OneWeb, which is now consolidated. Capital investment expenses should go up, go from EUR 1 million to EUR 1.1 billion, thanks to investment expenses for the LEO satellites on the ground as well as the phasing out of other investments in the framework of the LEO constellation.

Investment expenses should go up for '25, '26 and reach -- and thus reached EUR 1.1 billion, reflecting key steps like the order of a first batch of 100 extra satellites in December '24 and 340 extra satellites for the LEO constellation. Investment expenses will remain focused on LEO activities in line with the strategic vision of the Group, mainly for the Gen 1 program. And there will be a continuity in services. Let's have a look at debt now. EUR 2,726.6 million, that's the financial debt, up EUR 82.2 million compared with June '24 because of an increase of financial costs and new movements linked to investment expenses and also because of the IFRS 5 standard regarding the ground infrastructures. So the debt net ratio is 3.88x against 3.79x at the end of June '24.

The average cost of debt after hedging is 4.37% against 4.87% for the financial year '23-'24. This decrease reflects the reduction of short-term interests indexed on variable rates and the swap portfolio of currencies. The weighted average duration of the debt is 2.5 years against 3.5 years at the end of June at around EUR 1.07 billion.

I'd like to now give the floor back to Jean-Francois, who's going to talk about the next steps. Thank you, Christophe.

Ladies and gentlemen, shareholders, I'd like to give you an overview of the first quarter. As you can see here, we see the revenue per segment. So Video accounts were almost half of the revenue, minus 10.5%. Now for the fixed connectivity, revenue represents 22% of the total of the Group, this figure went up 15.9% to reach EUR 62 million. Governmental Services now represent 19% of the revenue and are now at EUR 52 million, so it's an increase of 18.5%. Turnover for Mobile Connectivity accounts for 12% of the total revenue of the Group at EUR 35 million, so a drop of 12%.

I would like to talk about the backlog of the company, which is important at EUR 3.5 billion, so comparable to the level at the end of June 2025. And this EUR 3.5 billion are equivalent to 2.8x the turnover of financial year '24, '25. What's interesting to see here on this graph is that connectivity contributes up to 58% of the total of this backlog, which is quite important for the company. So Video is going to decrease to the profit of connectivity.

Let's now talk about the prospects of the company and a few key elements that I would like to remind you and that we presented to you on a few occasions. I'm talking about the growth of the B2B satellite connectivity market here. You see that this market is buoyant with 12% per year growth expected until 2029 and expected to more than double by 2033. Almost all of this growth, as you can see here on the graph, the blue -- dark blue part is going to increase significantly, 20% per year until 2025 and will increase almost fivefold its weight. So the LEO technology is no longer an emerging technology, but it's a technology that, thanks to its – low-latency can be rapidly rolled out and is a telecommunication solution on the market where there were few that were available.

I also wanted to add that we are seeing particular interest in Government Services today, and we are one of only two operators in the world providing LEO connectivity, low orbit. We're the only non-U.S. company, of course. And as mentioned earlier, Eutelsat's strategic importance has recently been highlighted by several contracts. And the most significant one is a framework agreement signed with the French Ministry of the Armed Forces called French NEXUS, which will provide low orbit satellite services and capabilities.

We also signed an important contract with the U.K. Foreign Commonwealth and Development Ministry, but I already mentioned that. They will use these services to connect all sites around the world. And we also extended this very important contract with MBS. It's a very, very important player in terms of LEO capacity in Europe. Let me now talk about our capital increase project, EUR 1.5 billion. On September 30, this capital increase operation, a 2-stage operation was approved by this general meeting by the shareholders of Eutelsat. We are continuing to implement this operation with completion still targeted for the fourth calendar quarter.

And as you were informed, as our Chairman explained, you were informed in a press release published on November 18, and it's an important step, an important milestone that was reached because we got the approval of the launch of the Capital Increase Reserve by the Board of Directors. The main features of this operation are explained here. The first tranche is reserved for the 5 reference shareholders and the second tranche will be open to individual investors. The subscription terms will be announced when the offering is launched. The capital increase is once again the first milestone of a broader comprehensive strategy. And this way, we'll be able to cover our strategic plan through fiscal year '28, '29.

As you can see on this slide here, we have a structured investment plan so that we can seize the opportunities, thanks to the growth and dynamism of this LEO connectivity market. And to carry out this ambitious strategy, the company has put in place a financing plan with the announced EUR 1.5 billion capital increase and this is its cornerstone. Thanks to this, we will strengthen our balance sheet, reduce our debt level to around 2.5x by the end of 2026, and we want to clearly improve our credit profile to facilitate access to additional sources of financing such as bond markets and ECA financing. All of these elements will be key to roll out our investment plan for 2026, 2029. And this will help continuous improvement in operation -- operating cash flow from LEO activities.

Thanks to the strong support of a powerful group of existing shareholders, who are already a part of the capital of Eutelsat, this equity fundraising provides the company with the necessary foundation to implement its strategy and can confidently adopt a long-term self-financing model.

The performance that we have seen in the first quarter of 2025, '26 comply with the objectives that we had set for the ongoing financial period. The sales for four operational activities are at similar levels to what we saw in the previous year. Sales from the low orbit activities are up 50% with regard to the previous fiscal year. And the EBITDA margin, as we said, will be a bit lower than 2024, '25. Investment expenses will be within a range of EUR 1 billion and EUR 1.5 billion. This is following orders from the low orbit orders for satellite constellations, which will be arriving in 2026.

With regard to the capital increase project announced in June 2025 and which should be finalized by the end of this year, 2025, the ratio of net debt over EBITDA adjusted will be extended to 2.5x by the end of 2025, '26 financial year or financial period. Our objectives in the long term, which you see on this slide have also been confirmed. You can see that we're expecting a strong growth in our revenues. Revenue should grow because our low-orbit activity will be increasing and will compensate for the decrease in our legacy activities, our geostationary activities, which you see continuing to slope off.

We're expecting increased growth and increased revenue for the period 2029. We're looking at EUR 1.7 billion, in particular, revenue coming from the low orbit activities, which are leaders in the market. Thanks to the operational levers, the EBITDA margin should advance at a rate somewhere in the middle of the range with a margin that would be at least 60% by 2028, 2029. In the even longer term, that is after 2028, '29, the market of B2B connectivity will certainly continue its growth. As you've seen on the previous slides, this is a 2-figure growth rate, thanks to our low orbit satellites.

And so to sum up for this vision of the future and in the long term, Eutelsat has seen a strong growth in low orbit revenue, thanks to worldwide demand, which is significant and lasting. We have a unique position because we are the European leader in low-orbit connectivity in a changing geopolitical environment, but which is favorable to us because we are the only ones who are not American. We are European sovereign. We have managed to achieve significant progress facing our operational challenges, and we are well on our way to offering a complete worldwide service by 2026.

General management is really focusing on growth drivers with the objective to achieve EUR 1.5 billion or EUR 1.7 billion in revenues by 2028, 2029 with an EBITDA margin of 60%. Financing has been secured, as you've understood, thanks to the solid support of our main shareholders for raising money. Well, and this clearly sets the stage for the financial strategy for the period 2026, '29.

Thank you very much for your attention. And now I give the floor back to our Chairman, Eric Labaye.

Thank you very much, Jean-Francois. Thank you, Christophe, for shedding all this light on our performance and our development, as Eutelsat Communications. As the President of the Board or the Chairman of the Board, I would like to take this opportunity to talk about the -- how we prepare and organize the works of the Board and the works of this committee. And I would like to look at the governance report, which is integrated in the Universal Registration Document, which is available at company headquarters and on the Internet site.

I would like to focus on certain points here. First of all, I would like to come back to recent changes in our governance and the perspectives that are opening up. In 2024, 2025, we had an important transition in general management, and I would like to welcome Eva Berneke as General Manager. She finished her work last spring. She had been committed and she was -- played a key role in bringing OneWeb within the structure of IRIS².

Since the 1st of June, Jean-François Fallacher has been acting as the General Manager. He has expertise in telecommunications and international experience, which are major advantages for leading the transformation of our Group. He's been working hard since he arrived as you've seen today. The Board today has 10 members. We have diverse profiles and very complementary skills that are essential for making our strategy successful. On August 4, I was honored to join the Board, and I was named the Chairman succeeding Dominique D’Hinnin, who had told us last February that he would not be seeking a renewed mandate.

I would like to thank him and pay tribute to his determining role in our Group strategy, in particular, the merging with OneWeb and reinforcing our position in sovereign connectivity. This past fiscal year was marked by this significant transformation in our governance as several Board members left their functions, and I would like to thank them for all that they have contributed. And as these people left, we have named new members, Guillemette Kreis, who joined us as the representative of the state via APE, which has succeeded Bpifrance Participations in this company's capital after acquiring [Actions] on July 3, 2025. Lucia Sinapi-Thomas is an independent administrator and finally Ramon Fernandez was named as the representative of CMA CGM.

I would like to underscore that these members of the Board represent a wealth of experience and expertise illustrated by their -- As we see in the Universal Registration Document, they have expertise in telecommunications, finance, governance, public affairs, sustainability and transformation towards the digital world. So we now have a new mandate for Bharti Space Limited. We have a new mandate for Florence Parly. And my mandate also has been renewed as of last September 30.

Concerning the council's works during the fiscal year 2024, '25, the council met 10 times with an attendance rate of 93.28%. The Audit Committee met 12 times, the Nominations and Governance Committee met 6 times. The Remuneration Committee met 5 times. The Corporate and Social Responsibility Committee met twice and the Strategic Committee once. As you can see, the councils and committees have been working on the classic topics of governance, annual accounts, budgets, medium- and long-term planning, remuneration policies and also major strategy topics, looking at financing the Group, carving out infrastructures, buying extra satellites, participating in IRIS², what's at stake with cybersecurity and compliance and also projects for capital increase. These works illustrate how deeply the council is committed along with its committee to assuring the financial solidity and the smooth transformation of the Group.

Now let's talk a bit about the shareholding. In the context of the EUR 1.5 billion capital increase, the first tranche, EUR 828 million was reserved for 5 reference shareholders who have confirmed their engagement. We now have the French State through the Agence des participations de l’Etat (APE), which holds 26.65% of the capital, Bharti Space Limited holds 17.88%, the government of the United Kingdom 10.89%, CMA CGM participations 7.46% and the Fonds Stratégique de Participations (FSP) 4.99%. This new composition of the capital is accompanied by the will to reinforce the efficiency of the Board, and this has meant that we have fewer Board members. We have a better balance of men and women, and we have a better representative of reference shareholders.

We now have 12 members, including 5 women. We have 6 administrators representing shareholders having more than 10% of the capital, the state via APE, Bharti Space Limited and the U.K. The representation of the state will now be 3 members in addition to Guillemette Kreis, we will have 2 new administrators, whose the nomination was approved on the 30th of September and will become effective at the end of the Reserved Capital Increase. Jean-Baptiste Massignon, who is here today with us, is well recognized for his expertise in governance, finance and sustainability. He was a former student at the French E&A. He was General Secretary of Capgemini and today works at the AMF, the French Market Authority.

Jeremie Gue is an experienced legal expert specializing in banking law and public investment. He is directing the legal pool of the APE French Agency and has contributed to projects such as Bpifrance. We have 6 independent administrators as well in compliance with the AFEP-MEDEF Code. And these are independent representatives proposed by shareholders having less than 10% of the capital, CMA CGM and FSP, and they meet the criteria for independence. I would like to also say that the 6 members, they will do the governance, and the corporate and social responsibility committees have emerged. This is strategic and representative, the composition of the body of administrators, ensuring the transparency and the commitment of all members.

And now I would like to give the floor to Florence Parly, who will be talking about remuneration.

Thank you very much. The context of 2025 and the perspectives that we see before us with regard to the upcoming capital increase has been discussed by our Chairman and General Managers, so I won't come back to that, except to underscore that we are strongly committed. All of our teams are strongly committed to the success of this project.

And now I would like to come back to the remuneration that we will be presenting to you today. This is the continuation of last November's meeting and the decisions that were made there. The year was marked, as we've said, of the new General Manager, Jean-Francois Fallacher, who began his work in -- on the 1st of June. So we'll be talking about that presenting his remuneration for approval, and we will see appreciation of the performances of the former General Manager, Eva Berneke, and we will be looking at management and the objectives set for 2025, and we will look at management following the merger and the first results following the implementation of the strategic road map for the Group.

So to introduce the subject, I would like to talk about our policy for remuneration within the company, where there's a triple objective. First of all, to attract, retain and motivate the management team. Secondly, to align the interests of the directors with those of the shareholders, in particular with regard to creation of value and working with other stakeholders, in particular with return -- with regard to social -- corporate and social responsibility. And finally, we want to take into account the specificity of Eutelsat, in particular, the high capital intensity, its high-tech environment, the long duration of its investment cycles and the long term, which represents the most important component of the global envelope for remuneration and this in the context of a high competition, which, of course, is underscored by the international dimension of our activities.

