Annual Report (ESEF) • Mar 4, 2025
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Download Source FileSES SA ANNUAL REPORT 2024 CONTENTS The Operational & strategic report, Corporate governance & remuneration report and Environmental, social & governance report constitute the Consolidated management report. SES ANNUAL REPORT 2024 | 02 Operational & strategic report Environmental, social & governance report Corporate governance & remuneration report Consolidated financial statements SES S.A. Annual accounts Additional information OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS OPERATIONAL & STRATEGIC REPORT SES ANNUAL REPORT 2024 | 03 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS CONTENTS Operational & Strategic Report SES ANNUAL REPORT 2024 | 04 Our company Our business model & priorities Our value chain Our business segments Business & financial highlights Letter from the Chairman Letter from the Chief Executive Key satellite industry trends Our global network SES Networks SES Media Financial review & outlook Acquisition of Intelsat OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS We work together with our customers and partners to build meaningful solutions that bridge the digital divide and enable shared experiences in the world of data connectivity and media broadcast. We are a trusted partner in space- based communications with a track record spanning over 35 years delivering critical infrastructure to world-leading telecommunications companies, mobile network operators, governments, institutions, internet service providers, cloud-based solutions businesses, broadcasters, video platform operators, and content owners. We operate a multi-orbit satellite-based infrastructure - across Geostationary and Medium Earth Orbits (GEO & MEO) - covering over 99% of the Earth and delivering an attractive combination of high data rates, low latency, service reliability, and flexibility to meet our customers’ requirements anywhere on earth. We also provide access to LEO via our partnerships. 54% of our revenue comes from the Networks business which supports the rapidly expanding global demand for high performance broadband connectivity solutions across the Government, Mobility, and Fixed Data segments. Our Media business accounts for 46% of revenue, operating some of the most valuable television neighbourhoods and our established track record of delivering customer value and high quality viewing experiences to hundreds millions of TV homes, serving more than 1 billion people, around the world. We enable customers to successfully power their businesses and run critical applications by: • Expanding their network reach to anywhere on land, at sea, and in the air; • Benefiting from reliable, high-performance connectivity through tailored sophisticated multi-orbit solutions; • Enjoying the flexibility and choice of solutions to meet their needs today and in the future; • Optimally scaling their network from tens of megabits per second to multiple gigabits per second to more people and locations; • Having piece of mind with guaranteed service delivery and end-to-end network management solutions and costumer experience; and • Seamlessly integrating our competitive oering as a core component of existing networks, whether terrestrial- or satellite-based. The company is underpinned by strong financial positioning and fundamentals, with: • Strong balance sheet metrics and a commitment to investment grade metrics, ensuring access to a range of financing sources at attractive rates and driving shareholder value; • Substantial customer contract backlog, delivering high cash flow visibility and longevity to profitably grow the business; and • Disciplined financial policy and laser focus on execution, to generate a sustainable and profitable business with strong free cash flow generation. We contribute to making a dierence throughout the world and are committed to acting in a sustainable and responsible manner, with an ESG agenda focused on: • Enabling a climate-neutral future, building a circular global economy, and ensuring a sustainable space environment; • Driving social impact by connecting the unconnected and making SES a great place to work where our talented people make it happen; and • Excellence in governance, where we embed ESG best practices into everything we do. The company is listed on the Paris and Luxembourg stock exchanges under the ticker SESG. 99% coverage of the Earth €2.0B revenue in 2024 €4.8B contract backlog 54% of revenue by Networks 362M TV households Baa3/ BBB investment grade credit rating OUR COMPANY ESRS 2 SBM-1 SES ANNUAL REPORT 2024 | 05 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Satellite connectivity transcends boundaries, enabling seamless communication without limits anywhere on land, at sea, and in the air. As a leader in space-based connectivity and content distribution, SES is poised to continue to play a pivotal role in meeting the world’s growing demand for global, sophisticated and reliable connectivity solutions. Our purpose is to harness the power of space to connect people and communities everywhere, delivering content that educates, entertains, protects, and empowers populations. By driving businesses and economies forward, enriching lives, and fostering innovation, we aim to redefine what is possible on earth, while we do the impossible in space and solidify our position as a top three satellite provider worldwide. OUR BOLD PURPOSE OUR BUSINESS MODEL & PRIORITIES ESRS 2 SBM-1 Our multi-orbit network delivers global coverage with sophisticated, flexible solutions and high performance broadband, empowering customers with unmatched connectivity. We support a large, highly cash flow generative, and resilient Media business, leveraging a broad TV audience reach in key neighbourhoods around the world. With priority access to equatorial MEO Ka-band spectrum, and a diverse range of global spectrum bands (C-band, Ku-band, and Ka-band), we are well positioned to meet customer needs in market segments where we have a strong right-to-win. Through an open innovation approach with strategic partners, we continuously enhance productivity, increase flexibility, and drive cost eiciencies. Our disciplined financial policy, underpinned by robust investment grade balance sheet and strong cash generation, ensures profitable investments and consistent shareholder returns. At the heart of our success is a diverse and talented team of experts from all walks of life, united by shared ambitions, goals, and a commitment to excellence. Together, we are building a sustainable, customer-centric business that drives innovation and delivers meaningful impact worldwide. OUR STRONG CAPABILITIES & ASSETS We do the extraordinary in space to deliver amazing experiences everywhere on Earth. Our ambition is to be one of the leading, globally scaled satellite operators and solutions providers, delivering a profitable, sustainable, and growing business that makes a positive contribution to all stakeholders. We deliver products and solutions to drive customers’ success by providing secure, guaranteed high performance connectivity and oering global audience reach and reliable, cost-eicient broadcast solutions. We focus on enhancing our service delivery OUR CLEAR STRATEGY ESRS 2 SBM-1 SES ANNUAL REPORT 2024 | 06 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS By investing in innovation and diversification, we are continuously advancing our technology We deliver value for all stakeholders and seek to make a dierence on Earth. Customers and partners are part of our family, and their success is our success. We work with great partners to deliver competitive, value-add solutions that meet our customers’ needs. Employees are our best assets. We want to unleash their full potential and passion, making SES a great place to work. We strive to deliver attractive returns for shareholders underpinned by a strong financial position, cash generation, and stable to progressive dividend. We want to raise up the human experience, ensure everyone is connected to the world’s content, and use our business as a force for good around the globe. OUR STAKEHOLDER VALUE CREATION capabilities in a resource eicient manner, realising opportunities to reduce our greenhouse gas footprint and that of our customers and partners. We focus on segments and customers where we deliver competitive oerings and sophisticated end-to-end solutions for end-users that are best addressed by MEO or GEO, either on a standalone basis or through seamlessly multi-orbit integration with terrestrial or other space- based networks. Our strategic priorities are centred on transformation, customer- centricity, investment in innovation, and operational excellence. We are transforming SES into a leaner, fit-for-purpose organisation with a streamlined operating model that maximises productivity and eiciency. We are enhancing our capabilities through data and technology and expanding our oerings to better serve evolving market demands. Our customer-centric approach ensures we design and deliver solutions in chosen segments where we have a strong right to win by meeting the growing needs of our clients across Government, Mobility, Fixed Data, and Media, taking advantage of our multi-orbit network, seamless integration with terrestrial networks, and digitalisation tools. Increased digitisation creates additional social value and opportunity in communities where we operate, as well as influencing energy usage and our environmental footprint which can be better understood and quantified through lifecycle assessments. By investing in innovation and diversification, we are continuously advancing our technology across the space and ground segment to stay at the forefront of connectivity solutions, strengthening our existing customer value propositions, and supporting our sustainability objectives. This provides opportunities to make a dierence by further expanding connectivity to unconnected or under- connected communities, drive greater space sustainability, and/or address environmental challenges. Finally, our commitment to operational excellence drives eiciencies across all sides of our business, enabling us to deliver consistent performance, maximise cash flow, and create long-term value. SES ANNUAL REPORT 2024 | 07 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES operates in the satellite communications (‘SatCom’) sector of the space industry, which forms an integral part of the global communications infrastructure. Our industry value chain includes the full lifecycle of satellite operations, from satellite design and manufacture to services delivered to the customer and/or end-user. The space industry is an infrastructure supplier to government agencies and commercial companies. It operates upstream of a value chain that flows downstream to the end users of satellite capabilities. The satellite value chain allows the delivery of space-based services reliant on satellite technology, and includes a wide diversity of stakeholders, active at six levels of the chain before reaching customers and end-users. OUR VALUE CHAIN Satellite launch Satellite design & manufacture Satellite operation Managed by SES Managed by SES & others Managed by others Upstream Customer interfaces & analytics tools Customer ground equipment Downstream Network solutions & integration Customers & end-users SES' satellite value chain SES ANNUAL REPORT 2024 | 08 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Satellite design & manufacture SES's value chain begins with the design and manufacture of satellites. We work in partnership with leading satellite manufacturers such as Boeing, Airbus, and Thales Alenia Space, as well as innovative ‘new space’ companies, to design state-of- the-art satellites tailored to the needs of our target segments and customers. Satellite launch After the satellites are built, they need to be launched into their designated orbits. SES partners with the world’s leading launch providers such as SpaceX and ArianeSpace, to guarantee reliable and safe deployment of our satellite fleet. UPSTREAM ESRS 2 SBM-1 Satellite Operation & Control (satellite-based services) We operate more than 70 satellites in two dierent orbits – in GEO and MEO – covering 99% of the world’s population. We provide global broadcast distribution around the world and broadband coverage to key customer segments such as government, maritime, aviation, telecommunication, energy, and cloud. Our chosen markets, products and services are closely aligned to our sustainability goals. We operate globally across all major regions, providing satellite broadcast services and connectivity in under connected areas. Our customers have varying ESG objectives that align to some or all of our own sustainability ambitions to address robust and secure network needs, space sustainability practices, access to communications for emergency and disaster response, circularity of the products we oer, improved energy usage of our products, and decrease global greenhouse gas emissions. SES operations comprise our own talented personnel, IT and infrastructure, a comprehensive network of gateways (see downstream Ground Segments for further information), teleports and fibre around the world that enable the connection to our satellites. SES also makes use of other third party satellite capacity whenever there is a need to augment SES satellite capacity and optimise network connectivity for specific client needs. Network Solutions & Integration Some satellite operators, such as SES, extend their value chain into downstream activities by providing value-added services to end-users. In selected segments, SES choses to bypass service providers by oering connectivity plus value-added services to the end-customer. SES OPERATIONS ESRS 2 SBM-1 SES ANNUAL REPORT 2024 | 09 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Ground Segment To access our satellite services, customers rely on sophisticated ground equipment, including satellite dishes and network terminals. The ground segment network is comprised of gateway manufacturers and suppliers (upstream) and terminal manufacturers and suppliers (downstream). They design and deliver a large variety of software and equipment for both the management of satellite infrastructure, and for user access to services. SES works with a wide range partners and suppliers such as Viasat, ALCAN, Isotropic Systems for customer terminals; Gilat and ST Engineering iDirect for modem platforms; and Pivotel and OTE for ground station equipment. These partners provide the required equipment and technology to ensure seamless connectivity between the satellite and end-user devices. SES has approximately 30 SES owned or partner teleports, a comprehensive fibre- based terrestrial network, and numerous points of presence (POP). Some customers operate their own earth stations and provide SES with technical information on their uplinks of access to spectrum – or connection to our in-orbit satellites – and then redirect that capacity towards their end-users. Network Solutions, integration, and analytical tools Beyond satellite capacity, SES provides end-to-end network solutions that include integration of satellite services with terrestrial infrastructure, data centres and cloud platforms. SES works with providers such as Amazon Web Services, Microsoft Azure, Reliance JIO, Orange, and others to oer customers integrated cloud solutions, access to 5G connectivity, making data storage and transmission more flexible. SES also provides retail services to end-users through Service providers or vertically integrated operators. SES provides inflight connectivity services for Anuvu, Panasonic, Thales and Intelsat (Gogo), who through SES’s capacity provides inflight connectivity for commercial airlines & business jets and Speedcast in the cruise segment which provides capacity for passenger & crew connectivity for cruise, commercial shipping & oil rigs. Our network solutions are designed to support industries like maritime, aviation, and government, providing global, secure, and high- bandwidth connectivity. SES also oers customers analytical tools that monitor network performance, optimise bandwidth use, and ensure service quality, providing detailed insights to improve operational eiciency. Customers & End-Users SES’s ability to integrate satellite capacity with terrestrial networks, cloud infrastructure, and advanced data analytics ensures that our customers receive sophisticated, reliable, and flexible communication solutions that meet their unique needs. SES's value chain, from satellite conception and launch to customer service and end-user support, is designed to ensure the best level of service excellence and operational eiciency. SES has the understanding, expertise, & capability to deliver integrated, sophisticated, end- to-end solutions through its value chain, empowering customers to meet their connectivity needs while delivering valued services to millions anywhere in the world. DOWNSTREAM ESRS 2 SBM-1 SES ANNUAL REPORT 2024 | 10 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS OUR BUSINESS SEGMENTS ESRS 2 SBM-1 The Networks business is divided between Government, Mobility, and Fixed Data. For decades, we have been an established partner to government agencies and institutions in the U.S., Europe, and throughout the world. We deliver secure and reliable connectivity to support mission-critical requirements in the most demanding of locations. The Mobility segment is split between inflight connectivity where we are a partner with airlines and service providers, and maritime connectivity with an impressive customer line-up which includes major cruise lines. Our competitive oerings allow customers to give passengers exceptional broadband experiences and drive eiciencies throughout their operations. Our Fixed Data segment is enabling major telecom companies and mobile network operators to expand their coverage and connect more people in more places with 4G and 5G services. This segment also caters to the enterprise, energy, and cloud customer segments. With commercial demand for reliable and high-quality connectivity everywhere expanding rapidly, SES is well positioned with our multi-orbit space-based network; proven and guaranteed high performance, sophisticated solutions; decades of expertise; and partnerships with major customers across the Government, Fixed Data, and Mobility segments. NETWORKS Our revenue is divided between the Networks (representing the combination of our Government, Mobility, and Fixed Data segments) and Media business. For the year ended 31 December 2024, we generated total revenue of €2,001 million and have a gross backlog of €4.8 billion including backlog with contractual break clauses. €1.1B of revenue in 2024 €2.6B gross contract backlog €760M of renewals & new business in 2024 SES ANNUAL REPORT 2024 | 11 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS The Media business generates revenue from the combination of broadcast (primarily direct to home) neighbourhoods across the world, our direct-to-consumer platform in Germany, and a growing global sports & events oering. Our global satellite infrastructure is relied on by the world’s leading broadcasters, platform operators, and content owners to deliver entertainment, news, and information to audiences in 362 million direct to home (DTH), direct to cable (DTC), and Internet Protocol (IP) TV households across the globe. We operate valuable TV neighbourhoods in Europe, the U.S., Latin America, Africa, the Middle East, and Asia-Pacific. When it comes to delivering the highest quality linear viewing experiences, satellite is most reliable and cost-competitive distribution platform for premium content such as live sports, news, and other entertainment in high definition. SES also operates HD+, a leading direct to consumer TV platform in Germany serving nearly 2 million paying subscribers with high quality HD TV content at home and on the go. Our Sports & Events business works with the world’s largest sports organisations and events companies to distribute premium live sports and events every single day, including the most-watched sports events. In tandem with our vast reach, we enable our customers to connect with their audiences on all screen via cost- eective workflows that reduce complexity. While changing viewing patterns will continue to weigh on demand for satellite capacity, viewing time of linear TV remains robust driven by major sports & events and our customers continue to make long-term contractual commitments and rely on SES to distribute their most valuable content and deliver the highest quality viewing experiences. This not only reflects the attraction of our Media business, but also underpins the business’ strong long-term cash generation fundamentals. MEDIA €0.9B of revenue in 2024 €2.2B gross contract backlog Last 2 years, €650M of renewals & new business in 2024 SES ANNUAL REPORT 2024 | 12 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS BUSINESS & FINANCIAL HIGHLIGHTS Strong execution against our financial objectives In 2024, we delivered revenue at the top end of our outlook, and Adjusted EBITDA exceeded our objectives. Consequently, revenue was broadly stable year-on-year and Adjusted EBITDA was higher than 2023. Capturing strong commercial momentum We secured €1.4 billion (gross) of renewals and new business underscoring the competitiveness, attraction, and value of our solutions. O3b mPOWER successfully serving customers In April 2024, we successfully started serving customers with our second-generation MEO constellation, expanding our multi-orbit oering and delivering high- performance, low latency, sophisticated customer solutions. Agreed a highly value accretive acquisition of Intelsat Our acquisition of Intelsat will create a stronger multi-orbit operator by combining two trusted operators with strong business and financial fundamentals, as well as unlocking €2.4 billion (NPV) of synergies of which 70% can be executed within the first three years after closing (expected during H2 2025). SES-led consortium contracted to deliver Europe’s IRIS 2 connectivity network of choice The SES-led SpaceRISE consortium signed a concession contract with the European Commission to design, deliver, and operate the innovative multi-orbit IRIS² sovereign connectivity network. IRIS 2 will expand SES’s network with 18 new MEO satellites providing pole-to-pole global coverage, plus extended access to LEO capacity, to keep pace with rapidly expanding customer demand. Key Business Highlights Group revenue €2,001 million 2023: €2,030 million Adjusted EBITDA €1,028 million 2023: €1,025 million Adjusted Net Profit €126 million 2023: €215 million Adjusted Free Cash Flow €253 million 2023: €431 million Adjusted Net Debt to Adjusted EBITDA ratio 1.1 times 2023: 1.5 times Key Financial Highlights SES regularly uses Alternative Performance Measures (APM) to present the performance of the Group and believes that these APMs are relevant to enhance understanding of the financial performance and financial position. Further information regarding these APMs is provided in Note 36 of the Consolidated Financial Statements. SES ANNUAL REPORT 2024 | 13 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS LETTER FROM THE CHAIRMAN 2024 was a strong year of execution, strengthening our foundations to deliver sustained value creation for customers, employees, and shareholders. On behalf of the Board, I would like to extend my gratitude to the entire SES community for their relentless commitment, hard work and dedication throughout 2024. Our key financial metrics were all in line or above the targets for 2024 and delivered an improved trajectory of performance with revenue stabilising year-on-year and growth in Adjusted EBITDA compared with 2023. Our balance sheet remains strong, demonstrating our commitment to investment grade metrics, cash generation, and underpinned by a gross contract backlog of almost €5 billion. Networks delivered a third consecutive year of growth reflecting our customer proposition of providing reliable, high- performance connectivity solutions anywhere on land, at sea, and in the air. We achieved two major milestones with the successful delivery into service of the O3b mPOWER constellation and our SES- led consortium securing the concession contract to deliver Europe’s multi-orbit IRIS 2 sovereign connectivity network of the future. Meanwhile, our Media business remains a significant and valuable contributor leveraging decades of expertise in delivering content around the world, an audience reach of more than 360 million householders or more than 1 billion people, and strong long-term cash generation fundamentals. The Board proposed a total dividend of €0.50 per A-share (€0.20 per B-share) including a final dividend of €0.25 per A-share (€0.10 per B-share) to be paid to shareholders in April 2025, net of the interim dividend already paid in October 2024, and reflecting our commitment to a stable to progressive cash distribution. In April, the Board unanimously approved the agreement to acquire Intelsat as a highly accretive transaction that will create a stronger multi-orbit operator with competitive solutions in our chosen market segments which is well positioned to deliver sustained value to customers, profitable growth, and long-term shareholder value. As SES meets its net leverage target (Adjusted Net Debt to Adjusted EBITDA) of below 3 times within 12-18 months after closing the Intelsat transaction, the company intends to increase the annual base dividend and then prioritise shareholder remuneration when allocating any future exceptional cash flows of the combined company. We are committed to ensuring that SES continues to make a positive impact on people, society, and our planet, aligning our strategy, operations, and infrastructure with the ambitions of our ESG agenda. I am delighted with the progress made in 2024 towards our goals of a climate- neutral future, ensuring a sustainable space environment, connecting the unconnected, making SES a great place to work, and embedding ESG best practices into everything we do. Finally, I would like to thank Dr Jennifer Byrne, who stepped down from the Board during 2024, for her contribution to SES. The Board continues to review its current composition to ensure that it has the right balance of skills and experience required to steer SES to future growth and value creation in the fast-changing market environment. Frank Esser, Chairman of the Board SES ANNUAL REPORT 2024 | 14 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS LETTER FROM THE CHIEF EXECUTIVE 2024 was a successful year for SES in which we improved our revenue trajectory with a broadly stable year-on- year outturn; progressed in building a leaner, more agile business for the future; demonstrated our right to win through strong customer deal execution totalling €1.4 billion in value; launched our O3b mPOWER MEO constellation to drive medium-term growth; and took steps to scale and strengthen our position in a growth industry with the highly value accretive acquisition of Intelsat. We delivered on our 2024 financial objectives with group revenue at the top end of our outlook, including a third consecutive year of growth in our Networks business, and we exceeded our Adjusted EBITDA target which also benefited from a 9% year-on-year reduction in recurring operating expenses (excluding cost of sales). In doing so, establishing a stable foundation on which to grow going forward, also underpinned by another year of positive Adjusted Free Cash Flow generation. Government revenue grew by 6.4% year- on-year reflecting expansion in both our U.S. and global customer base. We secured multiple wins including a $200 million NATO MEO Global Services contract, a nearly $120 million blanket purchase award to support U.S. European Command, an almost $50 million order from U.S. Air Combat Command, as well as other important wins. We were also delighted to secure the contract as the European Commission’s trusted partner for the flagship IRIS 2 sovereign connectivity network which will become Europe’s multi-orbit network of choice and will enable the future expansion of our dierentiated MEO architecture, keeping pace with expanding demand and sustaining profitable growth from 2030 onwards. In Mobility, we delivered 7.1% year-on- year growth with strong performance in aviation and a positive outturn in cruise. We launched SES Open Orbits TM inflight connectivity network, securing Thai Airways and Turkish Airlines as the maiden customers, and signed new agreements with global service providers. Meanwhile, Virgin Voyages and Resort World Cruises signed to our integrated MEO-LEO cruise solution, and we extended our overall portfolio with nearly 50 new cruise activations on the SES network during the year, taking us well above 100 connected ocean cruise ships. Fixed Data, although lower (-8.7%) year- on-year partly due to a periodic item recognised in 2023, performed ahead of expectations and continued to build a solid pipeline for future growth as evidenced by our partnership with Telebras to connect more than 1,500 sites in Brazil, with INRED for serving over 500 sites in Colombia, and new deals with other telcos/MNOs. I am also proud of the work we did to support customers in re-establishing communications and connectivity infrastructure in the immediate aftermath of hurricanes Helene and Milton in the U.S. Media, which serves more than 1 billion people, also performed as expected in 2024 (-5.3% year-on-year) with a stable outturn in our important DACH market Adel Al-Saleh Chief Executive Oicer SES ANNUAL REPORT 2024 | 15 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS and double-digit growth in our Sports & Events business. In 2024, we signed €650 million of renewals and new business including multi-year agreements with Sky, RTL, ORF/ORS, Telekom Srbija, Warner Brothers Discovery, and QVC, underscoring the solid fundamentals and long-term cash generation of our Media business. 2024 delivered a landmark milestone with the start of commercial services of O3b mPOWER, strengthening our capability to deliver competitive and dierentiated customer solutions in valuable and growing networks segments where we have a strong right to win. The successful launch of satellites 7&8 in December will, from end-Q1 2025, bring additional resiliency and much needed capacity to support the growing customer demand we are experiencing for this oering. Looking ahead to an exciting 2025, we expect to accelerate the pace of increase in Networks to oset lower Media revenue, while continuing to drive operational excellence across the business. The ongoing expansion of the O3b mPOWER constellation, with a further three satellites scheduled to be launched this summer, will increase the capacity and eiciency of the overall network which has already become an integral part of the connectivity experience of our customers. Finally, we are on track to secure the necessary approvals and complete the acquisition of Intelsat in H2 2025, creating a strong multi-orbit operator well positioned to compete in a dynamic and fast-growing industry. Since announcing the transaction, we have had the opportunity to thoroughly detail and validate the synergies and strengthen our conviction in both the quantum and in our ability to quickly deliver on them. Our strategy is showing results and will ensure that we deliver on our ambition to maintain SES’s position as a leading satellite-enabled solutions provider with relentless focus on creating value for customers, employees, shareholders, and society with profitable growth improving every year. SES ANNUAL REPORT 2024 | 16 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Satellite oers communication without limits. From space, satellite-based services can provide connections almost immediately and virtually anywhere - on land, at sea, and in the air – without the need for substantial and highly costly terrestrial infrastructure. Satellite oers communication without limits. From space, satellite-based services can provide connections almost immediately and virtually anywhere - on land, at sea, and in the air – without the need for substantial and highly costly terrestrial infrastructure. The satellite industry’s revenue is typically divided between two main segments of Networks (or Data) and Media (or Broadcast). The satellite industry’s revenue is typically divided between two main segments of Networks (or Data) and Media (or Broadcast). Networks refers to connectivity (fixed and/ or mobile) and data transmission services for enterprise networks, cellular backhaul and trunking, maritime markets, in-flight connectivity, government applications (civilian and defence), and direct-to- consumer broadband (this segment is not a relevant market for SES). Media refers to the distribution of television (TV) channels by satellite over direct-to-home (DTH) and other platforms, as well as professional exchanges of video content on a full time or occasional use basis. KEY SATELLITE INDUSTRY TRENDS The satellite industry is undergoing a period of transformation, bringing new innovations in technology, infrastructure, and services. Competition from new entrants and new satellite-based oerings is increasing in response to significant growth in customer demand. New High Throughput Satellite (HTS) and Software Defined (SD) oerings are being deployed in Geostationary Earth Orbit (GEO), Medium Earth Orbit (MEO) with our O3b mPOWER network, as well as in Low Earth Orbit (LEO). Each of these deployments oer dierent capabilities, value propositions, and strategic focus across a variety of target markets and applications. The need for seamless connectivity is also driving the industry towards a hybridisation of networks, combining dierent frequencies and orbits into single multi-orbit networks, allowing for expansion of services and added resiliency. Technology innovations have facilitated the production of more capable and cost-eective space-based infrastructure, enabling operators to oer an improved customer value proposition with more value for money, higher data rates, better performance, greater flexibility, and scalability to quickly expand into previously unconnected markets and geographies. In turn, these technological advancements are delivering profitable growth and attractive return on investment prospects for our industry. The following examples highlight the wide scope of how critical these innovations are to all segments of the industry. The integration of satcom into 5G/6G terrestrial networks DYNAMIC AND COMPETITIVE MARKET ENVIRONMENT SES ANNUAL REPORT 2024 | 17 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Exponentially growing demand for reliable, high-performance and sophisticated connectivity solutions anywhere on land, at sea, and in the air is expected to drive substantial industry growth as satellite becomes an increasingly critical part of the mainstream network ecosystem. Satellite-based solutions are becoming an increasingly critical component to serving a range of government and commercial needs thanks to their unique capabilities of high performance, scaled and flexible connectivity anywhere on Earth. Governments’ investment in sovereign space capabilities is accelerating rapidly including expenditure on commercial satellite communications for additional secure communications, ensuring network resiliency, and improving government personnel (notably military) welfare. Governments increasingly need access to flexible, rapidly deployable and dependable secure networks all of which serve to accelerate commercial SatCom procurement initiatives. Significant demand for satellite-based connectivity in the aviation and maritime segments is not only being driven by more demanding passenger expectations when travelling by air or sea, but also from airlines and ship operators seeking to improve overall operational and business eiciency and customer experience. Upgrades and expansions of telecom and mobile networks are accelerating as operators are looking to satellite to extend their network reach by rolling out 4G, and 5G cellular backhaul, as well as community WiFi, services. The expansion of universal broadband access and rural digital inclusion initiatives continue to pick up pace as the digital revolution drives the need for more connectivity. Adoption of global cloud computing brings multiple commercial benefits for all these demand areas which are expected to rely more and more on satellite-based connectivity to power applications to support improved productivity and eiciency, reduce operational costs, and create new business opportunities. Increasing subscribers for residential, or direct-to-consumer, broadband services is expected to support growth in Broadband Access revenues (this segment is not a relevant market for SES) which will benefit from the introduction of lower cost, higher data rate oerings, notably from Non-Geostationary Earth Orbit (NGSO) constellations. RAPIDLY EXPANDING DEMAND FOR RELIABLE, SECURE, AND HIGH PERFORMANCE CONNECTIVITY Exponentially growing demand for reliable, high- performance data and sophisticated connectivity solutions anywhere on land, at sea, and in the air is expected to drive substantial industry growth. via 3GPP standards is expanding use cases for rural, remote and mobile connectivity. Software-defined ground segments have embraced digitisation and virtualisation, as well as enhanced use of cloud services to improve data processing and management. Software-driven orchestration platforms enable network integration across orbits while satellite terminal manufacturers unleash new possibilities flexible multi- frequency capable antennas. At the same time, the sector is seeing consolidation among incumbent satellite operators where there is a logic to increasing scale, unlocking operational eiciencies, optimising capital expenditures, improving return on investment, and delivering better services for customers. Satellite operators are also seeking to get closer and more integral to customers in their target market segments through vertical integration initiatives. SES ANNUAL REPORT 2024 | 18 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Increased penetration of HD and Ultra HD TV sets is expected to fuel consumer demand for additional content in higher quality formats carried over satellite by the end of this decade. For decades, satellite has established a proven track record as the most reliable and cost-eective platform for linear TV content which represents a significant source of income for the world’s broadcasters, free-to-air/pay-TV platforms, and content owners. Satellite’s ability to overcome the lack of ubiquitous broadband coverage or uneven distribution is a source of strategic importance to customers seeking to cater to consumer demand for shared viewing experiences, as well as the need for public and independent programming. Adoption of new compression technologies and changing consumer viewing habits has led to lower demand for satellite capacity in mature markets as broadcasters and platform operators seek the right balance for their oerings between linear and on-demand experiences. Satellite remains well placed in emerging markets where favourable economics and eicient compression technologies, position operators well to capture opportunities from content- hungry consumers with increasing spending power. Increased penetration of High Definition (HD) and Ultra HD TV sets is expected to fuel consumer demand for additional content in higher quality formats with Standard Definition (SD) TV channels being gradually replaced by HD as the dominant proportion of overall TV channels carried over satellite by the end of this decade. Lower replacement investment requirements for satellite operators going forward enable them to compensate for lower revenue by reducing capital expenditures, thus maintaining high profitability and cash generation in the medium to long-term. CONSUMER VIEWING HABITS ARE CONTINUING TO EVOLVE SES ANNUAL REPORT 2024 | 19 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS We leverage a vast and intelligent network that spans satellite and ground infrastructure, connecting more people in more places. SES has the understanding, expertise, & capability to deliver integrated end-to- end solutions. Our fleet operates in both GEO and MEO, and in LEO through partnerships, providing an attractive combination of global coverage, high throughput, and low latency capabilities in a multi-orbit oering. We invest across our network to drive productivity, flexibility, simplicity, and value for target customers & segments. The SES GEO fleet comprises over 40 satellites operating with a combination of C-, Ku-, Ka-, and X-band frequencies. The majority have ‘wide beam’ payloads where a small number of beams are used to cover large geographic areas. Three of our satellites (SES-12, SES-14, and SES-15) have a hybrid combination of wide beam and high throughput payloads which carry many smaller beams capable of deploying more bandwidth and throughput to a defined area. Additionally, SES-17 is a Ka-band high throughput satellite delivering high performance connectivity services for customers in the Americas, the Caribbean and over the Atlantic Ocean. SES also operates O3b, a constellation of 28 high throughput Ka band satellites in MEO equatorial orbit, combining classic MEO and the new innovative O3b mPOWER constellation. The key advantages of O3b are the capability to scale capacity globally by simply adding more satellites into the MEO orbit, and the ability to serve applications that require low latency which cannot be served by GEO. Both SES-17 and O3b mPOWER leverage our Adaptive Resource Controller (ARC), a software solution that serves as the brain for the network, which will enable dynamic and automatic traic allocation in real-time, as well as orbit switching for complete and seamless interoperability between MEO, GEO and LEO. We are also working with various technology partners to roll out next- generation terminals to optimise bandwidth eiciently and dynamically across all orbits and oer modern, flexible and virtualised ground infrastructure to support a seamless network. This will strengthen our capabilities to deliver flexible and reliable, high performance connectivity solutions anywhere on land, at sea, and in the air. OUR GLOBAL NETWORK MULTI-ORBIT SATELLITE- BASED NETWORK SES ANNUAL REPORT 2024 | 20 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS This is done by approximately 30 SES owned or partner teleports, a comprehensive fibre-based terrestrial network, and numerous points of presence (POP). We bring satellite connectivity to the customer by providing seamless access to the satellite fleet and the extensive fibre- based network transports content from any city in the world to any other place in the world via one of SES owned or partner teleports and the six main SES POPs. Controlling satellites is not a fully automated eort. Our Satellite Operations Centres (SOCs) receive up to 25,000 telemetry parameters per satellite in real time, including the necessary data to determine each spacecraft’s position. Our Network Operation Centres (NOCs) monitor and control all transmissions on the SES network, ensuring that they all perform within tight specifications to maximise the quality and availability of our customers’ services. GLOBAL GROUND NETWORK FOOTPRINT Our ground infrastructure ensures that customers can gain access to our satellite fleet and capacity from anywhere in the world. To do this, SES combines global network with local presence. SES delivers satellite access and fibre-based transport to connect any city to the world via SES teleports and global POPs. 20x O3b satellites 11x O3b mPOWER satellites Complete GEO Coverage Complete GEO Coverage 50°N 50°S MEO Standard Service ( s ) ¿50° Latitude 50°N 50°S MEO Standard Service ( s ) ¿50° Latitude AMC-6 139°W SES-22 131°W SES-21 SES -15 129°W AMC-21 125°W AMC -15 SES-11 105°W NSS-11 176°E NSS-9 177°W SES -1 101°W SES-2 87°W QuetzSat-1 77°W AMC-3 72°W SES -14 47.5°W SES-6 40.5°W NSS-10 37.5°W SES-4 22°W ASTRA 1KR ASTRA 1N ASTRA 1P ASTRA 1Q ASTRA 1M ASTRA 1L 19.2°E ASTRA 4A SES-5 5°E GovSa t-1 21.5°E ASTRA 3B ASTRA 3C 23.5°E SES -12 SES-8 95°E SES-9 SE S-7 108.2°E ASTRA 2E ASTRA 2G ASTRA 2F 28.2°E 28.5°E MonacoSAT YahSat 1A 52°E 52.5°E SES-3 103°W SES-18 SES-10 67°W 67.1°W SES -17 NSS-12 57°E SES-26 135°W SES -19 To Los Angeles To Sydney Frankfurt Betzdorf Munich London Emek Tel Aviv Fujairah Ras Al Khaimah Los Angeles Bogotá LA South Mountain London, ON Toronto Winnipeg Kuala Lumpur Merredin Karachi Santiago Lurin (Lima) Longovilo St John’s Hong Kong Perth Sydney Bucharest Skarfia São Paulo Mexico City Brewster Kyiv Hong Kong, Stanley Singapore Hawley New York Hortolândia Stockley Park Gnangara Goonhilly Hawaii Sunset Beach Hawaii Kapolei Nemea Madrid Sintra Bucharest WDC Manassas Port St Lucie Mt. Jackson WDC Woodbine Paris Bercenay Gandoul (Dakar) Adelaide WDC Frankfurt Betzdorf Munich London Emek Tel Aviv Fujairah Ras Al Khaimah Los Angeles Bogotá LA South Mountain Winnipeg Kuala Lumpur Merredin Dubbo Karachi Santiago Longovilo St John’s Hong Kong Perth Sydney Bucharest Skarfia São Paulo Mexico City Brewster Kyiv Zurich Hong Kong, Stanley Singapore Hawley New York Hortolândia (Campinas) Stockley Park Gnangara Goonhilly Nemea Madrid Sintra Bucharest Dallas Laredo Phoenix Vernon WDC Manassas WDC Woodbine WDC Miami G G G G G G G G Nairobi G P P P P P mP P P G mP M M G P G P G P P G G M mP mP M G mP G G G G G G G P P P P P mP G P M G G G G G M mP G M mP G M mP P G G G mP M P G P In orbit SES SATELLITE FLEET SES NETWORK Future HTS satellite (High-throughput satellite) Future satellite In orbit HTS satellite (High-throughput satellite) Inclined Additionally, we have one satellite flying secondary missions: ASTRA 2A MEO satellites orbit at 8000km above the earth's surface. They rotate faster than Earth and, therefore, hand o their service to each other as they orbit. Fleet configuration is based on current planning and is subject to change. SES holds a 100% ownership interest in QuetzSat. Yahsat 1A’s Ku-band payload is owned by YahLive, where SES holds a 35% ownership interest. MonacoSAT is a partner satellite with transponders onboard TurkmenAlem at 52°E. * Procured by LuxGovSat ** SES-9 at 108.2E vicinity M G M G mP MEO Gateway GEO Gateway GEO/MEO Gateway O3b mPOWER Gateway G mP M mP P G M mP GEO/O3b mPOWER Gateway GEO/MEO/O3b mPOWER Gateway MEO/O3b mPOWER Gateway PoP (Point of Presence) SES ANNUAL REPORT 2024 | 21 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS FUTURE SATELLITE LAUNCHES Final launch dates are subject to confirmation by launch providers. “Networks” refers to Government, Mobility, and Fixed Data. Between 2025 and the end of 2027, we expect to launch 8 satellites. Building on the commercial success of our first-generation MEO constellation, O3b mPOWER provides unprecedented flexibility, performance, and scale to extend new, bandwidth-intensive network services and applications. O3b mPOWER is enabling high performance services that scale to multiple gigabits per second per connection virtually anywhere. It delivers flexible service models by dynamically controlling power levels, throughput, and frequency allocation to reliably meet robust service level agreements. The constellation has been engineered with end-user performance requirements as the leading driver and can support a wide range of latency-sensitive services and cloud-based business applications. In combination with SES- 17, O3b mPOWER forms the bedrock of our Network of Future – a vision of a seamless, intelligent, and cloud-enabled satellite-based infrastructure. The O3b mPOWER constellation comprises of thirteen satellites, of which eight have been successfully launched and started delivering sophisticated high- performance low latency connectivity to customers from April 2024. It has been determined that the anticipated operational life and available capacity of the initial six O3b mPOWER satellites will be significantly lower than previously expected. SES and the manufacturer agreed on upgrading the other seven satellites, satellites 7 and 8 have been fully upgraded and launched in December 2024 adding much needed capacity and resiliency to the first six. Satellites 9 to 11 are under manufacture and are set for launch during 2025, and the final two, 12 and 13 are two additional satellites that were not originally part of the constellation and will add resiliency as from 2026. The additional investment associated with this plan is expected to be fully covered within our committed capital expenditure envelope. O3b mPOWER Satellite Region Application Launch O3b mPOWER (9-11) Global Networks 2025 EAGLE-1 Europe Government 2026 O3b mPOWER (12-13) Global Networks 2026 ASTRA 1Q Europe Media, Networks 2027 SES-26 Africa, Asia, Europe, Middle East Media, Networks 2027 Future Satellite Launches SES ANNUAL REPORT 2024 | 22 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS An SES-led consortium of 20 European companies, with the European Space Agency and European Commission support, will design, develop, launch, and operate the EAGLE-1 satellite- based system for secure Quantum Key Distribution, enabling in-orbit validation and demonstration of next-generation cyber-security across Europe. It will also provide valuable mission data for the future deployment of a secure quantum communication infrastructure. EAGLE-1 SpaceRISE, the SES-led consortium with Eutelsat and Hispasat, has signed a Concession Contract with the European Commission to design, deliver, and operate IRIS², the European Union’s pioneering multi-orbit connectivity system for a period of 12 years, with the network expected to provide services from the beginning of 2030. This milestone represents a crucial step towards establishing a secure, resilient, and autonomous communications infrastructure for Europe. IRIS² will play a transformative role in reinforcing Europe’s resilience, digital sovereignty, and low-latency connectivity for all EU Member States. SES’s contribution to IRIS 2 will be to develop, procure, and operate 18 new MEO satellites providing 100% pole- to-pole coverage with carrier-grade IRIS 2 ASTRA 1Q, a next-generation digital satellite with both wide beams and high throughput spot beams, will not only be able to support DTH operations but will also be customisable on orbit and could be deployed easily to other orbital positions to serve the dynamic needs of both media and data customers into the future. This GEO Ku-band satellite will be positioned at our 19.2° East orbital position. ASTRA 1Q SES has ordered a fully software- defined GEO satellite, SES-26. The satellite, with both Ku-band and C-band frequencies, will replace SES’s NSS- 12 satellite at 57° East. From this key location at the crossroads of Europe, the Middle East, Africa and Asia, SES will continue to deliver content and connectivity solutions to some of the world’s fastest-growing markets. In addition to supporting government communications solutions in the region, the position is home to a diverse free-to-air neighbourhood. SES-26 SES ANNUAL REPORT 2024 | 23 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS connectivity solutions. SES will have rights to commercialise the MEO capacity and part of the LEO capacity of the IRIS 2 system. The compelling combination of high throughput data rates, low latency, service flexibility, and managed solutions will cater to EU’s sophisticated requirements, as well as allied nations and SES’s customers around the world. The initial phases of IRIS 2 will benefit from upfront public funding with limited need for private financing in the early years of design and procurement. In total, SES will contribute approximately 50% of the MEO cost while having the benefit of commercialising over 90% of the MEO capacity and part of the LEO capacity. The EU and Member States will be the anchor customers to the constellation, while also attracting allied nations across the world, underpinning revenue generation which is expected to cumulatively be around €6 billion. The Contract also provides for the possibility to add hosted payloads for commercial services, adding to the value proposition towards customers. The contract grants protections to support SES’s IRR including, but not limited to, i) a rendezvous point at the end of 2025 to validate the project cost, technical requirements, and delivery timetable, whereby any party can exit in the event of excess expected cost, not meeting technical requirements, and/or delays to the in-service date; ii) mechanism to seek renegotiation to protect the IRR for qualifying reasons, such as delay in start of service; iii) certain protections from annual cost overruns; and iv) the Commission will cover any extra cost resulting from launch failures up to in-orbit validation. With deployment of O3b mPOWER completed in 2027 and subsequent commercial ramp up, the delivery of IRIS 2 is well timed to provide next- generation MEO capabilities to serve expanding customer demand for SES’s high performance connectivity solutions, forming the foundation for our future network. SES ANNUAL REPORT 2024 | 24 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS We provide managed connectivity and data service sophisticated solutions to support a wide range of fixed and mobile applications to extend customers’ network reach. SES NETWORKS Our Networks business operates a multi- orbit (MEO-GEO) constellation of satellites with the combination of global coverage and high performance, and low latency MEO system. By leveraging a vast and intelligent, cloud-enabled network, we provide managed connectivity and data services sophisticated solutions to support a wide range of fixed and mobile applications to extend customers’ network reach. SES has been certified with the Metro Ethernet Forum (MEF) 2.0 industry standard, used to rate the performance of terrestrial networks. By adopting telco- and cloud-inspired practices, we are making it easier for customers to integrate satellite- based networks into the global ecosystem. Our Networks products and services are focused on delivering secure, reliable, and high performing connectivity to customers across Government, Fixed Data, and Mobility segments. We deliver: • A range of mobile (aviation and naval) connectivity, fixed network, and communications-on-the-move services, catering to a wide range of civilian and defence-related Government connectivity needs; • Trunking, mobile backhaul, and enterprise services for telecommunications companies, internet service providers, satellite service providers, mobile network operators, and enterprises; • Energy and mining solutions for service providers that support oshore exploration, oshore support vessels, and large production facilities in developing countries; and • Services to connect cruise lines, commercial aviation partners, business jets, and support telecom service providers to the commercial maritime industry. In addition, we deliver connectivity to major cloud service providers and partner with them to power cloud-based applications to our other customers. BUSINESS OVERVIEW ESRS 2 SBM-1 SES ANNUAL REPORT 2024 | 25 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Government 50% Mobility 28% Fixed data 22% Networks 2024 revenue by business segment Government represents 50% of Networks. The business is comprised of approximately 75% of multiple U.S. defence and civilian agencies. The balance of revenues are generated from a range of global government and institutional clients such as the United Nations, the Luxembourg Government, and the European Space Agency. Our oering of connected services and end-to-end satellite solutions through a secure integrated space and terrestrial network enable a range of connectivity capabilities for government services such as ISR, secure connectivity for land-based operations, communications on the move for mobile missions on land, at sea, and in the air. We also enable governments, NGOs, and humanitarian organisations to mount coordinated crisis responses for humanitarian assistance and disaster recovery. Our Mobility business comprises 28% of Networks revenues, of which around 50% comes from supporting key inflight connectivity providers such as Gogo Commercial Aviation (part of Intelsat), Thales Avionics, Panasonic, and Anuvu where we enable fast, reliable connectivity to support their major airline clients. The other 50% of revenue generated is from the combination of serving the top major cruise lines such as MSC, Carnival and Virgin Voyages as well as commercial maritime customers like Marlink. Our onboard connectivity service enables guaranteed data speeds, low latency and secure satellite connectivity anywhere on the globe, this now includes the new fully managed end-to-end service oering. Fixed Data accounts for 22% of Networks. Our customer base is well distributed across all geographies and key markets from the Americas to Asia-Pacific. Our clients include major telecom companies and mobile network operator such as AT&T, Claro, Digicel, Orange, Verizon, and Reliance Jio; value-added service providers such as Marlink, RigNet, and Speedcast; and cloud organisations like Microsoft. All of whom benefit from our managed network services which deliver private connectivity from SES gateways, creating a dedicated end-to-end connection from any remote site to the rest of our customers’ networks and/or cloud- based applications, as well as supporting rural inclusion projects. SEGMENTAL BREAKDOWN For the year ended 31 December 2024, Networks total revenue was €1,085 million, this represented an increase of 2.9% year- on-year (at constant FX). 2024 represented the third consecutive year of growth in our Networks business. Government revenue growth of 6.4% year-on-year was driven by expanded revenue in both the U.S. and global government business reflecting continued demand for our managed, multi-orbit solutions. Our Mobility business was up 7.1% year-on- year, driven by continued expansion in the cruise segment and double-digit growth in the commercial aviation segment. In Fixed Data, down 8.7% year-on-year, the comparison against 2023 is impacted by periodic revenue in the prior year. 2024 REVENUE PERFORMANCE SES ANNUAL REPORT 2024 | 26 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS With over 35 years of broadcasting experience, we are experts in designing systems to grow audiences, reduce costs, and maximise operational eiciency. SES MEDIA Our Media business has a reach of 362 million TV homes, serving over 1 billion people worldwide with high quality viewing experiences, and delivers managed media services. With over 35 years of broadcasting experience, we are experts in designing systems to grow audiences, reduce costs, and maximise operational eiciency. We are a trusted partner to the world’s leading broadcasters, platform operators and content owners. We deliver: • Linear video aggregation and distribution capabilities to hundreds of millions of direct-to-home (DTH), direct- to-cable (DTC), and Internet Protocol TV (IPTV) homes around the world; • Channel management solutions, including playout, which combine products to predefined end-to-end solutions capable of fitting dierent use cases; and • A range of occasional use services from providing extra capacity, processing content for live feeds, and redundancy features, working with the world’s largest sports and events organisations. At 31 December 2024, the SES distributed over 6,300 total TV channels to audiences around the globe. In addition, SES operates HD+, a direct- to-consumer oering in Germany which enables viewers to access 26 private HD TV channels and three private UHD TV channels, as well as 50 free High-Definition TV channels, via a paid subscription. BUSINESS OVERVIEW ESRS 2 SBM-1 SES ANNUAL REPORT 2024 | 27 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Europe 57% International 21% HD+ 13% North America 6% Sports & Events 4% We serve broadcasters and pay-TV operators such as Sky, Warner Brothers & Discovery, Canal+, ProsiebenSat.1, ARD-ZDF, RTL, and Telefonica. HD+, our direct-to-consumer platform in Germany, (13% of revenue) is currently serving nearly 2 million paying subscribers with access to high quality content at home and on the go at an aordable monthly cost. 6% of revenue is generated from our North American neighbourhoods which deliver direct-to-cable distribution services to customers such as Comcast, Discovery, and Time Warner. Our international business (21% of Media revenue) has established strong positions and customer relationships in all key regions from Latin America to Asia-Pacific, and in between. Our international customers include Canal+, DISH, Ethiosat and NewSpace India. Our expanding Sports & Events segment represents 4% of Media revenue and supports major brands such as the National Football League, English Premier League, All Elite Wrestling, and Agence France-Presse - serving over 500 customers and distributing over 700 hours of live content every single day. SEGMENTAL BREAKDOWN Media 2024 revenue by business segment Our Media broadcasting services, have a high presence in the European market, delivering high quality content to TV homes and simplified content management, tracking, & delivery solutions to our broadcasting clients in valuable markets such as Germany, the UK, France, and Spain. For the year ended 31 December 2024, the Media business generated total revenues of €914 million. This represented a reduction of 5.3% (at constant FX), compared with 2023, driven mainly by lower volumes in mature European and North American markets. The performance of the DACH region (Germany, Austria, and Switzerland) was stable year-on-year, while the declines across the rest of Europe and North America were consistent with our expectations. This was partly oset by double-digit revenue growth in Sports & Events, reflecting the benefit of new events and customers secured, and year-on- year growth across our international media business. 