Abu dhabi: In the first half of 2025, Space42 delivered a resilient performance with a normalized net profit of USD 53 million, maintaining consistency with the prior period and achieving an increased margin. This reflects the company's strong operational optimization and strategic execution.
According to Emirates News Agency, Space42 closed the period with USD 816 million in cash and short-term deposits. The company also secured a USD 0.7 billion ECA-backed funding facility, supported by contracted future revenues of USD 6.8 billion, and made substantial progress across its four strategic pillars. Karim Sabbagh, Managing Director of Space42, emphasized the company's commitment to operational excellence and capability building, highlighting the dual-use capabilities that drive both commercial success and strategic value.
Space Services saw a 2% year-on-year revenue growth in Q2 2025, reaching USD 100 million, fueled by double-digit expansion in the oil and gas segment. The business performed strongly in secure communications and mobile satellite services, benefiting from the UAE's push for secure and sovereign communications capabilities. The company expects this momentum to continue in the medium to long term.
Growth is anticipated to accelerate in the second half of 2025 with the commercial operations of the newly launched Thuraya-4 satellite. This satellite will offer a range of new mobile satellite services for defense, security, and commercial applications. The increasing relevance of these capabilities is underscored by recent regional events. Space Services also advanced its direct-to-device future space system, with key milestones set to be announced in H2 2025.
While Smart Solutions underperformed due to the timing of multi-year engagements, it continued to build programmatic capabilities with new programs expected to launch in the second half of 2025. The primary focus remains on manufacturing and deploying the Foresight system, which includes seven state-of-the-art Earth observation SAR-based satellites, and advancing the GIQ geospatial analytics platform. This platform, now available on the Microsoft Azure Marketplace, addresses a global demand for dual-use geospatial information and insights. These capabilities earned the Future Fit seal from the UAE Government under the UAE Space Agency's umbrella, underscoring their importance to both Space42 and the UAE.
The company also made strides in the direct-to-device (D2D) future space system, partnering with Viasat to establish a shared multi-orbit standard-based 5G NTN open architecture and a globally scalable platform, with key milestones to be announced in H2 2025.