One of the main characteristics of our policy for remuneration and it's strong alignment with the criteria of performance for the company is, therefore, the interest of the shareholders. Indeed, variable annual remuneration and long-term variable remuneration represent more than 2/3 of the theoretical remuneration and are determined at 100% by performance criteria. Annual variable remuneration is a reward for the performance during the fiscal exercise. This targets, in particular, the attainment of financial objectives and incites the managers to go beyond these objectives. It will be based for 2026 for 85% on quantitative objectives that is the same ratio as last year.

Long-term variable remuneration is based on maximizing creation of value in the medium term, that is a 3-year horizon, aligning the interest of the management team with the strategic plan, reflecting our medium-term ambitions with regard to corporate social responsibility and retaining management. In order to reinforce the alignment of the interest of general management with the shareholders' interests as the law calls for, executive directors have the obligation to hold on to their actions to an equivalent of 200% of their set annual remuneration during their term of office.

Before we look at the analysis of the amounts due to the administrators and directors at the end of the current fiscal year and the policy for remuneration, which will be submitted to your vote, I would like to remind you that you can also find all of this information in detail in the Universal Registration Document for 2025 -- '24, '25, which is available on the Internet site of your Group.

So let's start with looking at the remuneration for the Chairman of the Council, which is made of presence fees for a total amount of EUR 343,000; EUR 260,000 for the fixed part; EUR 40,000 for the variable share linked to participating in council meetings and EUR 43,000 linked to participation in committees. It was -- we talked about this a moment ago in terms of the activities of your council members for 2024, '25. There were 36 meetings of the Board and its various committees as compared to 41 during the previous year.

Now I'd like to talk about the remuneration for 2025 for Eva Berneke, who worked as General Manager until the 31st of May 2025. First of all, I would like to specify that everything that is presented here was calculated pro rata for the duration of the time that Madam Berneke was in the company, 11 out of 12 months for last year and Jean-Francois Fallacher was present 1 month out of 12 during the current fiscal year.

Regarding the fixed remuneration now, as I mentioned, it was EUR 170,833 pro rata and the variable remuneration, same amount since 100% of the goals were achieved. In addition, the General Meeting of November 23, 2023, approved the principle of exceptional compensation to reward the success of key strategic projects for the company and strengthen alignment with shareholder interests. This compensation took the form of shares divided into 3 yearly tranches subject to performance and attendance conditions tested at the end of each fiscal year.

Following Mrs. Berneke’s departure and giving the proximity of the end of the period for assessing the acquisition performance criteria and the need to organize an orderly transition with the company's new CEO, the Board of Directors decided to waive the attendance requirement for the second tranche, which was recalculated on a pro rata basis for the actual time spent in attendance during the 2025 financial year, i.e., 74,421 shares are remaining to be allocated based on performance. The objectives for this tranche were achieved at 74.5%, representing 55,444 shares corresponding to a value of EUR 203 million, the allocation price being set on November 23, ['23] to EUR 3.67. The final allocation of the second tranche remains subject to the approval of this general meeting, of course.

Similarly, the Board of Directors has decided to waive the attendance requirement for the November 2022 performance share plan, which has been recalculated on a pro rata basis according to actual attendance, i.e., 81,675 shares remaining to be allocated based on performance criteria. The objectives of this plan were achieved at 66.7%, representing 54,477 shares corresponding to a value of EUR 451,614 at the allocation price set on November 10, 2022, at EUR 8.29. Once again, the final allocation of this plan remains subject to the approval of this general meeting.

In addition and in accordance with the compensation policy that you approved, the Board of Directors has recognized Eva Berneke’s right to severance pay equivalent to 18 months of fixed and variable compensation received over the last 12 months. Pursuant to recommendations of the AFEP-MEDEF Code, this amount is adjusted according to the average performance rates recorded over the last 3 financial years. Similarly, the total amount of this compensation may not exceed 2 years remuneration, fixed and variable.

As Eva Berneke has received over the last 12 months, EUR 1,971,840 and the average performance rate being 115.1%, the gross amount of the severance pay to be paid is EUR 3,404,382 subject to the approval of the general meeting. Finally, as the attendance requirements were not met, Mrs. Berneke lost the rights attached to the allocation plan voted on at the previous general meeting on November 21, 2024. All information relating to this remuneration as well as the tables required by the AMF are included in the Universal Registration Document.

Regarding the remuneration to Jean-Francois Fallacher, new CEO for the 2025 financial year. It includes 1 month salary and a target bonus equivalent to 1 month salary for the 2025 financial year. So fixed remuneration is EUR 79,167 and variable remuneration EUR 85,555. And you can find all of this information in the Universal Registration Document. That takes me to the remuneration -- the compensation of the CEO for '25, '26. And as an introduction, I would like to say that the structure of compensation is in line with our compensation policy voted on during the General Meeting of '24. So the fixed annual salary remains at EUR 950,000 for the CEO.

Regarding annual variable component, the different elements reflect the strategy at Eutelsat and are in line with market practices. This annual variable share represents 100% of fixed salary if the goals are reached and 142.5% in case of outperformance. We have to keep in mind that this annual variable portion remains entirely determined by performance criteria. And this year, just as last year, quantitative targets represent 85% of this variable portion. And within these targets, financial indicators also have the same weight, i.e., 70%.

For fiscal year 2026, it is proposed to replace the financial leverage ratio. It's one of the only modifications proposed for this year. So to replace the financial leverage ratio, which may be less relevant in the short term following a capital increase context, to replace it with a key performance indicator that is more representative of the company's operating situation. This new proposed indicator corresponds to net cash flow from operating activities, less gross capital expenditures. And this change also goes hand-in-hand with a slight modification of the weighting that will go from 10% to 15%. So 10% for the debt ratio, 15% is the new ratio so as to better reflect the challenge facing the company in balancing its investments, supporting its growth trajectory and managing its cash flow cautiously.

In addition, the weighting of total operating expenses has been reduced by -- and gone from 25% to 20%. These adjustments reflect the desire to align financial indicators with strategic priorities of a company's actual performance. CSR objectives account for 15% of this variable portion, so no change compared with last year. And they remain focused on carbon reduction, digital inclusion and employee engagement. Those are the key areas of the Group's road map in this area. The variable portion will also be determined on the basis of qualitative objectives or 15%. And these goals are specific, predetermined and linked to Eutelsat's priority projects for the financial year.

Finally, with regard to long-term variable compensation, the theoretical amount awarded would correspond to 140% of the fixed salary. And in case of outperformance, it would remain unchanged at 130% or 182% of fixed salary. The final award would be subject to the achievement of performance targets over 3 financial years for the following 5 components: connectivity-related revenue, we saw how important this was earlier. EBITDA and CapEx, measuring gross margin generation and the effective management of capital expenditure to support long-term future growth. An indicator called the relative TSR standing for total shareholder return. It's an indicator measuring the rate of return on a share, including dividends compared to a benchmark panel. And lastly, criterion linked to CSR also based on quantitative criteria related to reducing the Group's carbon footprint, a diversity objective and another aimed at reducing the digital divide in Africa. This component of compensation is also subject to a condition of presence over the 3 financial years.

With regard to the other items, it should be noted that in the event of forced departure, the severance pay clause is linked to performance conditions corresponding to objectives set and assessed every year by the Board of Directors as part of the annual variable remuneration for the 3 financial years preceding the departure. In accordance with the compensation policy, an exceptional award may be justified upon the arrival of a new CEO to compensate for the loss of variable compensation linked to his or her previous position.

In this context, the Board of Directors has decided to allocate to Mr. Jean-Francois Fallacher EUR 300,000 performance shares with a waiting period of 3 years, subject to 1-year service requirement and performance criteria defined by the Board of Directors upon recommendation of the Compensation Committee. Of course, no shares will be vested in the event of voluntary departure or for a fall before the end of the vesting period. This allocation will be subject to the approval of this general meeting. The final acquisition of performance shares will remain subject to approval by the general meeting called to approve the financial statements for the fiscal year ending on June 30, 2028. In the event of the departure of the CEO, the Board has the option of waiving the noncompetition indemnity at its description.

Finally, it should be noted that there is no specific supplementary pension plan. The company does not currently have a Deputy CEO in place, but in order to maintain the flexibility and the ability of the Board of Directors to appoint a Deputy CEO upon recommendation of the CEO, of course, a fixed annual remuneration for the Deputy Chief Executive Officer must be voted on each year by the shareholders in accordance with Article L22-10-8 of the French Commercial Code. It is thus proposed to renew the amounts applicable until 2025 and approved last year.

Finally, and sorry that this is so long, but this is because of everything that has happened within our company this last year. So finally, the remuneration of directors. The remuneration policy that you are going to vote on is unchanged compared with last year. The fixed remuneration of the Chairman of the Board is still EUR 260,000. The fixed remuneration of the other directors is EUR 25,000. And you will see on the slide as well as in Chapter 2 of the Universal Registration Document, the detail of the remuneration for each committee of the Board. The maximum annual budget is stable, EUR 1,690 million.

In conclusion, I'd like to underscore the fact that the modifications that I have presented to you during this lengthy presentation are quite marginal compared with what was presented during last year's general meeting. So this compensation policy is relatively stable, and we are submitting it to your approval today. Thank you for your attention.

Thank you very much, Florence. I would now like to ask [indiscernible], having the CSR committee to give her presentation in terms of CSR commitments.

Ladies and gentlemen, I'm very happy to present the CSR element of this year. Our approach is based on 4 key pillars that you can see here on the screen. It's been like this for many years, and this system is quite efficient and relevant. That's why we're keeping it. At least 2 pillars are closely linked to our business model and reflect the Group's unique nature.

First of all, preserving a sustainable space. We are working to ensure the responsible use of orbit by limiting the risk of collision, avoiding the creation of debris from our operations, guaranteeing long-term sustainability of space activities. This is really at the heart of our responsibility as a company. Secondly, reducing the digital divide is important for us. We provide essential connectivity to populations and territories that are not yet connected throughout the world, including Africa. And we guarantee free, reliable and universal access to information through satellite broadcasting, thereby helping to strengthen digital inclusion.

Third pillar, aware of the climate emergency, we are taking action to limit our environmental impact on us and in space by aligning our assets with the Paris Agreement objectives and by seeking to reduce our carbon footprint across the entire value chain, but I'll come back to that in a second. Lastly, we promote diversity, inclusion and equal opportunities and attach great importance to respect and fairness in our relationships with our employees, partners and customers.

Let's now focus on CO2. We are committed to fighting against climate change. So we have goals in terms of greenhouse gases reductions, and they were validated this year by the science-based targets initiative, SBTi, that was done last January. It's important. It's not easy because our objectives need to be aligned with scientific objectives to reduce climate change. And this really reinforces the credibility of our action with all of the stakeholders.

For our direct emissions, what we call Scope 1 and 2 emissions, we want to reduce our impact by 50% by 2030. So we have goals that are set, and we have many actions launched already. For instance, we're going to replace our teleports that are obsolete so as to increase their energy efficacy. We also rolled out special programs to install PV arrays for green energy. And as soon as possible, we moved to green energy supplies on the sites where that was possible. Scope 1 and 2, let's keep in mind that they represent 2% of our emissions. So it's quite a low figure compared to other companies.

Scope 3 is particularly important, so indirect emissions. These emissions have also been subjected to commitments with a 47% reduction compared to 2021. And we have in mind to limit the new launches to prolong -- to extend the life of our satellites, for instance. And that is for all LEO and GEO satellites, of course. A few highlights now and non-exhaustive actions, illustrating what we do in terms of CSR. I'd like to start with the responsible use of space. For instance, we removed from orbit EUTELSAT 16A and 33E without generating debris, guaranteeing that our GEO satellites have no impact on space. We are also actively working to prepare the future European framework on space so as to anticipate on regulations and to reinforce the sustainability of our operations.

Regarding the digital divide now, we've reached our goals. We even outperformed our connectivity goals with the Konnect WiFi hotspot service in Africa. In Sub-Saharan Africa, we outperformed because we have more than 1.3 million users. So that is 2 years ahead of the initial schedule more or less. The aim here is to connect villages that are not yet connected in Africa to paid services, but the cost should remain very low for the users. In this way, they can have access to these services even if they are very modest populations.

Earlier, I said that we set objectives for 2030. We also have intermediate objectives for 2025, and we have largely exceeded our goals because we have a reduction of 47% when compared to 2021. In particular, some actions have had a lot of impact, in particular, production of solar energy in our teleports was multiplied by 40 since 2021, contributing to the reduction of our carbon footprint. And this was something that we did very -- with great determination.