2024 REVENUE PERFORMANCE SES ANNUAL REPORT 2024 | 28 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS FINANCIAL REVIEW & OUTLOOK SES regularly uses Alternative Performance Measures (APM) to present the performance of the Group and believes that these APMs are relevant to enhance understanding of the financial performance and financial position. Further information regarding these APMs is provided in Note 36 of the Consolidated Financial Statements. All references to year-on-year changes are stated on a constant FX basis, unless otherwise stated. Group revenue of €2,001 million was 0.9% lower year-on-year, as a 5.3% decline in Media was oset by 2.9% expansion in Networks which represented the third consecutive year of growth. Adjusted EBITDA (excluding the financial impact of U.S. C-band repurposing and other significant special items) improved by 0.9% year-on-year to €1,028 million and represented a margin of 51% (2023: 50%). This included recurring operating expenses of €973 million which were €28 million, or 2.8%, lower than the prior year including a reduction of €49 million, or 8.6%, in sta costs and other operating expenses which was partly oset by additional cost of sales to support Networks growth. Depreciation and Amortisation (D&A) expense of €806 million (2023: €692 million) increased year-on-year with higher amortisation, mainly arising from a change in accounting treatment of orbital slot licence rights, and higher depreciation with the entry into commercial service of new satellites. Net financing costs of €3 million (2023: €42 million) included lower year-on-year net foreign exchange (FX) gains of €4 million (2023: €13 million). Excluding FX, net interest expense included income on cash and cash equivalents of €127 million (2023: €51 million). Adjusted Net Profit of €126 million was lower than 2023, mainly reflecting the higher year-on-year Depreciation and Amortisation and income tax expense. This was partly oset by higher Adjusted EBITDA, lower net financing costs, and other net non-operating income of €21 million (2023: nil). Adjusted Net Profit excludes significant special items of €35 million (2023: €2,657 million), comprising net U.S. C-band income of €83 million (2023: net income of €2,697 million) and expenses related to other significant special items of €118 million (2023: €40 million), as well as non-cash net impairment expense of €123 million (2023: €3,676 million) and net tax benefit of €47 million (2023: net tax expense of €101 million) associated with all significant special items. INCOME STATEMENT SES ANNUAL REPORT 2024 | 29 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Adjusted Free Cash Flow was a net inflow of €253 million (2023: €431 million net outflow) including higher cash year-on- year investing activities and cash interest received compared with 2023. Net cash generated by operating activities (excluding U.S. C-band, acquisitions, and other significant special items) was €886 million in 2024, compared with €1,059 million in 2023, as higher Adjusted EBITDA was oset by changes in working capital. Excluding U.S. C-band and acquisitions, net cash absorbed by investing activities (excluding interest received) was €560 million (2023: €493 million) mainly related to the investment in O3b mPOWER which began commercial services in April 2024 with the initial six satellites to be expanded to a 13-satellite constellation between 2025 and 2027. CASH FLOW STATEMENT At 31 December 2024, Adjusted Net Debt (including 50% of the €1.625 billion hybrid bonds as debt) stood at €1,093 million (31 December 2023: €1,565 million) and represented an Adjusted Net Debt to Adjusted EBITDA ratio of 1.1 times (2023: 1.5 times). Cash and cash equivalents of €3,221 million (2023: €2,907 million) excludes €300 million of restricted cash related to the SES-led consortium’s concession contract with the European Commission to design, deliver, and operate the IRIS 2 sovereign connectivity network. During 2024, SES repaid €717 million of gross debt. At 31 December 2024, the weighted average cost of debt was 3% (2023: 3%) and the weighted average senior debt maturity was 6 years (2023: 7 years). STATEMENT OF FINANCIAL POSITION SES is focused on driving sustained, profitable growth and value creation. In tandem with clear strategic priorities, strong focus on execution, and financial discipline, we aim to maintain a disciplined financial policy which is based on four main priorities: • Disciplined investment to sustain the profitable portfolio of business and support accretive growth investment opportunities. As reflected by our threshold internal rate of return hurdle of 10% or higher (unlevered, post-tax) over the life of the investment. • Maintaining strong balance sheet metrics consistent with investment grade credit ratios, including a target of Adjusted Net Debt to Adjusted EBITDA of below 3 times, allowing access to a wide range of funding sources and keeping a low cost of financing. • Delivering an annual minimum base dividend of €0.50 per A-share and €0.20 per B-share split into biannual payments with a stable to progressive dividend policy delivering a predictable cash return to shareholders. • Utilising any excess cash in the most optimal way for the benefit of shareholders. FINANCIAL POLICY SES ANNUAL REPORT 2024 | 30 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS The Full Year 2024 interim dividend of €0.25 per A-share (€0.10 per B-share) was paid to shareholders on 18 October 2024. The Board of SES is proposing a final dividend of €0.25 per A-share (€0.10 per B-share) to be paid to shareholders in April 2025, giving a Full Year 2024 dividend of €0.50 per A-share (€0.20 per B-share) in line with the commitment to a stable to progressive dividend policy. The final dividend is subject to shareholder approval at the Annual General Meeting on 3 April 2025. In Calendar Year 2024, SES paid a total of €0.75 per A-share (€0.30 per B-share) in dividends. A share buyback programme of €150 million was completed in respect of the A-shares in October 2024 with 24 million A-shares purchased at an average price of €5.22 per A-share and 12 million B-shares were purchased at an average price of €2.09 per B-share. The shares acquired will be cancelled after the expiry of one year, which will reduce the total number of voting and economic shares in issue. SES expects the proposed acquisition to have a positive impact on free cash flow, increasing the Company’s financial flexibility. In terms of capital allocation, SES remains committed to investment grade metrics, profitable investments, and a stable to progressive dividend. As SES meets its net leverage target (Adjusted Net Debt to Adjusted EBITDA) of below 3 times within 12-18 months after closing the Intelsat transaction, the company intends to increase the annual base dividend and then prioritise shareholder remuneration when allocating any future exceptional cash flows of the combined company. The financial outlook assumes nominal satellite health and nominal launch schedule. For Full Year 2025 (assuming nominal satellite health and launch schedule), group revenue is expected to be stable compared with 2024 (at constant FX), and Adjusted EBITDA is expected to be broadly stable year-on-year (at constant FX) on better-than-expected 2024 outturn. Capital expenditure (net cash absorbed by investing activities excluding acquisitions and financial investments) is expected to be in the range of €425-475 million in 2025, followed by an average annual capital expenditure of approximately €325 million for 2026-2029. In addition, SES’s expected capital expenditure relating to IRIS 2 of up to €1.8 billion will start ramping mostly from 2027 and have an average annual spend of around €400 million over 2027-2030 (subject to a rendezvous point at the end of 2025 to validate the project cost, technical requirements, and delivery timetable, whereby any party can exit in the event of excess expected cost, not meeting technical requirements, and/or delays to the in-service date). FINANCIAL OUTLOOK SES ANNUAL REPORT 2024 | 31 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS The transaction will be free cash flow accretive to SES from Year 1 and brings together two trusted operators with a substantial combined gross contract backlog, growth-oriented portfolios concentrated on Networks segments with expanding demand, shared vision of delivering seamless end-to-end customer solutions, and complementary investment in innovation, while also sharing strong balance sheet metrics and long-term cash generation fundamentals. By integrating the two companies, SES expects to deliver synergies with a total net present value (NPV) of €2.4 billion (after approximately €155 million of estimated realisation costs), representing an annual run rate of €370 million of which approximately 70% is anticipated to be executed within three years after closing. HIGHLY VALUE ACCRETIVE ACQUISITION OF INTELSAT On 30 April 2024, SES announced an agreement to acquire Intelsat through the purchase of 100% of the equity of Intelsat Holdings S.a.r.l.. SES will pay a cash consideration of $3.1 billion and issue certain contingent value rights in respect of a portion of any potential future monetisation of the combined collective usage rights for up to 100 MHz of C-band. Dividends paid by Intelsat in the interim to its shareholders will be adjusted out of the agreed purchase price. The transaction, unanimously approved by the Boards of SES and Intelsat, is subject to relevant regulatory clearances and filings expected to be received during the second half of 2025 and is fully funded. €2.4B Net Present Value of expected synergies €370M of expected annual run-rate synergies 70% of run-rate synergies expected to be executed within 3 years of closing SES ANNUAL REPORT 2024 | 32 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Bringing together these two companies, with the associated synergies, will create a stronger multi-orbit operator better able to compete in a fast-moving satellite communications landscape and respond to the evolution of competing communications technologies. With a combined fleet (including future planned launches) of more than 100 Geostationary Earth Orbit (GEO) and 33 Medium Earth Orbit (MEO) satellites, the combined SES will benefit from enhanced coverage, greater network resiliency, complementary spectrum (C-, Ku-, Ka-, Military Ka-, X-band, and Ultra High Frequency) rights, and improved service delivery utilising an expanded network of ground segment assets. On a pro forma basis, Government, Mobility, and Fixed Data segments with expanding customer demand for reliable, high-performance connectivity solutions anywhere on land, at sea, or in the air will represent around 60% of SES’s total expected revenue base of around €3.8 billion, underpinning the group’s orientation to valuable growth segments. The integrated company will have a strong financial profile compared with the standalone SES with an expected pro forma Adjusted EBITDA of around €1.8 billion (year ended 31 December 2024) demonstrating robust profitability, and a pro forma combined gross backlog of more than €9 billion (on 31 December 2024) underpinning future cash generation fundamentals. In turn, the stronger financial profile enhances the ability to better invest in future network infrastructure, customer solutions, and future use-cases and/or business diversification opportunities with a better risk profile, than could be done by the two companies on a standalone basis. STRONGER MULTI-ORBIT OPERATOR With the creation of a stronger multi-orbit operator, customers across Government, Mobility, Fixed Data, and Media segments will benefit from an expanded set of capabilities and solutions which will enable them to expand their network reach, add further resiliency, improve productivity across their operations, and bring world- class experiences to their end-users. The combined company will be able to better meet growing Government demand for secure, reliable, and high-performance connectivity for a wide range of mission- critical applications. Customers will benefit from the integrated, multi-orbit solutions of both companies and their expertise in delivering trusted services for some of the most demanding government agencies and missions around the world. In Mobility, customers will be better served from bringing together the two companies’ complementary oerings, notably Intelsat’s commercial aviation division which today is serving nearly 3,000 connected aircraft, and SES’s maritime business which includes supporting five major cruise line operators via fully managed, multi-orbit connectivity agreements. The combination will also support the evolving needs of channel partners across the segments. In Fixed Data, customers will be able to take advantage of the combined company’s expanded multi-orbit network coverage, complementary innovations in software-defined delivery, and competitive oerings capable of seamless integration with cloud and 5G applications. ENHANCED CUSTOMER VALUE SES ANNUAL REPORT 2024 | 33 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS The combined company is expected to deliver low- to mid-single digit average annual growth over the medium-term (2024-2028). Growth will be driven by the combination of high growth Government, Mobility, and Fixed Data businesses, anchored by a Media business with solid cash generation fundamentals, despite contracting capacity demand in mature markets due to expansion of terrestrial broadband networks and changing consumer viewing habits against which the combined company will be better positioned to compete. Including the benefit of OpEx synergies, Adjusted EBITDA is expected to increase by a mid- single digit average annual growth rate (2024-2028). The transaction is expected to be Free Cash Flow accretive from Year 1 and deliver annual run-rate synergies of €370 million (comprising run-rate operating expense synergies of €210 million and capital expenditure synergies of €160 million) of which approximately 70% are targeted to be executed within the first three years of closing. The transaction is expected to deliver an internal rate of return of more than 10%. On closing, Adjusted Net Debt to Adjusted EBITDA is forecast to be around 3.5 times before reducing to below 3 times within 12-18 months after closing, consistent with SES’s commitment to maintain investment grade balance sheet metrics benefiting from the expansion of Adjusted Free Cash Flow (AFCF). Additionally, the AFCF expansion will increase the group’s financial flexibility for additional potential shareholder returns (dividend increases and/or share buy backs), as well as incremental profitable investment (subject to meeting the Board’s investment criteria of delivering an internal rate of return of 10% or higher). DELIVERING SHAREHOLDER VALUE Both companies have a proven record serving the requirements of major telecommunications companies, mobile network operators and cloud service providers in this growth segment. In Media, the transaction brings together complementary capabilities for customers including pay-TV operators, free-to-air/ free-to-view platforms, public and private broadcasters, and sports & events brands who will have access to global audience reach with improved redundancy features via a competitive range of broadcast solutions, plus additional value-added services. SES ANNUAL REPORT 2024 | 34 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT SES ANNUAL REPORT 2024 | 35 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS CONTENTS Environmental, Social & Governance report SES ANNUAL REPORT 2024 | 36 Sustainability Statement Our Approach Environment Social Governance Appendix Double Materiality Assessment OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Renewed Focus on ESG Strategy In 2024, we reinforced our ESG strategy by incorporating the results of the double materiality assessment (DMA). The DMA is designed to ensure that we take account of key internal and external stakeholder perspectives; underscore our increased focus on environmental initiatives; and position SES as a leader in the space sector. We have also undertaken a significant amount of work to align strategic direction and company growth with our ESG ambitions, identifying opportunities to increase our positive impact. Science-Based Targets and Renewable Energy Initiatives This year, our greenhouse gas (GHG) emissions targets were validated by the Science Based Targets initiative (SBTi). This significant milestone highlights both our leadership credentials and our commitment to the latest climate science. 2024 also saw the completion of renewable energy projects at three of our largest energy-producing sites, expected to save over 97 tonnes of CO2e annually. Customer-Centric Sustainability In 2023, we carried out the first industry- led Life Cycle Assessment (LCA) for a telecommunications satellite, the Astra 1P satellite to evaluate the environmental impact of a product throughout its life cycle. The assessment generated valuable input from stakeholders, which we have now integrated into our ESG strategy to reduce waste across the entire lifecycle of our products and operations. Final thoughts As a powerful player in the satellite industry, SES is committed to working with our customers and partners to shape a more sustainable future. Together, we will continue to innovate and lead the way in creating a more sustainable and connected world. SUSTAINABILITY STATEMENT In today’s fast changing world, we cannot overstate the importance of sustainability. Our industry works at the heart of the digital revolution, connecting people and businesses across the globe. With this privileged position comes the responsibility to make sure that growth does not come at the expense of the environment or society. As a leading satellite communication company, SES is uniquely placed to drive positive change. We are committed to making a positive impact on people, society, and our planet through both our operations and the critical infrastructure we provide to connect the world. Adel Al-Saleh CEO SES ANNUAL REPORT 2024 | 37 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS In 2021, we developed the SES Horizon ESG Strategy to align our operations to UN Sustainable Development Goals. Following the 2024 Double Materiality assessment, we started to refine the key topics that will shape the three pillars of our future strategy. 1. ENVIRONMENTAL: A CLIMATE-NEUTRAL FUTURE 1. Climate neutrality • By 2030: Achieve a 50% reduction in absolute Scope 1 and 2 GHG emissions from our 2019 baseline. • Increase the usage of renewable energy at key operational sites to minimise carbon footprint. • Align with customers on their climate journey through reduction of our environmental footprint. • Recognise the importance of environmental impact beyond GHG emissions. 2. Increased circularity • Optimise the use of materials and energy across the lifecycle of our satellites, from design, manufacturing, launch operation and end- of-life disposal. • Embrace eco-design principles to reduce waste and promote recycling. 3. Sustainable space environment • Lead the space ecosystem by fostering responsible space practices, advocating and innovation in new technologies that ensure the long-term viability of space. OUR ESG STRATEGY OUR APPROACH 2. SOCIAL RESPONSIBILITY: A LEADING EMPLOYER DRIVING SOCIAL IMPACT 1. Connect the unconnected • Maximise our impact as a critical infrastructure provider to the benefit of society. • Continue to drive solutions and partnerships that bridge the digital divide and foster social and economic development as well as critical communications for disaster response. 2. Best workplace • Build and maintain a diverse, inclusive, and safe workplace. • Provide continuous learning and development opportunities that empower our employees and support their career growth. SES ANNUAL REPORT 2024 | 38 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS 3. GOVERNANCE EXCELLENCE: EMBEDDING ESG BEST PRACTICES 1. Ethical Practices • Uphold the highest standards of integrity, transparency, and accountability in all our operations. • Ensure compliance with all relevant laws and regulations. 2. Stakeholder Engagement • Maintain open and proactive communication with our stakeholders, including customers, employees, investors, and regulators. • Incorporate feedback into our ESG strategy and decision-making processes. • Identify and collaborate with industry peers, governments, customers and stakeholders to increase impact. 3. Risk Management • Implement robust risk management frameworks to identify, assess, and mitigate ESG-related risks. • Regularly review and update our policies. The sustainability statement has been prepared on a consolidated basis, aligning with the scope of our financial statements. The statement covers both upstream and downstream value chain activities. This includes our suppliers, own operations and use of our products by customers. This provides a comprehensive view of our sustainability performance across the entire organisation. Justification for Alternative Time Horizons In preparing our sustainability statement, we have opted to use alternative time horizons instead of those defined in ESRS 1. • Short term (12 months) • Medium Term (2030) • Long Term (2050) These Medium and Long term horizons have been set to mirror the timelines used in SES’s strategic planning and capital investment decisions. Disclosures Stemming from others accepted standards Following regulatory changes, our Sustainability statements have been prepared with reference to the European Sustainability Reporting Standards (ESRS) and the EFRAG guidelines. As such, this report aligns with globally recognised frameworks, including TCFD climate- related financial disclosures, and UN Global Compact principles. It also includes disclosures that are aligned with EU Taxonomy regulations. PREPARING FOR THE CORPORATE SUSTAINABILITY REPORTING DIRECTIVE ESRS 2 BP1, BP2 SES ANNUAL REPORT 2024 | 39 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Composition of the Board Our Board of Directors includes both executive and non-executive members, ensuring a balanced approach to governance. Employees and other workers are represented within our governance structure, contributing to diverse perspectives. The members possess extensive experience relevant to the satellite industry, including sectors, products, and geographic locations. The Board's gender diversity is calculated as an average ratio of female (40% in 2024) to male board members (60% in 2024). The percentage of independent board members is 60%. The Board of Directors, along with specific committees such as the Audit and Risk Committee (ARC), oversees impacts, risks, and opportunities related to sustainability. The Audit and Risk Committee operates under a charter established by the SES Board, which is also part of the company's corporate governance charter. Both charters are publicly accessible on the company's website. The Chief Executive Oicer (CEO) directs the ESG strategy, with execution responsibilities delegated to the Director of Social and Environmental Impact, who reports to the Chief Legal Oicer. This ensures integration into the company's direction and strategy. Management's role includes monitoring, managing, and overseeing impacts, risks, and opportunities, involving dedicated controls and procedures integrated with other internal functions. The Board and senior executive management oversee the setting of targets related to material impacts, risks, and opportunities, and monitor progress towards these targets. Other senior members of the leadership team are given targets and activities associated with the strategy for execution. The Chief Product and Innovation oicer is responsible for execution of circularity in our products. The Chief Financial oicer is responsible for alignment of ESG targets with business planning and risk management integration of ESG risks as well as supply chain sustainability targets. The Chief Technology oicer has responsibility for GHG emission reduction initiatives in scope 1 and 2 of our facilities. The Chief Commercial oicer has responsibility for integrating ESG values into customer requirements and markets. The Audit and Risk committee gets quarterly updates on the ESG strategy and the entire board gets periodic updates on the progress against the strategy ambitions. The Board and management bodies possess or have access to sustainability- related expertise, leveraging external experts and providing training to ensure appropriate skills are available. Senior leadership's incentive packages include targets for GHG emissions (scope 1 & 2). Performance measures include energy eiciency projects, renewable energy installations, and biogas usage. Performance Metrics in Remuneration Policies: Strategic Business Objectives (SBO) make up 30% of the SES Bonus Plan and SLT Bonus Plan, with one of the five SBOs being a sustainability target. Each SBO is measured against its KPI, and the combined achievement percentage is weighted at 30%, added to the company performance level (CPL) which makes up the other 70% of the bonus. More information on the renumeration can be found in the renumeration section. The company has a dedicated Internal Audit function and ESG team. The Board approves the annual internal audit plan, which is reviewed by the ARC. The ESG team reports to the ARC on progress in ESG matters. Further information can also be found in the Board of Directors and Committees and the Internal Control procedure sections. GOVERNANCE ESRS 2 GOV-1, GOV-2, GOV-3, GOV- 5 ESG is incorporated into the corporate governance structure with key ESG issues being discussed with senior management and committees of the Board of Directors. The full description of the role of management and supervisory bodies as well as the topics addressed can be found in the “Corporate Governance” section of the annual report. SES ANNUAL REPORT 2024 | 40 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Statement on due diligence GOV-4 Core elements of due diligence Sections a) Embedding due diligence in governance, strategy and business model Governance; Board Governance Structure & Committees; Double materiality ; Material impacts, risks and opportunities sections b) Engaging with aected stakeholders in all key steps of the due diligence Interests and views of Stakeholders; Double materiality; Engaging with our own workforce c) Identifying and assessing adverse impacts Double materiality ; Material impacts, risks and opportunities sections d) Taking actions to address those adverse impacts Actions sections e) Tracking the eectiveness of these eorts and communicating Remediation and raising concerns Strategy and Sustainability ESRS 2 SBM-1 SES' core business is providing content and connectivity on a global basis via satellites. We operate across all major regions, providing satellite broadcast services and connectivity in under connected areas. Our major customer market segments are Government, Aviation (in flight connectivity services), Cruise ships, Telecommunications providers and TV Broadcast. SES operates in a B2B model serving businesses, governments and NGOs. SES' major sustainability goals are divided into Environmental, Social and Governance goals that apply to our entire global operation. For Environmental, SES has a NetZero by 2050 target along with near-term targets for scope 1 & 2 for a 50% decrease in emissions before 2030. These are validated by SBTi. Additionally, we have a goal to incorporate eco-design and circularity principles into our products, services, and operations. Lastly, in the Environmental area SES is striving to be a leader in sustainability not only on earth but in our space environment by advocating and implementing industry leading operations practices for safe access to space. The products and services we provide as well as the customers that use these products are all impacted and impact the progress of these goals. Our supply chain is critically aected by these goals as we will be asking for their participation and partnership in achieving the adoption of circularity principles. For social, SES has goals related to our workforce to increase the representation of women in leadership position. We also focus our eorts on maximising the use of the critical infrastructure we provide to benefit the planet. The communities where we operate as well as our employees are impacted by the goals we have related to Diversity and inclusion. Our customers, are impacted by our eorts to maximise the use of our infrastructure because at our core we are providing connectivity and have an opportunity to partner with them in close alignment for projects that align with the SDGs and benefit the planet. In governance, our goals currently revolve around increased transparency and accountability of ESG into our operations and with our stakeholders. The ESG strategy was developed and incorporated into the overall company strategy including consideration of our value chain, stakeholder interests, governance structure, and management of specific material ESG risks, impacts and opportunities. The details of which can be found in the “Operational and strategic” section of the annual report as well as detailed in the ESG section. References are below. Interests and views of stakeholders ESRS2 SBM- 2 SES recognises the importance of engaging with its key stakeholders, which include employees, shareholders, investors, customers, suppliers, corporate partners, industry associations, NGOs, civil society, government, and academia. The frequency and forms of engagement vary according to the stakeholder category, with interactions occurring at least annually. For some stakeholders, such as customers and suppliers, engagement is more frequent STRATEGY SES ANNUAL REPORT 2024 | 41 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS and predetermined, while for others, it is on an occasional basis. Each department within SES is involved in the engagement process, depending on the stakeholder category. This engagement aims to monitor performance, provide transparency, ensure that our values are respected within our value chain, and meet the expectations of society, employees, customers, and investors. It also fosters collaborations with other industry players, government bodies, and academia. The outcomes of these engagements are considered when defining the company strategy and prioritising projects. This information is also shared internally and in our annual report to ensure transparency with both internal and external stakeholders. Key stakeholders, corresponding purposes and means of engagement methods include: How engagement is organised Topic Purpose of Engagement Examples of outcomes from the engagements Employees • Representative Partners meetings • Surveys • Company-wide and local meetings • Internal Communication Channels • Personal development sessions • Working Conditions • Health and Safety • L&D • Governance • Sustainability • Gather employee feedback and perspective • Contribute to sustainable workplace and employee wellbeing • Internal policies updates • Action plan development • Communications from management • Sustainable initiative Investors • Investors calls/emails/ questionnaires • ESG Ratings • Conferences and in person visits • ESG reporting • Understanding expectations to sustainability • Enhancing transparency • ESG reporting • Enhancement Roadmap • Addressing investor queries Customers • Net Promoter Score tool • In person meetings • Customer Advisory Board • Respond to customers enquiries • Forms and surveys • Direct engagement with our sales representatives and customer management teams • ESG • Customer centricity • Building trust • Developing sustainable solutions • Enabling customers to achieve their ESG targets • Net Promoter Score • Develop sustainable product and services • Adapt strategy • Customer centricity and ESG initiatives Suppliers • Supplier due diligence activities • Workshops • Surveys • ESG • Compliance with our code of conducts • Promoting responsible sourcing, incl. of minerals and metals • Promoting human and labour rights of workers • Decarbonising our supply chain • Supplier improvement plans • Inform suppliers selection • GHG emissions reduction initiatives Industry and Sustainability Associations • Joint initiatives and programmes • Workshops • Webinars • Conferences • ESG • Space Sustainability • Enabling the industry to engage policymakers • Developing industry standards on sustainability • Knowledge sharing • Collaboration • Alignment on sustainability practices and measurement standards • Industry wide Sustainability initiatives NGOs and Civil Society • Partnerships with NGOs • Call for tenders • ESG • Space sustainability • Digitalisation for Development • Contributing to local initiatives • Provide connectivity to remote areas • Site-specific initiatives on e.g. on community development, Space sustainability initiatives Government, Policy Makers and Regulators • Direct dialogue with policymakers • Answering public consultations • White papers, programmes, and studies • ESG • Space Sustainability • Ensuring regulatory compliance • Promoting sustainability • Ensure Technology inclusive decision making • Inform decision–making Academia and Research Institutes • Contributions to research projects • Capacity building initiatives • ESG • Space Sustainability • Research and Innovations • Knowledge sharing • Capacity building • Student programmes • Research projects Stakeholder engagement table SES ANNUAL REPORT 2024 | 42 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS In 2024, SES conducted a Double Materiality Assessment (DMA), engaging representatives from all main stakeholder groups. The outcome of these conversations was used to define our materiality matrix and identify topics relevant to both our operations and stakeholders. For more information on the DMA and the priority-topics identified you can refer to the Double Materiality Assessment section below. Considering the outcome of this assessment, SES's strategy and business model may be aected as follows: • Environmental Strategy: Adopting greener practices to reduce Scope 3 emissions, focusing on sustainability and eco-friendly products, and managing and reducing direct emissions to align with global standards. • Operational Strategy: Enhancing resilience to climate impacts by investing in robust infrastructure and disaster recovery plans, and implementing eicient resource use and sustainable practices in manufacturing. • Supply Chain and Resource: Management Strategy: Ensuring ethical practices and compliance in the supply chain, developing eicient compliance strategies, and minimising environmental impacts by adopting sustainable practices. SES ANNUAL REPORT 2024 | 43 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS FINANCIAL MATERIALITY outside-in IMPACT MATERIALITY inside-out In 2024, we updated our reporting in anticipation of the new CSRD and ESRS standards. As a result, we conducted our first Double Materiality assessment (DMA) in partnership with external consultants following EFRAG guidelines and best practices. The process involved evaluating our sustainability topics from a dual perspective: • Financial Materiality (Outside-In Impacts): Examining how social, environmental, and governance factors may aect our business and financial performance. • Impact Materiality (Inside-Out Impacts): Assessing our company's influence on society and the environment, including human rights and other relevant aspects. The DMA integrates sustainability into our strategic decision-making, ensuring our policies, action plans, metrics, and targets consider both financial and environmental/social factors. We initiated an inside-out impact assessment of SES's eects on the environment and society, building on previous evaluations of sustainability impacts within our operations and value chain, and consulting internal experts. Additionally, we conducted an outside-in financial assessment of the sustainability-related risks our business faces. While we aimed to quantify these impacts where possible, we often had to rely on qualitative assessments. We followed a five-step approach throughout this process. DOUBLE MATERIALITY ASSESSMENT SES ANNUAL REPORT 2024 | 44 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Stakeholder identification & mapping Value Chain assessment Stakeholder engagement IRO assessment Matrix development & ESRS mapping 5 STEPS OF THE DOUBLE MATERIALITY ASSESSMENT ESRS IRO 1 In alignment with the European Sustainability Reporting Standards (ESRS), we have implemented a comprehensive process to identify and assess material impacts, risks, and opportunities (IRO). Internal Sources: • Internal Documentation Review: Analyse relevant documents, policies, impact reports, previous materiality assessments, and stakeholder findings through desk research, gap analysis, interviews, surveys and questionnaires. • Internal Stakeholder Outreach: Consult with responsible individuals in key business areas, management, and employees. External Sources: • ESG Regulatory Landscape: Analyse global ESG standards as well as legal and regulatory obligations in our key operational regions. • ESG Benchmark: Compare the materiality topics identified by industry peers and key leaders in the Telecom/Aerospace sector. • Analysts and Investors: Identify expectations from investors and ESG rating analysts such as MSCI, S&P, and Sustainalytics, among others. • ESG Report Analysis: Assess the sustainability reports of key value chain actors. • Sectoral Reports: Identify global, sectoral, and specific sustainability trends, challenges, and risks relevant to our business model. • External Stakeholder Outreach: Engage with key stakeholders via interviews, surveys, and questionnaires to identify material topics. Step 1: Assess Value Chain / Business context Scope and assumptions In our own operations, we evaluated our impact on people and the environment. Additionally, we assessed our value chain impacts and risks, primarily focusing on upstream activities in reason of our business model. These assessments were based on internal knowledge, desk research and when possible validated through additional external engagement. They focused mainly on our first-tier suppliers and customers. DMA Process In order to analyse the sustainability environment from the perspective of our business model, value chain, and stakeholders as well as allowing us to identify significant impacts, risks, and opportunities , we collected quantitative and qualitative data from various sources, including internal reports, industry benchmarks, and stakeholder feedback. SES ANNUAL REPORT 2024 | 45 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Employees Government Civil society NGOs Industry Associations Shareholders Customers Suppliers Investors Corporate Partners Social & Public Sphere Economic Sphere Academia Based on these findings, we developed an initial inventory of relevant topics and subtopics. This inventory was then validated and updated through a series of stakeholder engagement activities. Step 2: Identify Material Impacts, Risks and Opportunities (IRO) We engaged with a wide range of stakeholders, including employees, customers, suppliers, investors, and community representatives. This exercise was essential to gather the data that allows us to identify all real and potential impacts, risks and opportunities of our operations. While we did not directly consult with aected stakeholders to understand the impact of our business activities on them, we did consult other external stakeholders, such as associations and sustainability industry groups. We relied on their insights to gain a comprehensive understanding of the interests and views of aected stakeholders. Step 3: Engage Stakeholders ESRS 2 IRO/SMB-3 Stakeholder Outreach In this step, we used various criteria to assess both impact and financial materiality, allowing us to identify and prioritise the material actual and potential impacts, as well as the material risks and opportunities. Financial materiality Assessment For financial materiality, we reviewed the ESRS longlist of topics deemed material based on our 2021 materiality assessment and benchmarking results from 2024. We conducted a top-down exercise to identify SES's key sustainability-related dependencies, risks, and opportunities. This process involved engaging with internal stakeholders from the Risk and Finance functions. To evaluate financial materiality, we applied qualitative thresholds considering financial eects on performance and business impact. In the future, we plan to explore incorporating quantitative thresholds as well. Finally, the company assessed sustainability risks and opportunities based on their likelihood of occurrence and the potential magnitude of their financial eects in the short-, medium-, and long-term. This involves reviewing a list of potential material risks and opportunities and applying a set of objective thresholds for likelihood and magnitude, while also considering the nature of the financial eects of the identified risks and opportunities. Impact materiality Assessment Methodology and Assumptions: To assess the nature and severity of potential impacts, we categorise impacts on a scale of one to four based on their scale, scope, and irremediable character. For negative impacts, we considered scale, scope, and irremediable character. For positive impacts, we assessed scale and scope. For both positive and negative impact we also assessed the likelihood of occurrence and mapped it to a time horizon (Short, Medium, Long term). • Negative Impacts: ◦ Very High (4): Critical eects with widespread impact, impossible to repair. ◦ High (3): Relevant eects, extended scope, low repair potential. ◦ Moderate (2): Limited eects, localised scope, recoverable damage. Step 4: Assessment Methodology and Approach ESRS 2 IRO-1 SES ANNUAL REPORT 2024 | 46 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS ◦ Low (1): Minimal impact, minor scope, and fully recoverable damage. • Positive Impacts: ◦ Very High (4): Trend-changing benefits with widespread positive impact. ◦ High (3): Relevant benefits with extended impact. ◦ Moderate (2): Small, localised benefits. ◦ Low (1): Minimal benefits in a minor or non-relevant area. During the desk research and preliminary consultations over 100 material topics were identified. To facilitate the assessment, these topics were grouped based on similarities, and stakeholder feedback. This process resulted in a list of sustainability topics that form our long list of IROs. All the IROs on this list were then verified and supplemented through key stakeholder engagements, All IROs were scored, and workshops inputs was aggregated to calculate the ‘degree of materiality’ across 4 levels (low, moderate, high and very high). Participants validated the preliminary results, and further calibration was conducted before finalising the impact assessment. Consolidated overviews of sustainability- related topics were presented to and discussed with the Board and management. As agreed with them, the materiality thresholds were set at ‘high’ or above. This means that impacts and risks scored as ‘high’ or above, along with their associated ESRS topics, are deemed material. This process yielded a final list 10 material impacts assessed as ‘high’ or above, that you can see represented in the Matrix below. Step 5: Determine of material topics IMPACT MATERIALITY FINANCIAL MATERIALITY Equal treatment and opportunities for all Working conditions Corporate culture Climate change adaption Energy Waste Cybersecurity and data privacy Space sustainability Climate change mitigation Connect the unconnected Very highHighModerate Moderate High Very high Materiality Matrix ESRS 2 IRO 2 Our materiality matrix visually represent the most significant ESG topics for SES. • The X-axis shows the financial impact of each issue on our business. • The Y-axis indicates the importance of these topics to our stakeholders. • Topics in the top-right quadrant are of high importance to both your business and stakeholders, making them top priorities. • Topics in the top-left quadrant are highly important for the business but less impactful to stakeholders. SES ANNUAL REPORT 2024 | 47 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Material Topics Reference Table The material IROs and relevant topics will be presented in their respective sections and pages of this report. Please refer to the table below. Material Topic Relevant Section Working Conditions Own Workforce Corporate culture Governance Climate Change Mitigation Climate Action Energy Climate Action Waste Resources Use and Circular Economy Cybersecurity and data privacy Cybersecurity Equal treatment and opportunities for all Own Workforce Space sustainability Environment Climate Change Adaptation Climate Action Connect the unconnected Connecting the Unconnected SES ANNUAL REPORT 2024 | 48 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS ENVIRONMENT The environmental aspect of our ESG strategy covers both our operations in space and our impact on earth. We continuously progress our actions to meet internal targets and drive progress within the industry as a whole. Material Impacts and Risks The importance of space sustainability has significantly increased over recent years. Space plays a crucial role in addressing some of earth's most pressing challenges, from communications to environmental monitoring and scientific research. However, this growing use has resulted in increasing concerns: such as the rapid deployment of satellites across various orbits, which has heightened the risk of space debris. Our first materiality assessment identified space sustainability as a material topic in 2021 – and the 2024 DMA underscored this importance. Positive Impact: Space Sustainability As SES implements its space sustainability initiatives, we anticipate several positive impacts. This programme is expected to result in improved environmental impact and operational performance. By fostering sustainability within the space sector, SES can enhance stakeholder trust and demonstrate leadership in responsible space operations. Extending space sustainability- related initiatives to our value chain could further improve sustainability and reduce risks, benefiting both SES and our partners. SPACE SUSTAINABILITY SES has long prioritised safe satellite operations and routinely enhances safety through improved satellite, hardware and software design. SES ANNUAL REPORT 2024 | 49 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS We are committed to driving innovation and fostering responsible space practices to ensure the long-term sustainability of space. Risk: Safe space operations A safe space environment is a critical factor for our operations. Ensuring consistent best practices among space operators limits the risk to operational disruptions and increased costs. Approach and Policies SES has long prioritised safe satellite operations and routinely enhances safety through improved satellite, hardware and software design. We work to improve communications and share essential space data among satellite operators. And we have set up a dedicated team to address significant sustainability topics on a national and international level. Dierent orbits present unique challenges for sustainability and require tailored strategies. We work closely with industry stakeholders, national and regional governments, and international organisations to develop strategies and best practices that promote a sustainable space environment. Actions In 2024, SES continued to focus on innovation, safety, and sustainability in satellite design and operations. We worked with satellite manufacturers to make our satellites more resilient and reduce the risk of space debris. As a leader in satellite operations, we eectively used our satellites in dierent orbits and pioneered safe practices for satellite placement and decommissioning. In addition, we supported a range of initiatives such as Aldoria for earth-based tracking, and the Space Data Association (SDA). As for space traic management, we await the outcomes of the Space Sustainability Rating for O3b mPOWER. In the meantime, we continued to work with partners to optimise resource allocation in large satellite constellations – our initiative with the Massachusetts Institute of Technology being one notable example. Our coordination with entities such as the SDA, Combined Space Operations Centre (CSpOC), and EU Space Surveillance and Tracking (EU-SST) ensures we are comprehensively involved in space traic management. We continued to prioritise reliable disposal equipment; complete passivation of stored energy at end-of-life; and manoeuvrability during operation to ensure safe satellite disposal. At the end of 2023, we completed a Life Cycle Assessment (LCA) on Astra 1P: this resulted in new targets for incorporating eco-design principles at various levels (as detailed in the Circular Economy section of this report). Future Actions To underscore our position as a leader in sustainable space practices, we collaborate with the European Space Agency on Life Cycle Assessment (LCA) as part of their Eco-design working group, contribute to the European Commission's Product Environmental Footprint Category Rules (PEFCR) initiatives for the space industry; and invest in sustainability- related projects. Targets As part of our commitment to driving innovation and fostering responsible space practices, we aim to obtain a space sustainability rating across all SES systems. To this end, we are developing a coordinated strategy focused on orbital debris mitigation, space traic management, RF spectrum, and orbit management. Other goals include circularity targets, accountability to the space environment, and operational risk management. We actively work with international regulators and governments to advocate for responsible space practices. And we develop partnerships to innovate solutions that drive sustainability, set industry standards, and ensure the long-term viability of space. SES ANNUAL REPORT 2024 | 50 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS CLIMATE ACTION SES is committed to integrating environmental responsibility into its long-term business strategy, ensuring that sustainability is embedded across its operations and value chain. Climate change presents both risks and opportunities for SES, and the company is proactively addressing these through comprehensive decarbonisation strategies, regulatory alignment, and responsible resource management. By implementing science-based targets, SES aims to minimise its environmental footprint while maintaining operational eiciency and business resilience. SES’s environmental strategy is built on three fundamental pillars: emissions reduction, renewable energy adoption, and supply chain sustainability. The company has set ambitious GHG Scope 1 & 2 reduction targets, transitioning its facilities to cleaner energy sources and engaging with suppliers to drive sustainability across the value chain. These eorts align with international climate goals and reinforce SES’s commitment to supporting the global transition toward a low-carbon economy. Beyond direct emissions reductions, SES integrates climate scenario analysis into its decision-making to anticipate and mitigate risks associated with regulatory changes, market shifts, and environmental impacts. Transparent reporting remains a key aspect of SES’s environmental strategy, ensuring that stakeholders have a clear understanding of progress, challenges, and future initiatives. This section provides an overview of SES’s environmental performance, including key initiatives, and strategic priorities for the coming years. By continually strengthening its environmental commitments, SES aims to contribute meaningfully to the industry’s sustainability transformation and broader climate objectives. INTRODUCTION ESG is incorporated into the corporate governance structure with key ESG topics being discussed with senior management and committees of the Board of Directors. The full description of the role of management and supervisory bodies as well as the topics addressed can be found in the Corporate Governance section of the annual report. GOVERNANCE Transition plan ESRS E1-1 SES is developing a transition plan to guide its sustainability eorts and incorporating Science-Based Targets initiative (SBTi) commitments. SES aims to mitigate climate-related risks and support global decarbonisation eorts. STRATEGY Climate change presents both challenges and opportunities for SES, and the company is proactively addressing these through comprehensive decarbonisation strategies, regulatory alignment, and responsible resource management. SES ANNUAL REPORT 2024 | 51 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Strategic Pillars Key actions Energy Eiciency Energy eiciency is a core component of SES’s transition strategy and represents one of the most significant material topics facing our organisation, driving both emissions reductions and operational resilience through the reduction of baseline energy consumption while enhancing eiciency across the infrastructure. • Reduction of Baseline Consumption: SES optimises energy use and through targeted eiciency upgrades in operations. • Technology-Driven Enhancements: Investments in energy-eicient cooling systems and LED retrofitting ensure long-term reductions in energy intensity and operational costs. In 2024, several actions were implemented across several facilities, including the deployment of LED programme energy saving leading to estimated annual savings of 120 MWh / 45 tCO 2 eq emissions, or the optimisation of HVAC leading to estimated annual savings 300 MWh / 108 tCO 2 eq emissions. Decarbonisation of Operations On-site renewable, Solar PV in particular, is a critical pillar of SES transition strategy, and represents a critical enabler driving long-term cost savings while reducing potential exposure to energy price volatility and strengthen alignment with global decarbonisation targets. In 2024, several Solar PV projects were implemented, across several facilities leading to estimated annual savings of 961 MWh / 97 tCO 2 eq emissions. Supply chain collaboration Supply chain collaboration and visibility are critical for SES to achieve its climate goals. In 2024, SES launched a broader supplier engagement initiative to enhance sustainability performance across its value chain. As part of this eort, SES has drafted a sustainability supplier scorecard to assess supplier performance on key environmental criteria and inform sourcing decisions. This internal framework is still in development, with no external reporting planned until the next reporting cycle. This section of the annual report details SES’s transition plan, outlining key objectives, strategic pillars, and performance management frameworks that underpin its environmental commitments. GHG Emission Reduction Targets In 2024, SES submitted its science-based targets (SBTi), which were validated in October of the same year. These targets reinforce our commitment to aligning with the latest climate science and contributing to the global eort to limit temperature rise. Our Scope 1 and 2 reduction goals follow a 1.5°C pathway, ensuring that SES actively reduces its direct and indirect emissions in line with international climate targets. Our Climate Commitments By 2030: Achieve a 50% reduction in absolute Scope 1 and 2 GHG emissions from our 2019 baseline. This commitment is integral to SES’s sustainability strategy, ensuring operational eiciency improvements while transitioning toward low-carbon technologies. Investments in energy eiciency, renewable energy, and electrification will play a central role in reaching this goal. Strategic Pillars & Key Actions To achieve these targets, we have identified several key strategic pillars, including: SES Climate Commitments, namely: By 2030: Achieve a 50% reduction in absolute Scope 1 and 2 GHG emissions from our 2019 baseline. Investments in energy eiciency, renewable energy, and electrification will play a central role in reaching this goal. SES ANNUAL REPORT 2024 | 52 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS TCFD climate-related risks and opportunities SES uses the TCFD’s recommendations to categorise, manage and report on its climate-related risks and opportunities. Thus, physical risks, transition risks and climate related opportunities regarding SES activities have been assessed and uses the following TCFD risks categories for managing and reporting. CLIMATE RELATED MATERIAL IMPACTS, RISKS AND OPPORTUNITIES ESRS 2 SBM-3 Climate related Transition Risks mapping Reputational: A proactive decarbonisation strategy associated with robust, transparent disclosures are critical to meeting stakeholder expectations and regulatory requirements. • Emission from Operations: SES operations, particularly satellite ground stations and data centres, are energy intensive. Stakeholders, including customers, investors, and regulators, are increasingly scrutinising the carbon footprints of companies in the telecommunications sector. Failure to demonstrate a robust and transparent decarbonisation strategy aligned with science-based targets (“SBT”) could lead to potential reputational damage, lost contracts, and diiculty in attracting ESG-focused investors. • Current Disclosure: As reporting frameworks become more stringent, any gaps in SES sustainability disclosures could lead to negative perceptions among stakeholders. Inadequate disclosures might be interpreted as a lack of commitment to sustainability, potentially resulting in loss of trust from customers, partners, and financial institutions. Market: Market alignment with ESG expectations will ensures adaptability and leadership in a low-carbon economy while maximising customer retention. • Change in Investor Expectations: Investors are moving toward portfolios that prioritise ESG compliance and impact. SES must align with these expectations by demonstrating measurable progress in reducing emissions, adopting renewable energy solutions, and enabling sustainable technologies. Failure to do so could lead to divestment, reduced access to capital markets, or lower valuation. • Insurance Costs: Transition risks associated with higher insurance deductibles and lower coverage have been identified. Climate- related events increase operational uncertainties, making assets more expensive to insure. • Low Carbon Competition: Competitors oering low-carbon, energy-eicient satellite services or using green launch solutions may gain a competitive edge. SES risks losing market share if it cannot Physical Risks Transition Risks Opportunities • Acute • Chronic • Reputational • Market • Policy and legal • Technology • Product and Services • Market • Resource eiciency • Resilience Investors are moving toward portfolios that prioritise ESG compliance and impact. SES must align with these expectations by demonstrating measurable progress in reducing emissions, adopting renewable energy solutions, and enabling sustainable technologies. SES ANNUAL REPORT 2024 | 53 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS dierentiate its products as both sustainable and eicient. • Change in Customer Demand: Demand for sustainable satellite services is rising as customers seek to decarbonise their own value chains. This is particularly relevant in industries like aviation and maritime, which are under pressure to reduce emissions and may require sustainable connectivity solutions. Policy and Legal: Proactive compliance mitigate risks and ensures operational continuity • Carbon Pricing: The introduction of carbon pricing mechanisms across SES global operations could significantly increase costs. For example, energy-intensive ground operations or supply chains reliant on fossil fuels could face higher operating expenses. Moreover, variability in carbon pricing regulations across dierent regions adds complexity to compliance and financial forecasting. • Emerging Regulations and Disclosure Requirements: New regulations such as the CSRD demand comprehensive, auditable, and forward-looking disclosures. SES may face resource constraints in meeting these requirements, particularly in collecting and verifying data across its global operations. Non-compliance with these emerging standards could lead to financial penalties, reputational risks, and diminished stakeholder trust. • Fossil fuel dependency: SES’s reliance on fossil fuels for certain operations exposes the company to price volatility and increasing regulatory constraints, such as carbon taxes and fuel bans, which could significantly elevate operating costs and necessitate accelerated transitions to alternative energy sources. Technology: Securing sustainable materials is necessary for SES operational resilience • Resource Availability: SES operation of satellites depends on critical raw materials such as rare earth metals. Increased demand for these materials across industries, coupled with supply chain disruptions due to geopolitical or environmental factors, could drive up costs and delay projects. The ability to source sustainable and ethically produced materials will become a key dierentiator. Physical Risks: Climate resilience infrastructure secures operations against acute and chronic physical risks • Acute: SES ground stations, data centres, and manufacturing facilities are exposed to extreme weather events such as hurricanes, floods, and wildfires. For instance, a major flood could disrupt critical infrastructure, resulting in service outages and significant repair costs. Similarly, wildfires near key locations could endanger assets and require expensive emergency responses. • Chronic: Long-term climate changes, such as rising temperatures and sea levels, could pose operational challenges for SES. Higher temperatures may impact the eiciency of cooling systems at data centres, increasing energy costs. Rising sea levels could threaten ground stations located in coastal regions, necessitating expensive relocation or infrastructure modifications. Climate Related Physical Risks mapping Demand for sustainable satellite services is rising as customers seek to decarbonise their own value chains. SES ANNUAL REPORT 2024 | 54 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Products and Services: Sustainable products and services drives competitive dierentiation and customer loyalty • Product Life Cycle Management: By adopting a cradle-to-grave approach to product design and development, SES can reduce resource waste, increase eiciency, and align its oerings with circular economy principles. This not only reduces environmental impacts but also strengthens customer trust in SES commitment to sustainability. • Low Carbon Services: Oering low- carbon satellite solutions positions SES as a leader in sustainable telecommunications. Services such as energy-eicient connectivity for remote operations, green mobility solutions, and IoT for smart infrastructure provide competitive advantages while meeting customer demands for sustainable oerings. Market: A climate-conscious market strategy associated with reliable connectivity during crises solidifies SES role as a critical partner to unlocks growth and financing opportunities • Lower Insurance Costs: By improving the climate resilience of its operations and infrastructure, SES can negotiate lower insurance premiums. Proactive risk management through robust disaster mitigation plans and infrastructure upgrades demonstrates SES commitment to reducing vulnerabilities, which is attractive to insurers. • Green Financing: SES can access green financing instruments, such as green bonds and sustainability-linked loans, to fund innovative projects and infrastructure upgrades. These mechanisms often come with favorable terms and signal to investors SES dedication to long-term sustainability. • Increase of Market Share: As industries and governments emphasise decarbonisation, SES can increase market share by oering tailored solutions that align with their goals. For example, SES can position itself as the preferred connectivity provider for sectors like aviation, maritime, and renewable energy. • Extreme Weather Events: SES ability to provide reliable connectivity during extreme weather events is a key opportunity. As climate risks increase globally, SES’s solutions for emergency response and disaster management can drive revenue growth while demonstrating social impact. Resource Eiciency: Investing in renewable and energy eiciency projects enhance energy security, reduce costs and drive operational excellence • Building Energy Eiciency: Upgrading SES facilities with energy- eicient technologies, such as LED lighting, advanced cooling systems, and smart energy management solutions, can significantly reduce operational costs while cutting emissions. These initiatives demonstrate SES leadership in operational excellence. • Renewable Energy: Transitioning to renewable energy sources, such as solar or wind, for SES’s ground stations and data centres reduces dependency on fossil fuels and shields SES from energy price volatility. Moreover, renewable energy adoption strengthens SES’s sustainability narrative. Climate Related Opportunities mapping Upgrading SES facilities with energy-eicient technologies, can significantly reduce operational costs while cutting emissions. These initiatives demonstrate SES leadership in operational excellence. SES ANNUAL REPORT 2024 | 55 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES has evaluated the likelihood of climate-related risks and opportunities materialising. Additionally, a preliminary internal assessment has been conducted to identify which risks might have the most significant impact in the future. These findings are summarised in the table below. Risks and opportunities impact analysis Risks and opportunities mapping Climate Scenario Time Horizon Financial Impact 1.5°C >4°C Most Important financial impacts before mitigation RISKS PHYSICAL Acute Chronic RISKS TRANSITION Reputational Market Policy and legal Technology OPPORTUNITIES Product and Services Market Resource eiciency Resilience Short-term (12 months) Medium-term (2030) Long-term (2050) SES is currently developing a resilience analysis to assess and mitigate climate- related risks across its operations and value chain, both upstream and downstream. The final analysis is expected to be completed next year. The scope excludes operations with negligible climate impact, enabling a targeted and impactful approach. The methodology integrates climate scenario analysis aligned with the Intergovernmental Panel on Climate Change (IPCC) and International Energy Agency (IEA) frameworks. These analyses consider potential impacts in the short term, medium term, and long term, oering a comprehensive understanding of SES’s exposure and adaptive capacity under varying climate conditions. Financial Eects and Mitigation Actions SES anticipates both direct and indirect financial eects from climate risks: • Anticipated Financial Eects: Increased operational costs due to infrastructure upgrades, compliance measures, and investment in renewable energy projects. Resilience of Strategy and Business Model SES ANNUAL REPORT 2024 | 56 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Upstream Suppliers Internal Operations Downstream use Value chain mapping Main suppliers covering six representative activities (IT, infrastructure, third party fiber capacity, video equipment and services, third party teleport services, TT&C) Main direct activities and assets (teleports, satellite operation centres, oices) Main client segments (video, mobility) assessment across several verticals (airline, cruise) Analysis granularity Site level assessments across its key operational regions spanning major continents • Mitigation Actions: Proactive initiatives include