FULL YEAR 04-5 RESULTS

Results fully in line with objectives

Revenues of 1,476m up 4.0% like-for-like[1], and 9.5% on a reported basis

High level of profitability: EBITDA margin of 76.7%

Group share of net income up 17% to 355m

Proposed dividend increase to 1.09 per share, payout ratio of 70%

Outlook: Revenue growth of 2-3% for current year, accelerating to 4-6% in 2016-17

Paris, 30 July 2015 - The Board of Directors of Eutelsat Communications (ISIN: FR0010221234 - NYSE Euronext Paris: ETL) met yesterday and reviewed its financial results for the year ended 30 June 2015.

Key financial highlights FY 2013-14 FY2014-15 ActualChange Like-for-likeChange

Revenues - m 1,347.9 1,476.4 9.5% 4.0%1

Profitability

EBITDA[2] - m 1,033.2 1,131.7 9.5% -

EBITDA margin - % 76.7 76.7 = -

Group share of net income - m 303.2 355.2 17.2% -

Financial structure

Net debt - m 3,779 3,841 62m -

Net debt/EBITDA[3] - X 3.5 3.4 -0.1 pt -

Backlog - bn 6.4 6.2 -3.5% -

Commenting on the FY 2014-15 results, Michel de Rosen, Chairman and CEO of Eutelsat Communications, said: The past year has seen a number of significant commercial successes notably renewals at the HOT BIRD and 16 East video neighbourhoods, as well as several contract wins in Africa and MENA, and a strong performance by Satmex, that now operates as Eutelsat Americas. All applications contributed to growth.

Our deployment plan is paving the way for the future, with the order of EUTELSAT 172B equipping us to accelerate our expansion in Asia-Pacific from 2017, and the successful launch of EUTELSAT 115 West B, the first all-electric commercial satellite, that will bring expansion capacity to the Americas. The development and procurement of the software-defined Eutelsat Quantum satellite also underlines our commitment to innovation for our clients as a driver of growth.

Revenue growth for 2015-16 is targeted at 2-3%, reflecting the impact of Russian contract renegotiations, delays to our launch schedule and the current pressure on Government Services. In 2016-17 it should accelerate to 4-6%, thanks to the arrival of new capacity for fast-growing markets, albeit with a delay of EUTELSAT 65 West A. Revenues will continue to be underpinned by our solid backlog, representing over four years of revenues, as well as the positive dynamics in our targeted growth markets and applications. We remain committed to generating value for our shareholders, with a proposed dividend this year up 6% to 1.09, representing a payout ratio of 70%.

REVENUES[4]

Total revenues for FY 2014-15 stood at 1,476.4 million, up 4.0% on a pro-forma basis at constant currency and excluding non-recurring revenues. The appreciation of the dollar relative to the euro added 3.2 points to top-line growth, particularly in Government Services and to a lesser extent in Data Services. On a reported basis revenues were up 9.5% including the impact of changes in perimeter (acquisition of Satmex and disposal of KabelKiosk).

In the context of the current economic environment in Russia, Eutelsat entered into discussions with its Russian clients with the aim of alleviating some contract terms. The impact on FY 2014-15 revenues was around 2 million.

Revenues for the Fourth Quarter stood at 385.9 million, up 2.1% year-on-year like-for-like. The appreciation of the dollar relative to the euro added 7.4 points to top-line growth.

Revenues by business application

In millions

FY 2013-14 reported FY 2013-14 restated FY 2014-15 Actual change Like-for-like change

Video Applications 877.2 872.3 913.0 4.7% 3.5%

Data Services 189.8 209.2 226.6 8.3% 1.3%

Value-Added Services 88.7 88.7 102.4 15.4% 14.8%

Government Services 157.8 174.7 196.5 12.5% 2.6%

Other revenues 33.9 32.4 37.9 17.1% 15.9%

Sub-total 1,347.4 1,377.3 1,476.4 7.2% 4.0%

Non-recurring revenues 0.5 0.5 - na na

Total 1,347.9 1,377.8 1,476.4

EUR/USD exchange rate 1,360 - 1,228 7.2% 4.0%

Video Applications (63% of revenues)

For FY 2014-15, revenues from Video Applications were up 3.5% like-for-like to 913 million. This mainly reflected the entry into service of the Express-AT1 satellite in May 2014, the good performance of Eutelsat Americas, resources added in September 2013 to the 7 /8 West position (covering MENA) as well as growth at 16 East (Sub-Saharan Africa and Central Europe), 36 East (Russia and Sub-Saharan Africa) and 7 East (Middle East and Africa).

This performance more than offset the negative impact of the renegotiation during the second half of contracts with Russian customers for around 2 million, as well as lower revenues at 28.5 East and the non-renewal of contracts with some service providers at the HOT BIRD position.

Contracts signed during the year included the multi-year renewal of seven transponders at the HOT BIRD neighbourhood by the Polish pay TV operator, nc , the long-term extension of capacity agreements on EUTELSAT 16A by Total TV, the leading TV and broadband service provider in South-Eastern Europe, and multiple contract wins in Africa.

Fourth Quarter revenues amounted to 235.3 million, up 3.3% like-for-like on a year-on-year basis, and by 3.3% quarter-on- quarter. They benefited from the ramp-up of some African contracts as well as several non-recurring items, the most significant being the provision of capacity for the Expo Milano 2015 Universal Exhibition.

At 30 June 2015, the total number of channels broadcast by Eutelsat satellites stood at 5,793 ( 47 channels year-on-year). HDTV penetration continued to increase, representing 11.9% of channels compared to 10.2% a year earlier. A total of 687 channels were broadcast in High Definition across Eutelsat's fleet, up from 584 a year earlier

Data (16% of revenues)

For FY 2014-15, revenues from DataServices were up 1.3% like-for-like to 226.6 million.

LINK:	http://news.eutelsat.com/pressreleases/full-year-2014-15-results-11974...
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