Telesat Corp
NASDAQ:TSAT
Telesat Corp
Telesat Corp. delivers satellite communications and consulting services. The company is headquartered in Ottawa, Ontario. The company went IPO on 2021-11-19. The firm is a global satellite operator, providing its customers with communications services. Through a combination of satellites and ground facilities, the Company's communications solutions support the requirements of satellite users. The company is engaged in developing and operating an orbit-based (GEO) satellite services business. The company also develops Low Earth Orbit (LEO) satellites and integrated terrestrial infrastructure, called Telesat Lightspeed, which is a platform designed to develop the provision of global broadband connectivity. The company transforms the global satellite and terrestrial communications industries. The company offers a suite of GEO satellite services to direct-to-home (DTH) service providers, Internet service providers (ISPs), network service integrators, telecommunications carriers, corporations and government agencies. Telesat Lightspeed consists of approximately 298 interconnected LEO satellites for commercial and government users.
Telesat Corp. delivers satellite communications and consulting services. The company is headquartered in Ottawa, Ontario. The company went IPO on 2021-11-19. The firm is a global satellite operator, providing its customers with communications services. Through a combination of satellites and ground facilities, the Company's communications solutions support the requirements of satellite users. The company is engaged in developing and operating an orbit-based (GEO) satellite services business. The company also develops Low Earth Orbit (LEO) satellites and integrated terrestrial infrastructure, called Telesat Lightspeed, which is a platform designed to develop the provision of global broadband connectivity. The company transforms the global satellite and terrestrial communications industries. The company offers a suite of GEO satellite services to direct-to-home (DTH) service providers, Internet service providers (ISPs), network service integrators, telecommunications carriers, corporations and government agencies. Telesat Lightspeed consists of approximately 298 interconnected LEO satellites for commercial and government users.
Revenue Decline: Q3 revenue fell to $101 million, down $37 million year-over-year, mainly due to lower rates and capacity in renewed customer contracts and the expiry of another agreement.
Profitability Impact: Adjusted EBITDA dropped to $47 million, with the margin at 46%; operating expenses increased by $12 million, mostly from LEO project headcount and higher legal fees.
Guidance Unchanged: Management reiterated full-year 2025 guidance for revenue ($405–425 million), adjusted EBITDA ($170–190 million), and capital expenditures ($900 million–$1.1 billion).
LEO Progress: Lightspeed constellation remains on track, with the first launch of pathfinder satellites planned for late 2026 and commercial service expected by the end of 2027.
Capital Structure Steps: Spun out 62% of Telesat Lightspeed equity to an indirect subsidiary to enhance financing flexibility; ongoing engagement with GEO debt holders.
Defense & Government Demand: Growing interest in Lightspeed from government, especially defense clients, as Canada commits to increased defense spending.
Debt Reduction: Total debt reduced by 36%, with annual interest savings of approximately $53 million.