Our objectives for reducing CO2 emissions for 2030 have been validated, and we participated in the road map launched by the government 2 years ago for the space sector, working with the CNS and COSPACE in order to share best practices. These different impacts have been recognized by our ratings. And these ratings are given in letters or figures and definitely demonstrate the progress we've made.

In the social sphere, I'd like to talk about the share of women. Women are 29% of the personnel of the Group and 31% at headquarters in the management sector. And in our diversity and inclusion policy, we have set new objectives for 2027, which is to achieve 33% of women throughout all the personnel, including 35% in management positions.

And I'll finish with reporting. Our company is part of the CSRD directive with regard to sustainability. So for 2025, we underwent an external audit by Ernst & Young and Forvis Mazars, college of auditors, which was very positive and without reserves showed that we are completely CSRD-compliant.

Thank you very much, [indiscernible]. And now I'd like to give the floor to Erwan Candau, who represents the College of Auditors for the company, and he will be talking about the different reports produced by the college of auditors.

Ladies and gentlemen, shareholders, hello. So on behalf of the auditors, I'm happy to report that during the period closed on the 30th of June 2025, our 2 firms, Forvis Mazars and Ernst & Young and their different networks carried out an audit of all of the significant entities of the Group. Our firms reported to the previous general meeting in November 2024, and we carried out a mission of certification of information with regard to sustainability.

In order to do this, we carried out an audit that takes into account risks -- current risks, significant operations and the environmental -- the economic environment of the Group and its subsidiaries. So our approach was adapted to the Group's activities and its organization. So we concluded with the Board of Directors and shared our information with them. I will not give you an exhaustive reading of our reports, but I would like to talk about the 5 reports, the figure in the Universal Registration Document and those that are also -- figures that you can also see in the brochure that was sent to you as part of your convocation to this general meeting.

Our work was focused on achieving a reasonable insurance on the regularity and the honest reporting by the company of its accounts with regard to the Universal Registration Document, and we -- our opinion is expressed without reserves. The consolidated accounts can be seen in the Universal Registration Document. We looked at the use of satellites, and we've seen that you have -- show a special attention to amortization, depreciation and the gap between acquisition and units that generate cash flow. We noticed that you -- that there is -- there are estimations used by management to establish the cash flow, and we have appreciated the relevance of the actuary rates that were used for long-term growth.

Let's have a look at the annual accounts. Over the fiscal year ends on the 30th of June, so we looked at the URD and we had no particular observations to make. The key point in our observation concerns evaluation of shares and their annual depreciation. We looked at the coherence between projections for cash flow and our understanding of the perspective and strategic organization of the Group and the reasonable nature of the hypotheses that were supplied. Also, and in accordance with the law, we assured that the accounts were true and faithful reporting of the compensation and advantages that were paid out or attributed to different directors as well as anything consented on their behalf with regard to the governance of the company.

Our special report which you see in the URD, Pages 379, 384 shows that everything having to do with the commitment to subscriptions was in the capital increase that has been announced for EUR 1.5 billion, including the different shareholders listed here on the slide. And in addition, we looked at the shareholders' pack for OneWeb. And we've seen that this shareholders' pack has been continued during the fiscal year in question.

We looked at regulatory agreements and so that there are two new agreements. First is the cancellation of the previous shareholders pack from 2023 and that there is a new shareholders' pack agreed upon on 29th September 2025, which is done on reserve of the carrying out of the capital increase. The general assembly -- the general meeting is required to vote on these topics.

Finally, you can see our reports on the different resolutions listed here on the screen. We don't have any particular observations with regard to the causes and conditions for the reduction of capital called for in the 25th resolution with regard to issuing called for in 27, 23 resolutions -- 27 to 23, we can see that we don't have any particular observations on the determination of the price of issuing share capital as concerns, resolutions 27 and 28.

In addition, this report does not specify the modalities of determining the price -- the issuing price of capital -- of share capital as specified in resolutions 30 and 31. Since the final conditions have not been defined, we do not express any opinion on this or on the suppression of the preferred subscription rates as stated in 27 and 28. So we will make a complementary report, if necessary, when these delegations are used by your Board of Directors and in case of any further issuance.

With regard to resolution 32 and on reserve of examining any further conditions that are determined, we don't have any observations to make with regard to how the issue price has been determined. In the same way since the definitive conditions of issuance have not been set, we do not have any opinion. And therefore, with regard to eliminating the preferred subscription rights, we don't have any comment to make. We will fill out a complementary report if this is called into play.

And finally, with regard to the capital increase and the elimination of the preferential subscription rights mentioned in resolutions 36 to 45, we've seen that these resolutions have been withdrawn from the agenda, so I suggest we do not comment them because they have been withdrawn from the agenda. And let's move directly to certification with regard to sustainability. So our mission was to express our limited insurance on the sustainability state. We looked at 3 different pillars, compliance with the analytical process. Secondly, compliance with information published and the ESRS sustainability standards. And finally, respect of requirements published and information provided by Taxonomy Regulation.

So we considered after analyzing double materiality, ESRS E1 regarding climate change, ESRS S1 regarding the number of personnel. And finally, we did not find any errors or any contradictions or emissions that would compromise [Technical Difficulty] some uncertainties and limits facing the Group in the current election with regard to the CSRD directive. And we'd also like to draw your attention to the insufficient availability of some indicators, in particular, regarding payment periods for suppliers. This is 3.4.1.3.

Ladies and gentlemen, shareholders, I'd like to thank you very much for your attention. I'd like to give the floor back to the Chairman of the Board. Thank you very much.

Before we move on to the questions, I would like to respond to the written questions that were submitted to us. You will find these also on the site under the tab questions. So I'd like to -- these questions are published on the site, but we will be answering them orally here, although they were written questions that were submitted.

These questions mostly address our activity in Russia. Of course, we take these questions very seriously at Eutelsat and have done so for many years. Our activities are framed by many governmental authorities and regulatory authorities, in particular, French authorities. We have an ongoing dialogue with these authorities, and we respect their decisions. As you will be hearing from me in my answer to the questions.

In order to be concise, I will not read out the questions in full because they are quite long, but I will give you a resume. Of course, the questions in full are available on our Internet site as well as the answers that we have provided. So the first question from an individual shareholder has to do with why Russia is absent from the breakdown in the consolidated accounts from the fiscal year 2022, 2023. This was modified. And this has been the case since 2022, 2023. It is not something that we've done newly this year.

We work with the French market authority and Russia is now integrated into Europe. Other and -- is represented us in 2024, 2025 in the group results. The impact of the Ukrainian conflict did not constitute a new event for the fiscal year, and Russia is not mentioned for 2024, '25 and the highlights of the consolidated accounts annexes, which focus on new developments during the year. And with regard to reporting on Russia, had to do with the staffing levels in the country, and there has been no impact on staffing levels in the country.

Then there were questions that had to do with asking for detailed information on different constraints for suppliers linked to our activity in Russia. We cannot disclose the requested details because this is confidential information, because these concern the exact terms of various contracts with private contractors. This is sensitive and confidential and cannot be made public. This question also referenced a rumor concerning Russian clients transitioning from Eutelsat from the 36 degrees East position to satellites owned by the Russian operator at 56 degrees East, but we do not have any specific information on this matter.

Another question concerned the excess -- question of Internet access provided by Tricolor and satellite E36D and illegally annexed territories of Ukraine. To our knowledge, there is no Internet access service provided from capacity on E36D.

The next question concerns the presence of advertising spots for the Russian Army on certain channels of our Russian clients on their packages. So to answer this question, it is important to recall the contractual situation regarding the broadcasting of Russian channel packages. Eutelsat has a commercial relationship with channel packages and the company provides satellite infrastructure services. These packages themselves -- packages provided by our direct clients are not sanctioned entities. They aggregate channels, which themselves are not under sanctions. These channels create programs and bear editorial responsibility for the content broadcast, including advertisements, which may originate from a sanctioned entity if we're talking about the Russian Army, for example.

Eutelsat is committed to conducting its activities in compliance with international sanctions as stated in the Group's Code of Ethics on our website, and we implement these within the scope of activity. However, as the company is far removed from editorial responsibility in the contractual chain, we have no means of controlling or removing advertisements inserted into programs. Moreover, no sanction measures currently exist against channels we carry on the grounds of broadcasting illicit advertisements.

The last question was on the Svoboda bouquet broadcasting by NGO reporters without borders. Currently, the Svoboda bouquet is broadcast at 13 degrees East under our Hot Bird satellite, with coverage of the western part of Russia, reaching 4.5 million households. This orbital position, the premium position benefits from a large installed base of antennas associated with free content, reception free being important. The 36-degree East position on the other hand is associated with pay TV, reception terminals that prevent the reception of free content. Therefore, there is no discriminatory practice by Eutelsat under the IGO convention by not broadcasting the bouquet, the package at 36 degrees East.

Once again, the regulators and competent authorities do have the necessary tools to make to take the necessary steps. Eutelsat has to comply with these decisions as a role -- as our role provides for as an operator. So we hope that all these answers were satisfactory to you, and we remain available should you have any further questions.

Thank you very much, Madam Secretary. We're now going to open the debate. So there are a couple of microphones for a discussion. You can ask your questions. The questions must have something to do with the draft solutions and with the agenda. Please introduce yourself before you ask your question.

Yes. I'm [ Mr. Jeandre ]. I'm very happy to have come. It's always extremely interesting. What I like is the fact we have access to Wi-Fi. I don't know if you can hear me correctly. Can you hear me well?

Yes. Yes, go ahead.

Regarding the Q&A part, the answers to the written questions, it's too bad because I don't see these questions, these written questions on the Internet website. It would be nice to be able to have an update a bit before the general meeting, maybe have a QR code that makes it easily accessible to everyone. I have several questions. The company has changed quite a lot. Someone is speaking without a microphone in the room. If you have to leave, let me give -- hand the microphone to you.

I had a question regarding the major changes within the structure. For instance, I saw that Mr. Michel Combes was appointed in February, then he left in August, came back in September. Could you give us some explanation around this? I didn't really get this. It's Page 33 of the reference document. Then on February 12, 4 Board members, Mrs. Esther Gaide, Fleur Pellerin, Mrs. Gordon and Mia Brunell left. Could you tell us why the same day, Dominique D'Hinnin departure was announced.

So I always look at the share price in November 8, the share price was around EUR 18 in September '21, an offer was refused by the Board at EUR 12. And when he left, the share price was at EUR 1.75. So he was congratulated very well. Mrs. Berneke, she joined in January '22. The rate when she left was at EUR 3.04 more or less. And I remember during the general meeting, she told us everything was a bed of roses. She was telling us about the potential of Alaska and being able to have satellites antennas in Alaska. And we know that the U.S. is quite present in Alaska. So I don't know why we are congratulating her.

Next, regarding the chair of the committee, Mrs. Parly. She gave us a presentation and mentioned EUR 3.4 million of severance pay, but it's complicated to compare the amounts because the EUR 3.4 million cannot be compared. If you don't see that 3.4 million severance pay is written, you may think it's normal. So I'm quite surprised by this. Still on compensation, the TSR because we saw that the share prices had a great development with former management. We see that the TSR only accounts for 20% of the variable part, and this is based on a panel of shares, not only on the Eutelsat shares. So could we be clear on what this panel is about and what securities are in that panel?

And I see I can also buy a starting kit. My question is, will Eutelsat suggest this type of offer in the future? Or do you think that your coverage of Europe is not sufficient? It was announced yesterday that a new process to launch text messages via satellites will be possible. I had -- I was wondering about that. And I have a question regarding the speculation of the Eutelsat share, EUR 1.19 in April, EUR 7.8 in March. Can you clarify this? Or do you think that Eutelsat is like a nutshell that follows the rumors and the sea of rumors on the Internet. I'd like to know what Eutelsat's position is. I'm sorry, I asked several questions, and I would like to have some answers to these questions.

Thank you. I'll start, and I will also hand over to the CFO for the financial part. Regarding the first question you had on the way the Board changed. I joined on August 4. It's true that before August 4, there had been changes already. So there are going to be 12 members now participating to the Board of Directors in the coming months after the increase in reserve capital. So I don't have any specific information to provide because that was not part of the Board before that date. But as you can read in the document, in the universal registration document, some people have left and others have joined throughout the year so as to have a Board of Directors that is -- keeps representing its shareholders and that keeps being diverse and have the necessary skills to steer change in the business environment Eutelsat lives in.

As we explained, the market has drastically changed over the last few years. And I think that the previous Board of Directors took action to be in line with these new business environments. They are great challenges. This is why general management has changed, and that's why new members joined to support the development of Eutelsat in these new businesses and to be transitioned towards excellence and development. So that's why the Board changed and I explained the context and the environment in which this took place.

Now regarding the chart, we can show it on the screen with the different figures. The idea is to implement the compensation policies approved by previous general meetings and well explained. So now these policies have to be implemented, hence the figures that were shared with you and that are more in line with the Medef code, especially regarding the departure compensation. So here, we are talking about principles and actions that have been approved by previous general meetings. Comment off mic, the interpreter cannot hear it.