securing renewable energy PPAs, strengthening facility resilience, and integrating adaptive technologies into daily operations IMPACT, RISK AND OPPORTUNITY MANAGEMENT ESRS 2 IRO-1 SES has established a comprehensive process to identify, evaluate, and address its climate-related impacts, risks, and opportunities. This process reflects SES commitment to sustainable operations and compliance with global climate frameworks, including TCFD and CSRD. The methodology is designed to incorporate main elements of the value chain while focusing on greenhouse gas (“GHG”) emissions and other critical climate-related factors e.g. energy consumption, supply chain practices. Screening Activities and plans SES evaluates on a yearly basis its operations and value chain to identify and understand both current and potential climate-related impacts. These include: • GHG Emissions Sources: Analysing the origins and volumes of GHG emissions across Scopes 1, 2, and 3. This includes operational emissions (e.g., energy use at ground stations) and those generated by upstream suppliers and downstream customers. • Drivers of Climate-Related Impacts: Identifying activities such as energy consumption, and supply chain practices that contribute significantly to SES’s overall environmental footprint. Assessment Scope Based on TCFD climate related risks and opportunity categorisation, SES evaluation scope of the climate-risk identification exercise encompasses SES's entire value chain to ensure a holistic perspective, covering: Process for Identifying and Assessing Climate Impacts, Risks, and Opportunities This value-chain approach ensures the identification of risks and opportunities that are both material to SES and aligned with stakeholder priorities. SES has established a comprehensive process to identify, evaluate, and address its climate-related impacts, risks, and opportunities. SES ANNUAL REPORT 2024 | 57 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS 1.5°C Aggressive mitigation, limiting warming to 1.5°C – Based on IPCC Assessment Report 6 (AR6) Scenario Shared Socioeconomic Pathway (SSP)1-1.9, RCP2.6 / IEA Net Zero Emissions by 2050 Scenario (NZE). This scenario depicts a world achieving net-zero global CO 2 emissions around 2050. Society transitions to sustainable practices, prioritising well-being over economic growth. Investments in education and health rise, while inequality decreases. Although extreme weather events become more frequent, the worst impacts of climate change are averted. This is the only scenario aligning with the Paris Agreement’s 1.5°C warming limit, with temperatures peaking at 1.5°C before declining to 1.4°C by century’s end. >4°C Disorderly mitigation, warming exceeding 4°C – Based on IPCC Assessment Report 6 (AR6) Scenario Shared Socioeconomic Pathway (SSP) 5-8.5, RCP 8.5. This is the highest emission scenario and worst-case scenario in temperature increase, as outlined by the IPCC, involves a doubling of current CO 2 emissions by 2050. Rapid economic growth is fuelled by fossil fuels and energy-intensive lifestyles. The IPCC projects average global temperature to soar by 4.4°C by 2100. GHG Emissions Assessment SES employs detailed calculations of its carbon footprint, aligning with the GHG Protocol standards. This includes: • Scope 1: Direct emissions from fuel and energy use in operations. • Scope 2: Indirect emissions from purchased energy e.g. electricity consumption. • Scope 3: Emissions from the broader value chain, such as supplier activities and customer usage. TCFD aligned Scenario Analysis The process integrates insights from scenario analysis, examining various climate scenarios (e.g., 1.5°C, and >4°C warming) to forecast potential future impacts and vulnerabilities based upon the Intergovernmental Panel on Climate Change (“IPCC”) and the International Energy Agency (“IEA”). This ensures SES remains prepared for dierent climate futures and their operational implications. This scenario analysis is to anticipated potential climate-related risks that may impact SES in the short-term (“ST”, 12 months), medium term (“MT”, ~2030) and long term (“LT”, ~2050), so SES can work to mitigate and adapt to increase operational resilience. The climate-related scenarios used in the analysis are described below: Scenario mapping with TCFD climate- related risks and opportunities The mapping of climate-related scenarios applied for the assessment of physical risks, transitions risks and opportunities is described below: Physical Risks Transition Risks Opportunities 1.5°C >4°C SES leverages TCFD-aligned scenario analysis to assess climate-related risks and opportunities, ensuring informed decision-making. SES ANNUAL REPORT 2024 | 58 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Integration Quantitative and Qualitative Assessments SES uses of internal data, sector benchmarks, and third-party databases (e.g., Copernicus, Climate Central) to analyse physical and transition risks. This multi-dimensional approach provides a robust foundation for identifying hotspots and prioritising mitigation eorts, and can be broke down as follow: • Physical Risks are assessed quantitatively using climate-specific databases, such as Copernicus, Climate Central, Aqueduct, and CRT Climate. These tools enable a detailed evaluation of site vulnerability to climate hazards like flooding, heat stress, and storms, ensuring preparedness and resilience planning. • Transition Risks are evaluated using quantitative insights from sector benchmarks, historical data, and TCFD- recommended frameworks. This ensures SES remains agile in responding to regulatory changes, market shifts, and evolving customer preferences. Identification of Climate-Related Hazards SES identifies climate-related hazards by conducting assessments aligned with high-emission climate scenarios, including frequent extreme weather events and long-term shifts in temperature and precipitation patterns. The analysis considers hazards aecting both upstream (supplier operations) and downstream (customer reliance on satellite services) value chain activities. Outputs of the Assessment The outputs of SES’s climate impact assessment inform SES on climate related risks and opportunities and support in determining which IROs are material: • Impact Profiles: Key sources of emissions and climate-related vulnerabilities are identified. • Climate Metrics: Metrics such as carbon intensity and progress toward emissions reduction targets are tracked to ensure accountability and continuous improvement. • Priority Actions: The assessment highlights critical actions needed to mitigate risks and capitalise on opportunities, from renewable energy adoption to supplier engagement programmes. Over the last few years, SES has been establishing the processes and procedures that reflect our environmental ambitions. In 2024, we developed a Global Environmental and Circularity Policy (GECP) based on risk management, governance, circularity and product sustainability, SBTi targets, and the material topics identified by the DMA. Policies related to climate change mitigation and adaptation ESRS E1-2 SES is developing an adaptation plan to address climate change policies and ensure alignment with regulatory and market expectations. This ongoing work includes assessing required actions and resource allocation to strengthen climate resilience across operations and the value chain. A comprehensive plan will be presented in the next reporting cycle. Actions and resources in relation to climate change policies ESRS E1-3 SES identifies climate- related hazards by conducting assessments aligned with high-emission climate scenarios, including frequent extreme weather events and long-term shifts in temperature and precipitation patterns. SES ANNUAL REPORT 2024 | 59 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS METRICS AND TARGETS In 2024, SES submitted its science-based targets (SBTi), which were validated in October of the same year. These targets reinforce our commitment to aligning with the latest climate science and contributing to the global eort to limit temperature rise. Our Scope 1 and 2 reduction goals follow a 1.5°C pathway, ensuring that SES actively reduces its direct and indirect emissions in line with the most ambitious international climate targets. Our Climate Commitments: By 2030: Achieve a 50% reduction in absolute Scope 1 and 2 GHG emissions from our 2019 baseline. This commitment is integral to SES’s sustainability strategy, ensuring operational eiciency improvements while transitioning toward low-carbon technologies. Investments in energy eiciency, renewable energy, and electrification will play a central role in reaching this goal. Targets related to climate change mitigation and adaptation ESRS E1-4 KPIs Units Target year SBTi Objectives Scope 1&2 CO 2 eq emissions tCO2eq 2030 50% absolute reduction versus 2019 baseline These commitments reflect SES’s global presence across more than 75 countries and cover all relevant business activities within our operational scope. Through these eorts, SES is taking meaningful action to reduce its carbon footprint and contribute to the long-term resilience of the satellite communications industry. SES is committed to transparent reporting of its greenhouse gas (GHG) emissions in alignment with its science-based targets (SBTi) and global climate objectives. As part of its sustainability strategy, SES measures and reports its Scope 1, 2, and 3 emissions, ensuring alignment with best practices. SES follows a structured approach to emissions accounting, integrating: • Operational boundary definition in accordance with the GHG Protocol. • Dual reporting of Scope 2 emissions using both market-based and location- based methodologies. SES adheres to the following internationally standards: • The Greenhouse Gas Protocol, a Corporate Accounting and Reporting Standard (Revised Edition) • Defra Environmental Reporting Guidelines, including streamlined energy and carbon reporting guidance (2021) • The Greenhouse Gas Protocol Scope 2 Guidance In this reporting cycle, SES has synchronised its financial and non-financial disclosures by reporting both 2023 and 2024 emissions, ensuring consistency in reporting from this cycle onwards. Gross Scope 1, 2 and 3 and total GHG Emissions SES tracks and manages its greenhouse gas (GHG) emissions across Scope 1, 2, and 3 to align with its climate commitments and reduction targets. Gross Scope 1, 2 and 3 and Total GHG emissions ESRS E1-6 By 2030: Achieve a 50% reduction in absolute Scope 1 and 2 GHG emissions from our 2019 baseline. This commitment is integral to SES’s sustainability strategy, ensuring operational eiciency improvements while transitioning toward low-carbon technologies. SES ANNUAL REPORT 2024 | 60 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS In 2024, total GHG emissions showed an overall increase compared to 2023, primarily driven by higher Scope 2 and Scope 3 emissions. • Scope 1 emissions decreased by -20.1%, reflecting ongoing eorts to optimise energy eiciency, transition to low-carbon alternatives, and improve operational processes. • Scope 2 emissions varied between location-based and market-based methodologies. ◦ The location-based Scope 2 emissions increased by +10.8%, largely attributed to higher electricity consumption in specific locations where grid electricity has a higher carbon intensity. ◦ The market-based Scope 2 emissions saw a smaller increase of +3.9%. This increase is linked to changes in residual grid mix emissions in specific locations. • Scope 3 emissions increased by +6.8%. The growth is primarily driven by capital goods and fuel and energy related activities, reflecting SES’s business expansion and procurement activities. As a result, total GHG emissions experienced a +5.4% increase (location- based) and +4.1% increase (market- based) year-over-year. While Scope 1 reductions helped, the rise in Scope 2 and Scope 3 emissions osets these gains, leading to an overall increase in SES’s carbon footprint. KPIs 2023 2024 2024 vs. 2023 Scope 1 Gross Scope 1 GHG emissions 9,799 7,826 -20.1% Scope 2 Gross location-based Scope 2 GHG emissions (tCO 2 eq) 23,422 25,952 +10.8% Gross market-based Scope 2 GHG emissions (tCO 2 eq) 13,705 14,239 +3.9% Scope 3 Gross Scope 3 GHG emissions (tCO 2 eq) 88,034 94,012 +6.8% Total Total GHG emissions (location-based) (tCO 2 eq) 121,255 127,790 +5.4% Total GHG emissions (market-based) (tCO 2 eq) 111,538 116,077 +4.1% In 2024, total GHG emissions showed an overall increase compared to 2023, primarily driven by higher Scope 2 and Scope 3 emissions. While Scope 1 reductions helped, the rise in Scope 2 and Scope 3 emissions osets these gains. SES ANNUAL REPORT 2024 | 61 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Scope 3 GHG Emissions Inventory Scope 3 emissions account for a significant share of SES’s total carbon footprint, driven primarily by Purchased Goods & Services and Capital Goods. The following Scope 3 categories are included in SES’s inventory: • Purchased Goods & Services and Capital Goods remained the dominant contributors, increasing emissions by +6.5% due to higher infrastructure investments, osetting the improvements made in procurement strategy and supply chain decarbonisation eorts. • Fuel- and Energy-Related Activities emissions saw an increase of +50.4% due to higher overall energy consumption. • Business travels emissions decreased by -20.7%, driven by continued remote work policies and optimised travel practices. • Employee Commuting emissions decreased by -14.1%, reflecting hybrid work adoption. • Upstream Transportation & Distribution emissions decreased by -10% reflecting logistical eiciency improvements. • Waste Generated in Operations decreased by -33%, reflecting SES’s ongoing waste management eorts. KPIs Scope 3 2023 2024 2024 vs. 2023 Cat.1 Purchased goods and services 52,415 45,738 -12.7% Cat.2 Capital goods 21,733 33,236 +52.9% Cat.3 Fuel- and energy-related activities 5,396 8,116 +50.4% Cat.4 Upstream transportation and distribution 505 454 -10.2% Cat.5 Waste generated in operations 68 46 -32.9% Cat.6 Business travel 5,684 4,506 -20.7% Cat.7 Employee commuting 2,232 1,917 -14.1% Gross Scope 3 GHG emissions (tCO2eq) 88,034 94,012 +6.8% As part of its broader supplier engagement strategy, SES has launched an initiative to develop a Sustainability Supplier Scorecard to assess supplier sustainability performance. This initiative is part of an ongoing eort to gain better visibility into supply chain emissions, with further details to be presented in the next reporting cycle. For the 2024 reporting cycle, SES has continued using a spend-based methodology for Scope 3 emissions, consistent with previous years. Until 2023, the cost of launchers and satellites was accounted for at the launch date, even though these costs were incurred over multiple years. From 2024 onwards, SES has adopted a new approach based on contract milestone payments, which more accurately reflects actual cash flow and smooths yearly variations in emissions reporting. This updated methodology has been applied to both 2023 and 2024 emissions data for consistency. From 2025 onward, SES will fully integrate this approach into its reporting framework to enhance accuracy and comparability over time. SES has launched an initiative to develop a Sustainability Supplier Scorecard to assess supplier sustainability performance. This initiative is part of an ongoing eort to gain better visibility into supply chain emissions. Scope 3 emissions account for a significant share of SES’s total carbon footprint, driven primarily by Purchased Goods & Services and Capital Goods. SES ANNUAL REPORT 2024 | 62 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Performance and progress, Scope 1 + 2 GHG Emissions – Market Based While SES achieved a notable reduction in Scope 1 emissions (-21.2%) reflecting ongoing eorts to optimise energy eiciency and transition to low-carbon alternatives, Scope 2 emissions increased by +3.9% in 2024. This rise underscores the impact of increase energy use. However, SES’s renewable electricity procurement continues to mitigate emissions growth. 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5,000 2025 2026 202920282027 35,019 2019 2020 2021 2022 2023 2024 17,510 2030 tCO2e - Scope 1&2 Actuals - Scope 1 + 2 Target KPIs Total Scope 1 + 2 2019 baseline 2023 2024 2024 vs. 2023 2024 vs. baseline Scope 1+2 GHG emissions (market-based) (tCO 2 eq) 35,019 23,504 22,065 -6.1% -37.0% Performance and progress, Scope 1 + 2 GHG Emissions – Location Based While SES achieved a notable reduction in Scope 1 emissions (-21.2%) reflecting ongoing eorts to optimise energy eiciency and transition to low-carbon alternatives, Scope 2 emissions increased by +10.8% in 2024. This increase is largely attributed to higher electricity consumption in specific locations where grid electricity has a higher carbon intensity. 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5,000 2025 2026 202920282027 31,780 2019 2020 2021 2022 2023 2024 15,890 2030 tCO2e - Scope 1&2 Actuals - Scope 1 + 2 Target While SES achieved a notable reduction in Scope 1 emissions (-21.2%) reflecting ongoing eorts to optimise energy eiciency and transition to low-carbon alternatives, Scope 2 emissions increased by 3.9% in 2024. SES ANNUAL REPORT 2024 | 63 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS KPIs Total Scope 1 + 2 2019 baseline 2023 2024 2024 vs. 2023 2024 vs. baseline Scope 1+2 GHG emissions (location-based) (tCO 2 eq) 31,780 33,221 33,678 +1.4% +6.0% SES is currently undertaking a climate adaptation plan which will provide the foundation for a concrete and comprehensive transition plan. This plan will address non-avoidable emissions by evaluating potential GHG removals and mitigation strategies. As part of this process, SES will explore various mitigation projects, including those financed through carbon credits, to oset its emissions. The evaluation will include GHG removal technologies and nature-based solutions to further reduce its carbon footprint. A full action plan, encompassing these mitigation and removal strategies, will be defined and detailed in the next reporting cycle, ensuring that SES’s climate strategy evolves in alignment with emerging best practices and regulatory frameworks. GHG removals and GHG mitigation projects financed through carbon credits ESRS E1-7 SES is currently undertaking a climate adaptation plan which will help define a concrete transition plan. As part of this process, SES is exploring the potential implementation of an internal carbon pricing mechanism to facilitate informed investment decisions. The business case for these decisions, incorporating carbon pricing versus business-as-usual scenarios, is expected to drive higher profitability and accelerate the implementation of sustainability-focused projects. This approach could also influence the company’s sourcing strategy, guiding procurement decisions to better align with long-term climate goals. The final decision on internal carbon pricing will be assessed later as part of the broader adaptation strategy. Internal carbon pricing ESRS E1-8 In alignment with SES’s ongoing climate adaptation and transition plans, the anticipated financial eects of sustainability initiatives are expected to include both direct and indirect costs and savings over time. These will primarily result from the implementation of measures to reduce emissions, enhance energy eiciency, and transition to sustainable sourcing. However, as SES is still in the process of finalising its adaptation plan, all anticipated financial eects are conditional upon the final decisions and strategies outlined in the plan. • Capital Investments: Initial investments may be required for upgrading infrastructure, technology, and processes to meet sustainability targets, such as transitioning to renewable energy sources and adopting energy-eicient systems. The specific investments will depend on the finalised adaptation plan. Anticipated Financial Eects and Mitigation Actions ESRS E1-9 SES is currently undertaking a climate adaptation plan in 2025, which will provide the foundation for a concrete and comprehensive transition plan. SES ANNUAL REPORT 2024 | 64 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS • Operational Costs: There may be increases in short-term operational costs related to sustainability initiatives, including higher costs for sustainable materials, emissions tracking, and compliance with new regulatory requirements. These costs will be assessed and refined as the adaptation plan progresses. • Cost Savings: Over time, SES expects savings from reduced energy consumption. The extent of these savings will be contingent on the finalised plan’s scope and timeline. • Carbon Credit Investments: Potential costs associated with purchasing carbon credits for osetting non- avoidable emissions, depending on the availability and market price of credits. These investments will be evaluated in the context of the adaptation plan's final strategy. Mitigation Actions: To manage the anticipated financial impacts, SES will implement several mitigation actions, which remain subject to the outcomes of the ongoing adaptation plan: • Leveraging Internal Carbon Pricing: This will help integrate the true environmental cost into investment decisions, ensuring that sustainability initiatives are financially competitive and align with the company’s long-term financial objectives. The final approach to internal carbon pricing will be confirmed as part of the adaptation plan. • Cost Optimisation: SES will focus on optimising operational costs through resource eiciency, energy savings, and waste reduction, reducing the financial burden of implementing sustainability initiatives. Specific actions will be clarified once the adaptation plan is complete. • Strategic Partnerships: Collaborating with stakeholders, including suppliers, technology providers, and industry partners, to leverage external expertise, share costs, and maximise the impact of sustainability investments. These partnerships will be explored further as part of the transition strategy. • Phased Implementation: Implementing sustainability initiatives in phases to manage cash flow and spread capital investment costs over time, ensuring the financial feasibility of the transition plan. The timeline and phases will depend on the final adaptation plan. • Government and Regulatory Incentives: SES will actively pursue government incentives, tax breaks, and subsidies available for green initiatives to oset upfront costs. The availability of such incentives will be evaluated as part of the adaptation plan. These measures will help SES navigate the financial challenges associated with its sustainability commitments while ensuring long-term value creation. However, the specific actions and financial impacts will be finalised once the adaptation plan is complete. Over time, SES expects savings from reduced energy consumption. The extent of these savings will be contingent on the finalised plan’s scope and timeline. SES ANNUAL REPORT 2024 | 65 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS RESOURCE USE AND CIRCULAR ECONOMY As a leading space company, SES is committed to sustainable practices that minimise environmental impact and promote resource eiciency. This section outlines the material impact risks and opportunities associated with our waste management and circular economy initiatives Negative Impact: Waste Produced by Operations SES generates waste from its operations, with limited visibility on how this waste is handled by its subcontractors. Improper disposal of this waste could lead to environmental pollution and health issues for surrounding communities. Additionally, the company could face operational and regulatory challenges. Lack of Eective Waste Management If SES fails to manage waste eectively, this could result in environmental contamination, regulatory penalties reputational risks and potential fines. Opportunity: Resource Use and Circular Economy Programme Implementing a circular economy programme to optimise resource use could result in reduced waste and operational costs for SES. The company would benefit from cost savings and improved sustainability, customer satisfaction and ensure compliance to resource eiciency standards. IMPACTS, RISKS AND OPPORTUNITY MANAGEMENT ESRS 2 SBM-3 The eicient use of resources and circularity have an essential role to play in driving more sustainable consumption and production across the lifecycle of our products. This section presents our approaches, the materiality of this topic, and the actions and opportunities around waste management within SES. The key business units associated with resource use and circular economy material impacts, risks, and opportunities include facility management, health and safety, vendor management & procurement, risk and audit, business strategy, ESG, legal & compliance, and technology. SES also identified the disclosure of material impacts and risks of maintaining the status quo, caused by intensifying regulatory pressures, as the main risk if SES fails to take appropriate action. This could lead to potential fines. Historically, SES has followed guidelines set by the Ministry of Environment of Luxembourg to manage waste at the company headquarters. Alongside this mandatory exercise, our waste management practices are audited annually, and our Green Certificates from Luxembourg SuperDrecksKescht (SDK) ecolabel for 23 consecutive years, demonstrate that we have very good ecological and economical waste management systems in the headquarters. The Chief Technology Oicer oversees the implementation of our waste management strategy, while Facility Management takes responsibility for waste disposal. Now that this topic has been identified as partially material for SES, all resource use and circular economy actions and objectives are far more important. We recognise the need to develop internal environmental policies to guide our commitment to a circular model and ensure that every decision aligns with our environmental goals. As of now, there is a lack of a formal internal policy framework. The main reason has been a lack of resources and capabilities. OUR APPROACH AND POLICIES E5-1 SES ANNUAL REPORT 2024 | 66 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Our waste management initiatives aim to significantly reduce the amount of waste sent for disposal, maximise reuse and recycling, and minimise the environmental impact of our waste. Key activities related to resources and waste management: The table on the left outlines the key actions taken to achieve resource use and circular economy, excluding the percentages of waste from operations that were recycled or not recycled. Our Betzdorf site has seen a number of waste management and sustainability initiatives on top of these key actions. In addition to the solar panels mentioned in the climate action section, these include the upgrade of 61 recycling stations to improve waste management; a dedicated waste collection e-form; new processes for recycling batteries and cigarette filters; and celebrating World Environmental Day to promote resource eiciency and circular practices among employees. In our ongoing eorts to minimise plastic waste, we have implemented several key measures. The bins in our recycling stations are now emptied twice a week, compared to five times previously. Additionally, all plastic bottles have been eliminated from the two canteens, and plastic cups have been removed from all coee machines. Furthermore, in 2023, we launched a food waste reduction programme at our Betzdorf HQ, using excess canteen food to provide nutritious, vacuum-sealed meals for shift workers. No specific timeline has been defined for the global scope of SES, but increasing the resource flow and waste management strategy and framework for guiding and monitoring progress is part of this year’s plan. All these actions and initiatives aim to: Reduce the amount of waste generated in SES • Improve the recycling eiciency of the waste generated, by diverting it from disposal • Reduce the waste directed to disposal to the most possible extent Additional activities linked to the Life Cycle Assessment Resource inflows (the materials and resources entering a system) and outflows (the waste and emissions leaving it) are closely aligned with Life Cycle Assessment (LCA) principles to evaluate their environmental impact at every stage. This approach supports the circular economy by creating a clear baseline for waste management, enabling the identification of strategies to reduce waste and maximise resource eiciency. In 2023, SES carried out the first industry- led LCA for the Astra 1P satellite in partnership with a major industry player. An LCA evaluates the environmental impact of a product throughout its life cycle, from raw material extraction to disposal or recycling. This methodology aligned with the International Organization for Standardization (ISO) guidelines (ISO 14040 & 14044). The Astra 1P satellite is a wide-beam satellite positioned at 19.2 degrees east. The assessment looked at elements such as ozone depletion, climate change, and resource use. This unique LCA is the first collaboration between two private companies on such a large scale and assessed all major phases of the satellite's lifecycle: 1. Satellite Procurement and Manufacturing 2. Launch 3. Ground Operations (including user terminals and gateways) 4. In-Orbit Operations ACTIONS AND RESOURCES E5-2 List of Actions Description Partnership with Local NGOs Collaborating with a recycling entity in Luxembourg to donate furniture in good condition to local NGOs and individuals in need Supplier Agreements Establishing a return programme with our main furniture supplier to refurbish and reuse old or broken oice chairs Sales of Unused Furniture Selling unused furniture (desks, cupboards, and chairs) to a long-term cleaning supplier, freeing up warehouse space Reusing Packaging Materials Reusing cardboard, boxes, and Styrofoam from incoming packages for outbound shipping IT Device Donation Partnering with a Luxembourg-based association to collect and distribute old devices for educational purposes Minimising Oice Supplies Reusing and redistributing existing oice supplies recovered from projects, training sessions, or employees who leave Key actions taken to achieve resource use and circular economy related objectives and targets SES ANNUAL REPORT 2024 | 67 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Ground & Procurement Launch In Orbit Design Manufacture Launch Use End of life INPUTS • Transportation • Materials • Energy • Ancillary • Processes OUTPUTS • Emissions • Waste • Mass left in space LCA inputs and outputs flow Based on the findings, we plan to conduct further evaluations and implement measures that address these key environmental impacts. In addition to the SBTi targets directly related to GHG emissions, we are also developing quantifiable metrics and targets in the following areas: Striving for circularity The DMA highlighted a need to deepen our focus on circularity and waste management. We are addressing this need by integrating eco-design and circularity principles into our products; developing quantifiable metrics and targets to drive constant improvement; and enhancing waste data collection. As our data collection processes improve it will become clear where we have actionable levers available. At that time we aim to develop more robust and eective targets in the medium and long term. Resource Outflow and Waste data We work with certified waste companies to handle disposal, who then provide certificates detailing the weight and destination of each waste type. This data is compiled, verified by auditors, and submitted annually to receive the Green Certificate. The collection table, along with invoices and certificates of destruction, is stored in an internal SharePoint database accessible to relevant departments, mainly ESG and FM. This methodology ensures that all disclosed data is reliable, certified, and controlled, providing a comprehensive overview of SES’s waste management practices. The following table present the total amount of waste diverted from disposal and for which the recovery operations type is: preparation for reuse, recycling, and other operations. TARGETS AND METRICS E5-3 SES ANNUAL REPORT 2024 | 68 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Starting in March 2025, SES will partner with a single waste management company to handle all waste categories in Betzdorf. This decision aims to enhance the eiciency and traceability of our waste collection and disposal processes. By consolidating our waste management with one partner, we expect improvements in data collection, end-of-life waste traceability, and communication. Additionally, this change will streamline operations and reduce financial costs through operational synergies. Finally, SES is currently developing an Environmental and Circularity Policy that should be in application from the first quarter of 2025, covering several aspects of waste from SES operations. This will be complemented at a later stage with a stronger waste management strategy. SES classifies waste into three main categories: • General waste: plastics, wood, paper, cardboard, iron, glass. • E-waste: electrical and electronic equipment • Organic waste: food, oils, and garden waste. However, the only waste streams relevant to our sector is E-waste that can be categorised into electrical and electronic equipment excluding IT standard material and E-waste containing Hazardous components. In terms of methodologies, SES’s facility management team compiles data on waste management from four waste companies (three in Luxembourg, one in Germany) that handle all waste categories generated by SES. Waste collection occurs weekly, bi-weekly, or upon request, depending on the type. The Facility Operations Coordinator manually records the weight and price of waste collected and treated monthly, based on invoices and certificates of destruction from the waste partners, which are certified and controlled by the SDK. This data is entered into a collection table designed with the SDK and used for yearly audits. We are now aiming to improve waste tracking by potentially consolidating all waste management with a single partner. This would allow us to monitor more closely the ways in which our waste is recycled, including the percentage that is incinerated or sent to landfill. RESOURCE OUTFLOWS E5-5 The 2024 DMA identified waste management as a priority impact, highlighting the need to enhance existing waste disposal and recycling methods. In some cases, SES relies on traditional disposal systems, which results in a significant among of waste being directed to landfill. The lack of recyclable materials in manufacturing processes and operational practices further hinders circularity eorts. SES ANNUAL REPORT 2024 | 69 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS CED Code Waste Category 2019 2020 2021 2022 2023 2024 Units 200135 Electrical devices 7603 12346 6622 5380 3613 25531 Kg 200138 Treated wood 6400 19330 9440 2440 19800 19540 Kg 170411 Cables 191 403 168 2129 4410 176 Kg 150101 Cardboard, paper 19660 17180 12340 11750 10980 18250 Kg 160215 Ink and toner cartridges 156 28 52.03 Kg 200108 Kitchen and canteen waste 30469 12406 9077 12642 14905 15504 Kg 170107 Demolition waste, uncontaminated 6810 2620 1980 2750 3750 5830 Kg 200201 Garden and park waste 5790 6090 3860 3390 3730 6470 Kg 200139 Plastic waste 2140 1520 1540 1380 3010 4176 Kg 200301 Mixed municipal waste (residual) 52780 73250 32500 26880 30340 58520 Kg 150110 Harmful product packaging/ aerosol bombs 215 43 91 2 72 119 Kg 150106 PMC packaging (Valorlux collection) 1828 821 505 489 657 1494 Kg 200140 Scrap, metal waste 4480 11400 3670 1140 8700 22584 Kg 190809 Separator Fats and Oils (Liter) 7000 778 10500 14000 L 200125 Edible oils and fats 598 379 650 Kg 200121 Lamps containing mercury 364 200 180 185 Kg 200101 Confidential documents 7153 1892 3190 5964 2210 3395 Kg 200139 Data support 220 610 340 80 1 Kg 150107 Hollow glass 370 577 500 611 Kg 200303 Street cleaning waste 41360 Kg 200133 Batteries, dry cells 174 160 188 185 Kg 200123 Fridges (chlorofluorocarbons) 3135 256 Kg 180103 Infectious hospital waste 5 1 Kg 160114 Coolant 750 Kg 170604 Worm wool and rock wool 119000 Kg 170802 Placoplatre 4300 2360 Kg 150102 Mixed plastic containers 520 Kg 200115 Basic bases and detergents 40 Kg 150102 Polystirene 3000 Kg 150202 Oily products 279 Kg 160602 Ni-Cd batteries 112 Kg 160601 Lead batteries 51 Kg 160504 Aerosol bombs 14 Kg 130802 Light emulsions 244 Kg 200199 Cigarette buts 39.81 Kg 160506 Liquid organic chemical waste 520 Kg Total Amount of waste directed to disposal by waste treatment by hazardous waste 12246 12705 7358 5701 3893 27,198.03 Kg Total Amount of waste directed to disposal by waste treatment by non-hazardous waste 180029 270952 81817 74294 103451 157240.81 Kg 7000 778 10500 14000 L Total amount of waste diverted from disposal SES ANNUAL REPORT 2024 | 70 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS EU TAXONOMY General considerations SES has continued its evaluation of its associated economic activities by screening the economic activities in the Climate Delegated Act (Commission Delegated Regulation (EU) 2021/2139), the Complementary Climate Delegated Act (Commission Delegated Regulation (EU) 2022/1214), the Environmental Delegated Act (Commission Delegated Regulation (EU) 2023/2486), and the amendments to the Climate Delegated Act (Commission Delegated Regulation (EU) 2023/2485). The accounting information represents the consolidated financial statements. Methodology As sets out in the regulation, an economic activity must meet the following criteria in order to qualify as environmentally sustainable (taxonomy-aligned): • Substantially contribute to one or more of the six environmental objectives • Do no significant harm (DNSH) to the other five objectives. • Comply with minimum safeguards covering social and governance standards. • Comply with the technical screening criteria (TSC) for the environmental objectives To calculate the Turnover, CapEx, and OpEx indicators, SES utilizes data from our global databases. Due care was taken to avoid double counting through the following measures: • Reconciliation with accounting information, which ensures appropriate consideration of eliminations and adjustments on consolidation. • Verification of the completeness and accuracy of the data. Alignment Assessment Due to a lack of data, we were not currently able to fully assess if we are meeting the substantial contribution criteria, the DNSH and the minimum safeguards as well as ensure compliance with the technical screening criteria. Therefore, we have to consider these activities as not aligned with the EU taxonomy. Eligible activities identified Economic Activities Turnover CapEX/OpEX Description NACE Code Environmental Objective Transport by motorbikes, passenger cars and light commercial vehicles. OpEX Activities mainly related to vehicle leasing and rental. N77.11 Climate Mitigation Installation, maintenance and repair of energy eiciency equipment. CapEX Initiatives mainly related to the modernisation of air conditioning and free-cooling systems in buildings. F43.2, F43.3 Climate Mitigation Installation, maintenance and repair of charging stations for electric vehicles in buildings. CapEX Activities related to the Installation and maintenance of charging stations for electric vehicles on sites. F43.3 Climate Mitigation Installation, maintenance and repair of instruments and devices for measuring, regulation and controlling energy performance of buildings. CapEX Initiatives related to the installations of electronic devices to improve the energy management of buildings such as smart meters. F43.2 Climate Mitigation Installation, maintenance and repair of renewable energy technologies. CapEX Initiatives related to the implementation of several Solar PV projects. F43.21 Climate Mitigation Acquisition and ownership of buildings. CapEX Lease of Buildings. L68.20 Climate Mitigation SES ANNUAL REPORT 2024 | 71 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Proportion of turnover derived from products or services associated with Taxonomy-aligned economic activities – disclosure covering financial year 2024 Substantial Contribution Criteria DNSH criteria ('Does Not Significantly Harm') Economic Activities (1) Code (2) Absolute turnover (3) Proportion of Turnover (4) Climate Change Mitigation (5) Climate Change Adaptation (6) Water (7) Pollution (8) Circular Economy (9) Biodiversity and ecosystems (10) Climate Change Mitigation (11) Climate Change Adaptation (12) Water (13) Pollution (14) Circular Economy (15) Biodiversity (16) Minimum Safeguards (17) Taxonomy aligned proportion of total turnover, year N (18) Category (enabling activity) (20) Category (transitional activity) (21) Text Millions, EUROS % % % % % % % Y/N Y/N Y/N Y/N Y/N Y/N Y/N % E T A. TAXONOMY-ELIGIBLE ACTIVITIES 0% A.1. Environmentally sustainable activities (Taxonomy-aligned) 0% 0% 0% 0% 0% 0% 0% 0% Turnover of environmentally sustainable activities (Taxonomy-aligned) (A.1) 0.00 0% 0% 0% 0% 0% 0% 0% N N N N N N N 0% 0% 0% A.2 Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned activities) 0% Turnover of Taxonomy-eligible but not environmentally sustainable activities (not Taxonomy-aligned activities) (A.2) 0.00 0% Total (A.1+A.2) 0.00 0% B. TAXONOMY-NON-ELIGIBLE ACTIVITIES Turnover of Taxonomy-non-eligible activities 2,001.07 100% Total (A+B) 2,001.07 100% SES ANNUAL REPORT 2024 | 72 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Proportion of CapEX derived from products or services associated with Taxonomy-aligned economic activities – disclosure covering financial year 2024 Substantial Contribution Criteria DNSH criteria ('Does Not Significantly Harm') Economic Activities (1) Code (2) Absolute CapEx (3) Proportion of CapEx (4) Climate Change Mitigation (5) Climate Change Adaptation (6) Water (7) Pollution (8) Circular Economy (9) Biodiversity and ecosystems (10) Climate Change Mitigation (11) Climate Change Adaptation (12) Water (13) Pollution (14) Circular Economy (15) Biodiversity (16) Minimum Safeguards (17) Taxonomy aligned proportion of total CapEx, year N (18) Category (enabling activity) (20) Category (transitional activity) (21) Text Millions, EUROS % % % % % % % Y/N Y/N Y/N Y/N Y/N Y/N Y/N % E T A. TAXONOMY-ELIGIBLE ACTIVITIES 1% A.1. CapEx of environmentally sustainable activities (Taxonomy-aligned) CapEx of environmentally sustainable activities (Taxonomy-aligned) (A.1) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 N N N N N N N 0.00 0.00 0.00 A.2 Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned) Acquisition and ownership of buildings (CapEx C) 0.71 0% Installation, maintenance and repair of charging stations for electric vehicles in buildings (and parking spaces attached to buildings) (CapEx C) 0.08 0% Installation, maintenance and repair of energy eiciency equipment (CapEx C) 0.11 0% Installation, maintenance and repair of instruments and devices for measuring, regulation and controlling energy performance of buildings (CapEx C) 0.09 0% Installation, maintenance and repair of renewable energy technologies (CapEx C) 1.70 1% CapEx of Taxonomy-eligible but not environmentally sustainable activities (not Taxonomy-aligned activities) (A.2) 2.68 1% Total (A.1+A.2) 2.68 1% B. TAXONOMY-NON-ELIGIBLE ACTIVITIES Capex of Taxonomy-non-eligible activities 300.52 99% Total (A+B) 303.20 100% SES ANNUAL REPORT 2024 | 73 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Proportion of OpEX derived from products or services associated with Taxonomy-aligned economic activities – disclosure covering financial year 2024 Substantial Contribution Criteria DNSH criteria ('Does Not Significantly Harm') Economic Activities (1) Code (2) Absolute OpEx (3) Proportion of OpEx (4) Climate Change Mitigation (5) Climate Change Adaptation (6) Water (7) Pollution (8) Circular Economy (9) Biodiversity and ecosystems (10) Climate Change Mitigation (11) Climate Change Adaptation (12) Water (13) Pollution (14) Circular Economy (15) Biodiversity (16) Minimum Safeguards (17) Taxonomy aligned proportion of total OpEx, year N (18) Category (enabling activity) (20) Category (transitional activity) (21) Text Millions, EUROS % % % % % % % Y/N Y/N Y/N Y/N Y/N Y/N Y/N % E T A. TAXONOMY-ELIGIBLE ACTIVITIES 0% A.1. Environmentally sustainable activities (Taxonomy-aligned) OpEx of environmentally sustainable activities (Taxonomy-aligned) (A.1) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 N N N N N N N 0.00 0.00 0.00 A.2 Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned activities) Transport by motorbikes, passenger cars and light commercial vehicles (OpEx C) 0.87 0% 0% OpEx of Taxonomy-eligible but not environmentally sustainable activities (not Taxonomy-aligned activities) (A.2) 0.87 0% Total (A.1+A.2) 0.87 0% B. TAXONOMY-NON-ELIGIBLE ACTIVITIES OpEx of Taxonomy-non-eligible activities 1,907.80 100% Total (A+B) 1,908.68 100% SES ANNUAL REPORT 2024 | 74 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS As a leading space company, SES is dedicated to fostering a supportive and inclusive work environment. SOCIAL As an international company employing more than 2000 people worldwide, we strongly believe in the importance of a diverse and inclusive environment. We nurture a safe and healthy workplace, supporting the goals of our employees, understanding their work cultures, and implementing excellent people and culture practices. OWN WORKFORCE ESRS S1 In terms of workforce conditions and training, the space industry faces a unique set of challenges due to its highly skilled nature and significant safety risks. As a leading space company, SES is dedicated to fostering a supportive and inclusive work environment. This section outlines the material impact risks and opportunities associated with our workforce. By addressing these areas, SES aims to enhance employee satisfaction, comply with regulatory standards, and maintain a motivated and skilled workforce. The DMA showed that our main stakeholders identified both working conditions and equal treatment and opportunities as priority topics. Working Conditions Risk: Failure to respect labour regulations If SES fails to respect labour regulations and international standards, this could result in legal penalties, fines and reputational damage. Maintaining SES' diligence regarding applicable laws and ensuring policies and procedures are regularly updated is critical to ensure compliance. Positive Impact: Benefits and Well-being Programme Implementing a benefits and well-being programme for employees could result in improved employee satisfaction and retention. SES would benefit from OUR MATERIAL IMPACTS AND RISKS ESRS 2 SBM-3 SES ANNUAL REPORT 2024 | 75 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS a motivated workforce, employees would experience better well-being, and the company would see enhanced productivity. Risk: Health and Safety Incidents Health and safety incidents related to the installation, maintenance, and operation of critical infrastructures, including potential exposure to electromagnetic waves, may occur in SES operations. This could result in health risks for employees and potential regulatory penalties if regulations are not adhered to. Continued training and monitoring of health and safety incidents lessens this risk. Equal treatment and Opportunities Risk: Weak Learning and Development (L&D) Programme If SES's learning and development programme is weak, this could result in inadequate skill development and reduced employee engagement. SES would face challenges in maintaining a skilled workforce and potential productivity losses, while employees may experience limited career growth, potentially leading to higher attrition rates. Positive Impact: Strong Social Programmes Implementing strong social programmes could result in a more inclusive and innovative work environment. SES would benefit from a variety of perspectives, employees would enjoy a better work experience, and the company would see enhanced creativity and performance. Risk: Lack of Broad Representation The underrepresentation of women in the Science, Technology, Engineering, and Mathematics (STEM) fields continues to persist. SES could face reputational risks and potential challenges in attracting top talent due to a less inclusive culture. During our assessment, other work-related rights, including child labour, forced labour, adequate housing, and privacy, were not identified as material. Our company employs a comprehensive process to identify and assess actual and potential impacts on our workforce, primarily through internal stakeholder engagement and surveys. Our focus on digital transformation is the main aspect linked to these identified impacts, necessitating reskilling and upskilling initiatives. Additionally, we emphasise diversity and inclusion (d&i) and equal opportunities and treatment as another key focus area. The insights gained from assessing workforce impacts inform our strategic decisions, leading us to invest in training programmes to align workforce capabilities with strategic goals and promote d&i initiatives to improve employee satisfaction and reduce operational risks, ensuring our strategy remains resilient and responsive to workforce needs. Our code of conduct The Code of Conduct represents our main internal policy The Code discusses a range of issues including bribery and facilitation; political activities; sanctions; export controls; competition/antitrust; anti-money laundering; intellectual privacy; antiboycott; insider trading; conflicts of interest; fair employment; harassment; contractors and agents; data protection; fundamental rights; the environment; health and safety; and the use of social media. Many of these topics are also addressed in separate detailed policies. Moreover, it also explicitly address traicking in human being, forced labour or compulsory labour and child labour. For more information on our Code of Conduct, you can refer to the Business conduct policies and corporate culture section. Our internal policies and regulations are all developed in line with an array of recognised international standards including the principles of the UNGC; the Universal Declaration of Human Rights; and the principles laid down in the International Labour Organisation (ILO) Declaration on Fundamental Principles and Rights at Work. All our policies apply to all employees, contractors, and subcontractors. OUR APPROACH AND POLICIES ESRS S1-1 SES ANNUAL REPORT 2024 | 76 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS We also worked regularly with social partners and unions to define these policies as required by local legislation. A mandatory compliance training programme ensures the entire workforce adheres to the expected standards. Policy against harassment Making a positive impact in the world starts with ensuring the welfare of our employees. Delivering on our goals cannot be achieved without motivated employees who enjoy working with us and feel protected. As detailed in our Anti-Harassment Policy, we maintain a strict zero-tolerance policy towards any form of harassment or inappropriate behaviour – including but not limited to those based on gender, race, colour, age, religion, national origin, marital status, sexual orientation, disability, health status, veteran status, or any other legally protected characteristic. Individuals who believe they have been impacted by harassment can request assistance to support them through the reporting procedure. This is in recognition that raising an issue of harassment in the workplace can be diicult for many people. We have also in the spirit of transparency committed to providing updates on the process and outcome of any claim to the individuals concerned. We believe that education is a powerful tool in preventing harassment, and all SESers are required to undergo anti-harassment training. This training is designed to increase awareness, provide tools for intervention, and foster a workplace culture that rejects discrimination and harassment in all forms. SES does not have a specific policy commitment related to inclusion or positive action for people from groups at particular risk of vulnerability. Environmental, Health and Safety Charter At SES, we are committed to protecting the environment and ensuring the health and safety of our employees, customers, and partners. That is why we have created the Environmental, Health and Safety Charter, which outlines our policies and expectations for environmental protection across our value chain. The Environmental, Health and Safety Charter is a policy statement from SES that describes a systematic approach to identifying, evaluating, and managing environmental, health, and safety risks through teamwork and leadership commitment. It outlines SES’s commitment to continuous improvement, communication, education, and training in the areas of environmental protection, health, and safety measures and serves as a guide for the organisation to achieve its goals in these areas. Making a positive impact in the world starts with ensuring the welfare of our employees. Delivering on our goals cannot be achieved without motivated employees who enjoy working with us and feel protected. SES ANNUAL REPORT 2024 | 77 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS At SES, we recognise the importance of engaging with our workforce to understand and address both actual and potential impacts on our employees. Our approach to workforce engagement includes a variety of formal and informal channels to ensure open communication and collaboration. • All Hands Meetings (AHM): We hold regular global AHMs where senior management discusses company performance, upcoming projects, and potential workforce impacts. These sessions encourage open dialogue and employee engagement. • Team-Level Sessions: Each business unit conducts regular team-level sessions to discuss performance, projects, challenges, and opportunities. • Management and Employee Meetings: In Luxembourg, The Netherlands, Germany, and Israel, management and employee representatives meet regularly to address workplace safety, diversity, inclusion, and business updates. • Business Talks: Regular Business Talks are held to address specific topics, update employees, and collect input. • Policy Development and Organisational Changes: Workforce engagement is integral during policy development, organisational changes, and practice evaluations. • Employee Surveys: Annual employee engagement surveys cover workplace conditions, management practices, and job satisfaction. Feedback is analysed and shared with all sta, leading to action plans addressing any identified issues. • Social Updates: We regularly share and review social updates with Employee Representatives and Equal Opportunity Oicers to gather feedback and improve our initiatives. • Social Partner Engagement: We engage social partners in dedicated sessions for updates and feedback, ensuring ongoing communication and prompt issue resolution. The Chief People Oicer (CPO) is accountable for ensuring all engagement activities are conducted regularly and eectively. The CPO also ensures that the insights gained are communicated to the executive leadership team and integrated into the company’s strategic planning and decision-making processes. The eectiveness of this engagement is regularly assessed through surveys, feedback and measuring participation rates in engagement activities. For more information, please refer to section Interests and views of stakeholders. Remediation channels for own workforce S1-3 We are committed to maintaining a safe, ethical, and supportive work environment. We have established comprehensive processes to address and remediate any negative impacts on our workforce, as well as multiple channels for employees to voice their concerns. Employees can raise a concern directly with their line manager. However, if the matter is more serious or the employee prefers not to approach their line manager for any reason, they have several alternative options. They can raise a concern with their local Compliance Oicer, SES’s Internal Audit team, SES’s Global Compliance Hotline, the SES Ombudsperson, or, in exceptional circumstances (such as significant financial impact, involvement of senior personnel, or major implications for SES’s business or reputation), the Chairperson of the Audit and Risk Committee. ENGAGING WITH OUR OWN WORKFORCE S1-2 We are committed to maintaining a safe, ethical, and supportive work environment. We have established comprehensive processes to address and remediate any negative impacts on our workforce, as well as multiple channels for employees to voice their concerns. SES ANNUAL REPORT 2024 | 78 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Employees also have an assigned People (Human Resources) Partner who acts as their personal representative. In Luxembourg, a Personnel Delegation is elected by employees for a five-year term, allowing them to submit complaints directly to these representatives, either in person or anonymously. We foster a culture that views raising concerns as a positive and constructive action. In our compliance training sessions, we educate employees on the importance of speaking up and inform them about the various channels available for raising concerns. For more information on our general remediation process and or non-retaliation policy, you can refer to the Business conduct policies and corporate culture and remediation and raising concerns sections. Diverse Workforce A diverse workforce and an inclusive environment are integral to our success. They bring the variety of perspectives, experiences, and skills that improve problem-solving, creativity, innovation, and customer understanding. We therefore strive to ensure our people feel valued, respected, and empowered to thrive as individuals. Beyond the numbers, we help to nurture leaders who are inclusive, create safe spaces, and inspire others. Addressing Material Negative Impacts and Managing Risks Risk of Lacking Diversity in Workforce: We acknowledge the risk associated with a lack of diversity in our workforce, which can hinder innovation and limit perspectives. To mitigate this risk, we have implemented comprehensive strategies to nurture our leaders and enhance opportunities at all levels of our organisation. Commitment to Gender Diversity: Our key actions include: • Mentoring programmes to provide guidance and support. • Coaching: Oering coaching sessions in 2023 and 2024 to support career development. • Tracking Resignation Drivers: Monitoring and addressing factors contributing to employee resignations. • Promotion Cycles: Ensuring all viable candidates in promotion considerations. Pursuing Material Opportunities and Positive Impacts Developing and Fostering a Strong Social Programme: Our social programmes are designed to create a workplace that values every hue, background, and perspective. We are committed to hiring inspiring individuals from all backgrounds and ensuring safe and inclusive processes for recruitment, retention, and evolution of all employees, regardless of gender, race, ethnicity, religion, sexual orientation, disability, veteran or marital status, or background. Our diversity actions are implemented at a global level, ensuring consistency and inclusivity across all our operations. We also meet at least twice per year with our Equal Opportunities oicers and personal delegations to discuss progress and performance. ACTIONS S1-4 Equal Treatment and Opportunities SES ANNUAL REPORT 2024 | 79 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS We understand that access to cutting- edge training, educational content, and delivery platforms helps to make SES an attractive workplace. It also plays a significant part in retaining key skills in a competitive and complex market. And so we aim to provide a comprehensive range of opportunities for learning and development to empower our employees with knowledge and continuous learning tailored to individual roles and skills. In addition to our internal compliance trainings, we oer external learning opportunities, certifications, accredited degree programmes, executive education programmes, language courses, and professional coaching. At SES, we are embracing a modern approach to workplace learning, focused on providing accessible, flexible, and impactful learning experiences. We recognise that in today’s fast-paced environment, employees need training that adapts to their needs, oering shorter, more focused microlearning opportunities alongside traditional courses. This shift in how we deliver content ensures that employees can easily integrate learning into their daily workflows, empowering them with the skills and knowledge needed to thrive in their roles. In addition to our internal compliance training, we oer a wide range of external learning resources, including certifications, accredited degree programmes, executive education, language courses, and professional coaching. We are proud of our 5 Key Skilling Initiative – focusing on Project Management, Customer Centricity, Operations, Generative AI, and Data Literacy – which align with our commitment to fostering a culture of continuous learning. To further recognise achievements, we have partnered with GVF to oer the first digital badging initiative for satcom education, providing employees with a tangible way to showcase newly acquired skills and competencies in the industry. These initiatives and oerings ensure that SES remains a forward-thinking workplace, focused on empowering our employees to succeed and grow in a competitive market. Training and Skills S1-4 At SES, we recognise the critical importance of working conditions in today’s demanding work environment, including work-life balance and health and safety. These factors significantly impact employee well-being, productivity, and job satisfaction. Ensuring a healthy work-life balance helps our employees manage professional and personal responsibilities while robust health and safety measures protect our employees from workplace hazards, fostering a safe and supportive working environment. Social Protection S1-11 We place great importance on providing optimal working conditions for our employees, especially in terms of workplaces, environments, employee empowerment, and progressive management. Modern life necessitates flexible schedules to meet individual needs. We support employees in balancing work and personal life through flexible working conditions. Most of our employees are covered by public social protection programmes. However, there are a few exceptions. For example, in Ghana, the Labour Act does not clearly specify provisions for paid sick leave or its duration, and the government does not provide unemployment benefits to job seekers. At SES, we recognise the critical importance of working conditions in today’s demanding work environment, including work-life balance and health and safety. Working Conditions S-4 SES ANNUAL REPORT 2024 | 80 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS In Singapore, unemployment benefits are not available to non-Singaporeans or non- permanent residents. Similarly, in Ethiopia, under the 2003 Labour Proclamation, employers are required to provide severance pay, but the state does not oer unemployment benefits. However, even in countries where public social protection is lacking, all SES employees are safeguarded against loss of income due to employment injury, acquired disability, parental leave, and retirement through their contractual agreements. Our benefits ensures that employees have a safety net, providing financial stability and peace of mind, regardless of local legal provisions. Coverage for loss of income due to sickness or unemployment varies by country. Additionally,a new set of SES Leave Guidelines ensures that all SESers across all locations enjoy a minimum amount of leave when welcoming a child into their lives. Health and safety S1-4 SES maintained an ongoing commitment to safe and healthy work environments for employees, partners and customers. Our sites worldwide all comply with and often exceed local and international health and safety regulations. We continued to conduct risk assessments across all business activities, while adopting a proactive approach to mitigating health and safety risks. We also adhere to ISO45001 ‘Occupational health and safety management systems’, which provides a framework for managing risks and opportunities. In addition, we strengthened our Global Environmental, Health and Safety framework to further embed safety as a core value. 