(AOF) – Over the year 2021, SES-imagotag’s turnover reached 422.6 million euros, up 46%, a level higher than the announced objective of 400 million euros. “This performance is driven by the solid momentum of all regions in Europe (+53.3%), which represents 75% of the total”, explained the specialist in electronic labels and digital solutions for physical commerce. Order intake increased by 32% in 2021 to 601.8 million euros.
“With a performance in the second half which should be close to that of the 1st half, the year 2021 will show a balance sheet of strong growth and a clear improvement in its profitability compared to 2020, despite supply constraints. and the sharp rise in component prices around the world,” SES-imagotag said.
In a global context that will remain tense in supply chains in 2022, the Group remains confident in its strong commercial momentum and the pursuit of its profitable growth strategy, in line with the objectives of its strategic plan.
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Key points
– First world operator of telecom satellites, created in 1985 covering the entire world population with 74 satellites;
– Turnover of €1.88 billion drawn from video –distribution and related services- for 65% and networks –governments, mobility and data- for 35%;
– Two-point economic model / video: generate high self-financing and increase service quality, particularly in HD and OTT / networks: focus growth on 3 segments – data for telecoms and the cloud, mobility and secure connectivity for governments;
– Capital held at 11.58% of the voting rights by Luxembourg and at 10.88% by BCEE and SNCI and cannot accommodate another shareholder with more than 20.1%, Frank Esser chairing the board of directors of 12 members and Steve Celler being general manager;
– Sound financial position with free self-financing of €1. billion and debt leverage of 2.9.
Challenges
– In a market that should double within 10 years, strategy aimed at revenue growth, higher than that of the operating result, the reduction of investments and financial equilibrium;
– Innovation strategy: oriented towards 2 reservoirs of future growth: connected mobility applications in the air, maritime and automotive sectors, and data and cloud-related solutions, combining terrestrial and space applications / co-creating with customers incubation solutions;
– Environmental strategy: after CO2 emissions have been maintained at 40 Mt for 10 years despite the increase in activity, a reduction has been initiated since 2018 / waste reduction in space via the reuse of launchers and sending to an orbital graveyard;
– Balanced industrial investment policy between satellites and ground terminals;
– In 2021, launch of the SES-17 satellite and the 7 03bmPOWER satellites, disruptive in the cloud, IoT, mobile data and artificial intelligence, leading to an increase in capex to €1.35 billion and securing growth at from 2023;
– Order book of €5.6 billion;
– Reflections on a subsidiary of the network activity.
Challenges
– Stock market volatility in relation to statements by competitors Eutelsat and Inmarsat, mergers in the sector, orders from the military sector, particularly in the United States, as well as the progress of mega-projects by Google/Qualcomm, Tesla and Sky;
– Value creation thanks to the compensation by the American FFC, Federal Communications Commission, for the provision of “C-band”, in the amount estimated at €4 billion paid in 2 payments (€1 billion at the beginning of 2022 then €3 billion in 2023);
– Achievement of ambitions to increase the result in 2022 after the launch of SES-17;
– At the end of September 2021, 6.5% drop in revenues and 17% increase in net income;
– 2021 objectives, revised downwards: €1.76 to €1.82 billion in revenue and €1.12 to €1.16 billion in operating profit.
The Middle East ESC
Still relatively unknown compared to the Consumer Electronics Show (CES), the Gitex (Gulf Information Technology Exhibition) in Dubai has existed since 1981 and attracts around 100,000 visitors a year. Even if it wants to compete with the CES in Las Vegas, and the region is a very tech-savvy market, the Gitex remains, despite its internationalization, still a regional hub for technology. The CES makes it possible to cover the United States, North America and Europe at the same time, while the Gitex rather covers the Middle East, Africa and South Asia. In 2021 this event took place at the same time as the Universal Exhibition in Dubai. France was the second most represented country, behind Italy.