Telesat reported third‑quarter 2025 financial results for the period ended September 30, 2025, with consolidated revenue of $101 million, a 27% decline year‑over‑year, largely driven by lower rates on a long‑term renewal with a North American direct‑to‑home customer and the expiration of a separate agreement with the same customer.
Operating expenses rose to $58 million, reflecting higher legal and professional fees and increased headcount for the Lightspeed program. Adjusted EBITDA fell to $47 million, a margin of 46.3% compared with 69.5% in the same period 2024. The company’s net loss for the quarter was $121 million, a swing from a net income of CAD 68 million in Q3 2024, largely due to foreign‑exchange losses and a loss on the fair value of Lightspeed financing warrants.
Sequentially, Q2 2025 revenue was $106 million, a 30% decline year‑over‑year, and net income was $76 million. The Lightspeed backlog remains above $1 billion, and the GEO segment continues to generate positive cash flow. Management highlighted ongoing investment in the LEO constellation while maintaining 2025 guidance for revenue and adjusted EBITDA.
Telesat has been actively managing its debt, repurchasing a significant amount of debt in Q2 2025, which reduced overall debt and generated annual interest savings. The company’s transition from legacy GEO services to the high‑growth Lightspeed platform is a strategic priority, positioning it to capture future growth in mobility, maritime, aeronautical, and critical broadband markets.
The competitive landscape includes established satellite operators and emerging LEO constellations such as SpaceX’s Starlink. Telesat’s focus on high‑speed, low‑latency broadband services aims to differentiate it in this crowded market while leveraging its existing GEO infrastructure for a hybrid approach.
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