2024 saw a particular focus on health and safety training and awareness. Our onboarding training programme encompasses risk identification and mitigation, while also promoting a culture of safety awareness. We oer regular two-day first aid courses conducted by CGDIS: by 2024, 18% of the workforce at our Betzdorf Headquarters were certified. We also aim to certify shift workers who may be more vulnerable to risk, organising sessions that fit their availability, or oering additional vacation days to encourage attendance. We are proud to report that we recorded zero major work-related injuries or ill-health incidents in 2024. Even so, we remain dedicated to evolving practices that protect our teams and sustain our global operations. Employee Well-being Employee well-being is a top priority for the company, as it not only fosters a safe and supportive working environment but also enhances overall productivity and job satisfaction. Numerous initiatives have been implemented both globally and locally to address this matter. Throughout the year, informative sessions with experts in the field have been organised to assist employees in preventing work-related stress and navigating change. Additionally, certain locations oer supplementary services, including access to health insurance and sports classes both on and o campus. ESRS S1 S1-4 Additionally, in 2024 SES has launched an Employee Assistance programme. Oered independently, the Employee Assistance Programme is freely available to SES employees and their immediate family members working in Belgium, France, Germany, Greece, Italy, Luxembourg, Romania, Spain, Sweden, The Netherlands, UK, and Ukraine. The EAP provides access to a wide range of independent and confidential advisory and support services. Other but similar programmes are oered to employees based in the US and Brazil. Employee well-being is a top priority for the company, as it not only fosters a safe and supportive working environment but also enhances overall productivity and job satisfaction. Numerous initiatives have been implemented both globally and locally to address this matter. SES ANNUAL REPORT 2024 | 81 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Average training hours oered to employees Male employees 6.5 Female employees 6 Percentage of employees that participated in regular performance and career conversations Male employees 74 Female employees 26 Training and skills development metrics S-13 CBA and Worker's Representation Location % of population covered by Collective Bargaining Agreements (CBA) % of population covered by Worker’s Representatives Belgium 100 100 Luxembourg 0 100 Germany 0 66 Netherland 0 100 Romania 0 0 North America 6 0 Middle East 90 0 Latin America 70 0 India 0 0 APAC 0 0 Africa 0 0 Employee Workforce S1-6 , S1-7 SES counted with a headcount population of 2134 employees by the end of the year 2024, an average number of employees throughout the year of 2188 presenting a turnover rate of 17.1%. The workforce is distributed among 32 locations and is mostly concentrated in Luxembourg, the United States, Germany, The Netherlands, Israel, and Romania. SES's external workforce at the end of the year 2024 consists of 581 resources, including Temporary Resources, Contractors and Service Providers. To define, recruit and contract these resources SES has defined an External Workforce process. The incorporation of these resources is tied to business requirements to be fulfilled. While temporary resources are typically employed to support SES employees for limited periods of time, Contractors and Service Providers are hired to bring in expertise on specific projects. Collective bargaining coverage and social dialogue S1-8 While we have no European Works Council in place, we have now initiated the process to set one up. SES ANNUAL REPORT 2024 | 82 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Employee Diversity Female employees 546 Female FTE permanent 525 Female employees at top management level 17 Employees under 30 years of age in non-executive positions 231 Employees under 30 years in executive positions 0 Employees between 30 and 50 years of age in non-executive positions 1269 Employees between 30 and 50 years of age in executive positions 75 Employees over 50 years of age in non-executive positions 457 Employees over 50 years of age in executive positions 102 Diversity metrics S1-9 Gender pay gap Country Female vs Male comparison Luxembourg -1.1% The Netherlands -1.8% Germany -0.8% US +0.9% Israel +4.3% Gender Pay Gap Adequate wages S1-10 & S1-16 SES ensures wage adequacy by annually purchasing, analysing, and monitoring external benchmark data for all roles and job grades in each country where it operates. This process guarantees that employees’ compensation aligns with market standards and exceeds established adequacy thresholds. SES adopts a compensation strategy aimed at paying above the country average, specifically targeting the 75 th percentile (P75) for each role. Regular monitoring and benchmarking enable SES to maintain compliance with its pay philosophy and address any discrepancies proactively, ensuring all employees receive competitive and adequate wages. SES assesses gender pay equity by comparing employee pay by country, role, job grade, and gender to identify any pay level dierences between men and women in comparable roles. This analysis is conducted for the five major countries where SES operates, as these countries have suicient employee representation across comparable roles and job grades to ensure meaningful data. In the rest of the countries where SES operates, however, most roles are unique or associated with unique job grades, making it impractical to calculate a gender pay gap. As a result, SES focuses its gender pay assessment on countries where the data provides reliable and actionable insights. SES ANNUAL REPORT 2024 | 83 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Persons with disabilities S1-12 Currently, SES does not collect data on the percentage of employees with disabilities. We acknowledge the importance of understanding the inclusion of persons with disabilities within our workforce, as outlined in ESRS S1-12. We are exploring ways to responsibly collect and manage this information while ensuring compliance with applicable legal restrictions on data collection. As part of this eort, we are assessing methodologies for data gathering, including voluntary self-identification mechanisms, and we will engage with relevant stakeholders to ensure an ethical and transparent process. Number of fatalities in own workforce as result of work-related injuries and work-related ill health 0 Number of fatalities as result of work-related injuries and work-related ill health of other workers working on undertaking's sites 0 Rate of recordable work-related accidents for own workforce (ESRS) 16.713 Number of recordable work-related accidents for own workforce 20 Number of Work-related ill health: Fatalities as a re-sult of work-related ill health 0 Number of Work-related ill health: Cases of recorda-ble work-related ill health 0 Number of days lost to work-related injuries and fa-talities from work-related accidents, work-related ill health and fatalities from ill health related to employees 0 Incidents related to employee health and safety Health and safety metrics S1-14 Percentage of employees entitle to take family-related leave 100% Percentage of entitled employees entitle who took family-related leave 5.43% Female entitled employees who took family-related leave 1.45% Male entitled employees who took family-related leave 3.98% Employees entitled to family-related leave Work-Life Balance Metrics S1-15 SES ANNUAL REPORT 2024 | 84 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS In an ever-more connected world, technological innovation is continually progressing. Bridging the digital gap has become a primary focus for both private organisations and governments, with space companies uniquely positioned to enhance the connectivity of isolated communities. This represents a unique opportunity to significantly increase revenues while also providing essential social and health benefits. The 2024 DMA backed this up, showing that stakeholders view digital transformation, innovation, and connecting the unconnected as top priorities for SES. Key impacts identified include: • Bridging the digital divide, enhancing connectivity in remote regions. | Providing critical information during emergencies. • Decreasing the gap between urban and rural areas. | Fostering community integration. • Enabling disaster recovery through satellite communications. | Supporting aected communities. • Committing to connect the unconnected with a specific focus on health, socio- economic needs, and education. • Promoting digital inclusivity and social equity through local engagement and global initiatives. ENGAGING COMMUNITIES Digital Inclusion For billions of people worldwide, access to emergency aid, health, financial services, and education is held back by the lack of what many of us take for granted. Connectivity plays a crucial role in driving economic and social development by bringing these essential services into reach. Our products and services provide satellite capacity for mobile-based stations, delivering broadband to the most remote and isolated places on earth. We also play a key role in supporting telecommunications clients as they expand their networks. In 2024, SES connected over 1600 sites in more than 40 developing countries. Innovating for Disaster Response Natural disasters, conflicts, and climate change present significant humanitarian challenges, and these are often exacerbated by disrupted connectivity. We leverage our expertise and technology to support communities in crisis, allowing aid and humanitarian eorts to be swiftly coordinated and eectively delivered. The public-private partnership between SES and the Luxembourg government drives two critical services that provide connectivity in disasters and continue to innovate humanitarian responses. • Emergency.lu The emergency.lu platform oers rapid communication deployment in response to crises. A collaboration ACTIONS CONNECTING THE UNCONNECTED Stakeholders view digital transformation, innovation, and connecting the unconnected as top priorities for SES. SES ANNUAL REPORT 2024 | 85 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS between the Luxembourg government and three companies including SES, the initiative has supported relief eorts in emergencies across Niger, Chad, Venezuela, Syria, Panama, Grenada, and Union Island. • Satmed Owned by the Government of Luxembourg, Satmed is a comprehensive global platform oering e-health applications, secure data storage and management, and satellite connectivity to facilitate telemedicine services in remote areas. It supports various applications including e-health records, health information management, cloud services, e-imaging and radiology, e-learning, and consultancy. Giving Back We believe in empowering our workforce to make a positive contribution to society. Every employee receives two Giving Back days per year to take part in initiatives aimed at improving the wellbeing of local communities – mostly related to digital inclusion, education, fundraising activities for healthcare, and social inclusion. We provide visibility as well as logistical and monetary support to these activities. Employees can also take advantage of a matching donation programme of up to 1000 euros per year. Giving Back initiatives and matching donations pass through internal scrutiny to ensure an appropriate level of due diligence. Additionally, we organise fundraising activities for communities aected by critical situations and also support high- value customer projects – for example, the provision of free connectivity to Mercy Ships, whose hospital ships provide vital healthcare services to thousands of people in remote regions. Targets We set targets to measure our progress in supporting communities in need. For example, we track both the number of Giving Back days used by employees and the cost of matched donations. SES ANNUAL REPORT 2024 | 86 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Robust ethical practice forms the final pillar of our ESG ambitions. Working with integrity, transparency and accountability, we aim to ensure that SES not only meets all legal and regulatory requirements, but also establishes itself as a leader in compliance and business excellence. Our comprehensive approach to corporate governance is designed to maintain integrity and build trust among our stakeholders, while avoiding compliance sanctions and reputational damage. It is founded on stringent anti-corruption and bribery policies, a vigilant stance on risk management, and a culture of integrity and ethical practices at every level. GOVERNANCE MATERIAL IMPACTS, RISKS & OPPORTUNITIES ESRS 2 SBM-3 SES is committed to maintaining the highest standards of business conduct and fostering a strong corporate culture. This section outlines the material impact risks and opportunities associated with our business conduct and corporate culture. By addressing these areas, SES aims to uphold ethical standards, ensure compliance, and build trust among stakeholders. Risk: Unethical Business Practices If SES's or suppliers’ employees engage in unethical business practices, this could result in reputational damage, operational disruptions, financial risks and potential legal penalties. If these practices occur in our value chains, the company could face significant challenges in maintaining ethical standards and may face legal penalties. SES does operate in countries with risk of corruption so the continuation of mandatory training and monitoring on ethical business practices remains important. Positive Impact: Compliance with Legal and Regulatory Environment (Including ESG Regulations) SES places great emphasis on compliance with legal and regulatory requirements which reduces our legal risks and enhances operational stability. SES benefits from strong regulatory relationships, while stakeholders experience increased trust in the company. Continued improvements in sustainability requirements of the value chain could additionally reduce risks. Opportunity: Corporate Culture Programme A strong corporate culture supports improved employee engagement and operational performance. SES would benefit from a motivated workforce and enhanced productivity, while employees may experience better job satisfaction. Opportunity: Sustainable Supplier Management Programme A sustainable supplier due diligence process could result in improved supplier practices and reduced risks. SES would benefit from enhanced supply chain transparency and reduced operational risks, while suppliers may experience increased accountability. Our comprehensive approach to corporate governance is designed to maintain integrity and build trust among our stakeholders, while avoiding compliance sanctions and reputational damage. It is founded on stringent anti- corruption and bribery policies, a vigilant stance on risk management, and a culture of integrity and ethical practices at every level. SES ANNUAL REPORT 2024 | 87 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS We believe that a strong corporate culture is the foundation of our success. Our corporate culture is established through a clear set of values and principles that guide our actions and decisions. These values are communicated to all employees during onboarding and reinforced through regular training sessions and internal communications. Central to this is our Code of Conduct, which outlines the ethical standards and behaviours expected of all employees. Our Code of Conduct and Ethics Our Code of Conduct, signed by the CEO of SES, defines our everyday business conduct, oers employees advice, and helps them make the right decisions even in diicult business situations. The Code covers a range of issues including bribery and facilitation; political activities; sanctions; export controls; competition/ antitrust; anti-money laundering; intellectual privacy; antiboycott; insider trading; conflicts of interest; fair employment; harassment; contractors and agents; data protection; fundamental rights; the environment; health and safety; and the use of social media. Many of these topics are also addressed in separate detailed policies. BUSINESS CONDUCT POLICIES AND CORPORATE CULTURE ESRS G1-1 Global Trade Compliance policy SES Dealing Code Sanctions Compliance policy Global Data protection policy Code of Conduct Information security policies Hand-Carry policy SES AI policy Anti-Corruption and SES Gifts & Entertainment Policy Tax Transparency Charter Sales Agent policy SES Corporate Governance Charter SES Antitrust Compliance Policy and Guidelines SES Remuneration Committee Charter SES main ESG policies and regulations Prior to hiring contractors, we provide the party with an appropriate education on the mandatory requirements of our policies and take necessary action, up to and including terminating a contract with a contractor who failed to abide by SES policies. The Code of Conduct is reviewed and consulted with European personnel delegations. We plan to review our Code of Conduct to highlight specifically some of our ESG commitments such as human rights, an updated version will be released in 2024. All our internal policies related to Business conduct are all applied at a global level and are under the responsibility of the VP of Legal and Regulatory Aairs. SES ANNUAL REPORT 2024 | 88 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Delivering relevant, high-quality, and dierentiated customer experiences is essential to our success and keeping customers as the heart of our business is an important part of our corporate culture . SES runs a Voice of the Customer (VOC) programme to ensure the views of this important stakeholder are considered in aspects of our business decisions. The VOC programme is, supported by a dedicated Customer Experience (CX) team – a unique feature in our sector. Central to the VOC programme is the Net Promoter Score (NPS) survey, which includes various surveys at dierent hierarchical levels and phases of our customer journey. By continuously collecting and learning from customer feedback, we can consistently enhance our services, creating tailored experiences and unique business value. This feedback is enriched with both quantitative and qualitative data from commercial and operational perspectives, as well as insights from our customer- facing colleagues. This comprehensive approach provides a true and holistic understanding of our customer experience, helping us strengthen our relationships. In 2024, our corporate NPS was measured at 44, compared to our 3-year moving average of 43, which forms the foundation of our bonus multiplier for all bonus plan- eligible sta. This is a significant testament to our culture and eorts, especially as our NPS continues to rise under challenging circumstances, maintaining a relatively high score. To further strengthen our customer- centric culture, we have developed a new Customer Centricity (CC) Training programme as of 2024. This initiative promotes better customer engagement among employees and aligns teams with our customer-centric goals. The bonus multiplier linked to NPS performance reinforces our commitment, while Customer Experience Champions play a crucial role in promoting and sustaining our customer-centric culture organisation-wide. Customers centricity Net Promoter Score 2024 44 -100 100 At SES, we encourage everyone connected to our business activities to 'speak up' through various channels, including the SES Global Compliance Hotline. Managed by the third-party provider Navex, this whistleblowing hotline allows anyone with concerns about SES or its employees or representatives to submit a report securely and confidentially. Issues such as bribery, health and safety, environmental matters, human rights, or any conduct that does not comply with SES business policies or applicable laws and regulations can be reported. In 2023, as part of our ongoing commitment to compliance and ethics, we enhanced our online Global Compliance Hotline. A key initiative was expanding the hotline to include not only internal stakeholders but also anyone with a concern, including employees, contractors, suppliers, business partners, and third- party individuals, such as employees of SES customers or suppliers. The online Whistleblower tool is available to both SES employees and external workers. When a report is submitted through any of the reporting channels, it is securely received and managed by a select group of trained compliance personnel. The head of Compliance assigns the report to an appropriate investigation team REMEDIATION AND RAISING CONCERNS G1-1 SES ANNUAL REPORT 2024 | 89 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Every two years, all SES employees are required to complete mandatory training sessions covering General Data Protection Regulation (GDPR), Code of Conduct, Harassment Prevention, and IT Security Awareness Foundations. Four additional mandatory sessions are based on department or role: Sanctions, Anti-Bribery, and Export Compliance, and Antitrust. Monitored by the SES People & Culture department, these online sessions show an average 83+% completion rate. Senior executives are required to take the training once every two years. For 2024, 50% have completed it. Sustainable Supplier Management Programme G1-2 At SES, we conduct our business in compliance with all applicable laws and regulations, observing the highest standards of business ethics. We expect all our suppliers to commit to responsible business, social, and environmental practices, conducting their operations in compliance with internationally recognised human rights standards. Our Supplier Code of Conduct is central to communicating expectations on ethics and compliance, specifically addressing crucial human rights concerns including the prohibition of human traicking, forced or compulsory labour, and child labour. Our suppliers must comply with relevant local and international regulations covering health and safety, environmental, social, labour, and anti-corruption laws. They must also comply with intellectual property laws and robust data protection standards to foster responsible business practices across the value chain. The policy aligns with international initiatives and standards such as the Fundamental Conventions of the International Labour Organisation; the UN Universal Declaration of Human Rights; the OECD Due Diligence Guidance for Responsible Mineral Supply Chains; and the UN Guiding Principles on Business and Human Rights. We also actively mitigate the risk of causing or contributing to material negative impacts on value chain workers by requiring suppliers to comply with all relevant laws, including human rights regulations. This expectation is embedded in supplier contracts and ensures that our standards align with legal and ethical guidelines, promoting fair and responsible labour practices across the supply chain. Compliance Training G1-1 , G1-3 GDPR IT Security Code of Conduct Anti-Harassment Anti-Bribery 1 Antitrust 1 Export and Sanctions 1 Mandatory trainings 1 Mandatory only for the employees working in specific departments based on its nature. This team promptly reviews the report and handles allegations objectively. The company ensures that all reported incidents are acknowledged and investigated without delay. Where necessary, external investigators or auditors are engaged to conduct the investigation, ensuring impartiality and avoiding potential conflicts of interest. In 2024, clear guidelines were established for investigating allegations of corruption or bribery, ensuring that all reports are taken seriously and investigated thoroughly. We regularly promote awareness of these rights and procedures among employees, and compulsory anti-harassment training is conducted every two years. Our whistleblower policy prohibits retaliation against any employee who submits a report in good faith or participates in a harassment investigation. SES is subject to legal requirements under national law transposing Directive (EU) 2019/1937, with regard to the protection of whistleblowers. SES ANNUAL REPORT 2024 | 90 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Suppliers assessment and Brand accreditation programme: To assess and mitigate supply chain risks, in 2023 and 2024 SES conducted a pilot Sustainable Procurement Programme using a third-party tool to assess 86% of vendors. This pilot provided valuable insights for refining procurement processes. A separate ESG research analysis of 81 critical vendors served to identify risks, impacts, and opportunities to support our strategic planning for sustainable business practices. A worthy initiative was taken by our Brand, Strategy and Development team that, in conducting an accreditation programme of their suppliers during 2023, proactively incorporated ESG criteria into the evaluation. Through the analysis of various documents and a series of interviews, we had the opportunity to engage with these stakeholders and gain a better understanding of what sustainability means to them, their constraints, and the possibilities of their industry. SES adopts a zero-tolerance approach to bribery and corruption, adhering to all anti-bribery and corruption laws in our operating countries. Our stance on these issues is clearly outlined in our Code of Conduct, Gifts & Entertainment Policy, and Sales Agent Policy. All employees are required to read our Code when they join and also attend mandatory compliance training sessions. To mitigate the risk of bribery, we have established a clear process for managing gifts and entertainment. All relevant anti-bribery and corruption policies can be accessed on a dedicated intranet page, and employees can seek further guidance via a dedicated email address. We extend this standard of compliance to our suppliers, business partners, and third parties working on our behalf. In terms of the latter, this includes a thorough risk assessment based on factors such as their country of operation and business type. Sales functions and other functions engaging with external parties either granting contracts or seeking contracts from SES, as well as external representatives of these functions are the functions that are considered more at risks of corruption and bribery. PREVENTION AND DETECTION OF CORRUPTION AND BRIBERY G1-3 Responsible business means transparency in our tax strategy, policy, and reporting. We strive to fulfil our tax obligations accurately, punctually, in accordance with the letter and spirit of the relevant tax laws – and always in the spirit of cooperation. In 2023, we proactively reviewed our legal entity structure and operations in low-tax jurisdictions to eliminate any residual legal entities that no longer serve an ongoing operating or commercial purpose. We file country-by-country tax reports and make certain tax information available in line with the approved EU public Country- by-Country reporting directive. The SES Group Tax Charter can be found on the SES website. GROUP TAX CHARTER SES adopts a zero-tolerance approach to bribery and corruption, adhering to all anti-bribery and corruption laws in our operating countries. Our stance on these issues is clearly outlined in our Code of Conduct, Gifts & Entertainment Policy, and Sales Agent Policy. SES ANNUAL REPORT 2024 | 91 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS CYBERSECURITY In today’s interconnected world, the benefits of enhanced monitoring and tracking against sustainability targets are substantial, yet the risks to data confidentiality, integrity, and availability are becoming an increasing concern. Cybersecurity threats are now regarded as one of the most significant technological risks facing society and organisations alike. SES has strategically built a comprehensive cybersecurity programme over recent years, dedicated to safeguarding its assets and supporting customers as they work to minimise risks to their own operations. Cybersecurity is prioritised across all areas of SES’s business, covering every point from customer hand-o through SES’s secure network and ground infrastructure, to satellite transmission, and back down to customer applications at remote sites. The satellite fleet is equipped with encrypted control technology and anti-jamming capabilities, while ground infrastructure is protected by stringent physical access controls and a sophisticated security framework. This framework includes multiple layers of firewalls, antivirus scanning, and intrusion detection and prevention systems. SES’s dedicated Security Operations Centre provides 24/7 monitoring, along with advanced incident response capabilities. SES conducts annual external penetration tests and continuously scans for internal vulnerabilities to proactively address potential threats. At the organisational level, cybersecurity is treated as a strategic priority with Board- level oversight. The Chief Technology Oicer, a Senior Leadership Team member, receives direct reports on cybersecurity and, in turn, provides regular updates to both the Audit and Risk Committee and the Board of Directors. SES maintains a specialised Information and Cybersecurity Team of over 20 full-time professionals who execute a multi-year Cybersecurity Strategy called CORE. This strategy is designed to protect SES’s assets, services, customers, and stakeholders while adding value to the business. SES has adopted a Zero-Trust framework, ensuring comprehensive protection across data, networks, applications, and user access. To reinforce cybersecurity at all operational levels, SES has implemented a robust policy framework based on leading cybersecurity standards. This global Information Security Policy, supplemented by domain-specific guidelines, is easily accessible for users throughout the organisation. Additionally, SES supports this framework with extensive company- wide training and regular phishing simulation exercises to build a proactive security culture. SES’s Information Security Management System (ISMS) is independently certified to the ISO 27001 standard, and the company’s Business Continuity Management System aligns with the ISO 22301-2019 international standard, reflecting its commitment to resilience and security across all functions. Incidents of corruption or bribery G1-4 Number of convictions for violation of anti-corruption laws 0 Number of convictions for violation of anti-bribery laws 0 Amount of fines for violation of anti-corruption laws 0 Amount of fines for violation of anti-bribery laws 0 Any actions taken to address breaches in procedures and standards of anti-corruption and anti-bribery N/A Percentage of functions at risk covered by training programmes 100 SES ANNUAL REPORT 2024 | 92 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS APPENDIX: ESRS DISCLOSURE REQUIREMENTS ESRS Standard Topic ESRS Reference Disclosure Requirement Materiality Section ESRS 2 General Disclosures BP-1 General basis for preparation of sustainability statements Material PREPARING THE CORPORATE SUSTAINABILITY REPORTING DIRECTIVE ESRS 2 General Disclosures BP-2 Disclosures in relation to specific circumstances Material PREPARING THE CORPORATE SUSTAINABILITY REPORTING DIRECTIVE ESRS 2 General Disclosures GOV-1 The role of the administrative, management and supervisory bodies Material GOVERNANCE (ESG); Information Exchange regarding Corporate Governance; Mission and Composition; Board Governance Structure & Committees; Activities of the Board of Directors in 2024; Activities of the Committees in 2024; Internal Controls over Reporting: Analysis and Oversight; The Audit and Risk Commitee (Corporate Governance) ESRS 2 General Disclosures GOV-2 Information provided to and sustainability matters addressed by the undertaking’s administrative, management and supervisory bodies Material GOVERNANCE (ESG); Board Governance Structure & Committees; Internal Controls over Reporting Information: Analysis and Oversight (Corporate Governance Report) ESRS 2 General Disclosures GOV-3 Integration of sustainability-related performance in incentive schemes Material GOVERNANCE (ESG); Board Governance Structure & Committees ESRS 2 General Disclosures GOV-4 Statement on due diligence Material GOVERNANCE ESRS 2 General Disclosures GOV-5 Risk management and internal controls over sustainability reporting Material GOVERNANCE ESRS 2 General Disclosures SBM-1 Strategy, business model and value chain Material STRATEGY (ESG); OUR COMPANY; Our business model & priorities; Our clear strategy; Our value chain; Our business segments; SES Networks; SES Media; (Operational and Strategic) ESRS 2 General Disclosures SBM-2 Interests and views of stakeholders Material STRATEGY ESRS 2 General Disclosures SBM-3 Material impacts, risks and opportunities and their interaction with strategy and business model Material ESRS 2 General Disclosures IRO-1 Description of the processes to identify and assess material impacts, risks and opportunities Material CLIMATE RELATED MATERIAL IMPACTS, RISKS AND OPPORTUNITIES; Own Workforce: OUR MATERIAL IMPACTS AND RISKS ESRS 2 General Disclosures IRO-2 Disclosure requirements in ESRS covered by the undertaking’s sustainability statement Material 5 STEPS OF THE DOUBLE MATERIALITY ASSESSMENT ESRS 2/ E1 General Disclosures/ Climate Change GOV-3 Integration of sustainability related performance in incentive schemes Material CLIMATE ACTION (Governance) ESRS 2/ E1 General Disclosures/ Climate Change SBM-3 Material impacts, risks and opportunities and their interaction with strategy and business model Material CLIMATE RELATED MATERIAL IMPACTS, RISKS AND OPPORTUNITIES ESRS 2/ E1 General Disclosures / Climate Change IRO-1 Description of the processes to identify and assess material climate-related impacts, risks and opportunities Material IMPACT, RISK AND OPPORTUNITY MANAGEMENT ESRS E1 Climate Change E1-1 Transition plan for climate change mitigation Material Climate Action (STRATEGY) ESRS E1 Climate Change E1-2 Policies related to climate change mitigation and adaptation Material Policies related to climate change mitigation and adaptation ESRS E1 Climate Change E1-3 Actions and resources in relation to climate change policies Material Actions and resources in relation to climate change policies ESRS E1 Climate Change E1-4 Targets related to climate change mitigation and adaptation Material Targets related to climate change mitigation and adaptation ESRS E1 Climate Change E1-5 Energy consumption and mix Not Material ESRS E1 Climate Change E1-6 Gross Scopes 1, 2, 3 and Total GHG emissions Material Gross Scope 1, 2 and 3 and Total GHG emissions ESRS E1 Climate Change E1-7 GHG removals and GHG mitigation projects financed through carbon credits Material GHG removals and GHG mitigation projects financed through carbon credits ESRS E1 Climate Change E1-8 Internal carbon pricing Material Internal carbon pricing SES ANNUAL REPORT 2024 | 93 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS ESRS Standard Topic ESRS Reference Disclosure Requirement Materiality Section ESRS E1 Climate Change E1-9 Anticipated financial eects from material physical and transition risks and potential climate-related opportunities Material Anticipated Financial Eects and Mitigation Actions ESRS 2/ E2 General Disclosures/ Pollution IRO-1 Description of the processes to identify and assess material impacts, risks and opportunities Not Material ESRS E2 Pollution E2-1 Policies related to pollution Not Material ESRS E2 Pollution E2-2 Actions and resources related to pollution Not Material ESRS E2 Pollution E2-3 Targets Not Material ESRS E2 Pollution E2-4 Pollution of air, water and soil Not Material ESRS E2 Pollution E2-5 Substances of concern and substances of very high concern Not Material ESRS E2 Pollution E2-6 Anticipated financial eects from pollution-related impacts, risks and opportunities Not Material ESRS 2/ E3 General Disclosures/ Water and Marine Resources IRO-1 Description of the processes to identify and assess material impacts, risks and opportunities Not Material ESRS E3 Water and Marine Resources E3-1 Policies related to water and marine resources Not Material ESRS E3 Water and Marine Resources E3-2 Actions and resources related to water and marine resources Not Material ESRS E3 Water and Marine Resources E3-3 Targets related to water and marine resources Not Material ESRS E3 Water and Marine Resources E3-4 Water consumption Not Material ESRS E3 Water and Marine Resources E3-5 Anticipated financial eects from water and marine resources-related impacts, risks and opportunities Not Material ESRS 2/ E4 General Disclosures/ Biodiversity and Ecosystems SBM-3 Material impacts, risks and opportunities and their interaction with strategy and business model Not Material ESRS E4 Biodiversity and Ecosystems E4-1 Transition plan and consideration of biodiversity and ecosystems in strategy and business mode Not Material ESRS E4 Biodiversity and Ecosystems E4-2 Policies related to biodiversity and ecosystems Not Material ESRS E4 Biodiversity and Ecosystems E4-3 Actions and resources related to biodiversity and ecosystems Not Material ESRS E4 Biodiversity and Ecosystems E4-4 Targets related to biodiversity and ecosystems Not Material ESRS E4 Biodiversity and Ecosystems E4-5 Impact metrics related to biodiversity and ecosystems change Not Material ESRS E4 Biodiversity and Ecosystems E4-6 Anticipated financial eects from biodiversity and ecosystem-related risks and opportunities Not Material ESRS 2/ E5 General Disclosures/ Resource Use and Circular Economy IRO-1 Description of the processes to identify and assess material impacts, risks and opportunities Material Resource Use and Circular Economy: IMPACTS, RISKS AND OPPORTUNITY MANAGEMENT ESRS E5 Resource Use and Circular Economy E5-1 Policies related to resource use and circular economy Material Resource Use and Circular Economy: OUR APPROACH AND POLICIES ESRS E5 Resource Use and Circular Economy E5-2 Actions and resources related to resource use and circular economy Material Resourse Use and Circular Economy: ACTIONS AND RESOURCES ESRS E5 Resource Use and Circular Economy E5-3 Targets related to resource use and circular economy Material Resource Use and Circular Economy: TARGETS AND METRICS ESRS E5 Resource Use and Circular Economy E5-4 Resource inflows Not Material ESRS E5 Resource Use and Circular Economy E5-5 Resource outflows Material Resource Use and Circular Economy: RESOURCE OUTFLOWS ESRS E5 Resource Use and Circular Economy E5-6 Anticipated financial eects from resource use and circular economy-related impacts, risks and opportunities Not Material ESRS 2/ S1 General Disclosure/ Own Workforce SBM-2 Interests and views of stakeholders Material STRATEGY: Interests and views of stakeholders ESRS 2/ S1 General Disclosure/ Own Workforce SBM-3 Material impacts, risks and opportunities and their interaction with strategy and business model Material Own Workforce: OUR MATERIAL IMPACTS AND RISKS SES ANNUAL REPORT 2024 | 94 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS ESRS Standard Topic ESRS Reference Disclosure Requirement Materiality Section ESRS S1 Own Workforce S1-1 Policies related to own workforce Material Own Workforce: OUR APPROACH AND POLICIES ESRS S1 Own Workforce S1-2 Processes for engaging with own workers and workers’ representatives about impacts Material Own Workforce: ENGAGING WITH OUR OWN WORKFORCE ESRS S1 Own Workforce S1-3 Processes to remediate negative impacts and channels for own workers to raise concerns Material Own Workforce: Remediation channels for own workforce ESRS S1 Own Workforce S1-4 Taking action on material impacts on own workforce, and approaches to mitigating material risks and pursuing material opportunities related to own workforce, and eectiveness of those actions Material Own Workforce: ACTIONS; TRAINING AND SKILLS; WORKING CONDITIONS; Health and safety ESRS S1 Own Workforce S1-6 Characteristics of the undertaking’s employees Material Own Workforce: Employee Workforce ESRS S1 Own Workforce S1-7 Characteristics of non-employee workers in the undertaking’s own workforce Material Own Workforce: Employee Workforce ESRS S1 Own Workforce S1-8 Collective bargaining coverage and social dialogue Material Own Workforce: Collective bargaining coverage and social dialogue ESRS S1 Own Workforce S1-9 Diversity metrics Material Own Workforce: Diversity Metrics ESRS S1 Own Workforce S1-10 Adequate wages Material Own Workforce: Adequate wages ESRS S1 Own Workforce S1-11 Social protection Material Own Workforce: Social protection ESRS S1 Own Workforce S1-12 Persons with disabilities Material Own Workforce: Persons with disabilities ESRS S1 Own Workforce S1-13 Training and skills development metrics Material Own Workforce: Training and skills development metrics ESRS S1 Own Workforce S1-14 Health and safety metrics Material Own Workforce: Health and safety metrics ESRS S1 Own Workforce S1-15 Work-life balance metrics Not Material ESRS S1 Own Workforce S1-16 Compensation metrics (pay gap and total compensation) Material Own Workforce: Adequate wages ESRS S1 Own Workforce S1-17 Incidents, complaints and severe human rights impacts Not Material ESRS 2/ S2 General Disclosure/Workers in the Value Chain SBM-2 Interests and views of stakeholders Not Material STRATEGY ESRS 2/ S2 General Disclosure/Workers in the Value Chain SBM-3 Material impacts, risks and opportunities and their interaction with strategy and business model Not Material ESRS S2 Workers in the Value Chain S2-1 Policies related to value chain workers Not Material ESRS S2 Workers in the Value Chain S2-2 Processes for engaging with value chain workers about impacts Not Material ESRS S2 Workers in the Value Chain S2-3 Processes to remediate negative impacts and channels for value chain workers to raise concerns Not Material ESRS S2 Workers in the Value Chain S2-4 Taking action on material impacts on value chain workers, and approaches to managing material risks and pursuing material opportunities related to value chain workers, and eectiveness of those action Not Material ESRS S2 Workers in the Value Chain S2-5 Targets related to managing material negative impacts, advancing positive impacts, and managing material risks and opportunities Not Material ESRS 2/ S3 General Disclosure/ Aected Communities SBM-2 Interests and views of stakeholders Not Material ESRS 2/ S3 General Disclosure/ Aected Communities SBM-3 Material impacts, risks and opportunities and their interaction with strategy and business model Not Material ESRS S3 Aected Communitites S3-1 Policies related to aected communities Not Material ESRS S3 Aected Communitites S3-2 Processes for engaging with aected communities about impacts Not Material ESRS S3 Aected Communitites S3-3 Processes to remediate negative impacts and channels for aected communities to raise concerns Not Material ESRS S3 Aected Communitites S3-4 Taking action on material impacts on aected communities, and approaches to managing material risks and pursuing material opportunities related to aected communities, and eectiveness of those actions Not Material ESRS S3 Aected Communitites S3-5 Targets related to managing material negative impacts, advancing positive impacts, and managing material risks and opportunitieS Not Material SES ANNUAL REPORT 2024 | 95 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS ESRS Standard Topic ESRS Reference Disclosure Requirement Materiality Section ESRS 2/S4 General Disclosure/ Consumers and End-Users SBM-2 Interests and views of stakeholders Not Material ESRS 2/S4 General Disclosure/ Consumers and End-Users SBM-3 Material impacts, risks and opportunities and their interaction with strategy and business model Not Material ESRS S4 Consumers and End-Users S4-1 Policies related to consumers and end-users Not Material ESRS S4 Consumers and End-Users S4-2 Processes for engaging with consumers and endusers about impacts Not Material ESRS S4 Consumers and End-Users S4-3 Processes to remediate negative impacts and channels for consumers and end-users to raise concerns Not Material ESRS S4 Consumers and End-Users S4-4 Taking action on material impacts on consumers and end-users, and approaches to managing material risks and pursuing material opportunities related to consumers and end-users, and eectiveness of those actions Not Material ESRS S4 Consumers and End-Users S4-5 Targets related to managing material negative impacts, advancing positive impacts, and managing material risks and opportunities Not Material ESRS 2/G1 General Disclosure/ Business Conduct GOV-1 The role of the administrative, supervisory and management bodies Material GOVERNANCE ESRS 2/G1 General Disclosure/ Business Conduct IRO 1 Description of the processes to identify and assess material impacts, risks and opportunities Material GOVERNANCE: MATERIAL IMPACTS, RISKS & OPPORTUNITIES ESRS G1 Business Conduct G1-1 Corporate culture and Business conduct policies and corporate culture Material GOVERNANCE: BUSINESS CONDUCT POLICIES AND CORPORATE CULTURE ESRS G1 Business Conduct G1-2 Management of relationships with suppliers Material Governance: Sustainable Supplier Management Programme ESRS G1 Business Conduct G1-3 Prevention and detection of corruption and bribery Material Governance: COMPLIANCE TRAINING; PREVENTION AND DETECTION OF CORRUPTION AND BRIBERY ESRS G1 Business Conduct G1-4 Confirmed incidents of corruption or bribery Material GOVERNANCE: Incidents of corruption or bribery ESRS G1 Business Conduct G1-5 Political influence and lobbying activities Not Material ESRS G1 Business Conduct G1-6 Payment practices Not Material SES ANNUAL REPORT 2024 | 96 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS APPENDIX: DMA EXHAUSTIVITY AND GAP ASSESSMENT Inadequate data for material topic reporting The DMA identified some topics as material that we have not previously identified. This is due to potential environmental and health impacts and to growing regulatory scrutiny. SES has identified the following challenges in providing a comprehensive account of those topics: • Internal data collection: The lack of a centralised system for gathering and quantifying pollution metrics such as emissions data across operations, air pollutants beyond CO 2 , and other waste byproducts. • Supplier and partner data gaps: Due to limited air pollution data from suppliers and partners, our current reporting only partially represents the broader environmental impact of our operations and value chain. • Lack of benchmark data for validation: The absence of robust, pollution-specific benchmarks or industry comparisons aects our ability to accurately assess our air pollution footprint relative to industry standards. Impact on Reporting Without adequate data, our air pollution reporting remains underdeveloped. This could potentially lead to reputational risks, misalignment with stakeholder expectations, and challenges in meeting emerging regulatory requirements. Evolving materiality: On-going Assessment Some topics currently classified as non- material, such as water, changes in the environmental landscape, and regulatory KEY OBSERVATIONS AND IDENTIFIED GAPS As stated, the 2024 double materiality assessment (DMA) has provided a strong foundation for our sustainability and non-financial reporting strategy, allowing us to identify and prioritise topics that exert a significant influence over our organisation. At the same time, the assessment noted key limitations in data completeness, as well as identifying the evolving significance of certain topics that are critical to thorough reporting. SES ANNUAL REPORT 2024 | 97 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS standards could become increasingly significant, particularly in the context of operational eiciency and environmental impact. Again, the DMA identified a number of challenges that limit reporting of these topics: • Absence of data collection infrastructure: Since water use is not material, there is limited infrastructure for tracking and reporting water consumption across our operations. • Lack of risk and impact assessment: Without an in-depth understanding of water’s potential material impact, we risk being underprepared should water become a material topic in the future – particularly in areas experiencing water scarcity. • Emerging stakeholder and regulatory expectations: As water scarcity issues intensify, stakeholders and regulators may expect SES to account for and report on water-related impacts, even if only precautionary. Impact on Reporting Failure to proactively address water- related impacts could result in our reporting being perceived as incomplete or reactive, rather than forward-looking and responsive to emerging environmental concerns. Objective: Establish and refine robust data systems for air pollution tracking to capture comprehensive metrics and address a key gap in our DMA. Key Actions: • Internal data collection system development: Deploy systems to capture comprehensive pollution data, including CO 2 equivalents, particulate matter (PM), volatile organic compounds (VOCs), and other operational pollutants across SES facilities. • Supplier and partner data collection protocol: Introduce new data-sharing protocols with leading suppliers to improve transparency across the value chain. This will involve setting clear guidelines on data frequency, quality, and reporting standards. • Industry benchmarking and analysis: Conduct an annual pollution benchmarking study to compare SES pollution data with industry standards. This will help to contextualise performance and identify best practices for pollution management. Outcome: By the end of 2025, SES will have established a reliable baseline for pollution data encompassing internal and external sources, accurate disclosures, and alignment with regulatory requirements. MITIGATION MEASURES AND ACTION PLAN To address these gaps, SES plans to widen the scope of our DMA by developing data infrastructure, strengthening monitoring systems, and establishing a continuous materiality reassessment process. AIR POLLUTION DATA INFRASTRUCTURE ENHANCEMENT SES ANNUAL REPORT 2024 | 98 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Objective: Develop a proactive framework to regularly reassess material topics, particularly regarding evolving concerns like water usage and scarcity. Key Actions: • Bi-annual materiality assessment review: Establish a bi-annual review process to capture any shifts in stakeholder expectations or regulatory standards, with a particular focus on water and climate-related metrics. • Water impact pilot study: Conduct an initial water impact study, assessing our water footprint across dierent regions to identify high-risk areas that could aect future operations or compliance. • Scenario planning for water-related risks: Develop scenario analyses to evaluate potential impacts if water becomes a material issue, including risk to operations in water-scarce regions and possible financial implications. Outcome: A responsive and dynamic materiality assessment process that enables SES to pre-emptively address emerging issues and adapt reporting scopes as necessary. MATERIALITY REVIEW MECHANISM FOR EMERGING TOPICS Objective: Improve alignment with stakeholder expectations through regular engagement sessions, industry benchmarking, and transparently reporting identified gaps. Key Actions: • Stakeholder engagement sessions: Conduct bi-annual consultations with key stakeholders including investors, regulatory bodies, and environmental advocates to validate our approach to material topics and obtain insights into emerging expectations. • Comprehensive benchmarking against peers: Benchmark our DMA framework against industry peers with a focus on data completeness, emerging material topics, and transparency to stay aligned with best practices. • Gap and limitation transparency in annual reporting: In the non-financial report, disclose limitations around material topics like pollution and water, with a dedicated section that communicates plans to bridge these gaps. Outcome: Increased stakeholder trust and engagement through proactive disclosure and transparency in DMA-related limitations. ENHANCED STAKEHOLDER ENGAGEMENT AND TRANSPARENCY GAP REPORTING Summary • Tasks • Develop Internal Data Collection System for Air Pollution • Establish Supplier Data Collection Protocol • Pollution Benchmarking and Analysis • Bi-annual Materiality Review • Conduct Water Impact Pilot Study • Scenario Planning for Water- Related Risks • Stakeholder Engagement Sessions • Annual Comprehensive Benchmarking Study • Gap and Limitation Transparency in Reporting SES ANNUAL REPORT 2024 | 99 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS CORPORATE GOVERNANCE & REMUNERATION REPORT SES ANNUAL REPORT 2024 | 100 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS CONTENTS Corporate Governance & Remuneration Report SES ANNUAL REPORT 2024 | 101 Shareholder structure Chairperson’s report on Corporate Governance Board of Directors & Committees Executive Committee Internal Control Procedures Principal risks Remuneration report OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SHAREHOLDER STRUCTURE SES Shareholders Number of Shares Voting participation Economic Participation Registered shares 3,546,855 0.64% 0.80% FDRs (free float) 2 340,060,630 66.03% 76.29% FDRs held by SES 3,898,699 0.00% 0.87% 3 FDRs held by SES Astra 23,952,416 0.00% 5.37% 4 Total A Shares 371,457,600 66.67% 83.33% BCEE 56,706,151 10.89% 5.09% SNCI 56,699,076 10.89% 5.09% Etat du Luxembourg 60,347,365 11.55% 5.42% SES Astra 11,976,208 0.00% 1.16% Total B Shares 185,728,800 33.33% 16.67% Total shares (actual) 557,186,400 100.00% 100.00% Total shares (economic) 445,749,120 1 The most recent shareholder structure is always available at the SES Shareholders page 2 Not including FDRs held by SES and SES Astra 3 SES does not exercise voting rights 4 SES does not exercise voting rights SES has been listed on the Luxembourg Stock Exchange since 1998 and on the Euronext Paris Stock Exchange since 2004. The Company has issued two classes of shares: A-shares and B-shares. Each share is entitled to one vote. One B-share carries 40% of the economic rights of an A-share. The ratio of A-shares to B-shares must be maintained at 2:1 as required by the Articles of Association. Shareholder Structure as of 31 December 2024 1 SES has issued two classes of shares - A-shares and B-shares. SES ANNUAL REPORT 2024 | 102 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS No A-shareholder may hold, directly or indirectly, more than 20%, 33% or 50% of the Company’s shares unless such shareholder has obtained prior approval from the meeting of shareholders. Such limit shall be calculated by taking into account all the shares held by the A-shareholder. An investor who envisages to acquire by whatever means, directly or indirectly, more than 20%, 33% or 50% of the shares of the Company (a ‘demanding party’) must inform the Chairperson of the Board of the Company of such intention. The Chairperson of the Board will inform the government of Luxembourg of the envisaged acquisition.The government may oppose the acquisition within three months from such information if it determines that such acquisition would be against the general public interest. In case of no opposition from the government of Luxembourg, the Board shall convene an extraordinary meeting of shareholders which may decide at a majority provided for in article 450-3 of the law of 10 August 1915, as amended, regarding commercial companies, to authorise the demanding party to acquire more than 20%, 33% or 50% of the shares. If the demanding party is a shareholder of the Company, it may attend the general meeting and will be included in the count for the quorum but may not take part in the vote. RESTRICTIONS ON OWNERSHIP A-shares are held by private and institutional investors. The listed security is the Fiduciary Depositary Receipt (“FDR”), listed on the Luxembourg and Euronext Paris Stock Exchanges. Each of these is backed by one A-share and has all the rights attached to that share, except the right of attending the general meetings of shareholders. In order to attend a general meeting, at least one registered share must be held. Voting rights may be exercised by notifying the Fiduciary (Banque et Caisse d’Epargne de l’Etat) of the voting intention. A SHARES The State of Luxembourg holds a direct 11.55% voting interest in the company. Banque et Caisse d’Epargne de l’Etat and Société Nationale de Crédit et d’Investissement each hold a direct 10.89% voting interest in the Company. These shares constitute the Company’s B-shares. A B-share has 40% of the economic rights of an A-share. The B-shares are not listed on any exchange and do not back a tradable security. B SHARES SES ANNUAL REPORT 2024 | 103 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS The Company communicates transparently with its shareholders via the corporate governance section of its website and through the dedicated e-mail address [email protected]. In line with Luxembourg law, the Company allows shareholders to receive all corporate documentation, including the documents for shareholder meetings, in electronic format. The SES website contains a regularly updated stream of information, such as the latest version of the Company’s main governance documents, including the articles of incorporation, the corporate governance charter (including the charters of the various committees set up by the Board) and the separate sections on the composition and the mission of the Board, the Board’s committees and the Executive Committee (EC). The SES website also contains the SES Code of Conduct and Ethics, the SES Dealing Code, the financial calendar and any other information that may be of interest to the company’s shareholders. INFORMATION EXCHANGE REGARDING CORPORATE GOVERNANCE ESRS 2 GOV-1 A dedicated Investor Relations function reports to the Chief Financial Oicer and works closely with the Chief Executive Oicer. Its purpose is to develop and coordinate the group’s external financial communications and interactions with equity and debt investors, investment analysts, credit rating agencies, financial journalists and other external audiences, to monitor stock market developments, and to provide feedback and recommendations to the EC. The Head of Investor Relations is responsible for the definition and execution of SES’s active Investor Relations programme and participation in investor conferences and similar events. Investor Relations also works closely with the Chief Legal Oicer to ensure that the group’s external communications are compliant with all applicable legal and regulatory requirements. The SES Investor Relations team will be pleased to assist existing or potential shareholders with any questions they may have in relation to SES. Further, the website contains information on all recent financials, analyst coverage, financial calendar and Company news, and is updated on a regular basis. INVESTOR RELATIONS SES ANNUAL REPORT 2024 | 104 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Created on 16 March 2001 under the name of SES GLOBAL, SES was incorporated in Luxembourg. On 9 November 2001, SES became the parent company of SES ASTRA, originally created in 1985. A copy of SES’s articles of incorporation, in its latest version, is available in the corporate governance section of the Company’s website. ORGANISATION PRINCIPLES CHAIRPERSON’S REPORT ON CORPORATE GOVERNANCE The Company follows the ‘Ten Principles of Corporate Governance’ adopted by the Luxembourg Stock Exchange (its home market), as last revised in January 2024. SES meets all the recommendations made by the ‘Ten Principles’. SES also complies with the governance rules for companies listed in Paris, where the majority of the trading of SES FDRs takes place. In the instance of conflicting compliance requirements, SES follows the rules of the home market. In the instance of conflicting compliance requirements, SES follows the rules of the home market. Under Luxembourg company law, the Company’s general meetings represent the entire body of shareholders of the Company. They have the widest powers, and resolutions passed at such meetings are binding upon all shareholders. The meetings are presided over by the Chairperson of the Board or, in their absence, by one of the Vice Chairpersons of the Board or, in their absence, by any other person appointed by the meeting. Any shareholder who is recorded in the company’s shareholder register 14 days before the meeting is authorised to attend and to vote at the meetings. An A-shareholder may act at any meeting by appointing a proxy (who does not need to be an A-shareholder). The annual general meeting (‘AGM’) is held on the first Thursday in April at 10:30 am CET. Each registered shareholder receives written notice of the AGM, including the time of the meeting and the agenda, at least 30 days prior to the meeting. Holders of the company’s FDRs are represented at the meeting by Banque et Caisse d’Epargne de l’Etat acting as fiduciary. If a holder of FDRs wishes to attend the AGM of shareholders in person, that shareholder needs to convert at least one FDR into an A-share prior to the AGM. THE ANNUAL GENERAL MEETING OF SHAREHOLDERS SES ANNUAL REPORT 2024 | 105 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS In 2024, the AGM was attended by 96.93% of the Company's shareholders. Notice of the meeting and of the proposed agenda is published in the international press and the fiduciary circulates the draft resolutions to both Clearstream and Euroclear, allowing FDR holders to give their voting instructions to the fiduciary. At the same time, the draft resolutions are made available on the Company’s and on the fiduciary’s website. Unless the fiduciary receives specific instructions from the FDR holder, the fiduciary votes in favour of the proposals submitted by the Board. One or more shareholders owning together at least 5% of the shares of SES have the right to add items on the agenda of the AGM and may deposit draft resolutions regarding items listed in the agenda or proposed to be added to the agenda. This request needs to be made in writing (via mail or e-mail) and received no later than the twenty-second day preceding the AGM and needs to include a justification or draft resolution to be adopted at the AGM. The written request must include a contact address to which the Company can confirm receipt within 48 hours from the receipt of the request. No later than fifteen days preceding the AGM, the Company then publishes a revised agenda. The meeting may deliberate validly only if at least half of the A-shares and at least half of the B-shares are represented. In the event that the required quorum is not reached, the meeting will be reconvened in accordance with the form prescribed by the articles of incorporation. It may then validly deliberate without consideration of the number of represented shares. The proceedings are mostly held in English, but a French translation is provided by the Company. An English and a French version of the AGM minutes and the results of the shareholders’ votes are published on the SES website within 15 days after the AGM. With the exception of the procedure described above regarding whenever an A-shareholder intends to hold more than 20%, 33% or 50%, all the resolutions of the meeting are adopted by a simple majority vote except if otherwise provided for by Luxembourg company law. In 2024, the AGM was held on 4 April. Shareholders were invited to send their questions ahead of the meeting, although additional questions were asked during the meeting. The AGM was attended by 96.93% of the Company’s shareholders, excluding the 5,117,002 FDRs held by SES and the 8,832,700 FDRs held by SES Astra. An extraordinary general meeting (‘EGM’) was also held on 4 April. It was attended by 96.93% of the of the Company’s shareholders, excluding the 5,117,002 FDRs held by SES and the 8,832,700 FDRs held by SES Astra. The Board of Directors acknowledged and admitted to the agenda one resolution submitted by a shareholder in accordance with the rules described above. All resolutions submitted to the shareholders at the AGM and EGM were voted in accordance with the Board’s recommendations. The detailed results of the shareholders’ votes are available on the SES website under Shareholder information. SES ANNUAL REPORT 2024 | 106 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS The Board of Directors is responsible for: • Defining the Company’s strategic objectives as well as its overall corporate plan; • Approving, upon proposal from the Senior Leadership Team, the annual consolidated accounts of the Company and the appropriation of results, the group’s medium-term business plan, the consolidated annual budget of the Company and the management report to be submitted to the meeting of shareholders; • Approving the major investments and is responsible vis-à-vis shareholders and third parties for the management of the Company, whereas the management is delegated by the Board to the senior leadership team in accordance with the company’s internal regulations. BOARD OF DIRECTORS & COMMITTEES Frank Esser became a director on 11 February 2020 and was elected Chairman of the Board for