CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and can afford the risks. Trading CFDs is high risk and is not suitable for everyone. Refer to our PDS and Target Market Determination. AFSL 513393
Open platformOpen platform

Canada's Telesat Q3 revenue falls 20%, but beats estimates

By Reuters News


Overview

  • Canada satellite operator's Q3 revenue fell 20% yr/yr but remained above analysts' expectations

  • Adjusted EBITDA dropped 74% yr/yr, impacted by debt refinancing expenses

  • Company signed C$2.7 bln contract with Canadian government for Lightspeed program


Outlook

  • Telesat reiterates 2026 GEO revenue guidance of C$300 mln to C$320 mln

  • Company expects 2026 GEO adj EBITDA of C$210 mln to C$230 mln, excluding debt refinancing costs

  • Telesat lowers 2026 Lightspeed program spending forecast to C$1.1 bln–C$1.3 bln from C$1.3 bln–C$1.5 bln


Result Drivers

  • CONTRACT NON-RENEWALS - Co said lower GEO revenue was mainly due to non-renewal of broadcast contracts, reduced capacity for broadcast and broadband customers, and removal from service of some GEO satellites

  • DEBT REFINANCING COSTS - Co said higher expenses related to debt refinancing weighed on adjusted EBITDA


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

Beat

C$81 mln

C$77.10 mln (6 Analysts)

Q3 Loss Per Share

C$3.09

Q3 Net Loss

C$157 mln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the wireless telecommunications services peer group is "buy"


Reuters Recommended Reads

  • Oct 27 - Canada's BCE sells minority stake in new tower unit to La Caisse for $1.75 billion

  • Oct 28 - Netherlands' KPN Q3 group service revenue rises; reiterates 2026 outlook

  • Oct 28 - Norway's Telenor Q3 service revenue rises, maintains 2026 forecast


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.