Telesat is holding to its financial targets for the year despite an expanded loss and drop in revenue for the latest quarter.
The Canadian satellite operator's attributable loss widened for the third quarter to 47 million Canadian dollars ($33.6 million), or C$3.09 a share, from last year's C$35.3 million, or C$2.38 a share.
The company said it saw an increased loss in the quarter associated with increases in the fair value of Telesat Lightspeed financing warrants, which was partially offset by a foreign exchange gain compared to a currency-related loss a year prior.
Earnings before interest, taxes, depreciation and amortization on an adjusted basis declined to C$12.1 million from C$46.8 million a year earlier.
Revenue for the three months fell 20% to C$80.6 million from C$101.1 million in 2025.
Revenue from the company's geostationary satellites segment was hit after a broadcast contract wasn't renewed last year and with a reduction in contracted capacity for a broadcast customer in 2026, combined with a reduction in service to a North American broadband customer and the removal from service of certain geostationary satellites, Telesat said.
As of the end of September, the company said the order backlog for its geostationary segment totaled about C$779 million and its low-Earth orbit backlog stood at roughly C$5.6 billion. The company in August secured its largest contract to date to deliver military satellite communications to the Canadian Armed Forces in the Arctic worth up to C2.7 billion.
Telesat continues to project 2026 geostationary revenue to be between C$300 million and C$320 million, and adjusted Ebitda for the segment of C$210 million to C$230 million, excluding one-time debt refinancing costs.
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