the first time on 2 April 2020. He was re-elected as Chairman of the Board on 7 April 2022. He is the former Chairman and CEO of SFR, the leading private French Telecom Operator. In this function he also served as Board Member of Vivendi Group. Prior to joining SFR, Mr Esser held several managerial positions with Mannesmann group. He also serves as Vice Chair of Swisscom. He is a member of the Nomination Committee and of the Remuneration Committee of SES. Mr Esser holds a PhD in Managerial Economics and an MS in Economics both from the University of Cologne. Mr Esser is a German national. He is an independent director. BOARD COMPOSITION Frank Esser, Chair of the Board Mr van Bommel became a director on 2 April 2020 and was elected as Vice- Chairperson of the Board for the first time on 7 April 2022. He was re-elected as Vice-Chairperson on 4 April 2024. Mr van Bommel was Chief Financial Oicer and member of the Board of Management of ASM International from August 2010 until May 2021. He has more than twenty years of experience in the electronics and semiconductor industry. He spent most of his career at Philips, which he joined in 1979. He is the Chairman of the Board of Aalberts N.V. and Nedap N.V.. Beside that he sits on the Board of the Bernhoven Foundation and the Glorieux Foundation. He is also a member of the Advisory Board of the Economic and Business Faculty of the University of Amsterdam and he is the Chair of the EMFC Curatorium of the Amsterdam Business School. In the past he was also a Director of several other listed companies, a.o. KPN in the Netherlands. Mr van Bommel holds an MSc in Economics from Erasmus University in Rotterdam. Mr van Bommel is the Chairperson of the Audit and Risk Committee and a member of the Remuneration Committee of SES. Mr van Bommel is a Dutch national. He is an independent director. Peter van Bommel, Chair of the Audit and Risk Committee, Vice-Chair of the Board SES ANNUAL REPORT 2024 | 107 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Mrs Ries became a director on 1 January 2015 and was elected as Vice- Chairperson of the Board for the first time on 4 April 2019. She was re-elected as Vice-Chairperson of the Board on 4 April 2024. Mrs Ries is currently First Government Advisor to the Prime Minister in Luxembourg, in charge of media, telecom and digital policy. Prior to this appointment in 2019, her focus over the last two decades has consistently been on developing the tech and digital innovation ecosystem in Luxembourg, i.a. through the launch of the “Digital Luxembourg” initiative in 2014. Mrs Ries holds a law degree from the University of Paris II and the University of Oxford, and a postgraduate LL.M degree from the London School of Economics. Mrs Ries is the Chairperson of the Nomination Committee and a member of the Remuneration Committee of SES. Mrs Ries is a Luxembourg and French national. She is not an independent director because she represents an important shareholder. Anne-Catherine Ries, Vice-Chair of the Board, Chair of the Nomination Committee Mrs Bozet became a Director of SES on 24 February 2023. She currently also serves as director and as member of the Audit and Risk Committee and of the Remuneration Committee in Herstal Group, a leader in Defense and Security. She is also a director of Detaille aux Prés, a family business. She was until end of 2022 CEO and Board member delegated to daily management of Circuit Foil, a leading copper foil producer. She served as director in IEE. She is a member of Women on Board and of ILA. Mrs. Bozet holds a Master in Business Engineering from HEC Liège. She is a member of the Audit and Risk Committee of SES. Mrs. Bozet is a Belgian national. She is an independent director. Fabienne Bozet, Director Mr Carlo Fassbinder became a director on 7 April 2022. Mr Fassbinder has 25 years of experience in the field of taxation, finance and accounting and is Director of tax at the Ministry of Finance since 2017. He advises the finance minister on tax policies and tax treaties, and assists in the preparation of the Council meeting (ECOFIN). From 1997 to 2017 he worked in the tax department of BGL BNP Paribas where he was Head of Tax Retail & Corporate Banking since 2011. Mr. Fassbinder is also a board member of Société Electrique de l’Our. He holds a Maîtrise en droit des aaires from Robert Schuman University in Strasbourg and a Magister Legum (LL.M.) in tax law from Ludwig Maximilians University in Munich. Mr Fassbinder is a member of the Audit and Risk Committee of SES. Mr. Fassbinder is a Luxembourg national. He is not an independent director because he represents an important shareholder. Carlo Fassbinder, Director SES ANNUAL REPORT 2024 | 108 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Mr Potarazu became a director on 20 February 2014. He is currently the CEO of Lynk. Before being appointed CEO of Lynk, he was the CEO of EditShare and BinaryFounatin. He is the Founder and former CEO of Vubiquity. Prior to founding Vubiquity, Mr Potarazu spent 15 years in various positions at Intelsat (1991–2006). He became Intelsat’s Vice President of Operations and CIO in 1996 and Vice President of Commercial Restructuring in 2000. In 2001 Mr Potarazu became President of Intelsat Global Service Corporation and from 2002 to 2006 he was President and Chief Operating Oicer of Intelsat Ltd. Prior to joining Intelsat, Mr Potarazu held several engineering positions. Mr Potarazu graduated with a BS in Computer Science and in Mathematics from the Oklahoma Christian University. He also holds an MSc in Electrical Engineering from the John Hopkins University and was a member of the Stanford Executive Program. He is a member of the Remuneration Committee of SES. Mr Potarazu is a US national. He is an independent director. Ramu Potarazu, Director Ms Thoma became a director on 16 June 2016. Ms Thoma is President and Chief Executive Oicer of Banque et Caisse d’Epargne de l’Etat, and a member of the Boards of Directors of Cargolux International Airlines S.A., Luxair S.A., the Luxembourg Stock Exchange and of Enovos Luxembourg S.A. She was a member of the Luxembourg Council of State from 2000– 2015 and holds a PhD in Law from the Université de Paris II Panthéon-Assas and an LL.M. from Harvard Law School. Ms Thoma is the Chairperson of the Remuneration Committee and a member of the Audit and Risk Committee of SES. Ms Thoma is a Luxembourg national. She is not an independent director because she represents an important shareholder. Françoise Thoma, Chair of the Remuneration Committee Mr Thill became a director on 2 December 2021. Mr Thill currently serves as First Government Advisor to the Prime Minister and Coordinator at the Luxembourg Prime Minister’s Oice. Since 2018 he is also the Government Delegate to the State Intelligence Service. Mr Thill joined the Luxembourg diplomatic service in 2004. His diplomatic career includes postings to the Luxembourg Permanent Representation to the United Nations in New York and to the Luxembourg Embassy in Moscow, as well as to the EU High Representative for the Common Foreign and Security Policy at the Council of the European Union in Brussels. From 2009 to 2013, Mr Thill served as diplomatic advisor to the Prime Minister. In 2013, he was appointed Deputy Secretary General of the Luxembourg Government, before becoming Secretary General of the Luxembourg Government until June 2020. Mr Thill holds a Master in European and International Law from the Paris 1 Panthéon-Sorbonne University and an MA in European Political and Administrative Studies from the College of Europe in Bruges where he specialised in European Competition Law and European Foreign Policy. From 2015 until 2021 and again since December 2023, Mr. Thill is a member of the Board of Directors of LUXGOVSAT S.A.. Mr Thill is a member of the Nomination Committee of SES. Mr Thill is a Luxembourg national. He is not an independent director because he represents an important shareholder. Jacques Thill, Director SES ANNUAL REPORT 2024 | 109 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Mr Relander became a director on 6 April 2017. Mr Relander worked for the Finnish National Fund for Research and Development prior to joining Sonera Corporation where he held several management positions, including the position of CEO. He left Sonera in 2001 to join Accel Partners, a private equity and venture capital group before joining the Emirates Investment Authority in 2009 where he was a member of its Investment and Management Committee. Since 2014 he has been a private investor and board director. Mr Relander graduated from the Helsinki School of Economics with an MSC in Economics. He also holds an MBA from the Helsinki School of Economics having completed part of it at the Wharton School, University of Pennsylvania (USA), and studied also for a PhD at the Wharton School and the Aalto University, Helsinki. Mr Relander is a board member of the sovereign wealth fund of ADQ and ADGM, Abu Dhabi Global Markets and Louis Dreyfuss Company. He is Chairman of the Investment Committee at the private equity fund Apis.pe and a board director of Starzplay Arabia. He is a member of the Audit and Risk Committee and of the Nomination Committee of SES. Mr Relander is a Finnish national. He is an independent director. Kaj-Erik Relander, Director Mrs Wehr-Seiter became a director on 1 January 2015. She is CEO and Partner of BIP Capital Partners. Prior to joining BIP, she served as a Principal at global investment firm Permira and worked also as an independent strategy consultant as well as a Senior Advisor to international private equity group Bridgepoint. She started her professional career at Siemens AG where she held various positions in strategy consulting and engineering. She serves as a director of Bellevue Group and several non-listed corporations. Mrs Wehr-Seiter holds an MBA from INSEAD and an MSc in Mechanical Engineering from the Technical University of Chemnitz. She is a member of the Audit and Risk Committee and of the Remuneration Committee of SES. Mrs Wehr-Seiter is a German national. She is an independent director. Katrin Wehr-Seiter, Director SES ANNUAL REPORT 2024 | 110 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS As of 31 December 2024, the Board of SES is composed of 10 non-executive directors, four of them female (40%). Dr Jennifer Byrne who became a director on 7 April 2022, resigned on 17 October 2024. In the event of a vacancy on the Board, the remaining directors may, upon a proposal from the Nomination Committee and on a temporary basis, fill such a vacancy by a majority vote. In this case, the next AGM of shareholders will definitively elect the new director, who will complete the term of the director whose seat became vacant. All current directors were appointed by the AGMs in the three prior years. The mandates of the current directors will expire at the AGM of shareholders in April 2025, 2026, and 2027 respectively. A director can also be revoked at any moment by the shareholders as there is no notice period for a director. The maximum tenure on the Board is limited to 12 years. The age limit of the Directors is set at 72 years. Any Director who reaches this age during his/her mandate will resign at the Annual General Meeting (AGM) following this date. The average age of the Board is 58.1 years. In accordance with the Company’s articles of association, two- thirds of the board members represent the holders of A-shares and one-third of the board members represent the holders of B-shares. In accordance with internal regulations adopted by the Board, at least one-third of the board members must be independent directors. A board member is considered independent if he or she has no relationship of any kind with the company or management that may impact his or her judgment. [Independence for these purposes is defined as: • not having been an employee or oicer of the company over the previous five years; • not having had a material business relationship with the company over the last three years; and • not representing a significant shareholder holding more than 5% of the voting shares directly or indirectly.] As of 31 December 2024, six (60%) of the board members are considered independent: Fabienne Bozet, Peter van Bommel, Frank Esser, Ramu Potarazu, Kaj-Erik Relander and Katrin Wehr-Seiter. As of 31 December 2024, four (40%) board members proposed by the B-shareholders are not considered independent as they each represent significant shareholders owning more than 5% of the company’s shares: Anne-Catherine Ries, Jacques Thill, Françoise Thoma and Carlo Fassbinder. Employees are represented on the board of directors of SES Astra as the holder of the State concession in accordance with relevant legal provisions. As part of a voluntary arrangement, the SES Astra board delegates one observer, chosen from among the employee representatives, to the SES Board. Thai Rubin, Chief Legal Oicer, was the Secretary to the Board of Directors until 31 July 2024. He was supported in this role by Mathis Prost, Senior Manager, who was appointed as Secretary to the Board of Directors as of 31 July 2024. In the context of the Board composition, the SES Nomination Committee will consider a diverse Board as adding value to the Company by considering, among other things, professional background, experience, geographical background. In respect of professional background and experience, the Nomination Committee The Board of SES is composed of 10 non-executive directors, of which 40% is female, and a total of 60% is considered independent MISSION AND COMPOSITION ESRS 2 GOV-1 SES ANNUAL REPORT 2024 | 111 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS will consider various criteria, including but not limited to (i) international executive, management, board or professional experience, (ii) experience in and knowledge of the satellite or adjacent similar industries, (iii) video and data product knowledge, (iv) financial, tax, legal, regulatory, compliance, cyber-security, technology, human resources and ESG expertise, etc. The Board of Directors meets when required by the Company’s business, and at least once per quarter. It can only validly deliberate if a majority of the directors are present or represented. The resolutions of the Board are passed by a simple majority of the votes of the voting directors present or represented, not considering abstentions. The Chairperson does not have a casting vote. Any material contract that is proposed to be signed by the Company or any of its wholly controlled operating subsidiaries with a shareholder owning at least 5% of the shares of the Company, directly or indirectly, is subject to a prior authorisation by the Board. In 2024, there were six transactions between the Company and a shareholder owning at least 5% of the company’s shares. All six transactions related to the purchase of class B-shares from the Class B shareholders in order to maintain the ratio between Class A and Class B shares, in accordance with the share buy-back programme authorised by the AGMs in 2023 and 2024. There were no transactions involving a conflict of interest for any of the directors. In 2024, four directors held or acquired shares in SES. The transactions performed by directors on SES shares are published on the SES website. RULES OF GOVERNANCE In 2024, there were six transactions between the Company and a shareholder owning at least 5% of the company’s shares. The Board meetings and their agenda are prepared in close cooperation between the Chairperson, the Vice-Chairpersons, the CEO, the CFO and the Secretary to the Board of Directors. The Board oversees and supervises the activities of the EC. SES currently has three board advisory committees. The committees consist of five to six members, at least a third of whom are independent board members in line with SES’s internal regulations. The committees assist the Board on specific matters as defined in the relevant committee charters. The committees have an advisory role and will issue recommendations to the Board but cannot take any decisions. The Audit and Risk Committee assists the Board in carrying out its oversight responsibilities in relation to corporate external policies (such as dividend, tax and treasury policies), risk management, internal control, internal and external audit and financial and regulatory reporting practices. It further proceeds to the evaluation of potential deals, including financial due diligence, risk assessment and financing options before submission to the Board. It has an oversight function and provides a link between the internal and external auditors and the Board. It also defines and proposes to the Board the ESG Targets of the Company and monitors progress towards the accomplishment BOARD GOVERNANCE STRUCTURE & COMMITTEES ESRS 2 GOV-1, GOV-2, GOV-3 SES ANNUAL REPORT 2024 | 112 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS ACTIVITIES OF THE BOARD OF DIRECTORS IN 2024 ESRS 2 GOV-1 The Board of Directors held six regular in-person meetings, one extraordinary in-person meeting, and five extraordinary remote Board meetings, with an attendance rate of more than 97% (no Board member was excused for more than one meeting), allowing remote attendance for Board members unable to attend in person on an exceptional basis. The directors also passed four circular resolutions in 2024. The main activities of the Board in 2024 included: • approval of the 2023 audited annual accounts and the financial results for the first half of 2024; • approval of the dividend submitted to the shareholder meeting in 2024 and approval of the interim dividend paid in October 2024; • continuation and conclusion of the share buy-back programme of up to EUR 150 million; • approval of the final version of the 2025 Budget and the 2025–2029 Business Plan; • approval of the purchase of the Intelsat Group and related financings and the recording of SES as a foreign private issuer in the US; • approval of the submission of a Best and Final Oer (BAFO) for IRIS 2 ; • definition of and follow-up on an extensive Strategy Execution Plan during a two-day Strategy Session in July 2024; • approval of an internal transformation programme within SES; • approval of the ESG targets and double materiality impacts, risks and opportunities; The Board was regularly updated on the development of the major projects, and it noted regular on the company’s risk management report. The EC regularly informed the Board about the group’s activities and financial situation and the Board oversaw the execution notably of (i) the Strategy Plan (including the ESG strategy), (ii) the 2024 Business Objectives, (iii) the O3b mPOWER programme, (iv) the Company’s continued transformation programme, (v) the new Organisational Structure and (vi) the plan towards completion of the Intelsat acquisition. of the ESG Targets and compliance with the reporting requirements. Starting 2024, it has reviewed and recommended to the Board the double materiality assessment of the Company. The Remuneration Committee assists the Board on the determination of the remuneration of the members of the Senior Leadership Team and advises on the overall remuneration policies applied throughout the Company. It acts as administrator of the Company’s long-term equity plans. In April 2024, the Nomination Committee was renamed into Nomination and Governance Committee. The Committee identifies and proposes suitable candidates for the Board of Directors, for election by the AGM of shareholders. Proposals are based on submissions from shareholders for a number of candidates at least equal to the number of posts to be filled for each class of shareholders. It also identifies and proposes suitable candidates for the EC. The Committee furthermore analyses the outcome from the board self-assessments, defines action items and reviews the corporate governance documents accordingly. SES ANNUAL REPORT 2024 | 113 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS The Board and the Committees have undergone a thorough Company's corporate governance self-assessment in 2024 with the assistance of an external expert consultant on corporate governance matters. At each meeting, directors receive a report on ongoing matters and the Chairpersons of the committees set up by the Board present a report on the latest developments discussed in these respective committees. In addition, a business report and an internal SES inside report are distributed to the members of the Board on a regular basis. With regard to the Company’s corporate governance, the Board and the Committees have undergone a thorough self-assessment in 2024 with the assistance of an external expert consultant on corporate governance matters. The SES Board has defined a number of actions from the assessment, notably the extension of the remit of the Nomination Committee to include corporate governance matters. Some Board meetings conclude with a restricted session, without the presence of Management. ADVISORY COMMITTEES OF THE BOARD 2024 – COMPOSITION AND ACTIVITY Chair of the board: Frank Esser Vice-chairs of the board: Anne-Catherine Ries, Peter van Bommel Audit & Risk Committee Remuneration Committee Nomination and Governance Committee Secretary to the Board of Directors Chair: Peter van Bommel Chair: Françoise Thoma Chair: Anne-Catherine Ries Thai Rubin (until 31 July 2024) Fabienne Bozet Peter van Bommel Dr Jennifer Byrne (until 17 October 2024) Mathis Prost (as of 31 July 2024) Carlo Fassbinder Frank Esser Frank Esser Françoise Thoma Ramu Potarazu Kaj-Erik Relander Kaj-Erik Relander Anne-Catherine Ries Jacques Thill Katrin Wehr-Seiter Meetings and attendance rate in % 5 meetings 100% 5 meetings 100% 6 meetings 100% SES ANNUAL REPORT 2024 | 114 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS • Reviewed the 2023 financial results before their submission to the Board and their subsequent approval by the shareholders at the statutory AGM. • Reviewed the H1 2024 financial results of the Company. • Reviewed the Company’s statement on internal control systems prior to its inclusion in the annual report, approved the Internal Audit plan, and received bi-annual updates on the Internal Audit activities and on the follow-up of the major recommendations. It also reviewed the 2023 PwC Management letter. • Proposed to the Board and to the shareholders to appoint PwC as external auditor for 2024 and for the “PCAOB” re-audit of the 2022 and 2023 annual accounts, including the proposed compensation. • Received quarterly updates on key risks from the SES Risk Management Group, on cyber security and was briefed on ongoing legal, compliance and whistleblowing matters. • Reviewed WACC parameters for remuneration purposes, customer credit risk and collection and of the Treasury Roadmap. • Received updates on ESG targets, double materiality topics, performed a gap assessment and monitored the ESG strategy implementation. • Reviewed the Company’s 2025 Budget and 2025-2029 Business Plan. • After each meeting, the Board is briefed in writing about the work of the Audit and Risk Committee. THE AUDIT AND RISK COMMITTEE ESRS 2 GOV-1 ACTIVITIES OF THE COMMITTEES IN 2024 Ensuring thorough oversight, the Audit and Risk Committee reviewed key financial, internal control, risk management, and ESG strategies to uphold transparency, compliance, and forward-looking business planning. SES ANNUAL REPORT 2024 | 115 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS THE REMUNERATION COMMITTEE • Matters addressed related to the determination of the bonuses and the vesting of performance shares allocated to the members of the Senior Leadership Team for their performance in 2023. • Adopted the 2024 corporate business objectives, which are used as one element in the determination of 2024 bonuses for EC members. • Reviewed and proposed the remuneration packages for new members of the Management Team and share ownership obligations for the Management Team. • Reviewed and proposed the 2024 long term equity grants for Senior Leadership Team members. • Included the ESG targets as a metric to determine vesting of Performance Shares for members of the EC. • Proposed to review and adjust the Remuneration Policy. The proposal has been approved by the Board and by the Annual General Meeting of Shareholders. • After each meeting, the Board is briefed in writing about the work of the Remuneration Committee. THE NOMINATION AND GOVERNANCE COMMITTEE • Discussed and analysed the board and committee self-assessment and established an action plan for the implementation of the recommendations from the self-assessment. • It also discussed the renewal of existing directors and the appointment of new directors, conducted interviews and proposed to the Board a list of candidates for election by the shareholders in April 2024. • Discussed the new SES Organisational Structure and was involved in its implementation in close cooperation with the CEO. • Instigated a deep dive on Talent Management and reviewed Senior Leadership Team Succession Planning. • After each meeting, the Board is briefed in writing about the work of the Nomination Committee. The Remuneration Committee focused on aligning leadership incentives with corporate goals, ESG targets, and shareholder interests, setting performance-based bonuses, equity grants, and share ownership obligations to drive accountability and long-term value creation. The Nomination Committee enhanced board eectiveness through self-assessment, director appointments, and succession planning, supporting organisational and talent initiatives with the CEO. SES ANNUAL REPORT 2024 | 116 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS The SES Executive Committee is known as the Senior Leadership Team. It is in charge of the daily management of the group. It is mandated to prepare and plan the overall policies and strategies of the company for approval by the Board and to execute decisions taken by the Board. It functions as a collegial body. Members of the EC are appointed by the Board of Directors upon a proposal from the Nomination Committee. EXECUTIVE COMMITTEE With more than 30 years of experience working in senior management roles at leading IT and telecommunication companies, Adel Al-Saleh was appointed Chief Executive Oicer of SES on 1st February 2024. Adel joined SES from T-Systems, the IT subsidiary of leading European Telecommunication provider Deutsche Telekom, where he was CEO since 2018. He was also a Board Member of Deutsche Telekom. Before that, he was the CEO for Northgate Information Solutions (NIS) Group from 2011-2018. Adel also held a variety of senior leadership roles at IMS Health and IBM for the first 25 years of his professional life. Adel graduated from Boston University with a Bachelor of Science degree in Electrical Engineering and holds a Master of Business Administration from Florida Atlantic University. Adel is a US and UK national. Currently, the executive committee as appointed by the board of directors is composed of: Adel Al-Saleh, CEO With more than 30 years of experience in financial and operational leadership roles across Asia and Europe, Sandeep Jalan was appointed Chief Financial Oicer (CFO) of SES in May 2020. Sandeep joined SES from Aperam, where he had held the position of CFO since 2014. Before this, Sandeep worked for the ArcelorMittal Group, where he was part of the M&A team responsible for numerous acquisitions in both steel and mining. He was also the CFO & Company Secretary for Ispat Alloys Ltd from 1993 to 1999. Sandeep is a board member at Aperam. Sandeep is a Commerce Graduate from Banaras Hindu University (BHU), as well as a qualified Chartered Accountant and Company Secretary. He has also completed an Executive Leadership Programme at the London Business School, and an Executive Education Programme on Strategic Finance at IMD, Lausanne. Sandeep Jalan, CFO SES ANNUAL REPORT 2024 | 117 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS JP Hemingway was appointed Chief Strategy Oicer (CSO) as of January 2022, and is charged with defining, leading and executing the strategy for SES. Prior to this position, JP Hemingway was CEO of SES Networks where he oversaw the growth of the Networks business division. Before that, he was the Executive Vice President of Product, Marketing and Strategy for SES Networks. JP was recruited into the SES family during the acquisition of O3b Networks, where he occupied the role of Chief Marketing Oicer. With a PhD in Optical Communications, and BSc (Hons) from Manchester Metropolitan University, UK, JP's experience is vast and varied. He began his career with Corning Cables and before filling a variety of senior management roles within Ciena, a leading network specialist. John-Paul (JP) Hemingway, CCO Dr. Xavier Bertrán was appointed as Chief Product & Innovation Oicer in April 2024 to oversee the innovation, development and delivery of SES’s products and systems. In 2022, Xavier joined SES as Senior Vice President to lead European Programmes that included strategic projects with the European Commission, European Space Agency, and other New Space initiatives. His extensive experience in the sector includes 20 years at Airbus where he held several executive positions in Upgrade Services, Diversification Programmes, Airbus ATR SAS and was also the Deputy Director for the Galileo PPP programme. Xavier also served as a Member of the Board of Directors of several companies including Airbus Interior Services S.A.S, ATR GIE, KID Systeme GmbH and Skytra Ltd. Xavier earned a doctorate in Mechanical Engineering from the University of Technology (RWTH) in Aachen and a Global Executive MBA from the IESE Business School in Barcelona. Xavier is a British, German and Spanish citizen. Dr. Xavier Bertrán, CP&IO Veronika Ivanovic joined SES as Chief People Oicer in September 2024 where she is responsible for developing and execution of the people strategy, talent development, processes and contributes as member of board to creating future- ready organisation. Veronika brings over 25 years of leadership experience in HR, having worked with large-scale blue chip companies. Most recently at Ericsson, Veronika managed a comprehensive HR function across multiple geographical regions where she developed and executed on strategic plans that supported the company’s business transformation and culture change. Before Ericsson, Veronika spent over 15 years in the financial sector working for GE Capital across various countries, and 6 years in the technology sector for global B2C and B2B companies like Vodafone. Veronika holds an MSc in Accounting and Finance and an MSc in Strategic HR Management from Sheield Hallam University. Veronika Ivanovic, CPO SES ANNUAL REPORT 2024 | 118 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Fabien Loeler was appointed Chief Transformation Oicer in September 2024 where he’s overseeing the planning, coordination and implementation of the company-wide transformation agenda in alignment with SES’s strategy. Since joining SES in 2013, Fabien has held several progressive managements roles in the Finance and People & Culture departments, including Financial Planning and Analysis, People Analytics, Operations and Total Rewards. Before becoming Chief Transformation Oicer, Fabien served as Interim Head of People & Culture at SES from December 2023. Prior to SES, Fabien worked for several years in the financial sector where he held diverse roles at Ernst & Young and other companies from the industry. He is a member of the ILA (Institut Luxembourgeois des Administrateurs) and part of their Remuneration & Nomination Working Committee. Fabien is a French national and holds a master’s degree in management from SKEMA Business School in Sophia-Antipolis, France. Fabien Loeler, CTRO Greg was appointed Chief M&A and Development Oicer in April 2024 to oversee mid- and long-term, inorganic development and growth of SES. In his most recent role as Vice President of Merger and Acquisition at SES, Greg oversaw the acquisition and consolidation of DRS Global Enterprise Solutions, strengthening SES’s ability to serve the satellite connectivity needs of the U.S. Government. Greg joined SES in 2014 relocating to Singapore where he first led Corporate Development initiatives across Asia-Pacific. He moved to Luxembourg in 2019 and went on to hold several management roles across various departments such as Corporate Finance and Financial Strategy. Prior to SES, he worked for Solaris Mobile, FL Partners, and BDO Ireland where he held diverse roles in Corporate Finance, Corporate Investment and Financial Advisory. Greg is an Irish national and holds an M.Sc. in Economics & Finance from University College Dublin, and a B.A. in Finance from Lindenwood University, U.S.A. He also holds a Professional Diploma in Accounting from Dublin City University, and is a Chartered Accountant of the Institute of Ireland. Greg Orton, Chief M&A and Development Oicer Thai Rubin was appointed Chief Legal Oicer of SES in July 2020, a role in which he oversees the legal aairs of the entire organisation, including the Company's ESG programme. Thai has spent over 25 years in the satellite industry including his time at O3b networks, where he was the General Counsel and a key member of the leadership team. In addition to holding multiple senior leadership roles within SES, he served as General Counsel at New Skies Satellites. Thai also worked at PanAmSat Corporation. Thai's educational background includes a Bachelor of Science degree from the University of Wisconsin, Madison, and a Juris Doctor from Howard University School of Law in Washington, D.C. Thai Rubin, CLO SES ANNUAL REPORT 2024 | 119 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Nihar was appointed Chief Strategy Oicer of SES in April 2024. Having joined SES in 2006, Nihar has held various progressive managements roles in Market Research & Analysis, and Strategic Market Development. In his most recent role as Vice President Strategy, Market Intelligence & Customer Experience, he was responsible for SES’s strategic planning and market, competitive, and customer analysis. Nihar was also part of the SES team that evaluated the company’s investment into O3b Networks, defining SES’s successful diversification strategy to global network services. Prior to SES, he worked for several years in consulting for the commercial and government space sector, and has lived and worked in India, the U.S. and the Netherlands. Nihar holds a B.A. in Economics, an M.A. in International Space & Technology Policy from George Washington University, and an MBA from Georgetown. Nihar is a U.S. citizen, and currently lives in Washington, D.C. Nihar Shah, CSO Milton Torres was appointed Chief Technology Oicer of SES in July 2023. In his previous role, Milton was Senior Vice President of Information, Technology & Security at SES where he was responsible for the company’s technology and information technology environments, and cybersecurity operations. Before his time at SES, Milton, a Brazilian and US national, held several senior roles, including Corporate Executive Director at the EBX Group, Managing Director Latin America at Oice Depot Inc., Executive Vice President at DirecTV Latin America. He also serves on several boards. Milton holds a BS in Electrical Engineering and completed post-graduation studies in Telecommunications from Pontificia Universidade Catolica do Rio de Janeiro. He also graduated from the Young Managers Program of European Institute of Business Administration (INSEAD). Milton Torres, CTO SES ANNUAL REPORT 2024 | 120 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS RESPONSIBILITIES OF THE EXECUTIVE COMMITTEE The EC may approve any external credit facilities or external guarantees, pledges, mortgages and any other encumbrances of the Company, or any wholly-owned ailiate, for as long as the Company will not lose its investment grade rating as a result of such facility or guarantee. It may approve increases of up to 5% in the capital expenditure budget for a satellite procurement already approved by the Board, it being understood that the Internal Rate of Return will need to comply with certain specific thresholds defined by the Board. The EC informs the Board at its next meeting of each such increase. It may approve intra-group transactions, irrespective of the amount, provided that they are consistent with the consolidated annual budget of the company, as well as specific transactions with third parties provided that the cost to SES does not exceed €10 million per transaction. It informs the Board at its next meeting of each such transaction, it being understood that the aggregate amount for all such transactions can at no time be higher than €30 million. In relation to signed customer contracts, the Executive Committee may approve third-party transactions with an aggregate cost of up to €50 million. The EC submits those measures to the Board that it deems necessary to be taken in order to meet the purposes of the Company. Prior to the beginning of each fiscal year, the EC submits to the Board a consolidated budget for approval. The EC is in charge of implementing all decisions taken by the Board and by the committees specially mandated by the Board. The EC may, in the interests of the Company, sub- delegate part of its powers and duties to its members acting individually or jointly. The CEO organises the work of the EC and coordinates the activities of its members, who report directly to him. In order to facilitate the implementation by the Board of its overall duty to supervise the aairs of the Company, the CEO informs the Chair of the Board on a regular basis of the Company’s activities. The latter receives the minutes of all meetings of the EC in due time. The CEO organises the work of the Executive Committee and coordinates the activities of its members, who report directly to him. SES ANNUAL REPORT 2024 | 121 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS The Board of Directors has the overall responsibility for ensuring that SES maintains a sound system of internal controls, including financial, operational and compliance controls. Such a system is an integral part of the corporate governance strategy of SES S.A. (‘the Company’) together with its subsidiaries and ailiates (‘the Group’). Internal control procedures help to ensure the proper management of risks and provide reasonable assurance that the business objectives of the Company can be achieved. The internal control procedures are defined and implemented by the Company to ensure the following objectives: • Compliance of actions and decisions with applicable laws, regulations, standards, internal rules, and contracts • Safeguarding eiciency and eectiveness of operations and the optimal use of the Company’s resources • Correct implementation of the Company’s internal processes, notably those to ensure the safeguarding of assets • Integrity and reliability of financial and operational information, both for internal and external use • Ensuring that management’s instructions and directions are properly applied • Ensuring that material risks are properly identified, assessed, mitigated, and reported Like all control systems, internal controls cannot provide an absolute guarantee that all risks have been totally mitigated or eliminated. OBJECTIVES AND PRINCIPLES INTERNAL CONTROL PROCEDURES The Board of Directors is responsible for ensuring that SES maintains a sound system of internal controls. SES has adopted a robust internal control framework based on a set of guidelines prepared by the Committee of Sponsoring Organisations of the Treadway Commission (‘COSO’). The framework provides reasonable assurance that the internal control objectives are being achieved; it is also consistent with the reference framework proposed by the French securities regulator, the Autorité des Marchés Financiers (‘AMF’). The Board has delegated the design, implementation, and maintenance of a rigorous and eective system of internal controls to the Company’s Senior Leadership Team, which in turn works closely with the other levels of management in establishing control policies and procedures. SES has implemented an organisational structure with defined responsibilities, competencies and reporting lines that provide the framework in which internal controls are being executed and controlled to meet the Company’s objectives. Policies and procedures are regularly CONTROL ENVIRONMENT SES ANNUAL REPORT 2024 | 122 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS The Board of Directors has the overall responsibility for ensuring that an eective risk management system is in place. SES adopted a risk management approach, which is designed to ensure that key risks pertaining to the company’s business are identified and mitigated. A Risk Management Group is in place, comprising of representatives of SES key functions, responsible for the eective identification, evaluation and reporting of the Company’s key risks and the implementation of the risk management policy and procedures. The process ensures that adequate mitigation actions are identified and respective members of the Senior Leadership Team are assigned to oversee their implementation. A dedicated Risk Management Team facilitates and coordinates the reporting process and assists the Risk Management Group with the assessment of risks. Key risk developments are periodically reported to the Senior Leadership Team, the Audit and Risk Committee and the Board. SES has adopted a robust internal control framework based on a set of guidelines prepared by the Committee of Sponsoring Organisations of the Treadway Commission (‘COSO’). RISK MANAGEMENT reviewed and are updated when required. These policies and procedures apply to all employees and oicers of the Group, and where appropriate, to its directors as well as to other groups. A Delegation of Authority Policy is in place, and is regularly updated, providing the rules for the internal approvals and external execution that are required to authorise any external commitment of the Company. Appropriate accounting and financial reporting policies and procedures are in place which are reviewed and updated for business developments and regulatory changes. The Group’s approach to recording significant or non-standard transactions is documented in internal position papers. Embedded workflow controls have been established in the processing of accounting transactions to ensure appropriate authorisations, segregation of duties, and the complete, timely and accurate recording of all relevant financial information. This control framework continues to be enhanced through the SES has established a comprehensive Internal Control Framework over those activities relating to the preparation and processing of financial information to help ensure the quality of that information included in both its internal and external financial reporting, as well as the Group’s compliance with all corresponding applicable laws and regulations. This Internal Control Framework comprises the following elements: INTERNAL CONTROLS OVER REPORTING PROCEDURES AND DOCUMENTATION SES ANNUAL REPORT 2024 | 123 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS implementation of additional workflow- based controls and validations. Risk-based monitoring controls are implemented for key SAP control configurations and transactions. Specific controls are in place, such as monthly reviews and data validation procedures, to ensure the correct and timely recognition of revenues and expenses. Treasury activities are centrally managed within a framework approved by the Board and applied in line with the Group’s Treasury Policy. Specialist software helps ensure controls can be applied over foreign exchange transactions, interest and liquidity management, and other financial instruments. Furthermore, to ensure the security and eiciency of the bank payments process, the Group uses a banking payments system which provides secure authorisations and money transfers. The main principles of SES’s tax risk management are laid down in the Group’s Tax Charter. Tax positions are analysed based on the most appropriate authoritative interpretations and reported in internal tax technical memos or tax opinions from external tax consultancy firms. Current and deferred tax assets and liabilities are recorded in the Group’s financial statements using a control framework ensuring transparency and understanding of all underlying data; and reconciling the important sources of information within the Tax and Accounting functions. A detailed tax accounting policy is in place as well as substantive transfer pricing documentation. The embedded workflow control framework is continuously enhanced through the implementation of additional workflow-based controls and validations. Management is committed to ensuring that SES’s data, infrastructure, and information technology systems in the cloud and on SES premises are as secure as is reasonably and commercially practicable. Security controls, policies and procedures are in place to prevent unauthorised access to premises, computer systems, networks, and data. Policies and procedures in this area are continuously being reviewed and updated. Nearly all SES’s significant ailiates operate on a centrally managed, Cloud- based SAP ERP platform, applying consistent processes, controls, and backup procedures. A comprehensive SAP security policy has been defined and implemented. SAP access management controls are in place and are being monitored and further enhanced. SES has a disaster recovery plan for its business-critical infrastructure which is regularly tested to confirm that SES is able to recover all mission critical back- oice applications within specific recovery time objectives. Electronic information is regularly backed up and tested. A dedicated cybersecurity team is in place to help and guide SES management and business stakeholders to adequately secure SES systems, information assets and customer services. The cybersecurity team follows a holistic approach towards cybersecurity by implementing a wide range of security control mechanisms and practices based on industry-leading standards, as well as cultivating a culture of awareness and caution throughout our organisation. A cyber security and data protection awareness programme has been implemented which is mandatory for all employees. IT GENERAL CONTROLS Security controls, policies and procedures are in place to prevent unauthorised access to premises, computer systems, networks, and data. Policies and procedures in this area are continuously being reviewed and updated. SES ANNUAL REPORT 2024 | 124 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS The Company relies on a comprehensive system of financial reporting and internal oversight. Strategic plans, business plans, budgets and the interim and full year consolidated financial statements of the Group are all presented to the Board for approval. The Board also approves all significant investments and receives monthly financial reports setting out the Group’s financial performance in comparison to the approved budget and prior year figures. In accordance with IFRS requirements, SES discloses detailed information on the market, credit, and foreign exchange risks to which it is exposed, as well as its strategy for managing such risks. The Audit and Risk Committee (‘ARC’) is regularly updated on significant accounting and financial reporting, treasury, tax, and legal issues as well as business risks identified and management’s proposed mitigation steps. The complete and timely recording of financial information is ensured through regular reviews, the monitoring of specific key performance indicators, validation procedures by functional leaders. Any material weaknesses in the system of internal controls identified by either internal or external auditors are reported to the ARC and followed up until fully addressed with regular reports to both the Senior Leadership Team and the ARC summarising the remediation status of these deficiencies. All internal and external financial reporting processes are organised through a centrally managed reporting calendar. All these activities take place within SES’s overall Code of Conduct which applies to all the Group’s sta. SES’s Internal Audit (‘IA’) function performs specific analyses of the relevance of, and compliance with, Company policies and internal control procedures in accordance with generally accepted Internal Audit Standards issued by the Institute of Internal Audit (‘IIA’). The activities of the IA function are executed in accordance with an annual audit plan, which is reviewed and approved by the ARC. SES has a dedicated Internal Audit function and a dedicated ESG team. The Board takes decisions and establishes a plan for execution: priority, targets, timing. This is then regularly reviewed by SLT and though the various SLT positions downstreamed into the SES teams for execution. The Board supervises progress of execution. Furthermore, Internal Audit will proceed with controls of the process and execution on key matters and topics. The ESG team also directly reports to the ARC at every meeting on the progress on ESG matters. The IA plan is prepared in close cooperation with the company’s Risk Management Team to dynamically link it to risks and exposures that may aect the organisation and its operations. Full-year and half-year reporting to the financial market as well as the Annual Report is reviewed by the Audit Committee and approved by the Board of Directors. The Group’s external auditor performs a review of the interim condensed consolidated financial statements and an audit of the annual consolidated financial statements. ANALYSIS AND OVERSIGHT ESRS 2 GOV-1, GOV-2 Full-year and half-year reporting to the financial market as well as the Annual Report is reviewed by the Audit Committee and approved by the Board of Directors. SES ANNUAL REPORT 2024 | 125 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Competition The satellite communications business is increasingly competitive. SES competes with national, regional and international GEO, non-geostationary (NGSO) and fixed and wireless terrestrial operators. The competition from NGSO systems is potentially the most disruptive trend facing SES. With strong financial backing, vertical integration and technological advancements, such competitors are planning to enter multiple markets targeted by SES. In addition, the trend toward horizontal and vertical consolidation poses a risk of diminishing SES’s market position and leverage with customers and suppliers, amid growing competitive pressure from integrated players and new entrants. SES regularly evaluates potential partner or merger targets that fit with its strategy. Technology The satellite communications industry is subject to rapid technological change. As a result, the technology used by SES could become less suitable for customer requirements leading to a reduced service demand and a negative revenue impact. SES monitors such changes and regularly evaluates opportunities to invest into new technologies. Emerging Markets SES targets new geographical areas and emerging markets and is developing commercial arrangements with local communications, media and other businesses in these areas. SES may be exposed to political and other risks associated with such business. Investment SES’s desired strategic investments may not yield expected benefits due to a number of factors including uncertain or changing market conditions, financing costs and legal and regulatory issues. Some of the mitigation when it comes to the cost of financing include: commitment to our investment grade rating, ensuring the weighted average duration of debt financing to be suiciently long, having access to a wide range of financing products in multiple currencies and jurisdictions, having ample committed liquidity headroom and predominantly raising debt financing at a fixed interest rate. STRATEGIC RISKS PRINCIPAL RISKS SES identified the following potential risks, which could have a material and adverse eect on its business, financial condition and results of operation. This section does not purport to be exhaustive, but rather contains a summary of the main risks that SES may face during the normal course of its business. Where mitigations are mentioned in this section, there is no guarantee that such mitigations will be eective (in whole or in part) to remove or reduce the eect of a risk. SES ANNUAL REPORT 2024 | 126 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS ESG We recognise the eect ESG matters have on the company’s everyday activities and the importance of having a sound risk management approach around those matters. SES is committed to conduct its business in accordance with highest standard governance processes and in a sustainable and environmentally friendly way. Failure to do so may have an adverse eect on the company’s operation, financial results and reputation. SES is in a process of identifying and evaluating relevant ESG related risks (including those related to climate) in order to ensure that necessary mitigating actions are in place. This is done in alignment with a double materiality process, considering and evaluating both risks and opportunities. In view of complexity, and developing nature, of ESG related issues to be considered by the company, the above process includes engaging all relevant stakeholders and consulting external professional advisors. A number of such risks are closely linked to other areas covered in this section and are already being mitigated, for example, risks relating to in-orbit failures and cybersecurity. Details of the Company’s ESG strategy are provided in this section of the Annual Report. Dependency on key supplier(s) Dependency on a small number of satellite manufacturers may reduce SES’s negotiating power and access to advanced technologies and result in increased satellite procurement risk (e.g., due to technical diiculties and design problems with a particular model of satellite). SES mitigates these risks by maintaining a full level physical presence and oversight at manufacturer facilities throughout the spacecraft design, construction and acceptance. SES monitors manufacturers’ supplier base and procurement sources and develops relationships with new suppliers where possible. SES is dependent on a limited number of launch service providers. As such, delays may be incurred in launching satellites in the event of a prolonged unavailability of service from a launch service provider. SES monitors developments on the launcher market, including those in respect to new launch service providers and new launch vehicles. Launch delay(s) and launch failure(s) Launch delays are always a possibility. Satellite launch and in-orbit insurance policies do not compensate for lost revenues and other consequential losses. SES attempts to mitigate the risk of delays by ensuring adequate margins in satellite procurement schedules. There is always a small but inherent risk of launch or early-orbit failure, resulting in a reduced satellite lifetime and/or functionality or the total loss of a satellite. SES mitigates such risks in several ways, including by technical risk management of each launch vehicle programme and asset insurance for each launch. In-orbit failure(s) A satellite may suer in-orbit failures ranging from a partial impairment of its commercial capabilities to a total loss of the asset. Such failure may result in SES not being able to continue to provide service to some of its customers. SES attempts to mitigate this risk by careful vendor selection and high quality in-orbit operations. For some services, SES is able to oer an in-orbit backup strategy in which customers using an impaired OPERATIONAL RISKS Global Pandemic or other health emergency SES is subject to the risk of a global pandemic or other health emergency such as COVID-19. A material health emergency could aect availability of our employees and impact various areas of SES’s business including procurement and launch of satellites, entry into service of new satellites, procurement of ground infrastructure and provision of services to customers. SES has procedures and measures to respond to health risks and to secure business continuity during such situations. SES ANNUAL REPORT 2024 | 127 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS satellite may be transferred to another satellite. In addition, in respect of its geostationary (‘GEO’) satellites, SES has restoration agreements with other satellite operators whereby customers on an impaired GEO satellite may be transferred to a GEO satellite of another operator in order to protect continuity of service. Cybersecurity SES’s operations may be subject to hacking, malware and other forms of cyber-attack. Due to the high sophistication of certain attackers and an increasing number of cyber-attacks, it may not always be possible to prevent every such event. SES has protections in place to help protect its systems and networks and continues to work to implement additional protective measures intended to limit the risks associated with such attacks. Insurance coverage and availability SES maintains launch and initial in- orbit insurances, and third-party liability insurance. These policies generally contain customary market exclusions and are subject to limitations. The insurance market has been seeing a reduced availability and significantly increased rates. This results in increased insurance premiums for SES. In order to mitigate these risks and optimise the coverage and premiums, SES maintains long-term agreements with insurers. Legal and Regulatory SES’s operations and business are subject to compliance with the laws, regulations (e.g., communications, export control, sanctions, competition, ESG) and political will of the governmental authorities of the countries in which SES operates, uses radio spectrum, oers satellite capacity and services. Violations of any of the applicable laws and regulations could expose SES to penalties and other enforcement actions and may negatively aect commercial operations. SES may need to obtain and maintain approvals from authorities or other entities to operate its satellites and to oer satellite capacity and services. Failure to obtain the necessary approvals could lead to loss of revenues and compliance actions against SES. SES works to ensure that adequate compliance sta is in place and that all teams have the necessary technical and human resources to enable the company to comply with applicable laws and regulations. Spectrum The International Telecommunication Union (‘ITU’) and national administrations may reallocate satellite spectrum to other uses. In addition, national administrations are increasingly charging for access to spectrum through the use of fees and auctions. This may aect SES’s access to orbital locations and frequencies required for it to develop and maintain its satellite fleet and services. In addition, SES must coordinate the operation of its satellites with other satellite operators so as to prevent or reduce interference. As a result of such coordination, SES may be required to modify the proposed coverage areas or satellite design or transmission plans which may materially restrict satellite use. Similarly, the performance of SES’s satellites in some areas could be adversely aected by harmful interference caused by other operators. Operational issues such as satellite launch failure, launch delay or in-orbit failure might compromise access to the spectrum or orbital locations. SES’s large fleet may enable the relocation of in-orbit satellites to satisfy regulatory and spectrum requirements. REGULATORY RISKS SES ANNUAL REPORT 2024 | 128 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Tax SES is subject to taxation in multiple jurisdictions and may become subject to unforeseen material tax claims, including late payment interest and / or penalties, and in some cases retroactive tax assessments. SES has implemented a tax risk mitigation charter based on, among other things, a framework of tax opinions for the financially material positions taken, transfer pricing policies, and procedures for accurate tax compliance in all jurisdictions. Asset impairment SES’s intangible assets, satellites and ground segment assets are valued at historic cost less amortisation, depreciation and accumulated impairment charges. The resulting carrying values are validated each year through impairment testing procedures where they are compared to the discounted present value of the future cash flows expected to be derived from the asset. Where future assumptions for a specific asset, as set out in the approved Business Plan, become less favourable, or the discount rates applied to the future cash flows increase, then this may result in the need for material asset impairment charges. Foreign exchange SES’s reported financial performance can be impacted by movements in the Euro / U.S. dollar exchange rate, as SES has significant operations, cash flows, assets and liabilities that are denominated in the U.S. dollar whereby the Group’s reporting currency is the Euro. To mitigate this exposure, SES may enter into forward foreign exchange or similar derivative contracts to hedge underlying foreign exchange exposures. Further details are provided in Note 18 to the consolidated financial statements. Interest rate SES’s exposure to the risk of changes in market interest rates relates primarily to SES’s floating rate borrowings as well as the renewal of its fixed rate borrowings. SES carefully monitors and adjusts the mix between fixed and floating rate debt from time to time, responding to market conditions. Interest rate derivatives may be used to manage the interest rate risk. Further details are provided in Note 18 to the consolidated financial statements. Key customer loss Bankruptcy and customer consolidation, amongst other reasons, can potentially result in loss of customers, non-renewals or reduction in the demand for services. SES aims for long contract terms with key customers based on strong relationships. Customer credit Failure by customers to fulfil payment obligations is a possibility. Credit risk may increase as SES and / or its customers increase dependency on revenues in emerging markets where credit risk may be higher. This risk is mitigated through a customer credit policy including credit checks, deposits or other forms of security, payment monitoring and credit insurance where possible. Further details are provided in Note 18 to the consolidated financial statements. FINANCE RISKS Credit rating SES’s credit rating can be aected by a number of factors, including a change in its financial policy, a deterioration of its financial credit metrics, a downgrade in the rating agencies’ assessment of the business risk profile or a change in rating methodology. A change in SES’s credit rating could aect the cost and terms of its newly issued debt, as well as its ability to raise financing. SES’s policy is to attain and retain a stable investment grade rating with two of the international reputable credit rating agencies (currently, Fitch and Moody’s). SES ANNUAL REPORT 2024 | 129 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS REMUNERATION REPORT 2024 has again been an active year for the Remuneration Committee with changes to the Board appointed Executive Team (ET) level, including the start of Adel Al-Saleh as new CEO of SES, eective 1 February 2024; the appointment of the Chief Product & Development Oicer, Xavier Bertran, eective 1 April 2024; the new Chief People Oicer, Veronika Ivanovic, eective 1 September 2024 and the Chief Transformation Oicer, Fabien Loeler, eective 1 September. Finally, SES appointed the Chief M&A and Development Oicer, Greg Orton and the Chief Strategy Oicer, Nihar Shah both eective 1 January 2025. Following last year's Remuneration Report’s commitment, the Remuneration Committee has reviewed the Long-Term Equity (LTE) plan regarding the inclusion of Restricted Shares and the vesting mechanism of Performance Shares. Additionally, the Remuneration Committee again assessed the transparency level of ET members’ remuneration in the remuneration report. The Remuneration Committee concluded that: • While benchmark data show that European companies favour oering performance shares, US-based organisations are more inclined to advocate Restricted shares. Considering the planned acquisition of Intelsat, whose executives are predominantly based in the US, it was decided to retain Restricted Shares at 25% of the annual grant, thus keeping Performance Shares at 75% of the annual grant; • SES’ Performance shares’ TSR vesting mechanism is still in line with market practice and will therefore remain unchanged; • Increased transparency of ET remuneration will be provided by disclosing individual remuneration of the Chief Executive Oicer, Chief Financial Oicer, the Chief Commercial Oicer, the Chief Legal Oicer and the Chief Product & Innovation Oicer. Remuneration of the other ET members is presented as an aggregate