SES heads into this earnings reaction with a bruised share price. The stock has fallen about 18% over three months and roughly 27% over the past month, even before traders processed today’s numbers. That is a lot of pessimism already baked in.
The headline this quarter is not revenue; it is the pressure on profitability. SES booked about €782m of Q2 revenue yet reported a net loss of €160m, leaving investors to question how much of the satellite giant’s transformation story can offset a widening earnings hole.
Concerned that SES’s revenue scale is being undercut by pressure on profitability? Benchmark it against our 306 resilient stocks with low risk scores to see how other companies combine sturdier earnings profiles with more resilient balance sheets.
Q2 2026 Earnings Summary
- Revenue, Q2 2026 vs. Q2 2025: €782 million vs. €518 million (higher year on year)
- Net Loss, Q2 2026 vs. Q2 2025: €160 million loss vs. €20 million loss (loss widened)
- Basic EPS, Trailing 12 Months to Q2 2026 vs. Trailing 12 Months to Q2 2025: €0.360 loss per share vs. €0.134 loss per share (loss per share increased)
- Total Revenue, Trailing 12 Months to Q2 2026 vs. Trailing 12 Months to Q2 2025: €3.226 billion vs. €2.050 billion (higher on a trailing 12 month basis)
Prefer clean charts instead of another wall of numbers? See SES’s full financial picture, including a clear view of its recent earnings and profitability trend, in the company report for SES.
SES Bull Case Hinges On Execution, Not Just Growth
The bullish story on SES centres on multi orbit growth, government contracts and Intelsat cost savings turning a larger platform into a healthier one. The latest numbers show parts of that script starting to play out, but not yet in the income statement. Networks now account for around two thirds of revenue, with H1 reported growth coming from Mobility and Government & Defense and a €3.5b gross backlog. That lines up with recent Petrobras and U.S. Space Force wins and the aviation pipeline, including about 200 new aircraft in H1, which all point to progress on higher margin service revenue.
The FCC upper C band order and IRIS2 negotiations moving toward completion also support the idea of more visible, long dated government and spectrum cash flows. However, like for like revenue and EBITDA both declined in H1, which means the growth engines are not yet fully offsetting pressure in Media and Fixed Data.
Reveal whether Wall Street thinks SES’s multi orbit expansion and government contract pipeline justify sticking with this turnaround story by checking the consensus price target analysis for SES.SES Bear Case Finds Fresh Support In H1 Misses
The bearish view on SES argues that execution risk, structural weakness in Media and Fixed Data, and leverage will choke the multi orbit story. H1 numbers give that view some traction. Like for like revenue fell about 5% and adjusted EBITDA declined about 6.2%, even though Networks now contributes 64% of revenue and carries a €3.5b backlog. That points to execution delays and pricing pressure rather than clean growth.
The worry that legacy Media and Fixed Data will drain cash also shows up. Media declined about 10% like for like in H1 and Fixed Data remains under pressure. Adjusted free cash flow was a €130m outflow on heavy mPOWER and related CapEx, while like for like net debt to EBITDA edged up to about 4.4x. With the share price down roughly 27% over 30 days, the market reaction suggests these missed milestones are being taken seriously.
After interest cover, dividend strain and recent share price swings, are these setbacks isolated events or early warnings? Review the risk analysis for SES which shows 3 important warning signsStay Ahead Of Your Next Move
If SES’s earnings swings and turnaround effort have your attention, register for free with Simply Wall St and add it to a Watchlist to track the share price against fair value and watch for a more attractive entry point. Once you are invested, use the Portfolio Command Center to cut through noise and keep on top of the most important changes to your holdings. For a broader view, tap into crowd wisdom and different investor angles through the Community. By spotting potential catalysts and risks early, you give yourself a better chance to stay ahead of the market.
Seeking Alternatives Beyond SES?
Markets move fast and the stocks with real breakout potential rarely stay under the radar for long. Spot fresh ideas gaining momentum before the crowd catches on and act now.
- Capitalize on potential momentum in profitable AI leaders by scanning curated 69 profitable AI stocks that aren't just burning cash that pair revenue strength with disciplined spending while that edge is still underfollowed.
- Zero in on potential compounding machines by reviewing a hand picked 524 high quality undiscovered gems cohort that may still be flying below most investors’ screens.
- Target resilience while markets keep swinging by assessing a filtered 306 resilient stocks with low risk scores set that focuses on sturdier balance sheets before attention fully shifts their way.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com