The General Shareholder’s Meeting of HISPASAT, the Spanish satellite solutions and services operator and provider of the Red Eléctrica Group, has unanimously approved today the annual accounts for 2021, in which the company reached total revenue of 181 million euro, which represents a 14.9% increase over the revenue earned in 2020.
On a like-for-like basis, isolating the effect of exchange rates, organic business growth reached 9% compared to 2020, a highly positive trajectory compared to the rest of the satellite sector which recorded losses of around 3%. By geographic areas, 72.5% of the company’s business came from the Americas, while 27.5% come from the European market.
With these results, HISPASAT completes its reorganization and consolidates the goals set forth in its 2021-25 Strategic Plan. In line with the company’s defined transformation process, the managed services business —both broadband as well as video— now represents 15% of the Group’s total revenues, thanks in large part to the contribution coming from the video signal management and transportation business acquired in Latin America.
HISPASAT is financing this process with its own equity. The high level of cash flow has allowed the company to reduce its net financial debt by 35% compared to 2020, which now sits at 112.5 million euro. This lower level of debt has strengthened its balance sheet, while the company is also supported by a strong liquidity position. For this reason, HISPASAT boasts sufficient investment capacity to address projects already in operation and other new ones —consistent with achieving its Strategic Plan— through its own funds and external financing and which therefore do not require any shareholder resources.
The EBITDA in 2021 increased to 136.2 million euro, 14.2% higher than in 2020, which means an operating margin on revenue of 75.2%. Additionally, the company earned 55.8 million euro in net profit in 2021 of which 80%, —that is, 44.6 million euros—, will be distributed as a dividend to its shareholders. Furthermore, last year the Group invested 73.4 million euro, 25.5% higher than the previous year. Out of this total investment figure, 81.5% is dedicated to preparations for the launch of the new Amazonas Nexus satellite expected for the end of the year.
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