amount. Finally, ET members’ share ownership requirements have been tightened by reducing the term to meet share ownership requirements from five years to four years, counting unvested restricted shares towards the share ownership requirement. The Remuneration Committee will continue to monitor remuneration market practice and adapt and adjust SES’ remuneration policy when needed to service the company’s interests best. The following sections set out the Remuneration Policy and 2024 Remuneration Report of the company. The Remuneration Policy and Report have been prepared by the Remuneration Committee whose primary activity is to review and advise the SES Board of Directors and Executive remuneration matters, ensuring they support and enhance realisation of strategic objectives in accordance with applicable laws and regulations. SES ANNUAL REPORT 2024 | 130 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS The purpose of the present Policy is to describe the remuneration paid by the Company to the Directors and to the members of its Board appointed Executive Team (ET members). It describes: • How it contributes to the Company’s objectives relating to its business strategy, long-term interests, and sustainability; • The dierent components of remuneration, including all bonuses and other benefits in whatever form, if any, awarded to Directors and ET members and indicates their relative proportion; • The duration of the contracts or arrangements with the Directors and ET members, the applicable notice periods, the main characteristics of supplementary pension or early retirement schemes and the terms of, and payments linked to, termination; • The decision-making process followed for the determination, review and implementation of the Policy, including measures to avoid or manage conflicts of interests and, where applicable, the role of the Remuneration Committee and the Board; and • The procedural conditions under which any derogation from the Policy can be applied as well as the elements of the Policy from which a derogation is possible. REMUNERATION POLICY The Company must attract suitable Directors and EC members to continue its success, and remuneration is one of the enablers to fulfil this goal. Remuneration must reflect the degree of required qualifications and experience of the Directors and EC members, the risks that they take personally, and honour the dedication and eorts that the Directors and EC members put into the Company. The Remuneration must also be consistent when compared to remunerations for similar roles in other companies and be relative to the pay and employment conditions of the employees of the Company. THE REMUNERATION POLICY The remuneration granted to Directors consists of a fixed annual fee, and a fee per Board or committee meeting attended as described below. All these fees are net of any Luxembourgish withholding taxes on directors’ fees. Board members do not receive any stock options or bonuses. Fixed remuneration per year The fixed component of the remuneration amounts to €40,000 per year whereas the Vice Chairpersons each receive an annual fixed fee of €48,000 and the Chairperson receives a fee of €100,000 per year. Any Director chairing one of the committees set up by the Board (if not the Chairperson of the Board) receives an annual fee of €8,000. The Chair of the Audit and Risk Committee (if not the Chairperson of the Board) receives an annual fee of €9,600. Remuneration per meeting Directors receive €1,600 for each Board meeting or Board committee meeting REMUNERATION OF THE DIRECTORS SES ANNUAL REPORT 2024 | 131 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS they attend, except for the Audit and Risk Committee for which a fee of €1,920 per meeting is paid. Directors participating in a meeting of a specific project taskforce set up by the Board of Directors receive a remuneration of €1,600 per meeting. The remuneration of ET members comprises the following two major components: • The compensation package which consists of a Yearly base salary (“YBS”), Annual bonus (“AB”), and Long-term Incentive (“LTE”); and • The benefits including, but not limited to, car allowance, pension and health care plans, and death and disability insurance. In line with the Charter of the Remuneration Committee of the Company, remuneration matters of the ET members are decided by the Board after review and recommendations from the Remuneration Committee. Yearly Base Salary (YBS) The base salary of the CEO as well as of other ET members is reviewed by the Remuneration Committee in its first ordinary meeting of the year. The Board has the sole authority, besides the legally required cost of living adjustments (i.e. Luxembourg index), to adjust the YBS of the CEO and other ET members. For all new ET nominations, remuneration packages are validated by the SES Board and incorporating the recommendations from the Remuneration Committee. They are made based on external benchmarks provided by compensation consultants while also taking into account the level of qualification and experience required as well as employment conditions of employees at the time of the oer. For appointed ET members, in line with market practice, SES conducts an ET remuneration benchmark review every 3 to 5 years, comparing SES ET members remuneration against peers. Annual Bonus (“AB”) The main objective of the annual bonus plan for the CEO and other ET members is to create a performance reward scheme, that links annual variable compensation to the Company’s financial results and its performance against specific business objectives established by the Board for each performance year. Through this plan, the Company ensures alignment and focus on the company’s core objectives. The AB of ET members is based on the annual performance during the relevant calendar year, is assessed by the Remuneration Committee and validated by the Board in February and paid in March of the following year. AB achievements (financial results and performance against business objectives) are reported in the annual Remuneration Report. The AB target for ET members ranges from 50% to 80% of the YBS to 100% of the YBS for the CEO. The minimum pay-out can be as low as 0% of the AB (in other words no bonus payment), with a maximum pay-out capped at 150% of the annual bonus target. The AB of each ET member is composed of two parts: • Financial performance (70% of the AB); and • Business objectives (30% of the AB) The financial performance measures the actual achievement compared with budget for the following set of metrics with their respective weights: Revenue (40%), EBITDA (40%) and Net Operating Cash Flow (20%). The budget targets for those measures are set during the annual budget process and finally approved by the Board. REMUNERATION OF ET MEMBERS SES ANNUAL REPORT 2024 | 132 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS 0% 40% 20% 60% 80% 100% 120% 140% 160% Payout factor Target achievement 85% 90% 100% 110% 115% 95% 105% For performance year 2025 the 5, equal- weighted, objectives retained are i) Deliver Compelling Value in selected vertical markets, ii) Relentless focus on customer experience, iii) Build & Scale a multi orbit network, iv) Develop a best-in-class SES team that drives a responsible company, v) Successful Intelsat Integration. Achievement is measured at the end of each performance year by the Board, based on recommendations provided by the Remuneration Committee. The pay-out for business objectives can be as low as 0% and is capped at 150% of the annual bonus target. For confidentiality purposes, the details of the annual targets will be reported at the end of each performance year in the annual Remuneration Report. Long-Term Equity (LTE) The LTE is regulated by the Equity Based Compensation Plan (EBCP). The objective of the EBCP is to enhance the competitiveness of the Company and its ailiates in attracting and retaining the best global leadership talent, and to position the Company as a global employer of choice. Moreover, the EBCP is designed to ensure that ET members become shareholders of the Company, feel a sense of ownership, and benefit from their contribution to increasing shareholder value. To this end, the EBCP provides a framework for the grant or award of equity-based incentive compensation in the form of: • Restricted shares, representing one fourth of the LTE grant; and • Performance shares, representing three fourths of the LTE grant and with a vesting which is subject to financial and ESG criteria. The annual grant is approved by the Board in its April meeting based on a recommendation from the Remuneration Committee. For ET members, the annual LTE grant value ranges from 50% of their YBS to 120% of the YBS for the CEO. The business objectives, typically 3 to 5, are set annually and weighted by the SES Board at the beginning of each year and are related to the strategic roadmap of the company. The financial performance pay-out is capped at 150% of the annual bonus target (for a 107% target achievement and for each of the three metrics separately) and with a performance threshold, below which no compensation is paid, set at 88% achievement and as shown below: SES ANNUAL REPORT 2024 | 133 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Restricted Shares The Restricted shares are FDRs granted with the sole condition that on the day the restricted shares vest, the ET member is employed by the Company. The restricted shares vest on 1 June of the third year following the year of the grant. The number of restricted shares granted is determined by multiplying the relevant YBS with the applicable percentage and divided by an average of 15 day's closing prices of the Company’s FDRs at the Paris stock exchange and is then reviewed by the Remuneration Committee for each grant year. Performance Shares Performance shares are FDRs granted to ET members with vesting subject to achievement of financial and ESG criteria. The performance shares vest on 1 June of the third year following the year of the grant. The number of performance shares granted is determined by multiplying the relevant YBS with the applicable percentage and divided by the average 15 days measured share price. Total Shareholder Return (TSR) is the metric retained to assess financial performance. It is measured on a relative basis to the median TSR performance of a panel of comparable companies during the vesting period and has the following characteristics: • Ending share price is based on the average share price in the 3-month period of February – April preceding the vesting date i.e., from 1 February 2028 to 30 April 2028 for 2025 grant, and comprising trading days only; • Starting share price is based on the average share price during the 3-month period of February – April of the grant year i.e., from 1 February 2025 to 30 April 2025 for 2025 grant and comprising trading days only; • Measurement is based on Volume Weighted Average Price; • Outcome is reviewed by the Remuneration Committee prior to the Share Vesting Date. The comparator group is reviewed on a regular basis by the Remuneration Committee and is determined based on multiple factors such as company size, business mix, geographic mix and TSR correlation. The Total Shareholder Return (TSR) comparator group consists of 15 companies, well balanced across Satellite, Media and European Telecom operators as well as other adjacent businesses. TSR Comparator Group Eutelsat Communications S.A. Telefonica S.A. Proximus NV Viasat, Inc. ITV Plc Millicom International Cellular SA Telesat Corporation RTL Group S.A. Royal Caribbean Cruises Ltd EchoStar Corporation Orange S.A. Gilat Satellite Networks Ltd ProSiebenSat.1 Media SE BT Group Plc Carnival Corporation & Plc The 2024 comparator group consists of: SES ANNUAL REPORT 2024 | 134 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS 1. Defined CO 2 emissions targets for 2024 grant (vesting in 2027): Year-end 2026: 15,759 t CO 2 e The average of these two ESG metrics is expressed as a modifier of TSR outcome. Outcome of TSR and ESG will be reported in the annual Remuneration Report. Unless otherwise specified by the Remuneration Committee, the Performance shares will vest on the Share Vesting Date, subject to the Participant’s continued employment with the Company or an Ailiate and to the following ratchet table which will apply to determine the portion of Performance Shares that will vest: Achievement by 2025 Payout Modifier Target of 15,759 0% 16,547 (Target +5%) -5% 17,335 (Target +10%) -10% 18,123 (Target +15%) -15% 18,911 (Target +20%) -20% 100%75%50%25% 200% 150%125% 175% Proportion of Performance Shares that vest TSR Achievement Threshold 75% TSR Achievement ≥150% TSR Achievement Maximum 0% 50% 100% 150% 200% Target Performance Shares Ratchet Table ESG Targets for 2024 grant 2. Defined percentage of women in people manager positions for 2024 grant (vesting in 2027): April 2027: 24% Achievement by 2026 Payout Modifier Target of 24% 0% 23% -5% 22% -10% 21% -15% 20% -20% Starting with 2023 grant, ESG is included as a possible negative modifier to TSR ranging from 0 to 20% pending achievement of targeted reductions in CO2 emissions and increase in the representation of women in people manager roles. SES ANNUAL REPORT 2024 | 135 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Benefits The following key benefits are provided to ET members, the amount of which is aligned with local practices: • Pensions and health care plans: in Luxembourg, pension contributions of 7% up to the Social Security Ceiling (SSC) and 19% for the portion of salary above the SSC. The complementary pension scheme is a defined contribution scheme. In the US, restoration plans are in place to provide retirement benefits that supplement the tax-qualified, defined-contribution pension account defined in subsection 401(k) of the United States Internal Revenue Code; in the Netherlands, pension contributions are age-related, and employer contribution is capped at 20.2% of the maximum pensionable salary: in the UK, pension contribution is at 12% of YBS; • Health check-up; • Death and disability insurances; and • Car allowances. In addition to the above, several ET members benefit from tax support and reimbursement of education fees for dependent children. Employment, Resignation and Termination ET members are hired on a permanent basis and employment contracts are drafted according to local regulations: • One ET member has an employment contract with an American subsidiary of the Company. • One ET member has an employment contract with a Dutch subsidiary of the Company. • One ET member has an employment contract with a British subsidiary of the Company. • All other ET members have employment contracts with the Company or a Luxembourg subsidiary of the Company. In case of resignation or termination, any unvested portion of outstanding stock options, restricted and performance shares is immediately forfeited. This excludes members leaving the Company due to disability or for retirement, benefitting from an immediate vesting of all unvested equity. The Company and the ET member can terminate the employment contract respecting the legal notice period. For the ET member with an employment contract with an American subsidiary of the Company the employment contract stipulates a notice period of 30 days in case of termination or resignation. Five members of the ET are entitled to up to two years of YBS in case of termination without cause. Three members of the ET are entitled to severance in accordance with local legislation in Luxembourg and the US. The indemnity includes statutory severance payment, if any. SES ANNUAL REPORT 2024 | 136 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS This programme aims at assuring that ET members become shareholders of the Company, feel a sense of ownership, and focus on creating shareholder value. The ET members have an obligation to invest in the Company’s equity under the form of registered shares and/or FDR’s. Over a period of four years (with equal yearly investment), the ET members must hold in total one time their YBS and the CEO two times his YBS. ET MEMBERS’ SHARE OWNERSHIP PROGRAMME The present Policy will be submitted to a shareholder vote at the next Annual General Meeting. The policy will be submitted to the shareholders at a minimum every three years or sooner in case of material changes. While the vote by the shareholders at the general meeting is advisory only, the Company will pay its Directors and ET members only in accordance with a remuneration policy that has been submitted to a vote at the general meeting. If the general meeting rejects the proposed remuneration policy, the Company will submit a revised policy to a vote at the following general meeting. After the vote of the shareholders this Policy together with the date and the results of the vote shall be made available on the website of the Company where it will remain publicly available, free of charge, for as long as it is applicable. SHAREHOLDER VOTE & DISCLOSURE This Policy shall be reviewed on a regular basis, but at least every three years. The Remuneration Committee shall be responsible for advising the Board on any concrete amendment suggestions to this Policy. The final version that will be submitted to the shareholders will be approved by the Board. In line with the Shareholder Rights Law of 1 August 2019, the SES Board adopted a Remuneration Policy that was formally submitted to the shareholders at the annual general meeting on 6 April 2023. An updated Remuneration Policy will be submitted to the Board on 25 February 2025 prior to its submission to the shareholders at the annual general meeting on 3 April 2025 . Adherence to the Shareholder Rights Law is made on a voluntary and complementary basis and deviations to the Remuneration Policy may occur in exceptional circumstances upon decision of the SES Board. The remuneration report here below describes the remuneration of the Board of Directors, the CEO, the CFO, the CCO, the CLO, the CPIO and of the other ET members in aggregate. It has been prepared in accordance with the above- mentioned Remuneration Policy and will also be submitted to the shareholders at the same meeting. PERIODIC REVIEW SES ANNUAL REPORT 2024 | 137 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS DIRECTORS REMUNERATION REMUNERATION REPORT The shareholders decided to maintain the fees paid to the directors at the previous year’s level with a majority of 93.72%. The fees paid to the Board have not been increased since 2008, except for the fees paid to the Chair and the members of the Audit and Risk Committee which have been increased in 2015 in line with best practices. Directors each received a fixed fee of €40,000 per year, whereas each of the Vice Chairs received an annual fixed fee of €48,000 and the Chair received a fee of €100,000 per year. The directors chairing one of the committees set up by the Board, if not the Chair of the Board of Directors, received an additional remuneration of €8,000 per year. The director chairing the Audit and Risk Committee received an additional remuneration of €9,600 per year. Attendance fees for each Board or Board Committee meeting amounted to €1,600, except for the meetings of the Audit and Risk Committee for which directors received €1,920 per meeting. Attendance fees for a meeting of a specific project taskforce set up by the Board of Directors amounted to EUR 1,600 per meeting. Starting 2023, directors receive attendance fees per meeting, also when multiple meetings take place on the same day. All fees are net of any Luxembourg withholding taxes. The total net remuneration fees expensed for the year 2024 to the members of the Board of Directors (net of the Luxembourg withholding tax) amounted to €966,800 of which €531,600 represented the fixed part of the Board fees, with the remaining €435,200 being variable fees. The gross overall figure (including withholding taxes) for the year 2024 was 1,208,500. This compares to a gross remuneration of €1,200,561 in 2023. The 2024 remunerations cover the fees paid for twelve Board meetings and the meetings of the Board Committees described in the table below. The amounts relate to the Board fees expensed during the year 2024. In 2024, the Annual General Meeting of shareholders approved the remuneration of the Members of the Board of Directors through approving a resolution that has been submitted by the Board of Directors. SES ANNUAL REPORT 2024 | 138 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS During 2024, the Board and the Committees of the Board were composed as follows: • Frank Esser, Chair • Anne-Catherine Ries, Vice-Chair • Peter van Bommel, Vice-Chair • Fabienne Bozet • Jennifer Byrne (until 17 October 2024) • Carlo Fassbinder • Ramu Potarazu • Kaj-Erik Relander • Jacques Thill • Françoise Thoma • Katrin Wehr-Seiter The composition of the committees, chairs and members is provided as follows: Audit and Risk Committee composed as follows: Nomination Committee composed as follows: Remuneration Committee composed as follows: Peter van Bommel (Chair) Anne-Catherine Ries (Chair) Françoise Thoma (Chair) Fabienne Bozet Jennifer Byrne (until 17 October 2024) Anne-Catherine Ries Carlo Fassbinder Frank Esser Peter van Bommel Françoise Thoma Kaj-Erik Relander Frank Esser Kaj-Erik Relander Jacques Thill Ramu Potarazu Katrin Wehr-Seiter Katrin Wehr-Seiter SES ANNUAL REPORT 2024 | 139 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS The detailed overview of the individual remunerations expensed in 2024 and 2023 to each Director is provided as follows: in EUR Directors Remuneration Attendance Fees Taxes Total Frank Esser (Chair) 100,000 36,800 34,200 171,000 Anne-Catherine Ries (Vice-Chair) 56,000 35,200 22,800 114,000 Peter van Bommel (Vice-Chair) 57,600 36,800 23,600 118,000 Fabienne Bozet 40,000 28,800 17,200 86,000 Jennifer Byrne 30,000 24,000 13,500 67,500 Carlo Fassbinder 40,000 27,200 16,800 84,000 Ramu Potarazu 40,000 110,400 37,600 188,000 Kaj-Erik Relander 40,000 35,200 18,800 94,000 Jacques Thill 40,000 28,800 17,200 86,000 Françoise Thoma 48,000 35,200 20,800 104,000 Katrin Wehr-Seiter 40,000 36,800 19,200 96,000 Total 531,600 435,200 241,700 1,208,500 2024 (for Meetings Q1 to Q4 2024) in EUR Directors Remuneration Attendance Fees Taxes Total Frank Esser (Chair) 100,000 43,200 35,800 179,000 Anne-Catherine Ries (Vice-Chair) 56,000 43,200 24,800 124,000 Peter van Bommel (Vice-Chair) 57,600 41,280 24,720 123,600 Fabienne Bozet 33,889 24,960 14,712 73,561 Jennifer Byrne 40,000 27,200 16,800 84,000 Carlo Fassbinder 40,000 30,080 17,520 87,600 Ramu Potarazu 1 40,000 64,000 26,000 130,000 Kaj-Erik Relander 40,000 33,280 18,320 91,600 Jacques Thill 40,000 32,000 18,000 90,000 Françoise Thoma 48,000 42,880 22,720 113,600 Katrin Wehr-Seiter 40,000 42,880 20,720 103,600 Total 535,489 424,960 240,112 1,200,561 2023 (for Meetings Q1 to Q4 2023) SES ANNUAL REPORT 2024 | 140 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS The remuneration of the members of the ET is determined by the Board and is based on recommendations from the Remuneration Committee. The remuneration of the ET members comprises two major components: • Compensation package composed of the yearly base salary; an annual bonus; and long-term equity (LTE); and • Benefits package which is aligned with local and market practices. The average to highest compensation ratio (comprising annual base salary, annual bonus, and equity at target) for all employees at the level of SES S.A. is at 1 to 17 which remains below market benchmarks and ratios which can be observed in CAC 40 or FTSE 100 companies. The following members were active in the ET in the year 2024: • Chief Executive Oicer (CEO), Adel Al-Saleh (starting 1 February 2024) • Interim Chief Executive Oicer (ICEO), Ruy Pinto (until 31 January 2024) • Chief Financial Oicer, Sandeep Jalan • Interim Chief Technology Oicer, Milton Torres • Chief Commercial Oicer, John-Paul Hemingway • Chief Product & Innovation Oicer, Xavier Bertran (starting 1 April 2024) • Chief People Oicer, Veronika Ivanovic (from 1 September 2024) • Chief Transformation Oicer, Fabien Loeler (starting 1 September 2024) • Chief Legal Oicer, Thai Rubin The total remuneration of the CEO, CFO, CCO, CLO, CPIO and other ET members follows the principles set out in the Remuneration policy and is provided in the table: REMUNERATION OF THE MEMBERS OF THE ET in EUR Annual Base Salary 1 Annual Bonus Long Term Equity 2 Pension Expenses Other Benefits and Payments 3 Total Chief Executive Oicer 4 1,091,750 1,300,745 1,782,096 188,922 860,430 5,223,943 Chief Financial Oicer 476,323 457,607 218,155 71,991 23,258 1,247,334 Chief Legal Oicer 353,430 339,543 129,540 18,622 25,118 866,253 Chief Commercial Oicer 459,006 448,497 188,886 19,925 44,966 1,161,279 Chief Product and Innovation Oicer 273,750 263,473 0 33,305 37,628 608,156 Other SLT Members 5 555,997 292,566 77,373 26,325 437,278 1,389,539 Total SLT 3,210,256 3,102,431 2,396,050 359,089 1,428,678 10,496,503 2024 Remunerations 1 Annual base salary of other (than CEO, CFO, CLO, CCO and CPIO) Executive Team Members ranges from 275,000 EUR to 361,803 EUR with an average at 326,844 EUR 2 Number of shares granted in 2021 and vesting in 2024 multiplied by prevailing share price at vesting date. The vesting of Performance Shares was subject to the achievement of the Total Shareholder Return ("TSR") 2a LTE for CEO: Buy out 2022 LTE and Share Matching Plan (in the form of 300,000 share award) 3 Other benefits and payments include health care plans, death and disability insurance, car allowances and other payments 4 Adel Al-Saleh 11 months remuneration (as of 01.02.2024 ) and Ruy Pinto as interim CEO (end date 31.01.2024) 5 Chief People Oicer (Veronika Ivanovic as of 01/09/2024), Interim CTO (Milton TORRES FILHO) and Chief Transformation Oicer (Fabien Loeler as of 01/09/2024) SES ANNUAL REPORT 2024 | 141 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Yearly Base Salary The yearly base salary is reviewed annually by the Remuneration Committee. For new nominations, base salaries are set based on external benchmarks while also considering the degree of qualification and experience required as well as the employment conditions at the time of the oer. In line with the Remuneration Policy, an external benchmarking review was carried out by comparing SES ET members’ remuneration against the 50th and 75th percentile of the market in recognition of the niche industry SES operates in, and focusing on annual base salary, annual bonus target percentage, target cash compensation, long term incentives and annualised target direct compensation. Annual Bonus The main objective of the annual bonus plan is to create a performance reward scheme that links annual variable compensation to the Company’s financial results and the performance of the ET against specific business objectives. The annual bonus of all ET members is composed of two parts: (i) the financial performance of the Company; and (ii) the performance against business objectives, accounting for 70% and 30% of the annual bonus respectively. Annual Bonus Metric 1 Target in MEUR Actuals in MEUR Achievement in % Pay-out per Metric Weighting Pay-out Financial Performance (70%) Revenue 1,935.2 2,001.1 103.4% 117.0% 40% 136.81% Adjusted EBITDA 2 954.4 1,028.3 107.7% 150.0% 40% Net operating cash flow 777.0 868.0 111.7% 150.0% 20% Financial Performance Component of Annual Bonus 1 Budget restated at constant FX-rate 2 Adjusted EBITDA excludes material exceptional items, such as certain M&A expenses, Restructuring costs, etc. in EUR Annual Base Salary 1 Annual Bonus Long Term Equity 2 Pension Expenses Other Benefits and Payments 3 Total Chief Executive Oicer 4 603,758 838,396 350,204 91,144 1,955,372 3,838,873 Chief Financial Oicer 464,823 552,382 143,515 67,686 22,786 1,251,192 Chief Legal Oicer 353,430 409,866 78,151 18,241 35,230 894,918 Chief Strategy Oicer 399,832 463,678 144,904 17,919 45,400 1,071,732 Other SLT Members 5 1,565,117 1,781,244 345,973 189,142 681,409 4,562,886 Total SLT 3,386,960 4,045,566 1,062,747 384,131 2,740,197 11,619,601 2023 Remunerations 1 Annual base salary of other (than CEO, CFO, CLO and CSO) SLT Members ranges from 323,167 EUR to 409,218 EUR with an average at 369,093 EUR 2 Number of shares granted in 2020 and vesting in 2023 multiplied by prevailing share price at vesting date 3a Other benefits and payments include health care plans, death and disability insurance, car allowances and other payments 3b Includes payment of quarterly allowance for interim CEO and 2 years of Annual Base salary as contractual severance payment (1.6 MEUR) for departing CEO which was provided in addition to continued equity vesting for unvested grants at departure date, subject to TSR performance conditions for performance shares 4 Steve Collar in H1 (ABS 791,985 EUR, bonus target 100%) & Ruy Pinto as interim CEO in H2 (ABS 451,000 EUR, bonus target 80%) 5 CTO (Ruy Pinto in H1 and Milton Torres in H2), CPO (Panorea Macdonald), CDO (Christophe De Hauwer), Head of Media (New SLT member Norbert Hölzle as of 01/02/2023) and CSO (John Baughn until 31/03/2023) SES ANNUAL REPORT 2024 | 142 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS For confidentiality purposes, achievement of business objectives is reported in aggregate with weighting per objective ranging between 20% and 30%: Business Objectives Weight Achievement Total Achieve leadership position in key Verticals 20% 102% 81.07% Deliver a market-leading portfolio 20% 93% Execute simplification and eiciency to deliver best customer experience 20% 60% Achieve market advantage in technology 20% 85% SES is a great place to work and takes responsibility for people and planet 20% 65% Total 100% The 2024 business objectives and achievements are: The main achievements in 2024, contributing to the 81.07% overall pay-out were as follows: Achieve leadership position in key Verticals • Developed evolved growth strategies for Government, Aeronautical, Maritime, and Enterprise & Cloud verticals, as well as a sustainable plan for Media, on target. • Delivered a prioritised product roadmap across the verticals and progressing on standardised product catalogue for all verticals. • Secured an important first government contract for O3b mPOWER, valued at $200 million, to deliver high performance and low latency satellite services, enabling global missions for NATO member government organisations, agencies and military. • SES-led consortium secured a concession contract from the European Commission to design, deliver, and operate the multi- orbit IRIS 2 sovereign connectivity system with SES’s participation fully consistent with the principles of our disciplined financial policy. Deliver a market-leading portfolio • O3b mPOWER operational with 6 satellites and on-time delivery of satellites 7 and 8 with ongoing review of service quality and supply improvements. • Achieved a 12.5% improvement in underutilised GEO wide beam capacity, above our target of 10%. • Delivered an increase in yield (measured in terms of €/MHz) from GEO wide beam renewals of 23%, compared with a target of 10%. Execute simplification and eiciency to deliver best customer experience • Executed €57 millions of in year operating cost savings. • Improved lead to order process (new opportunity and quote builder entry) time from 65 minutes in 2023 to 12 minutes in 2024. • 2024 Net Promoter Score of 44 (measured on a scale of -100 to +100) was lower compared to 2023 (of 54). • Further steps in implementing the customer-tiering initiative. SES ANNUAL REPORT 2024 | 143 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Annual Bonus 2024 performance year in EUR Bonus at target (Abs.) Bonus at target (% of Base Salary) 2 Percentage achievement 1 Bonus Amount Bonus Amount/ Target Chief Executive Oicer 1,083,155 [80-100]% 120.1% 1,300,745 120.1% Financial Performance (70%) 758,209 136.8% 1,037,311 136.8% Business Objectives (30%) 324,947 81.1% 263,434 81.1% Chief Financial Oicer 381,058 80% 120.1% 457,607 120.1% Financial Performance (70%) 266,741 136.8% 364,930 136.8% Business Objectives (30%) 114,317 81.1% 92,677 81.1% Chief Legal Oicer 282,744 80% 120.1% 339,543 120.1% Financial Performance (70%) 197,921 136.8% 270,777 136.8% Business Objectives (30%) 84,823 81.1% 68,766 81.1% Chief Commercial Oicer 373,472 80% 120.1% 448,497 120.1% Financial Performance (70%) 261,430 136.8% 357,665 136.8% Business Objectives (30%) 112,042 81.1% 90,832 81.1% Chief Product and Innovation Oicer 219,399 80% 120.1% 263,473 120.1% Financial Performance (70%) 153,579 136.8% 210,113 136.8% Business Objectives (30%) 65,820 81.1% 53,360 81.1% Other SLT Members 243,626 [40-50]% 120.1% 292,566 120.1% Financial Performance (70%) 170,538 136.8% 233,314 136.8% Business Objectives (30%) 73,088 81.1% 59,252 81.1% Bonus ET Expense 1 Achievement for Financial Performance at 136.81% and Business Objectives at 81.07%. Achievement for departing Executive Team members based on projections at departure date 2 Full year bonus target for Adel Al-Saleh 1,052,596 EUR, pro-rated for 01.02-31.12 2024. Full year bonus target for Ruy Pinto 30,560 EUR, pro-rated for 01.01-31.01 2024 The overview of the 2024 annual bonus of the CEO, CFO, CCO, and CLO and other ET members is provided in the table below: Achieve market advantage in technology • Developed an updated roadmap of SES’s future investment priorities to support the evolved strategy which is now fully aligned with the 2025 budget and business plan. • Set up a Software Centre of Excellence with new leadership, goals, and mandate, further automation and eiciencies ongoing. SES is a great place to work and takes responsibility for people and planet • Decline in employee eNPS engagement survey from 7 to -8. For 2025, the ET has identified key areas of focus with initiatives to drive future improvement. • On track to deliver a compliant report for 2024. All mandatory ESRS disclosures to be included in our 2024 report related to double materiality. • Work to accelerate SES’s climate action goals is ongoing. The SES Board confirmed an a total bonus achievement for 2024 of 120.09% which applies equally to each active ET member at year-end 2024. The 2024 annual bonus relates to the 2024 performance year and will be paid in March 2025. SES ANNUAL REPORT 2024 | 144 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS 1 Adel Al-Saleh received a one-time additional equity grant of 120% of ABS as a buy-out of his previous employer's 2023 LTE and Share Matching Plan. 2a Stock options: for grants prior to 2021, vesting period over four years with a yearly vesting of 25% on 1 January of each year following the grant. Cli vesting of three years from 2021 grant year onward. 2b Performance and Restricted shares: vesting on 1 June of the third year following the year of the grant. 3 Shares and FDRs predate on appointment as "person discharging managerial responsibilities" in accordance with the Market Abuse Regulation. Long Term Equity Plan - 2024 Grant Equity Vesting in 2024 Registered shares and FDR's - 31 December 2024 in EUR Components Grant Year Vesting Year 2 Units granted Grant year Units vested Chief Executive Oicer Stock Options - 2020 to 2021 - 210,000Performance Shares 2024 2027 341,472 2021 - Restricted Shares 2024 2027 113,824 2021 - Chief Financial Oicer Stock Options - 2020 to 2021 151,451 89,482Performance Shares 2024 2027 48,324 2021 34,308 Restricted Shares 2024 2027 16,108 2021 7,624 Chief Legal Oicer Stock Options - 2020 to 2021 88,569 76,693Performance Shares 2024 2027 35,856 2021 20,372 Restricted Shares 2024 2027 11,952 2021 4,527 Chief Commercial Oicer Stock Options - 2020 to 2021 136,623 90,767Performance Shares 2024 2027 45,450 2021 29,705 Restricted Shares 2024 2027 15,150 2021 6,601 Chief Product and Innovation Oicer Stock Options - 2020 to 2021 - 0Performance Shares 2024 2027 33,594 2021 - Restricted Shares 2024 2027 11,198 2021 - Other Executive Team Members Stock Options - 2020 to 2021 55,691 52,20 3 Performance Shares 2024 2027 37,243 2021 12,168 Restricted Shares 2024 2027 12,414 2021 2,704 Long Term Equity Incentives The third element of the compensation package relates to the long-term equity granted by the Company. The plan, administered by the Remuneration Committee, permits the grant of three equity types: (i) stock options (decommissioned early 2023); (ii) restricted shares; and (iii) performance shares. The 2024 total grant value was divided into 25% restricted shares and 75% performance shares. The Restricted shares are FDRs granted with the sole condition that, at vesting, the ET member must be employed by SES. The Restricted Shares vest on 1 June of the third year following the year of their grant. Performance Shares are FDRs granted to ET members and vest on 1 June of the third year following the year of their grant. From grant 2021 onwards, vesting is subject to outcome of Total Shareholder Return (TSR), measured on a relative basis to the median TSR performance of a panel of comparable companies during a three-year period. For the 2024 vesting of Performance shares, SES’ Total Shareholder Return of 8.1% relative to the median performance of the panel of comparable companies of -40% thus triggered 150% vesting of the performance shares granted in 2021. During 2024, the members of the ET members were awarded a combined total of 180,646 Restricted shares as part of the Company’s long-term incentive plan and 541,939 Performance shares. The detailed overview of the 2024 equity grant and vesting as well as current total shareholding for the CEO, CFO, CCO, CLO and other ET members is provided as follows: SES ANNUAL REPORT 2024 | 145 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS 1 Stock Options: for grants prior to 2021, vesting period over four years with a yearly vesting of 25% on 1 January of each year following the grant. Cli vesting of three years from 2021 grant year onward Long Term Equity Plan - 2023 Grant Equity Vesting in 2023 Registered shares and FDR's - 31 December 2023 in EUR Components Grant Year Vesting Year 1 Units granted Grant year Units vested Chief Executive Oicer 1 Stock Options - 2019 to 2020 116,067 59,017 Performance Shares 2023 2026 92,856 2020 48,528 Restricted Shares 2023 2026 30,952 2020 16,176 Chief Financial Oicer Stock Options - 2019 to 2020 58,434 41,516 Performance Shares 2023 2026 43,614 2020 19,887 Restricted Shares 2023 2026 14,538 2020 6,629 Chief Legal Oicer Stock Options - 2019 to 2020 25,126 23,244 Performance Shares 2023 2026 33,999 2020 10,938 Restricted Shares 2023 2026 11,333 2020 3,646 Chief Strategy Oicer Stock Options - 2019 to 2020 49,289 72,614 Performance Shares 2023 2026 40,026 2020 20,742 Restricted Shares 2023 2026 13,342 2020 6,914 Other SLT Members Stock Options - 2019 to 2020 102,664 66,955 Performance Shares 2023 2026 157,485 2020 48,252 Restricted Shares 2023 2026 52,495 2020 16,084 When exercising their vested stock options and their vested shares, the ET members must act in accordance with the SES Dealing Code (including requiring the prior authorisation from the Deputy Corporate Secretary and/or Chief Financial Oicer and provide selling orders outside of a closed period). Please refer to management disclosures on the SES website. Benefits package As for the benefits provided to members of the ET, they are aligned with local and market practices and include pensions, health care plans, death and disability insurances, company cars or car allowances and other payments. SES ANNUAL REPORT 2024 | 146 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Frank Esser Chair of the Board of Directors Adel Al-Saleh CEO The Board of Directors and the Executive Committee of the Company reairm their responsibility to ensure the maintenance of proper accounting records disclosing the financial position of the group with reasonable accuracy at any time and ensure that an appropriate system of internal controls is in place to ensure the group’s business operations are carried out eiciently and transparently. In accordance with Article 3 of the Luxembourg law of 11 January 2008, as subsequently amended, on transparency requirements in relation to information about issuers whose securities are admitted to trading on a regulated market, we declare that, to the best of our knowledge, the annual statutory accounts as of and for the year ended 31 December 2024, prepared in accordance with Luxembourg legal and regulatory requirements, and the consolidated financial statements as of end for the year ended 31 December 2024, prepared in accordance with the International Financial Reporting Standards as adopted by the European Union, give a true and fair view of the assets, liabilities, financial position and profit of the year of SES taken individually, and of SES and its consolidated subsidiaries taken as a whole, respectively. In addition, the management report includes a fair review of the development and performance of the business and the position of SES taken individually, and of SES and its consolidated subsidiaries taken as a whole, together with a description of the principal risks and uncertainties that they face. RESPONSIBILITY STATEMENT 3 March 2025 SES ANNUAL REPORT 2024 | 147 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS CONSOLIDATED FINANCIAL STATEMENTS SES ANNUAL REPORT 2024 | 148 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS CONTENTS Consolidated Financial Statements Consolidated financial statements as at and for the year ended 31 December 2024 and independent auditor’s report SES ANNUAL REPORT 2024 | 149 Consolidated income statement Consolidated statement of comprehensive income Consolidated statement of financial position Consolidated statement of cash flows Consolidated statement of changes in shareholders' equity Notes to the consolidated financial statements Audit report OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS PricewaterhouseCoopers, Société coopérative, 2 rue Gerhard Mercator, B.P. 1443, L-1014 Luxembourg T : +352 494848 1, F : +352 494848 2900, www.pwc.lu Cabinet de révision agréé. Expert-comptable (autorisation gouvernementale n°10028256) R.C.S. Luxembourg B 65 477 - TVA LU25482518 Audit report To the Shareholders of SES S.A. Report on the audit of the consolidated financial statements Our opinion In our opinion, the accompanying consolidated financial statements give a true and fair view of the consolidated financial position of SES S.A. (the “Company”) and its subsidiaries (the “Group”) as at 31 December 2024, and of its consolidated financial performance and its consolidated cash flows for the year then ended in accordance with IFRS Accounting Standards as adopted by the European Union. Our opinion is consistent with our additional report to the Audit and Risk Committee. What we have audited The Group’s consolidated financial statements comprise: • the consolidated statement of financial position as at 31 December 2024; • the consolidated income statement for the year then ended; • the consolidated statement of comprehensive income for the year then ended; • the consolidated statement of cash flows for the year then ended; • the consolidated statement of changes in shareholders' equity for the year then ended; and • the notes to the consolidated financial statements, including material accounting policy information and othe r explanatory information. Basis for opinion We conducted our audit in accordance with the EU Regulation No 537/2014, the Law of 23 July 2016 on the audit profession (Law of 23 July 2016) and with International Standards on Auditing (ISAs) as adopted for Luxembourg by the “Commission de Surveillance du Secteur Financier” (CSSF). Our responsibilities under the EU Regulation No 537/2014, the Law of 23 July 2016 and ISAs as adopted for Luxembourg by the CSSF are further described in the “Responsibilities of the “Réviseur d’entreprises agréé” for the audit of the consolidated financial statements” section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. We are independent of the Group in accordance with the International Code of Ethics for Professional Accountants, including International Independence Standards, issued by the International Ethics Standards Board for Accountants (IESBA Code) as adopted for Luxembourg by the CSSF together with the ethical requirements that are relevant to our audit of the consolidated financial statements. We have fulfilled our other ethical responsibilities under those ethical requirements. To the best of our knowledge and belief, we declare that we have not provided non-audit services that are prohibited under Article 5(1) of the EU Regulation No 537/2014. SES ANNUAL REPORT 2024 | 150 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS The non-audit services that we have provided to the Company and its controlled undertakings, if applicable, for the year then ended, are disclosed in Note 5 to the consolidated financial statements. Key audit matters Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the consolidated financial statements of the current period. These matters were addressed in the context of our audit of the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. Impairment of goodwill and orbital slot license rights As described in Notes 2 and 15 to the consolidated financial statements, at 31 December 2024, the Group's goodwill and orbital slot license rights balances were 143 million EUR and 477 million EUR, respectively. We focused on this area due to the high level of judgment in relation with the assumptions used in the calculation of the recoverable amounts (revenue, capital expenditure, discount rates and growth rates) and changes to the judgments and estimates applied in the determination of the cash-generating units (“CGUs”). How our audit addressed the key audit matter • We evaluated the design and implementation of relevant internal controls; • We evaluated Management's determination of the CGUs as well as the method and model used for the determination of the recoverable amount, considering the requirements of IAS 36; • We involved valuation specialists to assist in evaluating the appropriateness of the value in us e model and the reasonableness of the discount rates and growth rates assumptions; • We agreed the forecasted cash flows used for the calculation of the recoverable amount to the Busine ss Plan as approved by the Board of Directors; • We compared actual revenue with forecasts used in prior Business Plan; • We evaluated the forecasted revenue assumptions, considering our expectations in terms of sig nificant developments during the forecast period and corroborated these with contractu al agreements in place as well as external market data in respect of demand for satellite capacity and pricing; • We evaluated the capital expenditure assumptions, considering our expectations in terms of significant developments during the forecast period (capital expenditure programs, replacement of satellites) and the expected capital expenditure level in the terminal period in order to maintain the current assets base ; • We pe rformed sensitivity analysis of the models to changes in the key assumptions; • We evaluated the accuracy and completeness of the disclosures included in the consolidated financial statements. SES ANNUAL REPORT 2024 | 151 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Impairment of space segment assets including assets under construction As described in Notes 2, 13 and 14 to the consolidated financial statements, at 31 December 2024, the Group’s space segment assets balance, representing primarily satellites were 2,534 million EUR, and space segment assets in the course of construction, representing primarily satellites in the course of construction, were 1,231 million EUR. We focused on this area due to the high level of judgment in relation with the assumptions used in the calculation of the recoverable amounts (revenue, capital expenditure, discount rates and growth rates). How our audit addressed the key audit matter • We evaluated the design and implementation of relevant internal controls; • We evaluated Management’s method and model used for the determination of the recovera ble amount, considering the requirements of IAS 36; • We discussed with Management about any satellite health issues and evaluated their impact o n the satellites capability to generate future cash inflows, and implicitly on the recoverable amount of the sa tellites; • We agreed the forecasted cash flows used for the calculation of the value in use to the Business Plan as approved by the Board of Directors; • We compared actual revenue with forecasts used in prior Business Plan; • We evaluated the forecasted revenue assumptions, considering our expectations in terms of sig nificant developments during the forecast period and corroborate these with contractual agreements in place as well as external market data in respect of demand for satellite capacity and pricing; • We evaluated the capital expenditure assumptions considering our expectations in terms of significant developments during the forecast period (capital expenditure programs, replacement of satellites) and the expected capital expenditure level in the terminal period in order to maintain the current assets base; • We involved valuation specialists to assist in evaluating the appropriateness of the value in us e model an d the reasonableness of the discount rates and growth rates assumptions; • We performed sensitivity analysis of the models to changes in the key assumptions; • We evaluated the accuracy and completeness of the disclosures included in the consolidated financial statements. SES ANNUAL REPORT 2024 | 152 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Other infor mation The Board of Directors is responsible for the other information. The other information comprises the information stated in the annual report including the consolidated management report and the Corporate Governance Statement but does not include the consolidated financial statements and our audit report thereon. Our opinion on the consolidated financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. In connection with our audit of the consolidated financial statements, our responsibility is to read the other information identified above and, in doing so, consider whether the other information is materially inconsistent with the consolidated financial statements or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Responsibilities of the Board of Directors and those charged with governance for the consolidated financial statements The Board of Directors is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with IFRS Accounting Standards as adopted by the European Union, and for such internal control as the Board of Directors determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error. In preparing the consolidated financial statements, the Board of Directors is responsible for assessing the Group’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Board of Directors either intends to liquidate the Group or to cease operations, or has no realistic alternative but to do so. Those charged with governance are responsible for overseeing the Group’s financial reporting process. The Board of Directors is responsible for presenting and marking up the consolidated financial statements in compliance with the requirements set out in the Delegated Regulation 2019/815 on European Single Electronic Format (“ESEF Regulation”). Responsibilities of the “Réviseur d’entreprises agréé” for the audit of the consolidated financial statements The objectives of our audit are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an audit report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the EU Regulation No 537/2014, the Law of 23 July 2016 and with ISAs as adopted for Luxembourg by the CSSF will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements. SES ANNUAL REPORT 2024 | 153 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS As part of an audit in accordance with the EU Regulation No 537/2014, the Law of 23 July 2016 and with ISAs as adopted for Luxembourg by the CSSF, we exercise professional judgment and maintain professional scepticism throughout the audit. We also: • identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The ris k of not detecting a material misstatement resulting from fraud is higher than for one resulting from error , as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control; • obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the eff ectiveness of the Group’s internal control; • evaluate the appropriateness of accounting policies used and the reasonableness of accounting es timates and related disclosures made by the Board of Directors; • conclude on the appropriateness of the Board of Directors’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Group’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our audit report to the related disclosures in the consolidated financial statements or, if such disclosu res are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our audit report. However, future events or conditions may cause the Group to cease to continue as a going concern; • evaluate the overall presentation, structure and content of the consolidated financial statements, inc luding the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation; • plan and perform the group audit to obtain sufficient appropriate audit evidence regarding the financial information of the entities and business units within the Group as a basis for forming an opinio n on the consolidated financial statements. We are responsible for the direction, supervision and review of the audit work performed for purposes of the group audit. We remain solely responsible for our audit opinion. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and communicate to them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, actions taken to eliminate threats or safeguards applied. From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the consolidated financial statements of the current period and are therefore the key audit matters. We describe these matters in our audit report unless law or regulation precludes public disclosure about the matter. We assess whether the consolidated financial statements have been prepared, in all material respects, in compliance with the requirements laid down in the ESEF Regulation. SES ANNUAL REPORT 2024 | 154 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Report on other legal and regulatory requirements The consolidated management report is consistent with the consolidated financial statements and has been prepared in accordance with applicable legal requirements. The Corporate Governance Statement is included in the consolidated management report. The information required by Article 68ter Paragraph (1) Letters c) and d) of the Law of 19 December 2002 on the commercial and companies register and on the accounting records and annual accounts of undertakings, as amended, is consistent with the consolidated financial statements and has been prepared in accordance with applicable legal requirements. We have been appointed as “Réviseur d’Entreprises Agréé” by the General Meeting of the Shareholders on 4 April 2024 and the duration of our uninterrupted engagement, including previous renewals and reappointments, is 12 years. We have checked the compliance of the consolidated financial statements of the Group as at 31 December 2024 with relevant statutory requirements set out in the ESEF Regulation that are applicable to consolidated financial statements. For the Group it relates to the requirement that: • the consolidated financial statements are prepared in a valid XHTML format; • the XBRL markup of the consolidated financial statements uses the core taxonomy and the common rules on markups specified in the ESEF Regulation. In our opinion, the consolidated financial statements of the Group as at 31 December 2024 have been prepared, in all material respects, in compliance with the requirements laid down in the ESEF Regulation. PricewaterhouseCoopers, Société coopérative Represented by @esig @esig François Mousel Luxembourg, 3 March 2025 SES ANNUAL REPORT 2024 | 155 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Consolidated financial statements as at and for the year ended 31 December 2024 Consolidated income statement For the year ended 31 December 2024 €million 2024 2023 Revenue Note 3 2,001 2,030 C-band repurposing income Note 35 88 2,744 Other income 3 5 Cost of sales Note 4 (461) (444) 1 Staff costs Note 4 (402) (409) Other operating expenses Note 4 (236) (244) 1 Operating expenses Note 4 (1,099) (1,097) EBITDA Note 37 993 3,682 Depreciation expense Note 13 (650) (603) Property, plant and equipment impairment Note 13 (216) (26) Assets in the course of construction impairment Note 14 - (425) Amortisation expense Note 15 (156) (89) Intangible assets impairment Note 15 93 (3,225) Operating profit / (loss) 64 (686) Finance income Note 6 136 64 Finance costs Note 6 (139) (106) Net financing costs Note 6 (3) (42) Other non-operating income / expenses (net) Note 7 21 - Profit / (loss) before tax 82 (728) Income tax expense Note 8 (55) (176) Profit / (loss) after tax 27 (904) Profit / (loss) for the year 27 (904) Attributable to: Owners of the parent 15 (905) Non-controlling interests 12 1 27 (904) Basic loss per share (in euro) Class A shares Note 11 0.00 (2.14) Class B shares Note 11 0.00 (0.86) Diluted loss per share (in euro) Class A shares Note 11 0.00 (2.14) Class B shares Note 11 0.00 (0.86) 1 Comparative amounts reclassified (see Note 4) The notes are an integral part of the consolidated financial statements. Consolidated financial statements as at and for the year ended 31 December 2024 Consolidated statement of comprehensive income For the year ended 31 December 2024 €million 2024 2023 Profit/(Loss) for the year 27 (904) Other comprehensive income Items that will not be reclassified to profit or loss Remeasurements of post-employment benefit obligation (2) - Income tax effect 1 - Remeasurements of post-employment benefit obligation, net of tax (1) - Total items that will not be reclassified to profit or loss (1) - Items that may be reclassified subsequently to profit or loss Impact of currency translation Note 10 228 (196) Income tax effect Note 10 (12) 11 Total impact of currency translation, net of tax 216 (185) Net investment hedge Note 21 (15) 22 Income tax effect Note 21 4 (6) Total net investment hedge, net of tax (11) 16 Total items that may be reclassified subsequently to profit or loss 205 (169) Total other comprehensive (loss)/income for the year, net of tax 204 (169) Total comprehensive (loss)/income for the year, net of tax 231 (1,073) Attributable to: Owners of the parent 218 (1,074) Non-controlling interests 13 1 231 (1,073) The notes are an integral part of the consolidated financial statements. Consolidated financial statements as at and for the year ended 31 December 2024 Consolidated statement of financial position As at 31 December 2024 €million 2024 2023 Non-current assets Property, plant and equipment Note 13 2,924 3,042 Assets in the course of construction Note 14 1,348 1,550 Total property, plant and equipment 4,272 4,592 Intangible assets Note 15 908 920 Other financial assets Note 16 34 20 Prepayments 2 1 Trade and other receivables Note 19 107 87 Deferred customer contract costs 1 3 Deferred tax assets Note 9 701 671 Total non-current assets 6,025 6,294 Current assets Inventories Note 17 49 55 Trade and other receivables Note 19 649 860 Deferred customer contract costs 2 2 Prepayments 58 47 Income tax receivable 23 19 Cash and cash equivalents Note 22 3,521 2,907 Total current assets 4,302 3,890 Total assets 10,327 10,184 Equity Attributable to the owners of the parent Note 23 3,423 3,701 Non-controlling interests Note 24 69 57 Total equity 3,492 3,758 Non-current liabilities Borrowings Note 26 4,247 3,443 Provisions Note 27 3 3 Deferred income Note 18 338 337 Deferred tax liabilities Note 9 212 205 Other long-term liabilities Note 29 55 83 Lease liabilities Note 32 32 23 Fixed assets suppliers Note 30 426 313 Total non-current liabilities 5,313 4,407 Current liabilities Borrowings Note 26 273 716 Provisions Note 27 128 88 Deferred income Note 18 225 224 Trade and other payables Note 28 678 390 Lease liabilities Note 32 19 16 Fixed assets suppliers Note 30 184 455 Income tax liabilities 15 130 Total current liabilities 1,522 2,019 Total liabilities 6,835 6,426 Total equity and liabilities 10,327 10,184 The notes are an integral part of the consolidated financial statements. Consolidated financial statements as at and for the year ended 31 December 2024 Consolidated statement of cash flows For the year ended 31 December 2024 €million 2024 2023 Profit/(Loss) before tax 82 (728) Taxes paid during the year (168) (442) Interest expense on borrowings Note 6 104 86 Interest income (127) (51) Depreciation, amortisation and impairment Notes 12, 13, 14 929 4,368 Amortisation of client upfront payments (45) (45) Other non-cash items in the consolidated income statement - 173 Consolidated operating profit adjusted for non-cash items and tax payments and before working capital changes 775 3,361 Changes in working capital (Increase) in inventories - (26) Decrease in trade and other receivables 38 13 Decrease/(increase) in prepayments 7 (2) Increase/(decrease) in trade and other payables 205 (4) (Decrease)/increase in upfront payments (19) 137 Changes in working capital 231 118 Net cash generated by operating activities 1,006 3,479 Cash flow from investing activities Payments for purchases of intangible assets (23) (22) Payments for purchases of tangible assets (280) (383) Interest received 158 45 Other investing activities (14) (10) Net cash absorbed by investing activities (159) (370) Cash flow from financing activities Proceeds from borrowings Note 33, 26 1,034 - Repayment of borrowings Note 33, 26 (717) (706) Partial redemption of perpetual bond (35) - Transaction costs in respect of undrawn facilities (22) - Coupon paid on perpetual bond Note 23 (49) (49) Dividends paid on ordinary shares 1 Note 12 (320) (220) Interest paid on borrowings (110) (109) Payments for acquisition of treasury shares (128) (22) Proceeds from treasury shares sold and exercise of stock options - 1 Lease payments Note 32 (26) (22) Payment in respect of changes in ownership interest in subsidiaries (2) 1 Net cash absorbed by financing activities (375) (1,126) Net foreign exchange movements 142 (123) Net increase / (decrease) in cash 614 1,860 Cash and cash equivalents at start of the year Note 22 2,907 1,047 Cash and cash equivalents at end of the year Note 22 3,521 2,907 1 Dividends are presented net of dividends received on treasury shares of EUR 15 million (2023: EUR 3 million) The notes are an integral part of the consolidated financial statements. Consolidated financial statements as at and for the year ended 31 December 2024 Consolidated statement of changes in shareholders’ equity For the year ended 31 December 2024 Attributable to owners of the parent Issued capital Share premium Treasury shares Perpetu al bond Other reserves 2 Retained earnings Foreign currency translation reserve Total Non- controlling interest Total equity €million At 1 January 2024 696 1,564 (95) 625 2,137 (905) (321) 3,701 57 3,758 Result for the year - - - - - 15 - 15 12 27 Other comprehensive income - - - - (1) - 204 203 1 204 Total comprehensive income for the year - - - - (1) 15 204 218 13 231 Allocation of 2023 result - - - - (905) 905 - - - - Partial redemption of perpetual bond (Note 23) - - - (37) 2 - - (35) - (35) Coupon on perpetual bond (Note 23) - - - - (49) - - (49) - (49) Tax on perpetual bond coupon (Note 23) - - - - 6 - - 6 - 6 Transactions with owners in their capacity as owners: Dividends provided for or paid 1 - - - - (320) - - (320) - (320) Purchase of treasury shares - - (124) - - - - (124) - (124) Share-based compensation expense (Note 25) - - - - 10 - - 10 - 10 Exercise of share-based compensation - - 21 - (22) - - (1) - (1) Income tax relating to treasury shares impairment expense or reversal - - - - 20 - - 20 - 20 Transactions with non-controlling interest and other movements - - - - (3) - - (3) (1) (4) Total transactions with owners in their capacity as owners - - (103) - (315) - - (418) (1) (419) At 31 December 2024 696 1,564 (198) 588 875 15 (117) 3,423 69 3,492 1 Dividends are presented net of dividends received on treasury shares of EUR 15 million. 