A question regarding the performance of shares. Considering the developments of new businesses steered by the previous CEO but not for the years to come. Now going back to TSR and the panel, I don't know if someone can answer this question. The panel is usually a classic structure with a panel of companies. So here, we have to follow market conditions. There are always specific developments to specific markets. And as you see, this is now included, it accounts for a certain percentage. We'll see if this figure moves with time. But this is what is submitted to the vote of shareholders. And that shows also how important it is for the Board and the Remuneration Committee to have this return to shareholders. I think this is a very important element that it's a new criterion, a new indicator.

Jean-Francois, regarding coverage Orange, do you have anything to say?

Yes, to go back to your question. Well, clearly, our service, the service we provide is for major companies, for the government with advanced features, encryption possibilities. So the company does not wish to have mainstream services with whatever the price is because Starlink, of course, wants to acquire more and more customers and has a different strategy.

Now to turn to Orange. We know that Orange launched directed device. It's a service that makes it possible for mobile phones like this one to send text messages, work on data. So they announced this with 2 phones, Pixel 9 and 10 on Skylo, it's a satellite constellation, a specialized constellation. Now Eutelsat and OneWeb is a constellation with broadband telecommunication services throughout the world with dedicated antennas -- antennas dedicated TV services. So to date, we have no project to have a direct-to-device constellation so that mobile phones can communicate with one another. So that's to answer your 2 questions.

Thank you. There's another question. Unheard by the interpreter because asked off mic. I have no specific comment on the current developments, but I referred to this in February. I remind you that this period of time was quite special because people were talking about Starlink in Ukraine. There were speculations. There were analysts also carrying out studies, publishing a certain number of papers on this subject, mentioning the fact that -- and it is true that Eutelsat is the only LEO and European constellation with positive effects on the price share.

It was also a time when what we call short positions, short-term positions were important. And a certain number of speculators holding these positions had some losses. So that increases the phenomenal volatility on the share price. So that's what I can say factually on the analysis of the price share, but I don't have anything else to provide.

Another question?

You mentioned a strong performance earlier, a sturdy performance. Now I see 1.6% of increase in revenue. Would you call this solid performance, minus EUR 200 million to minus EUR 1.1 billion. Is that a sturdy performance? I did hear that you have about EUR 700 million of goodwill. The acquisition of OneWeb, is it concerned by the goodwill?

No. Regarding operating expenses, if the turnover goes up by 1.6%, operating expenses went up 15% or 16% compared with revenue. And we see that the expenses are skyrocketing even though the rates have gone down. So the situation is not good at all.

My question is, when do you think we can hope for dividends in how many years because the situation seems to be worsening. You talked about Ukraine. With its satellites, can Eutelsat help Ukraine communicate on its territory, communicate amongst its armed forces. This is a major problem they have today because of the fact that the American player can say something one day in the country the next. So can Eutelsat play a role in terms of Ukrainian communications?

I qualify the results for '24, '25 as solid results because of the revenue, as you saw, the GEO satellite revenue has gone down. This is a structural result because many people now watch TV on their mobile phones and no longer on their TV using parabolic antenna. And in Eastern Europe, in the Americas or Canada, fiber is getting more and more important. So it's referring to the growth of our LEO low-orbit activities, EUR 183 million. That is what represents our activity, 15% of the revenue of the company.

And in spite of this growth, it's not yet offsetting the geostationary business, which still accounts for EUR 1 billion of the turnover. In spite of the GEO revenue loss, and in spite of the CapEx results, which you saw and which are lower than the previous year. But I understand your point of view. And regarding Ukraine, I can tell you that we are extremely present in -- over the territory. We presold almost all of our capacity.

Now of course, it remains confidential to know how many antennas are in Ukraine. But what I can tell you for sure is that we have very important European distribution network. We have also Airbus, TELUS, [ Patio ] and others. And thanks to all of this, we have many different Ukrainian uses, temporary uses sometimes. So yes, you are right. Well, it's not a question. Can we be an alternative? It's not a question because today, we are very present and used in Ukraine.

Another question, maybe behind and then there's another one in the front.

I've been a shareholder for a long time, unfortunately. The 2 previous speakers, I think you gave a good description of the situation in which we shareholders find ourselves. A technical question. I did not get the reference document. I would like to have one. I didn't find it here. They didn't have any downstairs.

Secondly, I would like to know -- well, I'd like to talk about performance shares of dozen years ago, Chrysler was in a bad way. One of its former managers associated with Coca-Cola went to say, I'll get things right. And if I do, I want 10%. He did it, and he got his 10%. So with regard to performance, whenever we see companies that are making money, I mean, that's one thing, but companies that are losing money massively, I don't see where the logic is in performance linked payment.

What do you think of CubeSat. That was something I wanted to ask you about. And no one ever wanted to answer my question. Now you're back in the GEO. You don't really anticipate technology. Even if you have contracts in Ukraine, when we look at how Starlink was developed, and it covers almost all communications in Ukraine, when we can see the state of public financing in European countries, I wonder if the cost of your installations really enables you to see a road toward profitability. In other words, have you targeted a market where you think you will really be able to make some money? Is that clear to you? Do you see where you're going to make money, not to do something or realize some other objective, but to make money. Do you have a path towards that?

I think that today, we're looking at a change in activities with different business models, different profitability models, and this requires investment. Yes, it requires investment, especially with regard to the intensity of international competition. So this is why we carried out the capital increase. This is a financial investment, an investment in low orbit and [ IRIS2 ] satellites. GEO was our legacy field where we had invested historically. And now we have to invest massively in order to be able to go forward. And I think the Board has been looking at this for several months now and has taken actions so that we can continue to develop this new business, at least 2 segments where you just said, developing is B2B and government services.

And we've seen that these are significant customers for us. We said that we are sovereign in Europe, and we can even have government contracts outside of Europe. And B2B is also an area where we can provide profitable services. So yes, the company is working. The Board is working in order to accelerate this transition. We need to speed up investment in our new activities, as was said earlier.

Francois, would you like to add anything to that?

Well, I can say that OneWeb are really big CubeSats in a way. They're not really GEO-sats. GEO-sats are the size of a boost and One-sat is the size of a refrigerator. So we're getting closer to that with OneWeb. With regard to profitability, of course, that is the purpose of the whole discourse that I gave you on long-term profitability. We're looking at fixed costs. We have 600 satellites up there, 150 up there permanently, 40 earth stations. These are antenna fields with 8 to 12 antenna and 40 places around the planet.

So this enables us to provide services to clients around the world, including the fiber background. These are all fixed costs. The low orbit growth in revenue will enable us to, of course, take profit from our fixed cost investments. But we have to remember that we've got the ground space. We've got antenna that we sell their use. Of course, we don't just give it away for free. Of course, we're interested in the profitability of the company and the return on investment. You see we have 50% EBITDA. And our guidance with the growth of GO is by 2028-'29 to have EBITDA, which will be higher than today's closer to 60%.

The gentleman in front.

I'd like to thank you for the answers to my written questions, which I raised about Russia. I'd like to thank Eutelsat for allowing Svoboda program package to exist. I was one of the first to call for its support. But in the risks, there's no mention of sanctions against Russian businesses. The sanctions stated from 2022. I'm glad that sanctions have been applied since the summer, but this required the intervention of Arcom. And because Arcom intervened, it required an article in the National Assembly resolution and a number of parliamentarians. And other political figures had to write a paper in the Le Monde newspaper in order to bring that about.

But one of your answers has to do with the Svoboda satellite, RSF channel to access 36D satellite. You've said 36D is a satellite for paying channels. I'm looking here at the list of channels established by NISAT, which Eutelsat uses as a reference. I can see that for the transponder 11785, there are 3 Russian channels that are not in the packages and that are freely accessible. So this is discrimination. On another transponder, there are 20 radio channels that are not in the packages that are free of access.

I've noted these different specifications down. Thank you. Another question in the back.

Yes. It's cold here. And I have a question about seasons and mobile connectivity. I've seen that this activity seems to be more seasonal, and I wonder why. Is it because you got out of a contract with TIM? Is that why this activity fell in the last quarter? And for people who looked at the table, there was one quarter that was at 36% that fell to 33%, and another was 45% that went down to 42%, whereas the others went up. So vis-a-vis ex TIM.

And then with regard to having more women on staff, I've seen that it can be important for more women to be present in compute in the computer industry. But I don't know in this European company, why it's too bad. There's only one woman on our Board. So with regard to recruitment, what is the number of women who apply for jobs at Eutelsat? Is it possible to make a bigger effort to get more women to apply for jobs so that we could reach a level of more than 40% or 45% of women?

And then another question that worries me a bit has to do with payment. I know there was a former CEO of the group when he went over to a different group. He said that in the other group, he was paid well, but that it didn't really compare with the conditions that he had at Eutelsat.

So with regard to women, we have more than 40% of women on the Board. You've seen there were 2 committee chair women. So I just wanted to remind you of that. With regard to seasonality of mobile activities, these are antennas that are used for air traffic, maritime traffic. Maybe Christophe could talk more about that with regard to payment delays, that was the other part of your question.

With regard to your question on mobile connectivity, first of all, team that's fixed connectivity. So it doesn't have anything to do with the mobile connectivity. The variations that can be observed from one quarter to another on all activities and especially for mobile activities, this is mostly linked to sales of equipment, which is not necessarily linear. And as LEO was ramping up, you could see that there were significant sales period where we were selling user terminal units. And then with regard to mobile sales from one quarter to another, it's related to a drop-off in maritime activities, in particular, with regard to GEO. So this has to do with mobile activities and seasonality.

With regard to late payments in the past, we did experience a delay in payment. This is maybe 3 years ago linked to the COVID period and the increase in activity in certain geographic zones where payments were more difficult to obtain. So that played a role in overdues that were reported in the accounts. And some of this is still recorded. But in the LEO activity, we do have some contracts where payment is actually made even before the service is fully provided.

With regard to more women, as the CSR Committee President said, we do have objectives. We're at 29 and 31 with regard to total staff and management, and we propose to increase both of those numbers by 2027. All the entire company is working hard to ensure that more women join the company.

And you asked a question about recruitment or how we can achieve our objectives. As the CEO said -- the Chairman said, it's something that we have to do all the time and in particular, with regard to recruitment. Sometimes we may have to accept to spend a bit more time on recruitment so that we can ensure that we get enough diversity in applicants. And there are some fields where we have fewer women applying, and it's true. Sometimes recruiting takes more time because we try to get a final list that has 3 people including diverse representation so that the managers could have a real choice, and not just create token diversity positions.

So we are making efforts in recruitment, and we try to be present in different communities that promote women in the STEM fields. This is where we do a lot of our recruiting. We work with different women in the program around in women's development. So it's maybe not so much at the moment of recruitment, but really creating greater visibility for women in the aerospace industry. So there are lots of initiatives internally and with other stakeholders in the sector, and we are committed on a daily basis. We have a lot of support from all of our male colleagues as well to carry out this effort. Thank you very much.

Another question?

But you didn't answer. Now we're talking about a capital increase reserved for shareholders. What about the dividends? In how many years will we have to wait before we see a return on our investment? You didn't answer the question. So I suppose that we'll have to wait a long time. So I'd like to have an answer to that.

For now, as you know, the Board of Directors has not reviewed that question, but we have reviewed the question of investments. And that's why I'd like to say that supporting the development of our activities. So we're looking at not only dividends, but also share value. So I think the Board is paying a lot of attention to that balance between dividends and share value.

What I can say today is that -- and what I've been hearing for the past few months is that we are kind of weighing the balance between share value and dividends, yes, but I'm talking about the price on the market. So as you know as well as I do that the market is always moving but everyone is working towards making the shares more valuable.

The question of dividends, I think, is something that is related to investments that are necessary to ensure the development of the company. We're in a market where in a sector that requires a lot of investment. And in the months to come, I think the Board will be looking at this dividend question. Yes, of course.

To answer your question directly, yes, of course, like every company, we have a business plan. And of course, our business plan aims for profitability. And of course, like every company, we hope to be able to pay out dividends one day. But today, we do not have a precise horizon for paying out dividends.

A new question, a very simple one. When OneWeb was acquired, the British government had specific rights. They had veto rights. Does the OneWeb structure still exist? Does the U.K. government still have a veto right? And if so, will these veto rights last forever? Or will there come a day when that OneWeb structure will vanish?

The OneWeb structure still exists in the group's organizational chart. And I think you can see that in the published documents. And yes, there are special rights associated with the U.K. shares and only in the OneWeb structure. And the trust will be renewed to OneWeb.

[Foreign Language]

A question is being asked off mic in the room. Yes, he took part as a new shareholder to the capital increase at a price of EUR 4.

Another question?

