Space42 reports $115m in Q1 2025 revenue
UAE-based SpaceTech company Space42 PLC, listed on the Abu Dhabi Securities Exchange under the symbol SPACE42, has released its pro forma consolidated financial results for Q1 2025. The company, known for integrating satellite communications, geospatial analytics and AI, continues to push forward on its global growth strategy following its launch in October 2024.
In Q1 2025, Space42 generated revenue of $115m, reflecting a 13% year-on-year decrease attributed to timing shifts in milestone recognition within Bayanat Smart Solutions, which is currently undergoing a transformation toward a programmatic market approach. Despite the revenue dip, the company maintained a strong financial position, posting a Normalised Net Profit of $30mon par with the same period in 2024and improving its margin by three percentage points to 26%. The company also reported a Normalised EBITDA of $61m, while capital expenditures reached $74m.
Space42 closed the quarter with $895m in cash and short-term deposits, a net leverage ratio of -1.8x, and negative net debt of $488m. The company also reported nearly $7bn in contracted future revenues, demonstrating continued momentum across its strategic pillars and laying the groundwork for long-term scalable growth in the SpaceTech sector.
Karim Sabbagh, Managing Director of Space42, commented: 'We entered 2025 with a clear strategy and a platform built to scale. This quarter reinforced our discipline on margins, the momentum across our four strategic pillars and our focus on long-cycle delivery.
'We launched new assets in space, expanded coverage, and advanced programmes that strengthen sovereign capabilities and position us to scale internationally. We are executing a model anchored in differentiated infrastructure and downstream applications in satellite communications and AI-enabled geospatial analytics.
'Our focus is on programmatic and long-term engagements with our key customers. This go-to-market approach is well established within Yahsat Space Services, and the appropriate transformation is underway within Bayanat Smart Solutions.
'Our strategy is demonstrated by the dual-use satellite communication and earth observation platforms we are building and the differentiated outcomes we are delivering across national and international markets, with the latter segment to grow in relevance over time. That is how we create enduring value.'
Space42s performance this quarter was underpinned by progress across four core growth pillars. The company advanced its position as a preferred provider of high-quality geospatial data with the successful launch of Foresight-1 and Foresight-2 satellites, laying the groundwork for a robust Earth Observation constellation. It also moved ahead with its Synthetic Aperture Radar (SAR) satellite production facility in Abu Dhabi, slated to begin manufacturing in the second half of 2025. Additionally, its High Altitude Platform Stations (HAPS) site is set to become operational by June, with the capacity to produce over 20 unmanned aerial vehicles annually.
In geospatial intelligence and AI platform services, the GIQ platform is being scaled to deliver real-time analytics across civil and defense applications. The company also signed a Memorandum of Understanding with FADA and EDGE to establish a national geospatial ecosystem, unlocking downstream applications valued at more than USD 100 million.
Space42 reinforced its leadership in non-terrestrial connectivity (NTN) with the successful launch of Thuraya-4, which is on track for commercial activation in the second half of 2025. This satellite will underpin a new generation of mobility platforms and product offerings. In addition, the company partnered with Viasat to develop a multi-orbit 5G NTN open architecture aimed at enabling global direct-to-device (D2D) and mobile satellite services. The quarter also saw the launch of the IP Neo broadband terminal and the Thuraya One smartphoneboth key steps toward expanding coverage in underserved regions and achieving seamless satellite-terrestrial integration.
As a trusted provider of secure connectivity, Space42 advanced its Al Yah 4 and Al Yah 5 satellite programs, which remain on schedule and within budget, with launches targeted for 2027 and 2028. The company also demonstrated operational resilience by rapidly restoring partial Thuraya-3 service across key markets through the redeployment of redundant capacity.
With disciplined execution and a clear strategic focus, Space42 is positioning itself as a global leader in space technology, ready to capitalize on long-cycle opportunities and deliver sustainable value across national and international markets.
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