2 The non-distributable items included in other reserves are described in Note 23. The notes are an integral part of the consolidated financial statements. Consolidated financial statements as at and for the year ended 31 December 2024 Consolidated statement of changes in shareholders’ equity For the year ended 31 December 2023 Attributable to owners of the parent Issued capital Share premium Treasury shares Perpetu al bond Other reserves 2 Retained earnings Foreign currency translation reserve Total Non- controlling interest Total equity €million At 1 January 2023 696 1,564 (80) 1,175 2,428 (34) (153) 5,596 62 5,658 Result for the year - - - - - (905) - (905) 1 (904) Other comprehensive income - - - - - - (169) (169) - (169) Total comprehensive income for the year - - - - - (905) (169) (1,074) 1 (1,073) Allocation of 2022 result - - - - (34) 34 - - - - Reclassification of perpetual bond (Note 23) - - - (550) - - - (550) - (550) Coupon on perpetual bond (Note 23) - - - - (49) - - (49) - (49) Tax on perpetual bond coupon (Note 23) - - - - 14 - - 14 - 14 Transactions with owners in their capacity as owners: Dividends provided for or paid 1 - - - - (220) - - (220) - (220) Purchase of treasury shares - - (27) - - - - (27) - (27) Share-based compensation expense (Note 25) - - - - 9 - - 9 - 9 Exercise of share-based compensation - - 12 - (10) - - 2 - 2 Transactions with non-controlling interest and other movements - - - - (1) - 1 - (6) (6) Total transactions with owners in their capacity as owners: - - (15) - (222) - 1 (236) (6) (242) At 31 December 2023 696 1,564 (95) 625 2,137 (905) (321) 3,701 57 3,758 1 Dividends are presented net of dividends received on treasury shares of EUR 3 million. 2 The non-distributable items included in other reserves are described in Note 23. The notes are an integral part of the consolidated financial statements. Consolidated financial statements as at and for the year ended 31 December 2024 Notes to the consolidated financial statements Note 1 - Corporate information SES S.A. (‘SES’ or ‘the Company’) was incorporated on 16 March 2001 as a limited liability company (Société Anonyme) under Luxembourg Law. References to ‘the Group’ in the following notes are to the Company and its subsidiaries. SES trades under ‘SESG’ on the Luxembourg Stock Exchange and Euronext, Paris. The registered office of the Company is at Château de Betzdorf, L-6815 Betzdorf, Luxembourg. SES is a leader in global content connectivity solutions, leveraging a vast and intelligent network spanning satellite and ground infrastructure to create, deliver and manage video and data solutions enabling customers to connect more people in more places with content that enriches their personal stories with knowledge, entertainment and opportunity. The consolidated financial statements of SES as at, and for the year ended, 31 December 2024 were authorised for issue in accordance with a resolution of the Board of Directors on 25 February 2025. Under Luxembourg Law, the consolidated financial statements are approved by the shareholders at their Annual General Meeting. Significant changes in the current period Intelsat acquisition On April 30, 2024, SES S.A. announced an agreement to purchase 100% of the equity of Intelsat Holdings S.à r.l. for a cash consideration of USD 3.1 billion (EUR 2.8 billion) and certain contingent value rights. The transaction is subject to relevant regulatory filings and clearances as well as customary provisions concerning cooperation and measures in seeking such regulatory clearances, which are expected to be received during the second half of 2025. SES secured financing for the acquisition through an initial EUR 3 billion bridge facility dated April 30, 2024 (the Bridge Facility), and a USD 1 billion Term Loan A Facility dated June 14, 2024 (“TLA”). Upon entering the TLA, EUR 930 million of the Bridge Facility was cancelled. Additionally, on September 12, 2024, the Company raised EUR 1 billion in Hybrid financing, which similarly led to the cancellation of an equivalent portion of the Bridge Facility. Share buyback programme A share buyback programme of EUR 150 million was completed in October 2024 in respect of Class-A shares with 24 million A-shares being purchased at an average price of EUR 5.22 per A-share and 12 million B-shares were purchased at an average price of EUR 2.09 per share The acquired shares will be cancelled after the expiry of one year which will reduce the total number of voting and economic shares in issue. Repurchase of Deeply Subordinated Fixed Rate Resettable Securities Beginning on 19 November 2024 the Group initiated a programme to repurchase in the open market up to a nominal amount of EUR 100 million of its EUR 625 million Deeply Subordinated Fixed Rate Resettable Securities issued on 27 May 2021. These will be cancelled in accordance with the terms and conditions of the Securities. See also Notes 23 and 36. SpaceRISE signs concession contract to deliver Europe’s IRIS² connectivity network On 16 December 2024 the SpaceRISE consortium, led by SES, signed a Concession Contract with the European Commission to design, deliver, and operate the innovative, multi-orbit “Infrastructure for Resilience, Interconnectivity and Security by Satellite” (“IRIS 2 ”) sovereign connectivity system for a period of 12 years, with the network expected to provide services from the beginning of 2030. This will be the European Union’s (EU) preferred and trusted network to provide reliable, secure, and cost-effective communication solutions for governmental institutions, commercial organisations, and European citizens. SES’s contribution to IRIS 2 will be to develop, procure, and operate 18 new MEO satellites providing 100% pole-to- pole coverage with carrier-grade connectivity solutions. SES expects to have rights to commercialise the MEO capacity and part of the LEO capacity of the IRIS 2 system. The compelling combination of high throughput data rates, low latency, service flexibility, and managed solutions will cater to EU’s sophisticated requirements, as well as allied nations and SES’s customers around the world. See also Notes, 22, 28 and 31. Consolidated financial statements as at and for the year ended 31 December 2024 Note 2 - Summary of material accounting policies Basis of preparation The consolidated financial statements have been prepared in compliance with IFRS Accounting Standards as issued by the International Accounting Standards Board (‘IASB’), as adopted by the European Union (‘IFRS Accounting Standards’), as at 31 December 2024. The consolidated financial statements have been prepared on a historical cost basis, except where fair value is required by IFRS Accounting Standards. The consolidated financial statements are presented in euro (EUR). Unless otherwise stated, all amounts are rounded to the nearest million, except share and earnings per share data and audit and non-audit fee disclosures. Changes in accounting policies The accounting policies adopted are consistent with those of the previous financial year, except for the following new and amended IFRS Accounting Standards, effective from 1 January 2024 and adopted by the Group, as well as changes in the accounting policy of orbital slot rights, as disclosed under “Significant accounting judgments and estimates” below. Any new IFRS Accounting Standards amendments, effective from 1 January 2024 and not mentioned below are not applicable to the Group. 1 Amendments to IAS 1 on classification of liabilities as current or non-current On 23 January 2020, the IASB issued “Classification of Liabilities as Current or Non-Current (Amendments to IAS 1)”. The amendment will affect the presentation of liabilities in the consolidated statement of financial position. The amendment clarifies that the classification of a liability as current or non-current should be based on rights in existence at the end of the reporting period to defer settlement of a liability by at least 12 months. The amendment also clarifies that the classification of a liability should be unaffected by the entity’s expectations regarding whether it will exercise its rights to defer payment. The amendments were endorsed by the EU and are effective for annual reporting periods beginning on or after 1 January 2024. The adoption of these amendments did not have any material impact on the Group’s consolidated financial statements. 2 Amendments to IAS 1 on non-current liabilities with covenants On 31 October 2022, the IASB issued “Non-current Liabilities with Covenants”. These amendments clarify how conditions with which an entity must comply within twelve months after the reporting period affect the classification of a liability. The amendments also aim to improve information an entity provides related to liabilities subject to these conditions. The amendments were endorsed by the EU and are effective for annual reporting periods beginning on or after 1 January 2024. The adoption of these amendments did not have any material impact on the Group’s consolidated financial statements. New standards and interpretations not yet adopted A number of new standards and amendments to standards and interpretations are relevant for the Group and effective for annual periods beginning on or after 1 January 2025, and have not been early adopted in preparing these consolidated financial statements: 1. Sale or contribution of assets between an investor and its associate or joint venture – Amendments to IFRS 10 and IAS 28 The IASB has made limited scope amendments to IFRS 10 (‘Consolidated Financial Statements’) and IAS 28 (‘Investments in Associates and Joint Ventures’) which clarify the accounting treatment for sales or contribution of assets between an investor and their associates or joint ventures. They confirm that the accounting treatment depends on whether the non-monetary assets sold or contributed to an associate or joint venture constitute a ‘business’ (as defined in IFRS 3 Business Combinations). Where the non-monetary assets constitute a business, the investor will recognise the full gain or loss on the sale or contribution of assets. If the assets do not meet the definition of a business, the gain or loss is recognised by the investor only to the extent of the other investor’s interests in the associate or joint venture. The amendments apply prospectively. The IASB decided to defer the application date of this amendment until such time as the IASB has finalised its research project on the equity method. Consolidated financial statements as at and for the year ended 31 December 2024 2. IFRS 18 Presentation and Disclosure in Financial Statements On 9 April 2024, the IASB issued ‘IFRS 18 Presentation and Disclosure in Financial Statements’. This new standard focuses on updates to the statement of profit or loss. The key concepts introduced in IFRS 18 relate to the structure of the statement of profit or loss, required disclosures in the financial statements for certain profit or loss performance measures that are reported outside an entity’s financial statements (management-defined performance measures) and enhanced principles on aggregation and disaggregation which apply to the primary financial statements and notes in general. IFRS 18 will replace IAS 1, many of the other existing principles in IAS 1 are retained, with limited changes. IFRS 18 will not impact the recognition or measurement of items in the financial statements, but it might change what an entity reports as its ‘operating profit or loss’. IFRS 18 will apply for reporting periods beginning on or after 1 January 2027 and also applies to comparative information. The new standard was not yet endorsed by the EU. The Group has yet to assess the impact to its consolidated financial statements of the changes in presentation and disclosure required by IFRS 18. 3. Amendment to IFRS 9 and IFRS 7—Classification and Measurement of Financial Instruments On 30 May 2024, the IASB issued ‘Amendment to IFRS 9 and IFRS 7—Classification and Measurement of Financial Instruments’. These amendments: clarify the requirements for the timing of recognition and derecognition of some financial assets and liabilities, with a new exception for some financial liabilities settled through an electronic cash transfer system; clarify and add further guidance for assessing whether a financial asset meets the solely payments of principal and interest (SPPI) criterion; add new disclosures for certain instruments with contractual terms that can change cash flows (such as some instruments with features linked to the achievement of environment, social and governance (ESG) targets); and make updates to the disclosures for equity instruments designated at Fair Value through Other Comprehensive Income (FVOCI). The amendments to IFRS 9 and IFRS 7 will be effective for annual reporting periods beginning on or after 1 January 2026, with early application permitted. The amendments were not yet endorsed by the EU. The Group has yet to assess the impact of these amendments to its consolidated financial statements. Basis of consolidation The consolidated financial statements comprise the financial statements of the Company and its controlled subsidiaries, after the elimination of all inter-company transactions. Subsidiaries are fully consolidated from the date the Company obtains control until such time as control ceases. The financial statements of subsidiaries are generally prepared for the same reporting period as the Company, using consistent accounting policies. If required, adjustments are made to align any dissimilar accounting policies that may exist. For details regarding the subsidiaries included in the consolidated financial statements see Note 38. Total comprehensive income or loss incurred by a subsidiary is attributed to the non-controlling interest even if that results in a deficit balance. Should a change in the ownership interest in a subsidiary occur, without a loss of control, this is accounted for as an equity transaction. Should the Group cease to have control, any retained interest in the entity is re-measured to its fair value at the date when control is lost, with the change in carrying amount recognised in profit or loss. The fair value is the initial carrying amount for the purpose of subsequently accounting for the retained interest as an associate, joint venture or financial asset. In addition, any amounts previously recognised in other comprehensive income in respect of that entity are accounted for as if the Group had directly disposed of the related assets or liabilities. This may mean that amounts previously recognised in other comprehensive income are reclassified to profit or loss. Non-controlling interests in the results and equity of subsidiaries are presented separately in the consolidated income statement, consolidated statement of comprehensive income, consolidated statement of changes in shareholders’ equity and consolidated statement of financial position respectively. Consolidated financial statements as at and for the year ended 31 December 2024 Investments in joint arrangements Under IFRS 11, investments in joint arrangements are classified as either joint operations or joint ventures depending on the contractual rights and obligations of each investor. Joint ventures are accounted for using the equity method whereby the interest is initially recognised at cost and is then adjusted thereafter to recognise the Group’s share of the post-acquisition profits or losses and movements in other comprehensive income. When the Group’s share of losses in a joint venture equals or exceeds its interest in the joint venture (including any long-term interest which, in substance, forms part of the Group’s net investment in the joint venture), the Group does not recognise further losses unless it has incurred obligations or made payments on behalf of the joint venture. Unrealised gains on transactions between the Group and a joint venture are eliminated to the extent of the Group’s interest in the joint venture. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. Financial statements of joint ventures are prepared for the same reporting year as the Group with adjustments made as necessary to bring the accounting policies used into line with those of the Group. The Group assesses investments in joint ventures for impairment whenever events or changes in circumstances indicate that the carrying value may not be recoverable. If any such indication of impairment exists, the carrying amount of the investment is compared with its recoverable amount, being the higher of its fair value less costs to sell and value-in-use. Where the carrying amount exceeds the recoverable amount, the investment is written down to its recoverable amount. The Group ceases to use the equity method of accounting on the date from which it no longer has joint control over the joint venture or when the investment is classified as held for sale. Investments in associates An associate is an entity in which the Group has significant influence but not control or joint control. The Group accounts for investments in associates using the equity method of accounting as described above. Goodwill relating to an associate is included in the carrying amount of the investment and is not amortised. The Group determines at each reporting date whether there is any objective evidence that the investment in the associate is impaired. If this is the case, the Group calculates the amount of impairment as the difference between the recoverable amount of the associate and its carrying value and recognises the amount within ‘Share of associates’ result’ in the consolidated income statement. The Group’s share of post-acquisition profit or loss is recognised in the consolidated income statement, and its share of post-acquisition movements in other comprehensive income is recognised in other comprehensive income with a corresponding adjustment to the carrying amount of the investment. When the Group’s share of losses in an associate equals, or exceeds, its interest in the associate, including any other unsecured receivables, the Group does not recognise further losses unless it has incurred legal or constructive obligations or made payments on behalf of the associate. In general, the financial statements of associates are prepared for the same reporting year as the parent company, using consistent accounting policies. If required, adjustments are made to align any dissimilar accounting policies that may exist. For details regarding the associates included in the consolidated financial statements see Note 38. Profits and losses resulting from upstream and downstream transactions between the Group and an associates are recognised in the Group’s consolidated financial statements only to the extent of unrelated investors’ interests in the associate. Dilution gains and losses arising in investments in associates are recognised in the consolidated income statement. The Group ceases to use the equity method of accounting on the date from which it no longer has significant influence over the associate, or when the interest becomes classified as an asset held for sale. Consolidated financial statements as at and for the year ended 31 December 2024 Significant accounting judgments and estimates 1 Changes in accounting estimates In 2024 management has made three changes to the judgments and estimates applied for the financial year ended 31 December 2023 as described below. i. The alignment of the treatment of all orbital slot rights to be definite-life intangible assets GEO orbital slot rights Up until 2023, the Group’s accounting estimate concerning the appropriate useful economic life of GEO orbital slot rights has been that they will be of indefinite life unless there was something in the terms of the licence to indicate that they could either not be renewed at the end of the term, or that such a renewal would not be at insignificant cost. Following this assumption, as at the end of 2023 the Group disclosed EUR 326 million of indefinite life orbital slot rights and EUR 107 million of definite-life rights. The Company applied an indefinite life as it was expected that it would maintain operations at all the relevant GEO orbital locations and hence was consistent with the provision in paragraph 88 of IAS 38 below: “An intangible asset shall be regarded by the entity as having an indefinite useful life when there is no foreseeable limit to the period over which the asset is expected to generate net cash inflows for the entity.” The Company is now evolving in the direction of a multi-orbit provider of satellite services, and hence is diverting a large part of its capital expenditure to non-GEO orbit satellite procurement. For that reason, the number of occupied operational GEO slots is likely to decline over time and management no longer believes that the level of certainty as to foreseeable future operations implied by paragraph 88 of IAS 38 is met. For that reason, management has updated its estimate in this area such that all GEO orbital slot rights are now presented as definite-life assets. For those rights which were formerly presented as indefinite life assets, their residual carrying value will generally be amortised over the remaining life of the on-station satellite operating at that orbital position in accordance with the provisions of paragraph 90 of IAS 38. Where more than one satellite is collocated at one position then the latest end of depreciation life amongst those satellites is used. Where a replacement satellite for an orbital position has already been contracted, then the expected end of life of that replacement satellite is taken. Similarly, where the likelihood of procuring a replacement satellite is probable, then management calculates the end of life of that uncommitted replacement and applies it in computing the amortisation life of the relevant orbital slight rights. This change in accounting estimate for GEO orbital slot rights which came into effect on 1 January 2024 triggered an impairment test as at that date under the provisions of paragraph 10 of IAS 36. This test resulted in a net reversal of previous impairments of EUR 29 million. As there were no changes to the business plan since the impairment tests performed as at 31 December 2023, the net reversal was caused by the reduction in useful lives explained above (causing a reduction in cash flows taken into account in the valuation) which is more than offset by the impact of the disaggregation of regional cash-generating units used in the monitoring of GEO orbital slot rights explained below (see ii. below). MEO orbital slot rights Concerning MEO orbital rights, these had a brought forward carrying value of EUR nil as at 31 December 2024, reflecting an impairment charge of EUR 1,166 million recorded in 2023. Up until 2023 the Company had presented its MEO slot rights as indefinite life intangible assets, consistent with the approach taken for most of the GEO orbital slot rights. The Group continues to build out its MEO constellation as a key element of its commercial offering and strategic positioning with the latest generation of MEO satellites having entered service in April 2024 with the six initial mPOWER satellites. The upgraded second-generation constellation of seven mPOWER satellites is expected to be fully in service in 2027. These mPOWER satellites operate on an equatorial orbital plane using a combination of frequency filings which were assembled to facilitate operations on that plane. Consolidated financial statements as at and for the year ended 31 December 2024 The Company currently expects future MEO operations to operate on multiple orbital planes offering full ‘pole-to-pole’ coverage. This is the fleet configuration underpinning the Company’s proposal in the IRIS 2 Concession Contract with the European Commission which was submitted in final form to the Commission in the third quarter of 2024 and which was incorporated in the final Concession Contract signed in December 2024. Given the above, management’s estimate for the useful economic life of current MEO orbital slot rights is that these should also be presented as definite-life intangible assets with a useful life anchored to the expected end of depreciation life of the upgraded second mPOWER constellation. The overall impact of the change in accounting estimate for GEO and MEO orbital slot rights has been an increase of EUR 63 million in the amortisation versus what would have been recorded using the previous estimate (see Note 15). ii. Disaggregation of regional cash-generating units used in the monitoring of GEO orbital slot rights. In recent years the Company has tested the carrying value of its orbital slot rights by grouping them into three regional groupings (Europe, North America and International). These regional groupings were based on the assumption of inter-operability of the Group’s services from different slots within the same region and hence the view that these inflows did not meet the threshold for mutual independence required for separate cash generating units under IAS 38. Reflecting the comments in point i above, it is likely that less investment in specifically GEO orbit satellites will occur – and hence the options for interoperability of regional GEO operations will decline. Furthermore, there were few examples in recent years where the provision of customer services was switched between different satellites in the same region. For these reasons, management believes that this interoperability premise – and resultant regional groupings of orbital slot rights for the impairment testing of orbital slot rights - should be revised. Whilst this switch of investment to non-GEO constellations has been a trend for some time, the significant additional investments in the new mPOWER satellites on mid-Earth orbit are very much reinforcing that trend. Hence management has elected with effect from 1 January 2024 to disaggregate those regional cash-generating units and instead look at the carrying value of our orbital slot rights on a slot-by-slot basis; combined as a cash-generating unit (‘CGU’) with the satellite(s) operating at that specific orbital position as described in section i above. iii. Grouping of regional cash-generating units used in the impairment testing of GEO goodwill For the financial years from 2021 to 2023, management disaggregated the former single global GEO CGU into three regions (Europe, North America and International) to align it with the approach taken for the testing of orbital slot rights and to reflect the material regional cash inflows expected to be realised through the commercialisation of the group’s portfolio of orbital slot rights; specifically in North America due to the C-band repurposing project in the U.S. following the adoption by the Federal Communications Commission of its Report and Order and Order of Proposed Modification to clear a 300 MHz band of C-band downlink spectrum between 3,700 and 4,000 MHz. The Company completed the activities necessary to implement that repurposing in 2023 and received the final tranche of the C-Band Accelerated Relocation Payments in that year. No projects of similar materiality have currently been initiated and the specific organisational and reporting activities associated with that C-Band activity have been disbanded. The combination of the above with the disaggregation of the regional CGUs for the impairment testing purposes of orbital slot rights, leads management to believe that the return to a single global GEO better reflects how the remaining goodwill is being monitored, and has hence reverted to this approach with effect from 1 January 2024. There were no additional impairment reversal or charges resulting from this change in estimate. 2 Judgments Other than the changes in accounting estimates mentioned above, in the process of applying the Group’s accounting policies, management has made the following judgments, apart from those involving estimations, which have the most significant effect on the amounts recognised in the financial statements. Consolidated financial statements as at and for the year ended 31 December 2024 i. Taxation The Group operates in numerous tax jurisdictions and management is required to assess tax issues and exposures across its entire operations and to accrue for potential liabilities based on its interpretation of country-specific tax law and best estimates. In conducting this review management assesses the magnitude of the issue and the likelihood, based on experience and specialist advice, as to whether it will result in a liability for the Group. If this is deemed to be the case, then a provision is recognised for the potential taxation charges. More details are given in Notes 8 and 27. One significant area of management judgement is around transfer pricing. Whilst the Group employs dedicated members of staff to establish and maintain appropriate transfer pricing structures and documentation, judgement still needs to be applied and hence potential tax exposures can be identified in the different jurisdictions where the Group operates. The Group, as part of its overall assessment of liabilities for taxation, reviews in detail the transfer pricing structures in place and records provisions where this seems appropriate on a case-by-case basis. ii. The impact of changes in inflation and interest rates The Group has considered the potential impact of changes in inflation and interest rates during the period on its financial statements particularly in its estimations of future cash flows and assumptions about financing costs. The main effect observed in 2024 has been an increase in discount rates applied to USD flows used to reflect the time value of money and adjustments to cash flows to account for an increase in risk-free rates. The discount rates applied to EUR flows were unchanged as a decrease in corporate spreads offset an increase in the market-capitalisation based firm-specific risk premium. Please refer to Note 15 (‘Intangible assets’) for further details. iii. Consolidation of entities in which the Group holds 50% or less The Group consolidates a subsidiary where it has: power over the subsidiary; exposure, or rights, to variable returns from that subsidiary; and, the ability to use its power over the subsidiary to affect the amount of the Group’s returns. • Al Maisan Satellite Communication LLC (trading as ‘Yahlive’) Management has concluded that the Group controls Yahlive even though it holds a 35% economic interest in the company since it has the majority of the voting rights on Yahlive’s Board of Directors and there are no voting rights at the shareholder level which could affect SES’ control. SES has effective control over the relevant activities of Yahlive, such as budget approval, appointment and removal of the Chief Executive Officer and senior management team members as well as over the appointment or removal of the majority of the members of the Board of Directors. The entity is therefore consolidated with a 65% non-controlling interest (see Note 24). • LuxGovSat S.A. (‘LuxGovSat’) SES and the Luxembourg government jointly incorporated LuxGovSat subscribing equally in the equity of the company. Management has concluded that the Group controls LuxGovSat since it has effective control over the relevant activities of the entity. It is therefore consolidated with a 50% non-controlling interest (see Note 24). Consolidated financial statements as at and for the year ended 31 December 2024 • West Africa Platform Services Ltd, Ghana (‘WAPS’) Management has concluded that the Group controls WAPS even though it holds a 49% economic interest in the company since it has the majority of the voting rights on the company’s board of directors and there are no voting rights at the shareholder level which could affect SES’ control. Through control over the selection of key management positions and oversight of the company’s day-to-day operations, the Company has the requisite powers to control and consolidate the company with a 51% non-controlling interest. Note that the Company disposed of its interest in WAPS during the fourth quarter of 2024. • Luxembourg Space Sector Development SCSp Management has concluded that the Group controls this entity since whilst SES and the Government of Luxembourg have equal voting rights in the fund’s Investor Committee, and hence jointly set the investment policy and approve investments, an SES affiliate, in its capacity as fund manager, oversees all day-to-day management and investment aspects of the fund and retains the decision-making power with regard to any decision not specifically attributed to the Investor Committee. iv. SES Space and Defense, Inc. (‘SES SD’) SES SD and its 100% subsidiary Global Enterprise Solutions Inc. acquired on 1 August 2022, are subject to specific governance rules and are managed through a Proxy Agreement agreed with the Defense Security Service (‘DSS’) department of the US Department of Defense (‘DOD’). The DSS is a governmental authority responsible for the protection of information deemed classified or sensitive with respect to the national security of the United States of America. A proxy agreement is an instrument intended to mitigate the risk of foreign ownership, control or influence when a foreign person acquires or merges with a US entity that has a facility security clearance. A proxy agreement conveys a foreign owner’s voting rights to proxy holders, comprising the proxy board. Proxy holders are cleared US citizens approved by the DSS. The DSS requires that SES SD enter into a proxy agreement because it is indirectly owned by SES and SES SD has contracts with the DOD which contain classified information. The Proxy Agreement enables SES SD to participate in such contracts with the US Government despite being owned by a non-US corporation. As a result of the Proxy Agreement, certain limitations are placed on the information which may be shared, and the interaction which may occur, between SES SD and other Group companies. The Proxy Holders, besides acting as directors of SES SD, are entitled to vote in the context of a trust relationship with SES on which basis their activity is performed in the interest of SES’s shareholders and of US national security. SES’s assessment of the effective control over the relevant activities of SES SD encompassed the activities of operating and capital decision making, the appointment and remuneration of key management, and the exposure to the variability of financial returns based on the financial performance of SES SD. Based on this assessment, SES concluded that, from an IFRS 10 perspective, SES has, and is able to exercise, power over the relevant activities of SES SD and has an exposure to variable returns from its involvement in SES SD - and therefore controls the entity. 3 Estimation uncertainty The key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year(s), are described below. The Group based its assumptions and estimates on parameters available when the consolidated financial statements were prepared. Existing circumstances and assumptions about future developments, however, may change due to market changes or circumstances arising beyond the control of the Group. Such changes are reflected in revisions to the assumptions when they occur. Consolidated financial statements as at and for the year ended 31 December 2024 i. Impairment testing for goodwill, definite-life intangible assets, and space segment assets including assets under construction The Group performs impairment tests to determine whether goodwill, definite-life intangible assets (principally orbital slot rights), and space segment assets (including assets under construction) are impaired. Impairment testing procedures are performed annually, or whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. If any such indication exists, the Group determines an estimate of the recoverable amount, as the higher of: (1) the fair value less cost of disposal and, (2) its value-in- use, to determine whether the recoverable amount exceeds the carrying amount included in the consolidated financial statements. The annual impairment tests are performed as of 31 December each year. The recoverable amounts are determined based on a value-in-use calculation using the five-year business plans approved by the board of directors. Establishing the value-in-use requires the Group to make an estimate of the expected future post-tax cash flows from the CGU and to choose a suitable post-tax discount rate and post-business plan growth rate to calculate the present value of those cash flows. For the Group’s slot-satellite CGUs, the estimation of the value-in-use also requires estimations of the future commercial revenues to be generated by each slot and the satellites located therein, particularly related to new markets or services, the impact of past in-orbit anomalies and their potential impact on the satellite’s ability to provide its expected commercial service, and the amount and timing of future capital expenditures to maintain those revenues, if required. The calculations of value-in-use are most sensitive to: a. Movements in the underlying business plan assumptions Business plans are drawn up annually and provide an assessment of the expected developments for a five- year period beyond the end of the year when the plan is drawn up. These business plans reflect both the most up-to-date assumptions concerning the CGU’s markets and business trends. For the provision of satellite capacity these will particularly consider the following factors: • revenue: based on expected developments in transponder fill rates, including the impact of replacement capacity, and customer pricing; • capital expenditure: any changes in the expected capital expenditure cycle, for example due to the technical degradation of a satellite or the need for replacement capacity; and any changes in satellite procurement, launch or cost assumptions, including launch schedules. b. Changes in discount rates Discount rates reflect management’s estimate of the risks specific to each CGU. Management uses a post- tax weighted average cost of capital as discount rate for each CGU. This reflects market interest rates of twenty-year bonds in the market concerned, the capital structure of businesses in the Group’s business sector, and other factors, as necessary, applied specifically to the CGU concerned. c. Changes in growth rate assumptions Growth rate assumptions used to extrapolate cash flows beyond the business plan period are based on commercial experience relating to the CGUs concerned and the expectations for developments in the markets which they serve. ii. Recoverability of deferred tax assets The Group recognises deferred tax assets primarily in connection with the carry-forward of unused tax losses and tax credits. The Group reviews the tax position in the different jurisdictions in which it operates to assess the need to recognise such assets based mainly on projections of taxable profits to be generated in each of those jurisdictions. The carrying amount of each deferred tax asset is reviewed at each reporting date and reduced to the extent that current projections indicate that it is no longer probable that sufficient taxable profits will be available to enable all, or part, of the asset to be recovered. Consolidated financial statements as at and for the year ended 31 December 2024 iii. Expected credit losses on trade receivables and unbilled accrued revenue The Group estimates expected credit losses on trade receivables and unbilled accrued revenues using a provision matrix based on loss expectancy rates and forward-looking information. The Group records additional losses if circumstances or forward-looking information cause the Group to believe that an additional collectability risk exists which is not reflected in the loss expectancy rates (Note 21). iv. Insurance claim in connection with first generation mPOWER satellites In 2023, health issues emerged with the initial four mPower satellites, prompting SES to initiate insurance claims under its ‘Launch plus sixteen months’ insurance policies. The Company submitted Proof-of-Loss documentation to its insurers and negotiations with those companies were initiated in 2024 and will continue beyond the year-end. In the absence of formal acceptance of the claims by most of the external insurers, management is of the view that these claims qualify as contingent assets in the sense of IAS 37. Accordingly, income is only recognised when claims with individual insurers are agreed and settled. v. Reimbursement of costs associated with C-band repurposing As detailed in SES's Transition Plan initially disclosed to the public in September 2021, SES's strategy included the development of six satellites (four operational satellites and two spare satellites) to meet the deadlines for releasing the C-band spectrum. This strategy incurred significant expenditures, which are being substantially reimbursed by the Relocation Payment Clearinghouse (‘RPC or ‘Clearinghouse’ - refer also to Note 35). As of 31 December 2024, SES has received reimbursements totaling USD 1,314 million from the Clearinghouse. There remains an outstanding unpaid receivable of USD 91 million (EUR 87 million) as of 31 December 2024 (compared to EUR 350 million as of 31 December 2023) related to these reimbursements. Management believes that this outstanding balance will be refunded based on the track record of past refunds, which indicate that the majority of SES’s claims have been approved and refunded. Ongoing discussions with the Clearinghouse suggest a mutual interest in expediting the remaining satellite reimbursements. Business combinations Business combinations are accounted for using the acquisition method. The consideration transferred for the acquisition of the subsidiary is measured as the aggregate of the: • fair value of the assets transferred; • fair value of liabilities incurred to the former owners of the acquired business; • fair value of equity interests issued by the Group; • fair value of any asset or liability resulting from a contingent consideration agreement; and • fair value of any pre-existing equity interest in the subsidiary. For each business combination, SES measures the non-controlling interest in the acquiree either at fair value or at the proportionate share of the acquiree’s identifiable net assets. Acquisition costs incurred are expensed and included in other operating expenses. When the Group acquires a business, it assesses the financial assets acquired and liabilities assumed for appropriate classification and designation in accordance with the contractual terms, economic circumstances and pertinent conditions as at the acquisition date. Assets acquired, and liabilities assumed, are recognised at fair value. Consolidated financial statements as at and for the year ended 31 December 2024 The excess of the: • consideration transferred; • amount of any non-controlling interest in the acquired entity; and • acquisition-date fair value of any previous equity interest in the acquired entity; over the fair value of the net identifiable assets acquired is recorded as goodwill. If those amounts are less than the fair value of the net identifiable assets of the business acquired, the difference is recognised directly in profit or loss as a bargain purchase. Where settlement of any part of cash consideration is deferred, the amounts payable in the future are discounted to their present value as at the date of exchange. If the business combination is achieved in stages, the acquisition date carrying value of the Group’s previously held equity interest in the acquiree is remeasured to fair value at the acquisition date through profit or loss. Any contingent consideration to be transferred by SES will be recognised at fair value at the acquisition date. Subsequent changes to the fair value of the contingent consideration which is deemed to be an asset, or a liability, will be recognised in profit or loss. Property, plant and equipment Property, plant and equipment is initially recorded at historical cost, representing either the acquisition or manufacturing cost. Satellite cost includes the launcher and launch insurance. The impact of changes resulting from a revision of management’s estimate of the cost of property, plant and equipment is recognised in the consolidated income statement in the period concerned. Right-of-use assets are measured at cost comprising the following: • the amount of the initial measurement of the corresponding lease liability; • any payments made at or before the commencement date of the lease, less any lease incentives received; • any initial direct costs; and • restoration costs. Payments associated with short-term leases and leases of low-value assets are recognised on a straight-line basis as an expense in profit or loss. Short-term leases are leases with a term of twelve months or less. Low-value assets comprise IT-equipment and small items of office furniture. Costs for the repair and maintenance of these assets are recorded as an expense. Property, plant and equipment is depreciated using the straight-line method, generally based on the following useful lives: • Buildings Up to 40 years • Space segment assets 3 to 18 years • Ground segment assets 3 to 15 years • Other fixtures, fittings, tools and equipment 3 to 15 years • Right-of-use assets 6 to 12 years An item of property, plant and equipment is derecognised upon disposal or when no future economic benefits are expected from its use or disposal. Any gain or loss arising on the derecognition of an asset is included in the consolidated income statement in the period the asset is derecognised. The residual values, remaining useful lives and methods of depreciation of property, plant and equipment are reviewed at each financial year end and adjusted where necessary. For reimbursable capitalised costs related to the procurement of satellites, launches, and upgraded ground facilities as part of the U.S. C-band repurposing project, the Group applies government grant accounting. The Group records credits to the recorded book values of the related asset when the costs have been incurred and the Group has obtained reasonable assurance that the costs will be reimbursed and that it will comply with the requirements attached to the reimbursement. See additional information in Note 35. Consolidated financial statements as at and for the year ended 31 December 2024 Assets in the course of construction This caption includes primarily satellites under construction. Costs directly attributable to the purchase of a satellite and bringing it to the condition and location to be used as intended by management, such as launch costs and other related expenses like ground equipment and borrowing costs, are capitalised as part of the cost of the asset. The cost of satellite construction may include an element of deferred consideration to satellite manufacturers referred to as satellite performance incentives. SES is contractually obligated to make these payments over the lives of the satellites, provided the satellites continue to operate in accordance with contractual specifications. Therefore, SES accounts for these payments as deferred financing, capitalising the present value of the payments as part of the cost of the satellites and recording a corresponding liability to the satellite manufacturers. An interest expense is recognised on the deferred financing and the liability is accreted based on the passage of time and reduced as the payments are made. Once the asset is satellite enters operational service, the costs are transferred to assets in use and depreciation commences. Borrowing costs Borrowing costs directly attributable to the construction or production of a qualifying asset are capitalised during the construction period as part of the cost of the asset. All other borrowing costs are recognised as an expense in the period in which they are incurred. Intangible assets 1 Goodwill Goodwill is measured as described in the accounting policy for business combinations set out in Note 2. After initial recognition, goodwill is measured at cost less any accumulated impairment losses. For impairment testing, goodwill from the acquisition date is allocated to each of the Group’s CGUs that are expected to benefit from the combination, irrespective of whether other assets or liabilities of the Group are assigned to those units. The carrying value of acquisition goodwill is not amortised, but rather is tested for impairment annually, or more frequently if required to establish whether the value is still recoverable. The recoverable amount is defined as the higher of: (1) fair value less costs to sell and, (2) value-in-use. Impairment expenses are recorded in the consolidated income statement. Impairment losses relating to goodwill cannot be reversed in future periods. The Group estimates value-in-use based on the estimated discounted cash flows to be generated by a CGU, generally using the five-year business plans approved by the Board of Directors. Beyond a five-year period, cash flows are usually estimated on the basis of stable rates of growth or decline, although longer periods may be considered where relevant to accurately calculate the value-in-use. Where goodwill forms part of a CGU and part of the operation within that unit is disposed of, then the goodwill associated with the operation disposed of is included in the carrying amount of the operation when determining the gain or loss on its disposal. Goodwill disposed of in this situation is measured based on the relative values of the operation disposed of and the portion of the CGU unit retained. 2 Other intangibles i Orbital slot rights Other intangibles consists mainly of rights of usage of orbital frequencies. The Group is authorised by governments to operate satellites at certain orbital locations. Governments acquire rights to these orbital locations through filings made with the International Telecommunication Union (‘ITU’), a sub-organisation of the United Nations. The Group will continue to have rights to operate at its orbital locations so long as it maintains its authorisations to do so. The straight-line amortisation lives applied from January 2024 range from 1 to 21 years. Consolidated financial statements as at and for the year ended 31 December 2024 As noted above, beginning in 2024 the Company treats all orbital slot rights as definite-life assets which are amortised over the depreciation lives of the corresponding on-station satellites or their expected successor spacecraft where relevant. Orbital rights acquired for a non-cash consideration are initially measured at the fair value of the consideration given. ii Customer relationships Customer relationships relate to customer contracts acquired as part of a business combination. They are recognised at their fair value at the date of acquisition, based on internal analysis or more commonly through a third-party valuation at the time of the business combination, and are subsequently amortised on a straight-line based over the expected useful economic life of the asset. The current customer relationship asset is being amortised on a straight-line basis over a 15-year period. iii Software and development costs Costs associated with maintaining computer software are recognised as an expense as incurred. Development costs that are directly attributable to the design and testing of identifiable and unique software products controlled by the Group are recognised as intangible assets when the following criteria are met: • it is technically feasible to complete the software product so that it will be available for use; • management intends to complete the software product and use or sell it; • there is an ability to use or sell the software product; • it can be demonstrated how the software product will generate probable future economic benefits; • adequate technical, financial and other resources to complete the development and to use or sell the software product are available; and • the expenditure attributable to the software product during its development can be reliably measured. Directly attributable costs that are capitalised as part of the software product include the software development employee costs and an appropriate portion of relevant overheads. Other development expenditures that do not meet these criteria are recognised as an expense as incurred. Software development costs recognised as assets are amortised over their estimated useful life, not exceeding seven years. Impairment of other intangible assets, property, plant & equipment and assets in the course of construction The Group assesses at each reporting date whether there is an indication that the carrying amount of the assets may not be recoverable. If such an indication exists then the recoverable amount of the asset or CGU is reviewed to determine the amount of the impairment, if any. Assets other than goodwill that suffered an impairment in previous periods are reviewed for possible reversal of the impairment at the end of each reporting period. Impairments can arise from complete or partial failure of a satellite as well as other changes in expected discounted future cash flows. Such impairment tests are based on a recoverable value determined using estimated future cash flows and an appropriate discount rate. The estimated cash flows are based on the most recent business plans. If an impairment is identified, the carrying value will be written down to its recoverable amount. Other financial assets The Group classifies its financial assets in the following measurement categories: • those to be measured subsequently at fair value through profit or loss; and • those to be measured at amortised cost. At initial recognition, the Group measures a financial asset at its fair value plus, in the case of a financial asset not remeasured to fair value through the consolidated income statement, transaction costs directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at fair value and revalued through the consolidated income statement are expensed in the period when they were incurred. All regular purchases and sales of financial assets are recognised on the date that the Group is committed to the purchase or sale of the asset. Financial assets with embedded derivatives are considered in their entirety when determining whether their cash flows are solely payment of principal and interest. Consolidated financial statements as at and for the year ended 31 December 2024 Equity investments Unless SES has significant influence, the Group measures all equity investments at fair value. Changes in the fair value of financial assets are recognised in the consolidated income statement. Deferred customer contract costs Deferred customer contract costs relate to expenses incurred to fulfil customer contracts, which are directly related to those contracts. Deferred customer contract costs are expensed on a straight line basis over the term of the contracts, consistent with the pattern of recognition of the associated revenue. Inventories Inventories primarily consist of equipment held for re-sale, work-in-progress, related accessories and network equipment spares and are stated at the lower of cost and net realisable value, with cost determined on a weighted average-cost method. Net realisable value is the estimated selling price in the ordinary course of business less the estimated costs of completion and the estimated costs necessary to make the sale. Obsolescence provisions are recorded on a category-by-category basis for ground equipment as required based on management’s review of inventory turnover and aging and business projections concerning future customer requirements. Trade receivables Trade receivables are recognised initially at fair value and subsequently measured at amortised cost using the effective interest method, less provision for impairment. For impairment of trade receivables, the Group estimates expected lifetime credit losses that would typically be carried for each receivable based on the credit risk class upon the initial recognition of the receivables. Expected lifetime credit losses are estimated based on historical financial information as well as forward-looking data. Additional provisions are recognised when specific circumstances or forward-looking information lead the Group to believe that additional collectability risk exists with respect to customers that are not adequately reflected in loss expectancy rates. The Group writes off trade receivables when it has no reasonable expectation of recovery. The Group evaluates the credit risk of its customers on an ongoing basis. Trade and other payables Trade and other payables are initially recognised at fair value, and subsequently carried at amortised cost using the effective interest method. Prepayments Prepayments represent expenditures paid during the financial year but relating to a subsequent financial year. The prepaid expenses comprise mainly insurance, rental of third-party satellite capacity, advertising expenses as well as loan origination costs related to loan facilities which have not been drawn. Treasury shares Treasury shares are mostly acquired by the Group in connection with share-based compensation plans and are presented as a set off to equity in the consolidated statement of financial position. Gains and losses on the purchase, sale, issue or cancellation of treasury shares are not recognised in the consolidated income statement, but rather in the equity. Cash and cash equivalents Cash and cash equivalents comprise cash at banks and on hand, deposits and short-term, highly liquid investments readily convertible to known amounts of cash and subject to insignificant risk of changes in value. Cash on hand and in banks and short- term deposits which are held to maturity are carried at amortised cost. Consolidated financial statements as at and for the year ended 31 December 2024 Revenue recognition Revenues are generated predominantly from customer service agreements for the provision of satellite capacity over contractually agreed periods, including short-term occasional use capacity, with the associated uplinking and downlinking services as appropriate. Other revenue-generating activities mainly include sale of customer equipment; platform services; subscription revenue; income received in connection with satellite interim missions; installation and other engineering services and proceeds from the sale of transponders if the revenue recognition criteria for the transaction are met. Revenue is measured based on the consideration to which the Group expects to be entitled in a contract with a customer and excludes amounts collected on behalf of third parties. The Group recognizes revenue as and when control of a good or service is transferred to a customer. Contract modifications are accounted for either as a separate contract or as part of the existing contract, depending on the nature of the modification. The Group accounts for a modification as a separate contract if: • the scope of the contract increases because of the addition of distinct goods or services, and • the price of the contract increases by an amount of consideration that reflects the stand-alone selling prices of the additional goods or services. A modification that does not meet the above criteria to be accounted for as a separate contract is accounted for as an adjustment to the existing contract, either prospectively or through a cumulative catch-up adjustment. The determination depends on whether the remaining goods or services to be provided to the customer under the modified contract are distinct from those already provided, in which case the modification results in a prospective adjustment to revenue recognition. For contracts in which the Group sells multiple goods and services, the Group evaluates at contract inception whether the goods and services represent separate performance obligations. The Group offers contracts for the provision of satellite capacity services, sale of equipment and a bundle of satellite capacity services, equipment, and services such as service-type warranties. Revenue is recognized separately for capacity, equipment, and services such as service- type warranties as the goods and services are separately identifiable, and the customer can benefit from the goods or services on their own or with other readily available resources. When they represent separate performance obligations, the Group allocates consideration to the goods and services based on relative standalone selling prices using either an expected cost plus a margin approach or an adjusted market assessment approach. When they do not represent separate performance obligations, the Group records revenue related to the single performance obligation over the contract period. Where a contract contains elements of variable consideration, the Group estimates the amount of variable consideration to which it will be entitled under the contract. Variable consideration can arise, for example, as a result of variable prices, incentives or other similar items. Variable consideration is only included in the transaction price if, and to the extent that, it is highly probable that its inclusion will not result in a significant revenue reversal in the future when the uncertainty has been subsequently resolved. The Group occasionally receives non-cash consideration as part of a revenue transaction. The Group measures non-cash consideration at fair value unless it is unable to reasonably estimate fair value, in which case the Group measures the consideration indirectly based on the standalone selling price of the goods or services promised to the customer. Revenue from provision of satellite capacity, communications infrastructure services, and related services For the Group’s contracts to provide satellite capacity, communications infrastructure services, and related services, the Group makes the services available to customers in a series of time periods that are distinct and have the same pattern of transfer to the customer. The increments of time can vary from hours to months. This applies whether we provide the satellite capacity services for a contract using a single transponder or multiple transponders, or for a contract using a single beam or multiple beams on one or several satellites. The distinct units of volume of satellite capacity for each contract are substantially the same and have the same pattern of transfer to the customer and therefore are treated as a single performance obligation. Revenue from customers under service agreements for these services is generally recognized on a straight-line basis over the duration of the respective contracts, including any free-of-charge periods. Using a straight-line measure of progress most faithfully depicts the Group’s performance because the Group makes available a consistent level of capacity over each distinct time period. For certain performance obligations, we use a cost-based input method to recognize revenue if we determine that a basis reflecting the costs incurred to date relative to the total costs expected to be incurred better reflects the pattern of transfer of control of the services to the customer. Revenue will cease to be recognized if there is an indication of a significant deterioration in a customer’s ability to pay for the remaining goods or services. Consolidated financial statements as at and for the year ended 31 December 2024 Revenue from the sale of equipment SES equipment may be sold either on a standalone basis for which one contract includes only a sale of equipment or as part of a bundle for which one contract includes the sale of capacity, equipment, and lifecycle services. When equipment is sold on a standalone basis, the Group recognises revenue for the sale of equipment at a point in time when it transfers control of the equipment to the customer, which is typically when the Group transfers title, physical possession, and the significant risks and rewards of the equipment to the customer. The Group’s equipment contracts do not typically contain a right of return. When equipment is sold on a bundle basis together with other services, the Group determines the level of customization of the equipment being sold. Our customers typically may use the equipment we sell interchangeably with satellite capacity provided by the Group or other satellite operators and do not require significant integration, customization, or modification services. Such equipment is treated as a separate performance obligation from the bundle and is recognized in the same manner as equipment sold on a standalone basis as described above. The Group may offer warranties on equipment. Our warranties that are separately priced or offered as extended warranties lasting more than one year provide a service beyond ensuring the goods will function as expected and are considered service-type warranties. The Group treats service-type warranties as separate performance obligations and recognizes revenue on a straight-line basis over the duration of the warranty period. Using a straight-line measure of progress most faithfully depicts the Group’s performance due to the nature of the Group’s stand ready obligation during the warranty period. The Group also offers standard warranties with contract durations which are typically one year, require us to repair or replace a delivered good if it does not function as expected, and represent assurance-type warranties. Standard warranties do not represent performance obligations separate from the related equipment, and revenue related to standard warranties is recognized