Well, it might be difficult to answer the question on profitability. But in your plan, in your mind, when do you think will -- you'll reach a balance between GEO and LEO activities? And when will GEO activities become a minority activity? Do you think it will be in 5, 10 years from now?

We haven't given any specifics regarding this. We don't know when GEO activities will be less important than LEO activities, but you saw the figures and you saw that the LEO activities dropped significantly, and there was a slight drop of EBITDA compared with the 44.4% of last year. And we talked about an EBITDA at around 60% for 2029. So that gives you an idea of when the pendulum will shift. Thank you for your questions. I hope we were able to meet your expectations to answer your questions.

If you have any other questions, you can ask Joanna Darlington, Hugo Laurens-Berge and Christine Lopez. They are here attending this meeting today and feel they're in the best position to answer swiftly. If there are no more questions, we can now move on to the vote on the resolutions. You have the floor, Mr. Secretary.

As required by law, before we vote on the resolutions, the shareholders, I must tell you where the quorum is and make sure it is still reached so as to be able to vote both on ordinary and extraordinary draft resolutions. 75.94% that is the quorum, and we can now vote unless any of the shareholders present a contrary opinion, I propose Mr. Chairman, that we do not read out the draft resolutions submitted for vote in full. So I'll only read the simplified titles. I would like to remind you that ordinary resolutions 1 to 24 and resolution 35 will be adopted by a simple majority of votes cast or represented while extraordinary resolutions, resolution 6 to 20 will be adopted by a powerful majority of 2/3 of votes cast are represented. As it was reminded to us, resolution 34 will not be put to the votes and resolutions 36 to 45 either.

Let's now proceed to the vote on the resolutions. Let's start with the ordinary resolutions. After this video, remind you how to vote on the tablets that you were handed before entering the room.

As you know, geostationary connectivity is very stable with a lot of bandwidth. This is a geostationary satellite kilometers away in orbit. So it's like having a boat here who wants to communicate -- it goes up, then back down to ground, goes on to Google service. So it does 6,000 kilometers. It's about -- it's a high latency that is good for some uses, but not for remote control professional uses. It's impossible with such latency.

So the beauty of the LEO system and the low orbit OneWeb constellation is that the latency is around 70 milliseconds because it's much lower and the throughput is also more important. The antennas can be different sizes. You can have flat antennas also. So there is a cannibalization of the geostationary market. And very often, votes, and I'm not talking about small boats here, but rather big ships.

Thank you, Jean-Francois. We're ready for the vote. So let's move on to the vote.

Resolution #1, approval of the annual report and accounts for the financial year ending June 30, 2025. Voting is now open.

[Voting]

Don't forget to validate your vote. Voting is closed. The resolution is adopted.

Resolution #2, approval of the consolidated financial statements and accounts for the fiscal year closed on June 2025. The vote is open. Don't forget to confirm your vote.

[Voting]

Voting is now closed. The resolution is adopted.

Resolution #3, allocation of the results of the financial year ending June 30, 2025. No dividend distribution. Voting is open. Don't forget to confirm your vote on the tablet.

[Voting]

The voting is closed. The resolution is adopted.

Resolution #4, approval of the special report of the auditors of the agreements referred to in Articles L. 225-38 of the French Commercial Code. Voting is open. Don't forget to confirm your vote on the tablet.

[Voting]

Voting is closed. The resolution is adopted.

Resolution #5, approval of the agreements referred to in Article L. 225-38 of the Code of Commerce concerning the French state subscription commitment. The vote is open.

[Voting]

Don't forget to confirm your vote. Voting is placed. The resolution is adopted.

Resolution #6, approval of the agreements referred to in Article L. 225-38 of the Code of Commerce concerning the subscription commitment of Bharti Space Limited. Voting is open.

[Voting]

Remember to confirm your vote. Voting is closed. The resolution is adopted.

Resolution #7, approval of an agreement referred to in Article L. 225-38 of the Code of Commerce concerning the subscription commitment of the U.K. Secretary of State for Science, Innovation and Technology, the U.K. Government. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is closed. The resolution is adopted.

Resolution #8, approval of the agreements referred to in Article L. 225-38 of the Commercial Code relating to the subscription commitment of CMA CGM participations. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is closed. The resolution is adopted.

Resolution #9, approval of the agreements referred to in Article L. 225-38 of the Commercial Code relating to the subscription commitment of the strategic investment fund. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is closed. The resolution is adopted.

Resolution #10, approval of an agreement referred to in Article L. 225-38 of the French Commercial Code relating to the termination of the existing shareholders' agreement. Voting is open.

[Voting]

Make sure you confirm your vote on your tablet. Voting is closed. The resolution is adopted.

Resolution #11, approval of an agreement referred to in Article L. 225-38 of the Commercial Code relating to the shareholders' agreement concerning the company. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is closed. The resolution is adopted.

Resolution #12, renewal of Bharti Space Limited mandate as Director. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is now closed. The resolution is adopted.

Resolution #13, renewal of Florence Parly's term of office as Director. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is closed. The resolution is adopted.

Resolution #14, renewal of Eric Labaye's term as Director. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is closed. The resolution is adopted.

Resolution #15, approval of information relating to the remuneration of corporate officers for the financial year ending June 30, '25. Voting is open.

[Voting]

Make sure you confirm your vote. Voting is closed. The resolution is adopted.

Resolution #16, approval of the elements of the remuneration paid during or allocated during the financial year ending 30th June 2025 to the Chairman of the Board and the Chief Executive Officer. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is closed. The resolution is adopted.

#17, approval of the remuneration policy applicable to the Chairman and Executive of Madam Eva Berneke. Voting is open.

[Voting]

Don't forget to validate your vote. Voting is closed. The resolution is adopted.

Resolution 18, approval of the remuneration or the total remuneration to Mr. Jean-François Fallacher, CEO, since June 2025. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is closed. The resolution is adopted.

Resolution 19, approval of the remuneration policy applicable to the Chairman and Executive Officers. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is closed. The resolution is approved.

#20, approval of policy for remuneration of the Chief Executive Officer. Voting is open.

[Voting]

Don't forget to validate your vote. Voting is closed. The resolution is adopted.

#21, approval of the remuneration policy for Deputy Chief Executive Officers. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is closed. The resolution is adopted.

#22, approval of the remuneration policy for directors. Voting is open.

[Voting]

Remember to confirm your vote. Voting is closed. The resolution is adopted.

#23, establishment of the total annual amount of the remuneration of the Board of Directors. Voting is open.

[Voting]

Remember to confirm your vote. Voting is closed. The resolution is adopted.

24th resolution, authorization for the Board of Directors to purchase the company's own shares. Voting is open.

[Voting]

Remember to confirm your vote. Voting is closed. The resolution is adopted.

#25, authorization for the Board of Directors to reduce the share capital by canceling shares acquired by the company under its share buyback program. Voting is open.

[Voting]

Remember to confirm your vote. Voting is closed. The resolution is adopted.

26th, delegation of authority to the Board of Directors to increase the share capital by capitalization of reserves, profits, bonuses or other amounts whose capitalization would be permitted. Voting is open.

[Voting]

Remember to confirm your vote. Voting is closed. The resolution is adopted.

27, delegation of authority to the Board of Directors to issue ordinary shares and/or securities giving immediate or future access to ordinary shares of the company without shareholders' preferential subscription rights in the context of a public offering other than those specified in Article and 0.1 of Article L. 411-2 of the French Monetary and Financial Code. Voting is open.

[Voting]

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28, delegation of authority to the Board of Directors to issue ordinary shares and/or securities, giving immediate or future access to ordinary shares of the company without shareholders' preferential subscription rights in the context of the public offerings referred to in 1 of Article L. 411-2 of the French Monetary and Financial Code aimed exclusively at qualified investors and/or limited circle of investors. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is closed. The resolution is adopted.

29th resolution, authorization of the Board of Directors to increase the number of shares to be issued in the event of increase in the company's share capital with maintenance or cancellation of the preferential subscription rights decided according to the 27th and 28th resolutions. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is closed. The resolution is adopted.

#30, delegation of authority to the Board of Directors to issue ordinary shares and/or securities giving immediate or future access to ordinary shares of the company without preferential subscription rights in the event of a public exchange offer initiated by the company. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is closed. The resolution is adopted.

31, delegation of powers to the Board of Directors to increase the share capital by issuing ordinary shares and/or securities giving immediate or future access to ordinary shares of the company without preferential subscription rights and consideration of contributions in kind up to a limit of 10% of the company's share capital, except in the case of a public exchange offer initiated by the company. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is closed. The resolution is adopted.

32, delegation of authority to the Board of Directors to increase the share capital by issuing ordinary shares and/or securities giving immediate and/or future access to the company's share capital without preferential subscription rights reserved for members of the company's savings plan of the company or its group. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is closed. The resolution is adopted.

33, amendment of the Articles of Association of the company. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is closed. The resolution is adopted.

34 -- excuse me, 35, powers for formalities. Voting is open.

[Voting]

Don't forget to confirm your vote. Voting is closed. The resolution is adopted.

Thank you. Thank you very much. So this voting concludes our Annual General Shareholders Meeting. Thank you very much for your participation.

[Statements in English on this transcript were spoken by an interpreter present on the live call.]

Welcome to the Eutelsat First Quarter 2025-2026 Revenues Presentation. [Operator Instructions]

Now I will hand the conference over to the speaker, Christophe Caudrelier, Chief Financial Officer. Please go ahead.

Hello, everyone. Welcome, and thank you for joining us today for Eutelsat's First Quarter '25/'26 Revenues Presentation. I'm Christophe Caudrelier, CFO, and I'm joined today by Joanna Darlington, Head of Communication and Investor Relations.

Let's start with the highlights of the past quarter. LEO revenues continued their robust growth rate, up 70%. Overall, first quarter revenues were in line with expectations, enabling us to confirm all our full year '25-'26 financial objectives as well as our longer-term targets. And finally, at the end of September, Eutelsat -- on the 30th exactly, Eutelsat held an ordinary -- an extraordinary general meeting, where all resolutions related to the contemplated capital increases were approved.

Let's now turn to the Q1 performance. First, as a reminder, all commentary is on a like-for-like basis, that is to say at constant currency and perimeter. Total revenues for the first quarter stood at EUR 293 million, virtually stable at minus 0.3% on a like-for-like basis. They reflected a EUR 10 million negative currency effect and a EUR 7 million positive swing in other revenues, mainly from hedging as well as revenue recognition from IRIS2 related to Eutelsat's involvement as consortium system development prime. Revenues of the 4 operating verticals were down 1.2% on a like-for-like basis.

Let's have a look at the segmental reporting. Video representing 47% of revenues, stood at EUR 133.6 million, a decline of 10.5%. Fixed Connectivity revenues, representing 22% of the group total, rose 16% to EUR 62.3 million. Government Services, 19% of revenues stood at EUR 52 million, a rise of 18.5%. And finally, Mobile Connectivity revenues representing 12% of the group total stood at EUR 34.7 million, a decline of 12%. I will come back to this.

Let's now start with Video. As said above, Q1 Video revenues amounted to EUR 134 million, down 10.5% year-on-year. They reflect the ongoing mid- to high single-digit secular market decline, but also the negative effect of the latest sanctions imposed on Russian channels. As a reminder, this started in July 2025 with an impact of around EUR 16 million expected for the full year '25-'26. On a quarter-on-quarter basis, revenues were down by 8.3% more in line with the underlying market trend.

On the commercial front, Eutelsat renewed contracts, notably with key regional player, [ VHTS ] Telecommunications, confirming the 7/8° West video neighborhood as the leading satellite position in the MENA region.

Let's now have a closer look to Connectivity. Total Connectivity accounts for 53% of total sales and well over half of the operating verticals revenues. First quarter revenues stood at EUR 149 million, up 8.6%. As stated above, this growth was primarily driven by LEO revenues, up 71% to EUR 54 million and representing over 1/3 of the connectivity top line.

The LEO trend fully offset the GEO connectivity decline of 10% to EUR 95 million. Quarter-on-quarter revenues were down by 13.2%. This sequential decline was mainly the reflection of an exceptionally high level of LEO terminal sales in Q4 '24-'25 across all 3 verticals but predominantly Government Services and Mobility. As a result, LEO revenues in the first quarter were down 20%, reflecting this impact as well as the nonrecurrence of catch-up revenues recorded in Q4 '25.

Let's look at each vertical in more detail now. Q1 Fixed Connectivity revenues stood at EUR 62 million, up 15.9% year-on-year, reflecting continuing growth in LEO services. Revenues were impacted by the succession of revenue recognition from TIM on Konnect VHTS since January 2025 with an annualized impact of around EUR 12 million. As a reminder, this impact will wash through as of Q3 '25-'26.

On a quarter-on-quarter basis, revenues were down by 6%. This reflected, in particular, more challenging conditions for GEO-enabled solutions. On the commercial front, Eutelsat signed a strategic partnership with Tussas for LEO Connectivity in Greenland as well as an agreement with Nelco, part of the Tata Group, to deliver LEO Connectivity across India.

