Telesat Reports Q1 2025 Earnings Amid Revenue Decline

Telesat Corporation reported a decline in revenue for Q1 2025, with figures dropping to approximately CAD 117 million from CAD 152 million a year prior, and a net loss of CAD 51.5 million, reflecting ongoing financial challenges. Despite these headwinds, the company highlighted progress in its LEO segment, Telesat Lightspeed, including significant contract backlogs and new strategic agreements with partners like ViaSat, Orange, ADN, and Space Norway. Telesat also improved its financial position by repurchasing debt at a discount, resulting in notable interest savings. While there are some positive developments in strategic partnerships and debt management, analysts remain cautious due to continued revenue declines, negative profitability margins, and weak stock momentum. However, some forecasts suggest Telesat's revenue could grow at a rate above the broader telecom industry over the next three years, despite recent share price volatility. Overall, the company faces a mixed outlook as it navigates both operational advancements and persistent financial pressures.