Moving to Government Services. Revenues stood at EUR 52 million, up 18.5% year-on-year. This rise reflected the growing demand on LEO-enabled connectivity solutions for governmental applications, notably with services delivered in Ukraine. On a quarter-on-quarter basis, revenues were down 17%, reflecting mainly the above-mentioned terminal impact.

Mobile Connectivity revenues stood at EUR 35 million, down 12.1% year-on-year. They mainly reflected lower GEO revenues as well as the nonrecurrence of a one-off contract in aviation for about EUR 3 million in Q1 '24-'25. On a quarter-on-quarter basis, revenues were down by 19%, reflecting a one-off revenue catch-up in Q4 '25 and a slowdown in GEO in addition to the above-mentioned terminal impact.

Moving to backlog. It stood at EUR 3.5 billion at the end of September 2025, stable versus end of June '25. It was equivalent to 2.8x fiscal year '24-'25 revenues with Connectivity now representing 58% of the total.

Let's now turn to the outlook. The first quarter performance was in line with our expectations with a further sharp rise of LEO revenues offsetting the decline in GEO, which embarked the impact of further Russian sanctions in Video from July 1. As a result, we confirm our fiscal year '25-'26 financial objectives with revenues of the 4 operating verticals in line with the level of fiscal year '24-'25, LEO revenues to grow by 50% year-on-year and adjusted EBITDA margin slightly below the level of fiscal year '24-'25.

Gross CapEx expenditure is expected in a range of EUR 1 billion to EUR 1.1 billion. Following the contemplated capital increases announced in June 2025 and due to be completed by the end of calendar year 2025, net debt on adjusted EBITDA ratio is estimated at around 2.5x by year-end, '25-'26.

Our longer-term objectives are also confirmed. Revenues of the 4 operating verticals between EUR 1.5 billion to EUR 1.7 billion by the end of fiscal year '28-'29, with LEO revenues significantly outperforming the market. Operating leverage, driving a mid- to high single-digit percentage point improvement in the EBITDA margin resulting in the margin of at least 60% by fiscal year '28-'29.

With that, I thank you very much for your attention. And together with Joanna, we are now ready to take your questions.

[Operator Instructions] The next question comes from Roshan Ranjit from Deutsche Bank.

I've got 3, please. Firstly, on Video. We saw a bit of a steeper decline this quarter with the Russian sanctions. And Christophe, in your comments, you mentioned a mid- to high single-digit decline. Can I check, is that the headline decline expected? Or is that kind of the underlying decline, i.e., the mid single digit is now maybe could be high single digit within Video? And just wondering if there are any kind of big video renewals expected this year?

Secondly, within government, a good kind of performance you highlighted outside of the U.S. Any details on the French framework agreement? Is there any contribution from that agreement within the government segment, please? And lastly, just on the LEO revenues, we did see this quarter-on-quarter decline, I guess, equipment sales driven. When should we start thinking that the revenue mix moves much more into the services component and therefore, we should see a quarter-on-quarter growth within stand-alone LEO?

Okay. Very clear. Thanks, Roshan. So if I start by the -- your first question related to Video, I mean, as you said and as we commented, the biggest impact for this quarter is obviously the cessation of some of the Russian channels following the sanctions. But yes, I mean, we already mentioned in the last communication that the decline we saw on Video. I mean, obviously, if you look quarter-by-quarter, as usual, you may have some hiccups and some -- it might vary it a bit or be different from one quarter to another quarter.

But yes, I mean, we confirm that the trend that we see is a more mid- to high single digit rather than low to mid-single digits. So that's for the Video part. For the gov, so you mentioned, first of all, the U.S. part. As a precision, I would say, that -- and to make sure that we're clear, the U.S. Gov used to be, in the past, a very significant proportion, if not almost a sole proportion, the integrity of the Video business for Eutelsat. It now represents less than 50%, so less than half and the increase coming from other governments. I mean, we mentioned Ukraine, but not only.

More specifically related on the discussion of the contracts with the French DoD or the French so-called [ Direction générale de l'armement ] and the main contract that agreement. It's not a contract. It's a framework agreement that was signed with the French MOD is Nexus. So as a reminder, this is a framework agreement that is due to last for 10 years. It does include different elements, obviously, capacity and services, but also development, co-development in order to reinforce certain aspects of the military purposes.

And it also includes hosted payload. So at this point, it's a framework. We are currently working and discussing with the French MOD and so-called DGA in order to finalize and to precise more the content of this framework agreement with the objective to start the recognition of revenues as from fiscal year '26, so as from this year.

We are, in particular, discussing the content and the hosted payloads and in order to secure a first contract on these specific items by the end of this year. But I can say that, generally speaking, the revenue generation from this contract will be heavily, I would say, second half loaded during the period of the Nexus agreement, which I remind is a 10-year agreement or a 10 years framework. So this will come more in the later part of this agreement.

Moving now to your question on LEO and the mix of the sales of the LEO, I mean, clearly, what I would like to stress on is, first of all, that the high level of equipment sales is a good sign. It's a very good sign because that means that more and more the usage of the constellation is increasing significantly, is increasing at the pace of the development of the installation of the -- what the so-called UTs. What I must also stress that, again, Q4 was a bit specific, but the proportion between equipment sales and service revenues in the total revenues is still -- equipment are still representing a minor part of the total sales.

And I would say that also you have a kind of delay a bit because the equipment that are installed and that are sold today allow also our customer to use more of their take-or-pay, so more of their capacities that they have already contracted. And again, is showing a significant increase in the usage of the constellation, not directly or not immediately an increase in revenue recognition because it's already taken into consideration in some of the take-or-pay.

Obviously, it also increases the what we call the pay-as-you-go. I mean the more UTs you have, obviously, the more pay-as-you-go you also have. But again -- and I want to stress what I said, it's still -- I mean, it's a minor part, okay, of the total sale. It's not the majority that is represented by equipment sales.

That's great. That's very clear. Can I just [ remind ], are we talking about 20% of the LEO revenue base is equipment perhaps?

Well, really, it's not any detail that we give. And it depends from quarter from quarter difficult. I mean difficult for me to tell you more on this.

[Operator Instructions] The next question comes from Ben Rickett from New Street Research.

I have 2 questions, please. First question is just around the sort of phasing of revenue. So revenue was down 1% in the first...

Can you speak up a bit, please? Ben, sorry, we can't...

Sure. Is this better now? Can you hear me okay now?

It's still a bit lower, Ben. Try to increase the -- on our side to...

Okay. I'll try and really shout. So hopefully, this work. So first question, just around revenue phasing. So it was down 1% in Q1. Do you expect -- I mean, for the full year, will we be around that level? Or should we expect revenue to improve throughout the year? Is there any sort of particular phasing we should be aware of? And then second question, I was just -- could you give us an update on the IRIS2 process, the technical review process? And also specifically, could you say anything about the possibility of the U.K. joining IRIS2? And I hope that was clear.

Okay. Thanks, Ben. So for the first question, I mean, clearly, we gave our objectives, and we confirm our full year objective of a level of operating verticals revenues for this fiscal year '26 in line with the one of last year, so '25, meaning that the significant increase in LEO revenues, I remind that we expect -- we are at plus 70% compared to last year for Q1. But for the overall year, we expect a growth of LEO revenues of around 50%. And this will offset the decrease of GEO revenues, both on Video and Connectivity. But -- so the trend is -- as we confirm, the trend is to be at the same level of last year. On the IRIS2 question, maybe Joanna can give some more insights.

Well, I can't really. So yes, like you, we -- I also did see the article where our French Minister was talking about the U.K. being welcomed to join IRIS2. But I don't think it's anything that's particularly concrete, and it's certainly not something that we've heard particularly with our discussions with our institutional counterparts in the U.K. So I think, obviously, from our point of view, it would be very much welcome. But I I'm not really aware that there are a lot of legs to that particular story.

[Operator Instructions] The next question comes from Roshan Ranjit from Deutsche Bank.

Just on the equity injection, you reiterated to close them by the end of the year. Are there any -- you got all the approvals on the governance side, but are there any regulatory approvals that are still waiting as part of the process, either as part of the reserved capital increase or the, I guess, true rights issue? Anything you could say there?

Yes, very clear, Roshan. So we have all the authorization, all the regulatory approvals, but there is a piece -- one piece missing, and this one is coming from the U.S. As you may remember, we need to have 2 approvals actually from the U.S. One is coming from the foreign investment side and this one, which is CFIUS -- called CFIUS. And this one is fully obtained, so it's secured.

We have another one as we are in the telco environment, so there is another one that -- another authorization that is needed coming from the FCC. And this one is still pending. And obviously, with the current situation in the U.S. with the current shutdown, it's taking a bit more time. So we're still waiting for this approval. But we expect, as we confirmed, we expect to execute both the reserve capital increase and the rights issue before the end of this calendar year, so before the end of December.

The next question comes from Stéphane Beyazian from ODDO BHF.

I'm sorry about that. Apologies. Yes, I was just wondering whether you can make any comment on the competitive environment, generally speaking, in your different segments, if you've seen any changes lately? I mean, we know Amazon is also progressively trying to come into the market. So any comment?

Thanks, Stéphane, for your question. I mean nothing really new from last time. I mean, we have discussed that in previous meetings and previous communication with obviously the fast ramp-up of Starlink. I mean I think we're still in the same situation. We still see a strong progress of Starlink on the broadband and the B2C segment, as you know.

For the other ones, I would say, I mean, we are again the only 2 players. Amazon, I mean, is going to come, but we don't really know exactly when as we speak, right? And it still needs to be confirmed. But at this point, I have nothing else to comment compared to what we see. I mean the market -- clearly, the demand for connectivity by satellite and more specifically from LEO constellation is growing and is growing fast. The competition is still the same, and we still expect to have at least Amazon to come in the coming years and others, but I mean, I have nothing to add on that.

There are no more questions at this time. So I hand the conference back to the speakers to conclude the call.

Well, thank you. Thank you very much for your questions. And I wish you now a very pleasant evening for those in Europe and a good day for those in the U.S., if any. And let's speak and let's gather to -- during our next financial communication. Thank you very much, everyone. Bye-bye.

This concludes the call. You may now disconnect.

Hello, and welcome to Eutelsat Full Year 2024/2025 Results. My name is Laura, and I will be your coordinator for today's event. Please note, this call is being recorded.

[Operator Instructions] I will now hand you over to your host, Jean-Francois Fallacher, CEO, to begin today's conference. Thank you.

Hello. Good morning. Welcome. Thanks for joining us today for Eutelsat's Full Year 2024-2025 Results Presentation. My name is Jean-Francois Fallacher. I'm the CEO of the company, and I'm joined today by Christophe Caudrelier, which is our CFO; and Joanna Darlington, which is our Head of IR.

Let's go directly to the presentation. On today's agenda, we will obviously run through the key events of this year, the operational performance, the financial performance, and of course, we will wrap up with the strategic and financial outlook.

So starting with a reminder of the key highlights of last year. Clearly, last year has been a pivotal year for Eutelsat. First, I am pleased to report that we delivered a solid financial performance aligned with expectations. Total revenues have reached EUR 1.244 billion, which is up 1.6% like-for-like. The 4 operating verticals contributed to EUR 1.226 billion in revenues, up 0.8% like-for-like. And most notably, our LEO, Low Earth Orbit segment saw year-on-year revenue growth exceeding 80%, reflecting the increasing commercial traction across geographies and use cases. These LEO revenues now represent 15% of all group revenues. That is reflecting the substantial growing demand for LEO capacity and [ debt ] across all verticals.

Over the past year, we have provided satellite capacity to Ukraine. We have also signed key agreements with European institutions, including a massive framework agreement with the French Ministry of Armed Forces and a contract with the U.K. Foreign and Commonwealth Office. These milestones are reflecting our growing role as a trusted partner in Europe sovereign digital infrastructure.

We announced a capital increase of EUR 1.5 billion to support our long-term strategic road map. This initiative is backed by all core shareholders, including the French State and His Majesty's Government of the U.K. and this is expected to be completed by the year-end. This financing will strengthen our capital structure, accelerate deleveraging, unlock investments capacity to support both the continued expansion of our LEO network and our future role in IRIS2 constellation. In parallel, we are pursuing a complementary debt refinancing plan to further enhance our financial flexibility.

Now let's have a look at the operational performance. Please note that all the comments I will make on these numbers are relating to like-for-like variations [indiscernible] on a constant currency and perimeter basis. Our total revenues for full year '24, '25 stood at EUR 1.244 billion. This is up by 1.6%. If we look again at the operating vertical revenues, they are up by 0.8% and our LEO revenues amounted to EUR 187 million, up by 84.1%, again, showing the strong demand momentum. Our adjusted EBITDA stood at EUR 676.2 million on June 30, and it was stable, while the adjusted EBITDA margin stood at 54.2%.

Now if we look at our CapEx, we had EUR 450 million CapEx last year, which is below the level of '24 due to the phasing of the constellation, the LEO constellation renewal. And our net debt-to-EBITDA was 3.88x. These financial results were in line with our projections of our operating vertical revenues around the same level and an adjusted EBITDA margin slightly below the level of the previous year.

Let's have a look now at our different segments. Video is representing 50% of the revenues with EUR 608 million, a decline of 6.5%. Fixed Connectivity revenues are representing 20% of the group revenues, and they grew by 4.3%. Government Services represent 17% of our revenues and are growing by 24%. Mobile Connectivity revenues are representing 13% of the total group revenues, and they were stable year-on-year. Other revenues of EUR 17.5 million are actually coming from recognition from IRIS2 revenues and hedging amongst other things.

Let's now have a look at these segments a bit more in detail. Starting now with Video. So revenues Video were down year-on-year by 6.5%. This is clearly reflecting the maturity of this legacy business. Eutelsat leading video hotspots nevertheless continue to attract broadcasters, notably HOTBIRD. HOTBIRD that is at 13 degrees East, which saw the renewal of capacity agreements with long-standing customers, the Swiss broadcasting corporation, for instance, while we had wedotv, which is the global ad-supported streaming TV network that signed a new deal to add free-to-air streaming channels to the HOTBIRD satellites.

The fourth quarter revenues on this segment stood at EUR 147 million, down by 6.8% year-on-year, and they were broadly stable quarter-on-quarter. And what I want to state here on the Video segment is that as we announced recently, Eutelsat has removed several more Russian channels from its fleet to be compliant with the latest directives of our national regulator, ARCOM. The impact on revenues of the removal of this channel is estimated at EUR 16 million and a similar amount of EBITDA loss in '25-'26.

Let's now go to the Fixed Connectivity vertical. Revenues there stood at EUR 247 million. They were up by 4.3%. This is mainly thanks to the continued growth of the LEO-enabled connectivity solutions. And that is offset by more challenging conditions for the GEO-enabled solutions, including, for instance, the contract on which we ceased revenue recognition with TIM in Italy on KONNECT-VHTS.

The fourth quarter revenues stood at EUR 69 million. They were down 14% year-on-year. This reflects, again, year -- last year comparison base because last year was boosted by a high level of terminal sales and recognition of catch-up revenues that explain this quarter -- year-on-year quarter decrease. Quarter-on-quarter revenues were up 21%, and that, again, thanks to LEO revenues performance.

Amongst recent commercial wins on the commercial -- on the fixed connectivity on LEO, Eutelsat and Orange signed an agreement for LEO capacity that is going to enable Orange Group to strengthen its satellite solutions portfolio with LEO connectivity solutions for its enterprise and government customers. And of course, that will be for them a potential support on their mobile backhauling globally.

Let's now go on the vertical segment on Government Services, where revenues stood at EUR 211 million. That segment grew by 24% year-on-year, thanks to the growth of LEO-enabled solutions, notably with the services we delivered for Ukraine and as well the increased demand from other non-U.S. governments such as Taiwan, for instance. The fourth quarter revenue stood at EUR 65 million, up by 41% year-on-year and 30% -- 38%, sorry, quarter-on-quarter.

In June '25, we inked a major EUR 1 billion 10-year framework agreement with France Armed Forces Ministry in the context of the NEXUS program. This will reinforce the French military space communication model by combining military and civilian resources, the civilian resources being brought to the French Army by Eutelsat OneWeb.

Elsewhere, we are also proud that we signed a contract recently with the U.K. FCDO. The OneWeb LEO constellation will provide high-speed, low latency connectivity for British Embassies, High Commissions, Consulates and as well as broader U.K. government activities globally.

We also signed an extension of the contract with MBS, our German distributor, which is a multiyear, multimillion euro agreement to provide Eutelsat OneWeb LEO connectivity to government and institutional customers across Europe.

Let's now look at the Mobile Connectivity revenue segment, which stood at EUR 160 million, actually stable year-on-year. This reflected growing demand for LEO-based solutions, notably here in maritime, and that was actually offset by lower GEO revenues.

On the commercial front, we signed last week a deal with India's Station Satcom to deliver LEO connectivity services to the global maritime sector, which is an important contract for us.

What I want to state as well is that in this mobile segment, aero connectivity -- aero mobility is really gaining traction. We have now over 100 airplanes installations, which have been completed out of the backlog close to 1,000 aircraft. And we have customers that are major airlines, including, for instance, Air Canada or Delta Airlines.

Now let's have a look at our backlog. As you can read there, our backlog is strong and stood at EUR 3.5 billion on June 30, 2025. This is an equivalent of 2.8x our '24/'25 revenues and connectivity is representing 57% of this backlog.

Now I will hand over to Christophe, our CFO, that is going to comment for you our financial performance. Christophe, please?

Thank you, Jean-Francois. Good morning, everyone. Starting with profitability. Reported EBITDA stood at EUR 676.2 million at the end of June 2025 compared with EUR 718.9 million a year earlier, down by 5.9%. This gap is explained by the missing OneWeb quarter in fiscal year '24. On a like-for-like basis, the EBITDA was stable. The adjusted EBITDA margin stood at 54.2% at constant currency. It was 54.4% reported versus 55% a year earlier and 59.3% reported. OpEx were EUR 73.4 million higher than last year, reflecting the consolidation of OneWeb over 12 months compared with only 9 months in fiscal year '23-'24.

On a pro forma basis, costs were up 3.5%, reflecting the ramp-up of LEO activities to full operational run rate. This impact was mitigated by synergy benefits from the integration of OneWeb and strict cost control measures, among which IT costs and OneStream implementation.

Group share of the net result was a loss of EUR 1.0819 billion versus a loss of EUR 309.9 million a year earlier. This reflected other operating expenses of EUR 777 million compared to EUR 208 million last year, including an impairment of EUR 535 million in respect of GEO goodwill in H1 and a further EUR 186 million in GEO satellite impairments.

D&A of EUR 808 million versus EUR 702 million a year earlier, reflecting the perimeter effect of OneWeb as well as higher in-orbit amortization due to entry into service of EUTELSAT 36D and 20 LEO satellites during the first half and these have been partly offset by a lower GEO on ground depreciation.

Then a net financial loss of EUR 201 million versus EUR 124 million a year earlier, mainly reflecting the evolution of foreign exchange gains and losses and higher interest costs. A corporate tax inflow of EUR 6.7 million versus an inflow of EUR 28.3 million a year earlier, reflecting the nonrecognition of deferred tax for French entities in '24-'25.

And finally, losses from associates of EUR 2.4 million versus EUR 22.8 million last year, reflecting the contribution of the stake in OneWeb in the first quarter of financial year '23-'24, now fully consolidated.

Let us move to CapEx. Gross CapEx amounted to EUR 449.8 million compared with EUR 517.1 million a year earlier. This decrease reflects lower GEO satellite program expenditure and lower LEO on-ground CapEx as well as the phasing of CapEx related to the renewal of the LEO constellation. Capital expenditure is expected at a level of EUR 1 billion to EUR 1.1 billion in the fiscal year '25-'26, reflecting the timing of key milestones, which are including the order of an initial batch of 100 additional satellites in December 2024 as well as the upcoming order of 340 further satellites for the LEO constellation.

Going forward, CapEx will remain focused on LEO activities in line with the group's strategic vision, primarily on the Gen-1 follow-on program. GEO CapEx on the other side will ensure service continuity.

At the end of June 2025, net debt stood at EUR 2.6266 billion, up by EUR 82.2 million versus the end of June '24. It reflected CapEx-related movements and higher financial costs, partially offset by net cash flow generated by activities as well as the reclassification under IFRS 5 of the liabilities of the assets held for sale in the context of the disposal of the passive ground infrastructure for more or less EUR 100 million. This disposal remains on track for the foreclosure at the beginning of calendar year 2026.

As a result, the net debt to adjusted EBITDA ratio stood at 3.88x compared to 3.79x at the end of June 2024. The average cost of debt after hedging stood at 4.37%, down from 4.87% in fiscal year '23-'24. This decrease reflects both the reduction in short-term interest rates on the group financing index on variable rates as well as the maturity in January '25 of the Cross Currency Swaps portfolio. The weighted average maturity of the group debt stood at 2.5 years compared to 3.5 years at the end of June '24. Liquidity remains strong with undrawn credit lines and cash around EUR 1.07 billion.

Now back to Jean-Francois to comment the outlook and next steps.

Thank you very much, Christophe. So a few reminders of the key elements of our market update that took place on June 19, 2025. As you can see there, the B2B satellite connectivity market is seeing a strong momentum with projected growth of this total market around 12% per year through '29. And this is expected to more than double the size than 2033.

And virtually, all that growth in connectivity is being driven by LEO, which is massively outpacing the broader market growth. The LEO B2B revenue, satellite revenue growth is expected to be at a growth of 28% CAGR through 2029 and to multiply its current size five-fold over the next 8 years.

So in summary, LEO is no longer an emerging technology. This is a proven and scalable solution that is really unlocking entirely new use cases. And thanks to its low latency, high throughput and fast, flexible deployment has a lot of potential, and this is precisely the market on which we are positioned with our OneWeb constellation.

So since Eutelsat has acquired OneWeb in 2023, we've made strong progress in addressing a number of operational challenges that were identified at that time. And this is positioning us today to fully capitalize on this opportunity.

I want to pinpoint a few key matters. The first one is that our satellite fleet is now fully in orbit with a further 20 satellites that have been added in 2024, which led to upgraded service quality. Today, we are operating a fleet of over 650 satellites that are offering more than 99% network availability. We have now 39 satellite ground portals, which are live across the globe. There are 5 more under deployment, and that will put us on track to offer a full worldwide global coverage in 2026.

And from a regulatory standpoint, we have secured the commercial licenses in more than 180 countries for now. And we offer a full suite of next-generation terminals with further innovation on the way, including a new manpack model for military usage and dedicated IO -- UT antennas specialized for airplanes. All of this is putting Eutelsat in a fundamentally stronger position to scale in LEO.

Zoom on the traction we are seeing on Government Services now. I remind that we are the only one of 2 LEO operators that is currently not a U.S. company. And as mentioned here in this presentation that you see on the screens, the strategic importance of Eutelsat has been now showcased by a number of deals. The most important is clearly the landmark framework agreement we are having with French Ministry of Armed Forces alongside France's NEXUS program, which is a $1 billion -- EUR 1 billion, sorry, framework contract.

But we also signed recently a LEO capacity deal with the U.K.'s Foreign and Commonwealth office to connect Embassies and other sites abroad.

And last but not least, we have renewed and enhanced a multiyear multimillion euro extension of our LEO capacity contract with our German distributor, MBS to address the needs of some European governments.

Now let's go back to our capital increase. Since our communication -- our last communication on June 19, we are obviously delighted that His Majesty's Government of the U.K. has joined our capital increase alongside the other core shareholders. This is boosting the capital increase from EUR 1.35 billion to EUR 1.5 billion. And you can see on this slide the details of the U.K. participation that are outlined.

Clearly, this capital raise of EUR 1.5 billion will support the execution of our strategic road map and clearly reinforce our financial strategy. It will strengthen our balance sheet, reduce the pro forma leverage to around 2.5 at the end of the fiscal year '26 and enhance our credit profile. That will clearly unlock access to complementary funding sources such as debt market, ECA financing, and all of these will be critical to support our CapEx plan over '26-'29, alongside, of course, with the continued improvement of our LEO operating cash flows.

Let's now turn to our financial objectives. So clearly, since stepping into the role, one of the findings that has stood clearly out for me is the pace at which commercial momentum is building across multiple verticals and geographies. It's a strong signal that Eutelsat proposition is resonating and that we are now meeting real and growing customer needs.

So in this context, I have set out a clear and focused action plan for the company. First, scale up the operations to achieve full global coverage with a total of 44 ground satellite portals, giving us a full earth coverage.

Second, on the go-to-market front, we are sharpening our focus on high-value use cases such as aero, tactical mobilities, seeking to deploy more specialized and more cost-efficient user terminals and, of course, obtaining remaining licenses to enable service activation in key countries.

And third, on the operational side, we are ensuring continuity beyond Gen-1 with the upcoming deployment of 440 follow-on satellites while continuing to enhance performance across software, ground infrastructure and UT globally to provide the best service with our constellation.

If we now go to the financial objectives for next year. In full year '25-'26, we are expecting LEO revenues to demonstrate further strong growth, rising by 50% year-on-year. This dynamic growth will compensate, but not yet outweigh the decline in GEO revenues and the GEO revenues will be impacted, unfortunately, by additional Russian sanctions in the Video business. As a result, Eutelsat target revenues in line with and an adjusted EBITDA margin slightly below those of full year '24-'25.

On the CapEx front, as Christophe mentioned earlier, we are expecting to reach approximately EUR 1 billion to EUR 1.1 billion CapEx and following the contemplated capital increases announced in June, and this capital increase is due to be completed by the end of the year, the calendar year '25, net debt-to-EBITDA estimated is at circa 2.5x by year-end '25-'26, which is clearly reflecting a robust and self-funded financial structure.

If we now look on the longer term, when we look further out and GEO gathers momentum, Eutelsat is expecting growth and profitability to ramp up with revenues expected to range between EUR 1.5 billion and EUR 1.7 billion by the end of '28-'29. That is clearly thanks to the strong momentum of LEO revenues, which are going to significantly expect -- outperform, sorry, the market growth of B2B connectivity revenues.

In terms of operating leverage, we expect to drive mid- to high single-digit percentage points improvement in EBITDA margin, which should result -- will result sorry, in a margin of at least 60% by full year '28-'29. And in the longer term, post '28-'29, the B2B connectivity market is expected to pursue its growth at a double-digit rate, again, mostly driven by the LEO market expansion.

So to sum up, Eutelsat is experiencing robust growth in your revenues on the back of a strong demand. Eutelsat is uniquely positioned as the European space connectivity champion in shifting geopolitical environment. We are making strong progress in addressing the operational challenges, and we are on track for our full global services in 2026. Management is laser-focused on revenue growth drivers, aiming to deliver EUR 1.5 billion to EUR 1.7 billion revenues in full year '28-'29 with an EBITDA margin of 60% more. And financing is secured with a strong backing from our core shareholders for an upcoming EUR 1.5 billion capital increase, underpinning a fully comprehensive '26-'29 financing strategy.

On that note, I thank you very much for your attention. And now Christophe, Joanna and myself are ready to take your questions.

[Operator Instructions] We'll now take our first question from Aleksander Peterc of Bernstein.

First of all, on your fourth quarter revenue, 2 things stand out. One is obviously the strong government. And the second one is what I believe is consultancy revenues from IRIS2, correct me if I'm wrong, in the line, other. So could you help us understand, can you sustain this momentum in governments and how we should model the other revenue line going forward? And then I have a quick follow-up on OneWeb.

I mean, indeed, you're right. I mean, the EUR 70 million are mostly linked to IRIS2-linked revenues and a few other items, but mostly linked to IRIS2. And the way you should model is clearly -- I mean, you see the trends. I mean, the trends on the GEO, Video revenues, which are legacy revenues is we are expecting a continuous declining trends of the mature legacy businesses. Same on the connectivity GEO business and very, very strong growth on the LEO OneWeb business. So that's obviously the way I'm sure you are already doing modeling and you should continue doing modeling in the future.

I don't know if Christophe or Joanna want to add something.

Yes. Maybe a couple of points, Aleksander. First, starting on the Gov and the strength of the Gov in Q4. Obviously, it's related to the increase in service revenues, but you should also take into consideration a strong momentum on the equipment sales during Q4, which explains some of the very strong growth for this particular quarter. So obviously, you should figure that out in your projections.

On IRIS2, I mean it's really related to the -- so to the revenue that we recognize for the work that is performed for IRIS2. This is mainly related to internal cost, I mean, man hours or hours that are invoiced. It's -- I mean, they should continue in the years to come as long as the IRIS2 program is on, in development.

It's quite difficult to predict a precise figure. That's also the reason why, I mean, they are allocated in other revenues. And they are kind of one shot or depending on the specific requirements and on the specific frame of the projects. That's what I can say on IRIS2.

Okay. Great. And then a quick follow-up just on your revenue with OneWeb. So first of all, do you plan to continue reporting this revenue line separately quarterly or on a full year basis?

And the second kind of sub-question would be, how is the connectivity revenue distributed within OneWeb? What's driving the growth? Is it more government? Is it more fixed data mobility?

So yes, first of all, I can confirm that we will continue to report the split between LEO and GEO revenues. That's for sure. What I can say is it's quite spread over the different verticals. The growth in OneWeb is strong, and this is true for the verticals we are reporting. I mean there's no major significant variance within the total revenues and between the different verticals. And what I can say is it's more or less in line with our historical split of revenues within connectivity. No major change.

We'll now take our next question from Stephane Beyazian from ODDO.

I've got 2, if that's possible. The first one is, can you tell us a little more on what are your expectations specifically for the contract with the French Army and also with the U.K.? When do you expect revenues to start kicking in? And what sort of size could we be thinking of?

And my second question is regarding the OneWeb revenues. Is it possible to have a bit more detail? Because I guess some of the revenues reported for OneWeb also include some revenues from Eutelsat. So I was just wondering whether we can have the, let's say, net revenues or external revenues?

Shall I -- Stephane, thank you for the question. I mean on the OneWeb revenues, they are purely external. I mean there are no internal Eutelsat revenues. I mean what we are communicating here EUR 183 million revenues of sales to third parties. So there is no, let's say, internal focus in the revenues publication. This is just external.

On the first question, I mean, we are working with the French Army currently to make these revenues start kicking in as soon as -- some of these revenues start kicking in as soon as the end of this calendar year 2025. So in the middle of our fiscal year '26 basically. So that's what the plan is. After that, I mean, you have seen the size of the contract. It's a EUR 1 billion framework contract over 10 years. So it gives you an idea of the expected, I would say, run rate yearly once we will have ramped up the contract. So roughly around EUR 100 million per year revenues expected on 3 main topics without going into the details of this contract.

The first topic is capacity. So the French Armies are planning to buy from us just raw capacity. The second one is potential payloads on upcoming satellite launch, which will be specific to military usage. And the third one is hardening in a way, helping us to harden the constellation with some stronger encryption, for instance, or other specific matters that would be purposeful for military usage.

If I just may add one point on your first question, Stephane, on the -- it's what we report is not OneWeb revenue. We report LEO revenues, right? So this is the combination of all LEO revenues. So obviously, LEO revenues are based on the constellation owned by OneWeb. But what you have is you may have some revenues within Eutelsat S.A. that are LEO related. But what we are reporting, again, as Jean-Francois mentioned, is 100% external revenues.

And just a follow-up, if that's possible. You also mentioned, I think, some revenues from Ukraine. Do you see more potential there?

Yes, we do, and this is the aim of the extension we just signed with one of our distributors. So we see the services and the number of, let's say, the usage, they are growing basically, and that is month after month.

And we will now take our next question from [indiscernible] of Bank of America.

Quickly on the debt refinancing plan, I think you mentioned early on in the call that there can be a potential debt refinancing exercise. Can you maybe elaborate a bit on that plan?

Yes, sure. Thanks for the question. Well, what I want to first start with and stress is that, obviously, the global financing plan for the group is obviously starting with the equity raise and the increase in share capital. So this is the very big important point. This is a start point. This allows us to have a much better balance sheet, first. Second, it's, as you have probably seen, highly positive on the rating side and our profile -- our rating profile is improving significantly, thanks to this increase in share capital.

So on this basis, yes, obviously, this allows us to address the financial markets, and it's part of our plan for the year to come. This will be addressed through mainly 2 things. First of all, is financing through export credit agency support. So that's the first leg. And the second leg is obviously to refinance our current bonds. As you know, we have a maturity -- a first maturity for year 2027, calendar year 2027. So we will be addressing this in this coming year.

It's a bit early for us to give you a precise timetable of when we will go to the market. But obviously, all the teams are focused on this, and it's the current work that we are doing.

[Operator Instructions] And we'll now move on to our next question from Ben Rickett of New Street.

Thank you also for the new LEO revenue disclosure. It looks like the LEO revenue was really strong in Q4. I wondered if you could talk a bit about what has driven that strength in Q4? To what extent it's one-off? And then how we should expect that to phase going into 2026?

And then second question, you've again given the backlog numbers. I wondered if you could say what the LEO backlog was at the end of Q4? And maybe also to what extent that backlog is being impacted by currency, by the dollar weakness?

Okay. So let me maybe start with your second question, Ben. If I understood well, your question was related to the LEO backlog, right? And how is it linked to the currency to U.S. dollar.

Well, first of all, let me answer on the U.S. dollar and EBIT more broadly. The percentage of our sales, and I would say, would apply to the backlog too based, on U.S. dollar is a bit more than half -- 50% of our business. So what I can say is that more or less, if you have $0.01 variance in the dollar to the euro or the euro to the dollar, that has an impact of roughly EUR 6 million in annual sales, just to give you a bit [indiscernible].

Obviously, this is not the impact on the EBITDA level, right? It's much lower. EBITDA the impact would be about 1/3. So obviously, the variation between the euro and the -- well, the dollar to the euro has some impacts on the backlog and consider, again, 50% of this.

On the LEO backlog, we are close to -- in the same range as we disclosed priorly, that is to say around EUR 1 billion. Just a precision on this one. As you know, I mean, in the Connectivity business, the length of the contracts is not the same as the one in the Video business as we were using to see. I mean we have much longer terms in Video than we have for Connectivity. And this is true for both LEO and GEO business. So we are more used to much shorter contracts that are reflected into the backlog. I mean, closer to less than 2 or 3 years compared to an average of around 5 years in the Video business. So this is -- I hope I've answered to your second question.

And Christophe, if I may add on the LEO backlog, what is to be remembered, and we are expecting strong growth on the LEO revenues. As a reminder, so we are expecting more than 50% growth on the LEO revenues year-on-year. So we see a strong appetite on LEO again.

On the first question related to a strong Q4 revenues. When we look at the Q4 '24-'25 compared to the same Q4 last year, we have an increase and then focus on connected revenues of roughly 2% if we look on a like-for-like basis. Clearly -- so you had debt at the same level as last year, I mean, in terms of variance.

What I can say is that you need to take into consideration that usually Q4 are impacted by true-up in the LEO business. So yes, you may have a bit stronger Q4 than the other quarters. And again, this is mostly linked to this true-up recognition. What I can say also is that for the last quarter of fiscal year '25, we had a significant sales of equipment for the Video business, which was actually the case also in the fiscal year '24. So this is also a good sign because we are increasing the number of equipment and users' terminals in the ground, which is also very positive for the ongoing service revenues.

That's really helpful. And I think in Q4 2024, those equipment sales were about EUR 30 million. Is it roughly the same in Q4 this year?

Yes, it's not so -- it's about the same level that -- we are in the same range. A bit stronger actually.

We will now take our next question from Wolfgang Felix of Sarria.

I apologize if you've already covered this, I dialed in a little bit late. You have disclosed LEO revenues of EUR 187 million. But when I subtract group from communications, I'll come to a difference of EUR 115 million. And in my sort of simplistic world, that should be OneWeb. Are there LEO-related revenues that you're charging at group level as opposed to OneWeb? Or how come there is such a difference? It's some EUR 70 million difference?

Sorry, are you talking about Eutelsat S.A. and Eutelsat Group?

Yes, I'm sorry. So...

Yes. No, it doesn't work like that. We can take it offline, and I can explain to you. But as Christophe said earlier and Jean-Francois, there are no internal. There are no intra-group revenues. Everything that we disclose for LEO is external sales.

Exactly. I recall you saying that. Could you possibly maybe contact me afterwards?

Yes, I will.

And we'll now take our next question, a follow-up from Aleksander Peterc of Bernstein.

Just a quick follow-up. It's just on modeling. So should we model the Russia roll-off in the first quarter as being 1/4 of the full year impact that you specified, which I think is EUR 16 million. Is it working in a linear manner over the year? And that comes on top of a normal decline of around 5%? Or is it now more like 6.5% decline in Video? That's the first one.

The second one is when you talk about margins being slightly down in fiscal '26, that is before the impact of the ground infrastructure sale and leaseback. Is that correct? And if you could just remind us of the math there?

Yes. So definitely -- Aleksander, for the Russian business is as from 1st of July. So it's a completely linear impact. And for the second question, yes, what we -- the guidance that we give there, it's before the impact of Stargate. The reason being that we can't precisely plan for the exact date when Stargate is going to be effective.

So yes, I confirm. And I confirm that on a yearly basis, the impact on the EBITDA -- the impact of Stargate on the EBITDA is roughly EUR 70 million per year. But this is, again, on an annual basis.

There are no further questions in queue. I will now hand it back to Jean-Francois for closing remarks.

Thank you very much for being present at the beginning of August for our call. Again, to sum up this year results, strong and robust growth in LEO revenues. We are now uniquely positioned with OneWeb being the only European space connectivity champion in this complex geopolitical environment that you all know. And with now this upcoming EUR 1.5 billion capital increase, we are fully financed for generating this growth story in our future.

So thanks very much. Have a good summer. And for those of you who have the chance, enjoy the summer break and see you very soon in the back-to-school. Goodbye.

Thank you. This concludes today's call. Thank you for your participation. You may now disconnect.