at the same time as the related equipment. Subscription revenue The subscription revenue related to HD Plus services is recorded on a linear basis over the term of the subscription agreement. Revenue generated by engineering services For engineering services, the Group recognises revenue over time on a basis reflecting the costs incurred to date relative to the total costs expected to be incurred since this best reflects the pattern of transfer of control of the services to the customer. Lease income Lease income from operating leases where the Group is lessor is recognised on a straight-line basis over the lease term. The respective right-of-use assets are included in the consolidated statement of financial position together with other assets of the same category. C-band repurposing income Income from successfully meeting the separate Phase 1 and Phase 2 C-band Accelerated Relocation Payment deadlines was recognised when the Group had successfully completed Phase 1 and Phase 2 Accelerated Relocations, respectively, and had received validation of the respective relocation certification from the U.S. Federal Communications Commission’s (“FCC”) Wireless Telecommunications Bureau. Income arising from settlements from the Clearinghouse are recognised when the expenses have been incurred and the Group has obtained reasonable assurance that the costs will be reimbursed and that it will comply with the requirements attached to the reimbursement. The Group believes it obtains such reasonable assurance either when the RPC specifically validates the costs as being reimbursable, or where the costs fall within applicable cost ranges published by the Clearinghouse in its cost catalogue. More details are given in Note 35. Consolidated financial statements as at and for the year ended 31 December 2024 Other income Other income arising from settlements under insurance claims and decreases in provisions for in-orbit incentives are recognised when they are virtually certain of being realised. Other income is presented as part of revenue due to its relative insignificance. Contract assets and contract liabilities Assets and liabilities related to contracts with customers include trade receivables, unbilled accrued revenue, deferred customer contract costs, and deferred income. Customer payments received in advance of the provision of service are recorded as contract liabilities and presented as ‘Deferred income’ in the statement of financial position. For significant advance payments, interest is accrued on the amount received at the effective interest rate at the time of receipt. The Group’s contracts at times contain prepayment terms that range from one month to one year in advance of providing the service. Since the period of time between when the Group transfers a promised good or service to a customer and when the customer pays for that good or service is one year or less, the Group does not make an adjustment to the transaction price for the effects of a significant financing component. The unbilled portion of recognised revenues is recorded as a contract asset and presented as ‘unbilled accrued revenue’ within ‘Trade and other receivables’, allocated between current and non-current as appropriate. Customer payments are generally due in advance or by the end of the month of capacity service. Dividends The Company declares dividends after the consolidated financial statements for the year have been approved. Accordingly, dividends are recorded in the subsequent year’s consolidated financial statements. Provisions Provisions are recognised when the Group has a present legal or constructive obligation as a result of a past event and it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and the amount can be reliably estimated. Provisions are measured at the present value of management’s best estimate of the expenditure required to settle the present obligation at the end of the reporting period. Borrowings Borrowings are recognised initially at fair value, net of transaction costs incurred. Borrowings are subsequently carried at amortised cost; any difference between the proceeds (net of transaction costs) and the redemption value is recognised in the consolidated income statement over the period of the borrowings using the effective interest method. Fees paid on the establishment of loan facilities are recognised as origination costs of the loan to the extent that it is probable that some or all of the facility will be drawn down. In this case, the fee is deferred until the draw-down occurs. Current taxes Current tax assets and liabilities for current and prior periods are measured at the amount expected to be recovered from, or paid to, the tax authorities. The tax rates and laws used to compute these amounts are those enacted, or substantively enacted, at the reporting date. Deferred taxes Deferred tax is determined using the liability method on temporary differences between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes at the reporting date. Consolidated financial statements as at and for the year ended 31 December 2024 Deferred tax liabilities are recognised for all taxable temporary differences, except: • where the deferred tax liability arises from the initial recognition of goodwill or of an asset or liability in a transaction that is not a business combination and, at the time of the transaction, affects neither the accounting profit nor taxable profit or loss; and • in respect of taxable temporary differences associated with investments in subsidiaries where the timing of the reversal of the temporary differences can be controlled and it is probable that the temporary differences will not reverse in the foreseeable future. Deferred tax assets are recognised for all deductible temporary differences, carry-forward of unused tax credits and unused tax losses, to the extent that it is probable that taxable profit will be available against which the deductible temporary differences, and the carry-forward of unused tax credits and unused tax losses can be utilised except: • where the deferred tax asset relating to the deductible temporary difference arises from the initial recognition of an asset or liability in a transaction that is not a business combination and, at the time of the transaction, affects neither the accounting profit nor taxable profit or loss; and • in respect of deductible temporary differences associated with investments in subsidiaries, deferred tax assets are recognised only to the extent that it is probable that the temporary differences will reverse in the foreseeable future and taxable profit will be available against which the temporary differences can be utilised. The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilised. Unrecognised deferred tax assets are reassessed at each reporting date and are recognised to the extent that it has become probable that future taxable profit will allow the deferred tax asset to be recovered. Deferred tax assets and liabilities are measured at the tax rates that are expected to apply to the year when the asset is realised or the liability is settled, based on tax rates and tax laws which have been enacted, or substantively enacted, at the reporting date. Deferred taxes are classified according to the classification of the underlying temporary difference either as income or as an expense included in profit or loss, or in other comprehensive income or directly in equity. Tax benefits acquired as part of a business combination, but not satisfying the criteria for separate recognition at that date, are recognised subsequently if new information about facts and circumstances change. The adjustment is either treated as a reduction in goodwill (as long as it does not exceed goodwill) if it was incurred during the measurement period or recognised in profit or loss. Deferred tax assets and liabilities are offset, if a legally enforceable right exists to set off current tax assets against current tax liabilities and the deferred taxes relate to the same taxable entity and the same taxation authority. Translation of foreign currencies The consolidated financial statements are presented in euro (EUR), which is the Company’s functional and presentation currency. Each entity in the Group determines its own functional currency and items included in the financial statements of each entity are measured using that functional currency. Transactions in foreign currencies are initially recorded in the entity’s functional currency at the exchange rate prevailing at the date of the transaction. The cost of non-monetary assets is translated at the rate applicable at the date of the transaction. All other assets and liabilities are translated at closing rates of the period. During the year, expenses and income expressed in foreign currencies are recorded at exchange rates which approximate the rate prevailing on the date they occur or accrue. All exchange differences resulting from the application of these principles are included in the consolidated income statement. The Group considers that monetary long-term receivables or loans with a subsidiary that is a foreign operation for which settlement is neither planned nor likely to occur in the foreseeable future is, in substance, a part of the entity’s net investment in that foreign operation. The related foreign exchange differences and income tax effect of the foreign exchange differences are included in the foreign currency translation reserve within equity. On disposal of a foreign operation, the deferred cumulative amount recognised in equity relating to that foreign operation is reclassified to the consolidated income statement. Consolidated financial statements as at and for the year ended 31 December 2024 Goodwill and fair value adjustments arising on the acquisition of a foreign entity are treated as assets and liabilities of the foreign entity and translated at the closing rate. The assets and liabilities of consolidated foreign operations are translated into euro at the year-end exchange rates, while the income and expense items of these foreign operations are translated at the average exchange rate of the year. The related foreign exchange differences are included in the foreign currency translation reserve within equity. On disposal of a foreign operation, the deferred cumulative amount recognised in equity relating to that foreign operation is reclassified to the consolidated income statement as part of the gain or loss on disposal. The US dollar exchange rates used by the Group during the year were as follows: Average rate Closing rate Average rate Closing rate for 2024for 2024for 2023 for 2023 USD 1.0863 1.0389 1.0797 1.1050 Basic earnings per share The Company’s capital structure consists of Class A and Class B shares, entitled to the payment of annual dividends as approved by the shareholders at their annual meetings. Holders of Class B shares participate in earnings and are entitled to 40% of the dividends payable per Class A share. Basic earnings per share is calculated by dividing the net profit attributable to ordinary shareholders, adjusted by deducting the assumed coupon, net of tax, on the perpetual bonds, by the weighted average number of common shares outstanding during the period as adjusted to reflect the economic rights of each class of shares. Diluted earnings per share Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to reflect the weighted average number of additional ordinary shares that would have been outstanding assuming the conversion of all dilutive potential ordinary shares. Hedge of a net investment in a foreign operation Changes in the fair value of a derivative or non-derivative instrument that is designated as a hedge of a net investment are recorded in the foreign currency translation reserve within equity to the extent that it is deemed to be an effective hedge. The ineffective portion is recognised in the consolidated income statement as a financial income or expense. Hedge accounting is discontinued when the hedging instrument expires or is sold, terminated or exercised, the hedge no longer qualifies for hedge accounting, or the Group revokes the designation. At that point in time, any cumulative gain or loss on the hedging instrument recognised in equity is kept in equity until the forecasted transaction occurs. If a hedged transaction is no longer expected to occur, the net cumulative gain or loss recognised in equity is transferred to net profit or loss for the period. The Group formally documents all relationships between hedging instruments and hedged items, as well as its risk-management objective and strategy for undertaking various hedge transactions. This process includes allocating all derivatives that are designated as net investment hedges to specific assets and liabilities in the consolidated statement of financial position. The Group also formally assesses both at the inception of the hedge and on an ongoing basis, whether each derivative is highly effective in offsetting changes in fair values or cash flows of the hedged item. If it is determined that a derivative is not highly effective as a hedge, or if a derivative ceases to be a highly effective hedge, the Group will discontinue hedge accounting prospectively. The ineffective portion of hedge is recognised in profit or loss. Consolidated financial statements as at and for the year ended 31 December 2024 Derecognition of financial assets and liabilities 1 Financial assets A financial asset is derecognised where: • the right to receive cash flows from the asset has expired; • the Group retains the right to receive cash flows from the asset but has assumed an obligation to pay them in full without material delay to a third party under a ‘pass-through’ arrangement; • the Group has transferred its rights to receive cash flows from the asset and either: • has transferred substantially all the risks and rewards of the asset; or • has neither transferred nor retained substantially all the risks and rewards of the asset but has transferred control of that asset. 2 Financial liabilities A financial liability is derecognised when the obligation under the liability is discharged, cancelled or expired. Where an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as a derecognition of the original liability and the recognition of a new liability, and the difference in the respective carrying amount is recognised in profit or loss. Offsetting financial instruments Financial assets and liabilities are offset, and the net amount reported in the consolidated statement of financial position, when there is a legally enforceable right to offset the recognised amounts and there is an intention to settle on a net basis or realise the asset and settle the liability simultaneously. The legally enforceable right must not be contingent on future events and must be enforceable in the normal course of business and in the event of default, insolvency or bankruptcy of the Company or the counterparty. Accounting for pension obligations The Company and certain subsidiaries operate defined contribution pension plans. A defined contribution plan is a pension plan under which the Group pays fixed contributions to a third-party financial institution. The Group has no legal or constructive obligation to pay further contributions if the financial institution’s pension fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods. For defined contribution plans, the Group pays contributions to publicly or privately administered pension insurance plans on a mandatory, contractual or voluntary basis. The Group has no further payment obligations once the contributions have been paid. The contributions are recognised as employee benefit expense when they are due. Prepaid contributions are recognised as an asset to the extent that a cash refund or a reduction in the future payments is available. The Group has no significant defined benefit pension plans. Consolidated financial statements as at and for the year ended 31 December 2024 Share-based payments 1 Equity-settled share-based compensation plans Employees (including senior executives) of the Group receive remuneration in the form of share-based compensation transactions, whereby employees render services as consideration for equity instruments (‘equity- settled transactions’). The cost of equity-settled transactions is measured by reference to the fair value at the date on which they are granted. The fair value is determined by an external valuer using a binomial model for the Stock Appreciation Rights Plan (‘STAR Plan’) and Equity Based Compensation Plan comprising options (‘EBCP Option Plan’). The fair value of EBCP RS is estimated at the date of the grant by restating discounted dividends from share price and taking into account the terms and conditions upon which the shares were granted. The fair value of EBCP PS is estimated at the date of the grant using a Monte-Carlo simulation model and taking into account the terms and conditions upon which the shares were granted. Further details are given in Note 25. In valuing equity- settled transactions, no account is taken of any non-market performance conditions, the valuation being linked only to the price of the Company’s shares, if applicable. The cost of equity-settled transactions is recognised, together with a corresponding increase in equity, over the period in which the performance and/or service conditions are fulfilled, ending on the date on which the relevant employees become fully entitled to the award (the vesting date). The cumulative expense recognised for equity- settled transactions at each reporting date until the vesting date reflects the extent to which the vesting period has expired and the Group’s best estimate of the number of equity instruments that will ultimately vest. The consolidated income statement charge or credit for a period represents the movement in the cumulative expense recognised as at the beginning and end of that period. No expense is recognised for awards that do not ultimately vest. The dilutive effect of outstanding options is reflected as additional share dilution in the computation of earnings per share (see Note 11). 2 Cash-settled share-based compensation plans A liability is recognised for the fair value of cash-settled transactions. The fair value is measured initially at each reporting date up to and including the settlement date, with changes in fair value recognised in employee benefits expense. The fair value is expensed over the period until the vesting date with recognition of a corresponding liability. Further details are given in Note 25. Deeply Subordinated Fixed Rate Resettable Securities The Deeply Subordinated Fixed Rate Securities (“Perpetual Bond”) issued by the Company are classified as equity when the Company has no contractual obligation to redeem the securities, and coupon payments may be deferred under certain circumstances (more details are given in Note 23) and recorded at fair value at inception. Subsequent changes in fair value are not recognised in equity. Coupon accruals are considered in the determination of earnings for calculating earnings per share (see Note 11). Subsequent changes in fair value are not recognised in the financial statements. The Perpetual Bonds are presented as borrowings from the point at which the Group issues a Notice of Redemption to bondholders (see Notes 23 and 26). Deeply Subordinated Fixed Rate Securities issued by the Company are classified as borrowings at inception when the Company has a contractual obligation to redeem the securities and make coupon payments. Consolidated financial statements as at and for the year ended 31 December 2024 Leases The determination as to whether an arrangement is, or contains, a lease is based on the substance of the arrangement at the inception date, primarily whether the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. Control is conveyed where the Group as lessee has both the right to direct the identified asset’s use and to obtain substantially all the economic benefits from that use. Assets and liabilities arising from a lease are initially measured on a present value basis. Lease liabilities include the net present value of the following lease payments: • fixed payments (including in-substance fixed payments), less any lease incentives receivable; • variable lease payments that are based on an index or a rate; • amounts expected to be payable by the lessee under residual value guarantees; • the exercise price of a purchase option if the lessee is reasonably certain to exercise that option; and • payments of penalties for terminating the lease, if the lease term reflects the lessee exercising that option. Lease payments are discounted using the interest rate implicit in the lease, if that rate can be determined, or the Group’s incremental borrowing rate. At the commencement of a lease the Group recognises a lease asset and a lease liability. The lease liability is initially measured at the present value of the lease payments payable over the lease term, discounted at the rate implicit in the lease. Lease payments are apportioned between the finance charges and reduction of the lease liability to achieve a constant rate of interest on the remaining balance of the liability. Finance costs are charged directly to expense. In its accounting policies the Group applies the following practical expedients: • using a single discount rate for a portfolio of leases with similar characteristics; and • not accounting for leases ending within 12 months of the date of the initial application for low value assets. Note 3 - Revenue from contracts with customers The Group does business in one operating segment, namely the provision of satellite-based data transmission capacity, and ancillary services, to customers around the world. The Senior Leadership Team (‘SLT’), which is the chief operating decision-making committee in the Group’s corporate governance structure, reviews the Group’s financial reporting and generates those proposals for the allocation of the Group’s resources which are submitted for validation to the Board of Directors. The main sources of financial information used by the SLT in assessing the Group’s performance and allocating resources are: • analyses of the Group’s revenues from its business units SES Video and SES Networks (comprising the sales verticals Fixed Data, Mobility and Government); • cost and overall Group profitability development; • internal and external analyses of expected future developments in the markets into which capacity is being delivered and of the commercial landscape applying to those markets. Revenue by business unit As reported, the revenue allocated to the relevant business units developed as follows: Change €million 2024 2023Favourable + /- Adverse SES Video 914 967 -5.5%SES Networks 1,085 1,062 2.2%Sub-total 1,999 2,029 -1.5%1Other 2 1 n/mTotal 2,001 2,030 -1.4% n/m = not meaningful (a variance of more than 100% or less than -100%) Consolidated financial statements as at and for the year ended 31 December 2024 Change €million 2023 2022Favourable + /- Adverse SES Video 967 1,020 -5.2% SES Networks 1,062 923 15.1% Sub-total 2,029 1,943 4.4% 1Other 1 1 n/m Total 2,030 1,944 4.4% n/m = not meaningful (a variance of more than 100% or less than -100%) 1 Other includes revenue not directly applicable to SES Video or SES Networks Revenue by category The Group’s revenue analysis from the point of view of category and timing can be found below: Revenue Revenue 2024 recognised recognised €million at a point in time over time Total Revenue from contracts with customers74 1,878 1,952 Lease income - 49 49 Total 74 1,927 2,001 Revenue Revenue 2023 recognised recognised Total €million at a point in time over time Revenue from contracts with customers 59 1,949 2,008 Lease income - 22 22 Total 59 1,971 2,030 Revenue from contracts with customers recognised at a point in time is mainly related to sales of equipment and amounts to EUR 74 million in 2024 (2023: EUR 59 million). Remaining performance obligations Our remaining performance obligations, which the Group refers to as revenue “backlog”, represent our expected future revenues under existing customer contracts and include both cancellable and non-cancellable contracts. The backlog was EUR 4.8 billion as of December 31, 2024 (2023: EUR 5.2 billion), EUR 3.7 billion (2023: EUR 4.3 billion) of which related to ‘protected’ (that is, non-cancellable) backlog and EUR 1.1 billion (2023: EUR 911 million) of which related to ‘unprotected’ (cancellable) backlog. Approximately 30% of the backlog is expected to be recognised as revenue in 2025, approximately 24% in 2026, and approximately 19% in 2027, with the remaining thereafter. Protected backlog includes non-cancellable contracts and cancellable contracts with substantive termination fees. For contracts with termination options that do not have substantive termination fees, protected backlog also includes contract periods up to the first optional termination date. Unprotected backlog includes revenue from contracts that are cancellable and not subject to substantive termination fees. Consolidated financial statements as at and for the year ended 31 December 2024 Revenue by country The Group’s revenue from external customers analysed by country using the customer’s billing address is as follows: €million 20242023 Luxembourg (SES country of domicile) 79 49 United States of America 713 759 Germany 321 329 United Kingdom 203 214 France 74 78 Others – Europe 205 205 Others 406 396 Total 2,001 2,030 No single customer accounted for 10%, or more, of total revenue in 2024, or 2023. Note 4 - Operating expenses The operating expense categories disclosed include the following types of expenditure: 1 Cost of sales, which excludes staff costs and depreciation, represents expenditures which generally vary directly with revenue. They are incurred in delivering services to customers and include a variety of expenses such as rental of third-party satellite capacity, third-party teleports, connectivity, equipment and equipment rental, customer support costs such as hosting, monitoring, implementation, engineering work. Other cost of sales detailed below mainly include commissions, as well as an amount of EUR 1 million (2023: EUR 2 million) for C-band repurposing related expenses (Note 35). €million 20242023 Rental of third-party satellite capacity (157)(140)Customer support costs (238)(236)Other cost of sales (66) (68)Total cost of sales (461)(444) * Costs of EUR 7 million in 2024 and EUR 8 million in 2023 associated with satellite telemetry, tracking and control services which were previously included under 'Other operating expenses,' are now reported as part of 'Cost of Sales' to be consistent with the current year presentation and better aligned with the nature of the expenses. 2 Staff costs of EUR 402 million (2023: EUR 409 million) include gross salaries and employer’s social security payments, payments into pension schemes for employees, charges arising under share-based payment schemes, as well as staff-related restructuring charges of EUR 54 million (2023: EUR 27 million) and C-band repurposing related expenses of EUR 0 million (2023: EUR 29 million). At the year-end the total full-time equivalent number of members of staff was 2,118 (2023: 2,294). 3 Other operating expenses of EUR 236 million (2023: EUR 244 million) are, by their nature, less variable with revenue and include office-related and technical facility costs, in-orbit insurance, marketing, general and administrative expenditure, consulting charges, travel-related expenditure and movements in debtor provisions. Other operating expenses also include an amount of EUR 9 million (2023: nil) of restructuring charges in connection with the Group’s ongoing optimisation programme, EUR 4 million (2023: EUR 16 million) of C-band repurposing expenses (Note 35), EUR 55 million (2023: EUR 9 million) of costs associated with the development and / or implementation of merger and acquisition activities, and EUR 3 million for one-off infrastructure costs (2023: EUR 9 million for specific business taxes of a non-recurring nature). Consolidated financial statements as at and for the year ended 31 December 2024 Note 5 - Audit and assurance services fees For 2024 and 2023 the Group recorded charges, billed and accrued, from its independent auditors, and affiliated companies thereof, as set out below: €million 20242023 1Audit services 11.3 2.4 2All other assurance services 0.3 0.1 Total audit and assurance services fees 11.6 2.5 1 Includes one-time fees in connection with the Company’s registration process as a Foreign Private Issuer with the Securities and Exchange Commission, including re-audit fees for 2022 and 2023 in accordance with Public Company Accounting Oversight Board (‘PCAOB’) audit requirements, and extended PCAOB audit procedures for the year-ended 31 December 2024. 2 Fees incurred in connection with other assurance services rendered to the Company and its controlled undertakings as defined by the Regulation (EU) N°537/2014 amounted to EUR 0.3 million (2023: EUR 0.1) and represented CSRD-related assurance services as well as comfort letters issued in connection with the Company’s treasury funding operations. Note 6 - Finance income and costs €million 20242023 Finance income 1Interest income127 51 Finance lease income 5 - 2Net foreign exchange gains4 13 Total 136 64 Finance costs Interest expense on borrowings (excluding amounts capitalised) (104) (86) Other finance costs (25) (17) Amortisation of loan origination costs (10) (3) Total (139) (106) 1 Interest income on term deposits and money market funds: increase in 2024 reflects C-Band Accelerated Relocation Proceeds received (see Note 35) 2 Net foreign exchange gains are mostly related to revaluation of bank accounts, deposits and other monetary items denominated in US dollars. Note 7 - Other non-operating income / expenses €million 2024 2023 Other non-operating income Income from structured financing 17 - Fair value increases on financial assets 1 5 - Total 22 - Other non-operating expenses Fair value losses on other financial assets 1 (1) - Total (1) - 1 Represents fair value increases/ losses on assets included as part of ‘Other financial assets’ in the consolidated statement of financial position and required to be measured at fair value Consolidated financial statements as at and for the year ended 31 December 2024 Note 8 - Income taxes Taxes on income comprise the taxes paid or owed in the individual countries, as well as deferred taxes. Current and deferred taxes can be analysed as follows: €million 20242023 Current income tax Current income tax charge on result of the year (55)(567)Adjustments in respect of prior periods (6) 6 Foreign withholding taxes (9) (8) Total current income tax (70)(569)Deferred income tax Relating to origination and reversal of temporary differences 37 249 Relating to tax losses carried forward 0 340 Changes in tax rate (21) (1) Adjustment of prior years (1)(195)Total deferred income tax 15 393 Income tax expense per consolidated income statement (55)(176)Consolidated statement of changes in equity Current and Deferred Income tax related to items (charged) or credited directly in equity Post-employment benefit obligation 1 - Impact of currency translation (12) 11 Net investment hedge - current tax 4 (6) Tax impact of the treasury shares impairment recorded in the stand-alone financial 20 - statements Tax impact on Perpetual Bond 6 14 Current and deferred income taxes reported in equity 19 19 A reconciliation between the income tax benefit / (expense) and the profit before tax of the Group multiplied by a theoretical tax rate of 27.19% (2023: 27.19%) which corresponds to the Luxembourg domestic tax rate for the year ended 31 December 2024 is as follows: €million 20242023 Profit before tax 82 (728) Multiplied by theoretical tax rate (22)198Effect of different foreign tax rates 8 (8) Tax Exempt Income 5 - Non-deductible expenditures (6)(2)Taxes related to prior years (7)6Effect of changes in tax rate (21) -Other changes in group tax provision not included in separate lines -(3)Impairment on investments in subsidiaries and other assets 7 (167) Impact of deferred taxes (8)(193)Foreign withholding taxes (9)(8)Other (2)1Income tax reported in the consolidated income statement (55)(176) Effect of changes in tax rate As a result of the change in the Luxembourg corporate income tax rate from 27.19% to 26.12% effective from 1 January 2025, the relevant year-end deferred tax assets and liabilities balances have been re-measured. The total impact of re-measurement was an income tax expense of EUR 21 million. Consolidated financial statements as at and for the year ended 31 December 2024 Foreign withholding tax The foreign withholding tax of EUR 9 million includes EUR 4 million of Indian withholding tax retained by customers and paid to the Indian tax authorities. A final decision on Indian withholding taxes is still pending at the level of the Supreme Court. The remaining EUR 5 million relates to withholding tax retained by customers in other jurisdictions. Impact of deferred taxes Considering the estimated future taxable income based on the most recent business plan information and tax losses carried forward in the Luxembourg fiscal unity as of the end of 2024 the Company has concluded that the ITCs recognised in all prior years and current year cannot be fully used due to the 10-year carry forward limitation rule. Therefore, the deferred tax assets for ITCs for the Luxembourg fiscal unity were unrecognized in 2024. Impairment on investments in subsidiaries and other assets The aggregate impact of EUR 7 million mainly comprises the following: • The net impairment charge of EUR 50 million (2023: EUR 453 million) recorded on the carrying value of subsidiary investments and other assets held by entities in Luxembourg resulting in an income tax benefit of EUR 11 million (2023: EUR 123 million). • The net impairment charges of EUR 241 million (2023: EUR 35 million) taken on the carrying value of intercompany receivables held by entities in Luxembourg resulting in an income tax expense of EUR 4 million (2023: tax benefit of EUR 9 million). OECD Pillar Two Regulations The Organisation for Economic Co-operation and Development (OECD)/G20 Inclusive Framework on Base Erosion and Profit Shifting published the Pillar Two model rules designed to address the tax challenges arising from the digitalisation of the global economy. The Group is within the scope of the OECD Pillar Two model rules. Pillar Two legislation was enacted in Luxembourg, the jurisdiction in which the Ultimate Parent Entity is incorporated and came into effect from 1 January 2024. Therefore, the Ultimate Parent Entity applies the Income Inclusion Rule for all jurisdictions where Pillar Two rules were not enacted. The Group applies the exception to recognizing and disclosing information about deferred tax assets and liabilities related to Pillar Two income taxes, as provided in the amendments to IAS 12 issued in May 2023. The top-up tax due under Pillar Two model rules was calculated based on the OECD transitional safe harbour rules except for a smaller jurisdiction where a full-fledged calculation was performed. According to these calculations SES should be liable to a top-up tax of EUR 20 thousand. Note 9 - Deferred tax balances The deferred tax positions included in the consolidated financial statements can be analysed as follows: Deferred tax Deferred tax Deferred tax Deferred tax assets assets liabilities liabilities €million 20242023 20242023 Losses carried forward 654 658 - - Tax credits 20 6 - - Intangible assets 12 16 (134) (110) Tangible assets 5 5 (59) (83) Trade and other receivables 20 17 - - Other 18 5 (47) (48) Total deferred tax assets/(liabilities) 729 707 (240) (241) Offset of deferred taxes (28) (36) 28 36 Net deferred tax assets/(liabilities) 701 671 (212) (205) Consolidated financial statements as at and for the year ended 31 December 2024 Deferred tax assets have been offset against deferred tax liabilities where they relate to the same tax authority and the entity concerned has a legally enforceable right to set off current tax assets against current tax liabilities. Losses carried forward In 2024 the Group recognised a net deferred tax asset (‘DTA’) for tax losses carried forward in Luxembourg of EUR 35 million (2023: EUR 356 million). Tax losses can be carried forward in Luxembourg for 17 years. As a result of the change in the Luxembourg corporate income tax rate from 27.19% to 26.12% effective from 1 January 2025, the year-end deferred tax assets linked to losses carried forward have decreased by EUR 26 million. Using the estimated future taxable income based on the most recent business plan information approved by the Board of Directors, the Company has concluded that the deferred tax assets of EUR 627 million (2023: EUR 618 million) relating to the remaining tax losses are recoverable. The Group has deferred tax assets for tax losses carried forward in Germany for EUR 24 million (31 December 2023: EUR 20 million) which can be carried forward indefinitely. The Group has also recognised deferred tax assets for tax losses carried forward in the United States for EUR 3 million (31 December 2023: EUR 20 million) which can be carried forward for varying period ranging from 10 years to indefinitely. In addition to the recoverable tax losses for which the Group has recognised deferred tax assets, the Group has further tax losses of EUR 578 million as at 31 December 2024 (31 December 2023: EUR 305 million) which are available for offset against future taxable profits of the companies in which the losses arose. EUR 456 million (31 December 2023: 193 million) of these tax losses were generated in the US for state taxes. EUR 88 million (31 December 2023: EUR 86 million) of these tax losses were generated in Israel. EUR 15 million of tax losses (31 December 2023: EUR 8 million) were generated in Ghana. Deferred tax assets have not been recognised in respect of these losses as they cannot be used to offset taxable profits elsewhere in the Group and they have arisen in subsidiaries which are not expected to generate taxable profits against which they could be offset in the foreseeable future. Investment tax credits (‘ITCs’) Considering the total tax losses carried forward and future taxable income based on the most recent business plan information for Luxembourg entities, the Company has concluded that prior and current year ITCs cannot be fully used due to a 10 year carry forward limitation rule. Therefore, no deferred tax asset was recorded in 2024. Considering the total tax losses carried forward and future taxable income based on the most recent business plan information for LuxGovSat S.A., the Company has concluded that LuxGovSat S.A. can recognise a DTA of EUR 14 million for future use of ITCs (2023: EUR 6 million). Other No deferred income tax liabilities have been recognised for withholding tax and other taxes which would be payable on the unremitted earnings of certain subsidiaries. Such amounts are permanently reinvested or not subject to taxation. Consolidated financial statements as at and for the year ended 31 December 2024 Movement in deferred income tax assets and liabilities The movement in deferred income tax assets and liabilities during the year, without taking into consideration the offsetting of balances, is as follows: Deferred tax assets Losses carried forward Tax credits Tangible assets Intangible assets Trade and other receivable s Other Total At 1 January 2023 296 206 - 20 15 5 542 (Charged)/credited to the income statement 363 (200) 5 (4) 3 - 167 Exchange difference 1 (1) - - - (1) - (2) At 31 December 2023 658 6 5 16 17 5 707 (Charged)/credited to the income statement (4) 14 - (4) 2 1 9 Transfers - - - - - 11 11 Exchange difference 1 - - - - 1 1 2 At 31 December 2024 654 20 5 12 20 18 729 Deferred tax liabilities Intangible assets Tangible assets Other Total At 1 January 2023 335 99 43 477 (Charged)/credited to the income statement (217) (14) 5 (226) Exchange difference 1 (8) (2) - (10) At 31 December 2023 110 83 48 241 Charged/(credited) to the income statement 17 (22) (1) (6) Exchange difference 1 7 (2) - 5 At 31 December 2024 134 59 47 240 1 A foreign exchange impact arises due to the translation of Group’s operations with a different functional currency than euro. This amounts to EUR 3 million as at 31 December 2024 (2023: EUR 8 million) Note 10 - Components of other comprehensive income €million 2024 2023 228 (196) Impact of currency translation (12) 11 Income tax effect Total impact of currency translation, net of tax 216 (185) The impact of currency translation in other comprehensive income relates to exchange gains and losses arising on the translation of the net assets of foreign operations from their functional currency to the euro, which is the Company’s functional and presentation currency. The unrealised gain in 2024 of EUR 228 million (2023: unrealised loss of EUR 196 million) reflects the impact on the valuation of SES’s net US dollar assets due to the strengthening of the US dollar against the euro from USD 1.1050 to USD 1.0389 (2023: the weakening of the US dollar against the euro from USD 1.0666 to USD 1.1050). This effect is partially offset by the impact of the net investment hedge (Note 21). Consolidated financial statements as at and for the year ended 31 December 2024 Note 11 - Earnings per share Earnings per share is calculated by dividing the net profit or loss for the year attributable to ordinary shareholders of each class of shares by the weighted average number of shares outstanding during the year as adjusted to reflect the economic rights of each class of share. The net profit or loss for the year attributable to ordinary shareholders has been adjusted to include an assumed coupon, net of tax, on the Perpetual Bonds. For 2024, a basic loss/gain per Class A share and Class B share of EUR nil (2023: basic loss per Class A share of EUR 2.14, basic loss per Class B share of EUR 0.86), have been calculated as follows: Profit/(loss) attributable to the owners of the parent for calculating basic earnings per share, adjusted to include the assumed coupon net of tax: €million 2024 2023 (Loss)/profit attributable to owners of the parent 15 (905) Assumed coupon on Perpetual Bond (net of tax) (15) (36) Total - (941) Split between: 1 Class A shares (in million)- (781) 2 Class B shares (in million)- (160) 1 Calculated as 83% of adjusted loss attributable to owners of the parent, based on the weight of the Class A weighted average number of shares out of the total shares. 2 Calculated as 17% of adjusted loss attributable to owners of the parent, based on the weight of the Class B weighted average number of shares out of the total shares. Assumed coupon accruals of EUR 15 million (net of tax) for the year ended 31 December 2024 (2023: EUR 36 million) related to the Perpetual Bonds in issue have been considered for the calculation of the basic and diluted earnings available for distribution. The weighted average number of shares based on the capital structure of the Company as described in Note 23, net of own shares held, and adjusted to reflect the relative economic rights of the Class A shares and Class B shares for calculating basic earnings per share was as follows: 2024 2023 Class A shares (in million) 351.7 364.8 1Class B shares (in million)72.9 74.3 Total 424.6 439.1 1 Weighted average number of Class B shares of 182.3 (in million), net of own shares held, was multiplied by 40% considering the relative economic rights. Diluted earnings per share is calculated by adjusting the weighted average number of ordinary shares outstanding to assume conversion of all dilutive potential ordinary shares which are primarily related to the share-based compensation plans. A calculation is done to determine the number of shares that could have been acquired at fair value based on the monetary value of the subscription rights attached to outstanding share options. The number of shares calculated as above is compared with the number of shares that would have been issued assuming the exercise of the share options and the difference, if it results in a dilutive effect, is considered to adjust the weighted average number of shares. Consolidated financial statements as at and for the year ended 31 December 2024 For 2024, a diluted loss/gain per Class A share and Class B share of EUR nil (2023: diluted loss per Class A share of EUR 2.14, diluted loss per class B share of EUR 0.86 ), have been calculated as follows: €million 2024 2023 Loss attributable to owners of the parent 15 (905) Assumed coupon on Perpetual Bonds (net of tax) (15) (36) Total - (941) Split between: 1 Class A shares (in million)- (781) 2 Class B shares (in million)- (160) 1 Calculated as 83% of adjusted loss attributable to owners of the parent, based on the weight of the Class A weighted average number of shares out of the total shares. 2 Calculated as 17% of adjusted loss attributable to owners of the parent, based on the weight of the Class B weighted average number of shares out of the total shares. The weighted average number of shares, net of own shares held, and adjusted in order to reflect the relative economic rights of the Class A shares and Class B shares for calculating diluted earnings per share was as follows: 22024 2023Class A shares (in million) 356.2 364.8 1Class B shares (in million)72.9 74.3 Total 429.1 439.1 1 Weighted average number of Class B shares of 182.3 (in million), net of own shares held, was multiplied by 40% considering the relative economic rights. 2 Weighted average number of Class A shares and Class B shares has been revised in order to exclude anti-dilutive effects. Note 12 - Dividends paid and proposed Dividends declared are paid net of any withholding tax (2024: EUR 36 million, 2023: EUR 25 million). Gross dividends declared and paid during the year: €million 2024 2023 Class A dividend for 2023 paid in April: EUR 0.50 (2022: EUR 0.50) 186 186 Class B dividend for 2023 paid in April: EUR 0.20 (2022: EUR 0.20) 37 37 Class A interim dividend for 2024 paid in October: EUR 0.25 (2022: EUR 0.50) 93 - Class B interim dividend for 2024 paid in October: EUR 0.10 (2022: EUR 0.20) 19 - Total 335 223 Dividends proposed for approval at the annual general meeting to be held on 3 April 2025, which are not recognised as a liability as at 31 December 2024: €million 2025 Class A dividend for 2024: EUR 0.25 93 Class B dividend for 2024: EUR 0.10 19 Total 112 Consolidated financial statements as at and for the year ended 31 December 2024 Note 13 - Property, plant and equipment Other fixtures & fittings, Land and Space tools and €millionbuildings segment Ground Segment equipment Total Cost As at 1 January 2024 281 10,241 767 300 11,589 Additions 2 23 22 8 55 Disposals - - - (3) (3) 1Retirements(26) (707) (128)(68)(929) Transfers from assets in course of 17 950 82 14 1,063 construction (Note 14)2Other movements20 2 (21) 7 8 Impact of currency translation 7 321 21 8 357 As at 31 December 2024 301 10,830 743 266 12,140 Depreciation As at 1 January 2024 (209) (7,536) (564)(238)(8,547) Depreciation (10) (557) (57)(26)(650) Impairment expense - (290) --(290) Impairment reversal - 74 --74 Disposals - - - 2 2 1Retirements25 707 126 68 926 Transfer of impairment from assets in - (434) - - (434) course of construction (Note 14) 2Other movements(7) (2) 15 (15) (9) Impact of currency translation (5) (258) (17)(8)(288) As at 31 December 2024 (206) (8,296) (497)(217)(9,216) Net book value as at 31 December 95 2,534 246 49 2,924 2024 1 Satellites ASTRA 2C, Ciel-2, and NSS-7 were deorbited in 2024 2 Other movements include presentational adjustments and transfers between categories Other fixtures and fittings, tools Land and Space and €millionbuildings segment Ground Segment equipment Total Cost As at 1 January 2023 300 11,368 902 312 12,882 Additions - 13 9 5 27 1Disposals(8) (151) (3) (6) (168) 2Retirements(9) (805) (154)(25)(993) Transfers from assets in course of 2 8 30 14 54 construction (Note 14)Impact of currency translation (4) (192) (17) - (213) As at 31 December 2023 281 10,241 767 300 11,589 Depreciation As at 1 January 2023 (215) (8,118) (675)(244) (9,252)Depreciation (13) (503) (57)(30)(603) Impairment expense - (56) --(56) Impairment reversal - 30 --30 1Disposals8 151 3 6168 Consolidated financial statements as at and for the year ended 31 December 2024 Other fixtures and fittings, tools Land and Space and €millionbuildings segment Ground Segment equipment Total 2Retirements9 805 154 25 993 Impact of currency translation 2 155 11 5 173 As at 31 December 2023 (209) (7,536) (564) (238) (8,547) Net book value as at 31 December 72 2,705 203 62 3,042 2023 1 Sale of AMC-11 2 Satellites ASTRA 1G, ASTRA 2D, AMC-18, AMC-1, AMC-4, and NSS-6 were deorbited in 2023 The Group’s policy in setting the useful economic life of its satellites is to initially use the satellite design life and then, once sufficient time has passed to allow for initial anomalies to be investigated and future fuel projections to be stabilised, to adjust the depreciation life to take into account factors such as the technical condition of the satellite, its projected remaining fuel life, and replacement or redeployment plans. The review in 2024 resulted in a revision to the remaining useful economic lives of one GEO satellite but did not have a significant impact on 2024 depreciation expense due to the low net book value of the satellite concerned. The review in 2023 resulted in no revisions to the remaining useful economic lives of any GEO satellites. As at 31 December 2024 the amount of the property, plant and equipment pledged in relation to Group liabilities was nil (2023: nil). For further information related to right-of-use assets, see Note 32. Impairment of space segment assets In 2024 the net impairment expense recorded for space segment assets was EUR 216 million (2023: EUR 26 million), with EUR 290 million of impairment charges (2023: EUR 56 million) being offset by EUR 74 million in reversals of previous impairment charges (2023: EUR 30 million). The charges and reversals are the aggregation of impairment testing procedures on specific satellites, or combinations of co-located satellites, in the Group’s geostationary fleet and are caused by changes in the underlying business plans for these assets as compared to the prior year, and also the higher discount rate applied to assets with predominantly USD cash inflows. As discussed in Note 2, from 1 January 2024 the Group performs an impairment test on space segment assets together with orbital slot rights. The following table discloses the applicable amounts and post-tax discount rates used in the impairment test for those geostationary satellites and orbital slot rights subject to impairment charges or reversals during 2024. €million Value-in-use Discount rate Satellite Slot impairment impairment 2024 – GEO Charges 750 8.9% 237 93 2024 – GEO Reversals 1,005 6.8% - 8.9% (74) (186) 2024 – MEO Charges 1,419 8.9% 53 - 2024 – Net Impact 216 (93) As discussed in Note 2, in relation to the disaggregation of CGUs, management has begun to use currency-based discount rates in line with the underlying cash flows of the assets tested. For 2023, the following table discloses the applicable amounts and pre-tax discount rates used in the impairment test for those geostationary satellites subject to impairment charges or reversals. Consolidated financial statements as at and for the year ended 31 December 2024 €million Value-in-use Discount rate Satellite impairment 2023 – GEO Charges 540 7.1% - 10.5% 56 2023 – GEO Reversals 177 10.5% (30) 2023 – Net Impact 26 The impairment charges and reversals recorded reflect updated business assumptions for the satellites through to the end of their useful economic lives. In general, these updated assumptions reflect a combination of revised commercial developments and expectations, updated assessments of the regulatory environment impacting certain assets (and hence the Group’s ability to achieve the forecast commercial exploitation), changes in the competitive environment in which the Group operates, and certain changes in the operation of the satellites (for example the decision to place a particular satellite into inclined orbit, or changes to the timing thereof) or associated ground segment infrastructure. As part of standard impairment testing procedures, the Group assesses the impact of changes in the discount and growth rates and reductions in cash flows. Discount and growth rates are simulated up to 1% below and above the CGU’s specific rate used in the base valuation and cash flows projections are simulated up to 5% below and above the base valuation. In this way a matrix of valuations is generated, which reveals the potential exposure to impairment expenses based on movements in valuation parameters which are within the range of outcomes foreseeable at the valuation date. For GEO satellites and orbital slot rights taken together, the most recent testing showed that a 1% decrease in the declining growth rates would increase the impairment by EUR 15 million. A 1% increase in the after-tax discount rate would increase the impairment by EUR 49 million. Taken together, a 1% increase in the after-tax discount rate and a 1% decrease in the declining growth rates would increase the impairment by EUR 64 million. Taken separately from changes in discount and declining growth rates, a 5% reduction in cash flows would increase the impairment by EUR 61 million. For MEO satellites, the most recent testing showed that a 1% decrease in the declining growth rates would increase the impairment by EUR 40 million. A 1% increase in the after-tax discount rate would increase the impairment by EUR 85 million. Taken together, a 1% increase in the after-tax discount rate and a 1% decrease in the declining growth rates would increase the impairment by EUR 122 million. Taken separately from changes in discount and declining growth rates, a 5% reduction in cash flows would increase the impairment by EUR 73 million. Note 14 - Assets in the course of construction Fixtures, Land and Space Ground tools & €millionBuildings segment segment equipment Total Cost and net book value as at 1 January 2024 15 1,367 150 18 1,550 Movements in 2024 1Additions4 325 51 17 397 2Transfers to assets in use (Note 13)(17)(516)(82)(14)(629) Transfers from/(to) intangible assets (Note 15) (2)-(16) - (18) Transfers from/(to) inventory --(20) 10 (10) Impact of currency translation -552 1 58 Cost and net book value as at 31 December 2024 0 1,23185 32 1,348 1 Additions mainly related to SES-24, SES-25, SES-26, O3b mPOWER, C-band 2 Includes transfer EUR 434 million of assets in the course of construction impairment booked in 2023 Consolidated financial statements as at and for the year ended 31 December 2024 Fixtures, Land and Space Ground tools & €millionBuildings segment segment equipment Total Cost and net book value as at 1 January 2023 8 1,675 159 17 1,859 Movements in 2023 1Additions9 170 43 17 239 Transfers to assets in use (Note 13) (2) (8) (30) (14) (54) Transfers from/(to) intangible assets (Note 15) - - (20) - (20) Impairment - (425) - - (425) Impact of currency translation - (45) (2) (2) (49) Cost and net book value as at 31 December 2023 15 1,367 150 18 1,550 1 Additions mainly related to O3b mPOWER, SES-24, SES-25, SES-26, C-band, partly offset by C-band reimbursable space segment cost of EUR 36 million and ground segment cost of EUR 2 million Borrowing costs of EUR 16 million (2023: EUR 28 million) arising from financing specifically relating to satellite procurements were capitalised during the year and are included under ‘Space segment’ additions in the table above. A weighted average effective rate of 3.45% (2023: 3.10%) was used, representing the Group’s average weighted cost of borrowing. Excluding the impact of loan origination costs and commitment fees, the average weighted interest rate was 3.14% (2023: 2.97%). The main space segment additions in 2024 were for: • O3b mPOWER at EUR 159 million (2023: EUR 85 million); • replacements satellites for the orbital positions 19.2°E and 57°E for EUR 129 million (2023: EUR 71 million); described in Note 30; and, • additions of EUR 34 million in respect of C-band in-kind reimbursements of EUR 22 million and reimbursement denial of EUR 11 million (2023: EUR 48 million additions substantially offset by EUR 36 million of C-band reimbursements). See Note 35. Concerning the additions for the C-band repurposing, these are included in the Group’s assets in the course of construction space segment and included in ‘Payments for purchases of tangible assets’ within the consolidated statement of cash flows, only to the extent that payments were made to the suppliers. C-band reimbursements in respect of capital expenditures are presented in Note 35. In 2023, in conjunction with the annual impairment test, SES recorded an impairment charge of EUR 425 million against the assets under construction related to certain mPOWER satellites, reflecting technical issues arising on those satellites during on-orbit testing and the impact of those on the commercialisation assumptions of the overall programme. No impairment charge to assets in the course of construction was required as a result of the 2024 impairment test. Consolidated financial statements as at and for the year ended 31 December 2024 Note 15 - Intangible assets Internally Orbital slot GoOrbital slot Other generated licence rights odlicence rights Customer definite life developme€million(indefinite-life) will (definite life) relationships intangibles nt costs Total Cost As at 1 January 2024 2,124 140 234 292 462 22 3,274 Additions - - 1-418 23 Disposals - - - - -- - 1Retirement- - (80) -(158)-(238)Transfer to definite life (2,124) -2,134-(10)-- Transfers - - - - 45(27)18from/(to) assets in course of construction Impact of currency translation -3117 (5)41 120 As at 31 December 2024 0 1432,406 287 34714 3,197 Amortisation As at 1 January 2024 (1,798) -(127)(27)(402)-(2,354)Amortisation - - (72)(31)(53)-(156)Impair-- - 93 --- 93ment reversals 1Retirement- - 80 -158-238Transfer to 1,798 -(1,798)----definite life Impact of currency translation - - (105)(3)(2)-(110)As at 31 December 2024 - - (1,929)(61)(299)-(2,289)Net book value as at 31 December 2024 -143477 226 48 14 908 1 Orbital slot retirements related to 85°W, 105.5°W, 68.5°W, 65°E, 63°E, and certain rights at 129°WInternally Orbital slot Orbital slot Other generated licence rights Goodwlicence rights Customer definite life developme€million(indefinite-life) ill (definite life) relationships intangibles nt costs Total Cost As at 1 January 2023 2,193 2,740 234 292 507 51 6,017 Additions - - -2 20 22 Disposals - - - - - - - 1Retirement-(2,500)- - (111) -(2,611)Transfers --- - 69 (49)20from/(to) assets in course of construction Impact of currency translation (69)(100)- - (5) -(174)As at 31 December 2023 2,124 140234 292 462 22 3,274 Consolidated financial statements as at and for the year ended 31 December 2024 Amortisation As at 1 January 2023 (139) (1,002) (113) (8) (464) - (1,726) Amortisation - - (13) (19) (57) - (89) Impairment (1,677) (1,548) - - - - (3,225) 1Retirement- 2,500 - - 111 - 2,611 Impact of currency translation 18 50 (1) - 8 - 75 As at 31 December 2023 (1,798) - (127) (27) (402) - (2,354) Net book value as at 31 December 2023 326 140 107 265 60 22 920 1 Goodwill retirements of the period relate primarily to those elements of brought forward goodwill from which no future economic benefits are expected. This includes all goodwill associated with the GEO North America, GEO International and MEO cash-generating units. Similarly, the retirements of fully amortised other definite life intangibles represent items from which no future economic benefits are expected. Definition of cash-generating units for intangible assets As described in Note 2, as of 1 January 2024 management has aggregated the individual slot-satellite GEO CGUs into a single global GEO CGU for goodwill impairment testing purposes (“GEO CGU”). Management continues to identify the Group’s MEO assets and operations as a separate CGU (“MEO CGU”). The Group’s business plan is approved by the Board of Directors based on consolidated data. The consolidated data is in turn based on separate data prepared for each legal entity of the Group (see Note 38). To prepare business plans for the GEO and MEO CGUs, management allocates revenues, expenses, and other cash flows based on a detailed analysis of the nature of the inflow or outflow. Due to their nature, some expenditures are allocated based on an allocation matrix based on other criteria. Discount rates applied The post-tax discount rates for each CGU are presented below: 2024 2023 GEO CGU 8.07% - GEO Europe - 6.83% GEO North America - 8.57% GEO International - 8.53% MEO CGU 8.89% 8.51% These discount rates were computed using market interest rates and commercial spreads, the capital structure of businesses in the Group’s business sector, and the risk profile of the businesses concerned. Specific risks relating to certain cash flows are taken into account in the development of the cash flow forecasts. Perpetual Growth Rate (‘PGR’) assumptions The PGR for GEO was calculated at -2.0%. In 2023, separate perpetual growth rates were calculated for the GEO regions as follows: Europe -1.5%, North America -5.2%, and International -1.9%. Consolidated financial statements as at and for the year ended 31 December 2024 For MEO, in 2023, management applied a ‘fading growth statistical model’, or ‘H-model’. Under this model, following the five-year business plan period, cash flows were expected to continue to grow at a higher rate for a time, which then reduces for a period until the perpetual growth rate is reached. Management believed this was a valid assumption as the MEO fleet, specifically the mPOWER fleet which was in the middle of its launch campaign, would not reach its maximum utilisation projection until after the business plan period. In line with growth projections at the end of the prior business plan period, management selected +5.0% as the higher growth rate, which reduced on a straight-line basis over nine years until the perpetual growth rate is reached. The perpetual growth rate used for MEO was +3.0%. In 2024, as discussed in Note 2, the Group changed its estimate of the economic useful life of the MEO orbital slot rights from an indefinite life to a definite life in the second half of 2024. Accordingly, the H-model, which assumes an indefinite life, no longer applies. Therefore, management applied a -3.8% declining growth rate through the assumed end of life of the mPOWER fleet in 2037, reflecting its estimate of price erosion on a static fleet size, with no perpetual capital expenditures or other cash flows thereafter. These rates reflect the most recent long-term planning assumptions approved by the Board of Directors and can be supported by reference to the trading performance over a longer period and incorporate also projected growth rates for wide-beam and high-throughput satellites markets from external data sources. Impairment charges recorded for 2024 i Goodwill As a result of the impairment tests conducted as of 31 December 2024, no impairment charges against goodwill were recorded (2023: EUR 1,548 million). The balance of the Group’s goodwill is EUR 143 million (2023: EUR 140 million attributable to the former GEO Europe CGU) and allocable to the GEO CGU. Goodwill in the MEO CGU, as well as in the former GEO North America and GEO International CGUs, were fully impaired in the prior period. As part of standard impairment testing procedures, the Group assesses the impact of changes in the discount and growth rates and reductions in cash flows. Discount and growth rates are simulated up to 1% below and above the CGU’s specific rate used in the base valuation and cash flows projections are simulated up to 5% below and above the base valuation. In this way a matrix of valuations is generated, which reveals the potential exposure to impairment expenses based on movements in valuation parameters which are within the range of outcomes foreseeable at the valuation date. For the GEO CGU, the most recent testing showed that there would be no impairment even applying the most adverse combination of developments (a 1% increase in after-tax discount rates and a 1% decrease in the perpetual growth rate). Taken separately from changes in discount and perpetual growth rates, a 5% reduction in cash flows would also not lead to an impairment expense. ii Orbital slot rights The cash flows from GEO orbital slot rights are inseparable from the satellites located in those orbital positions, and thus are tested as slot-satellite CGUs. MEO orbital slot rights are tested for impairment together with the MEO satellites in use and under construction. Management applies the post-tax discount rate set out in Note 13 based on the currency of the underlying cash flows at the orbital location.In 2024, the net impairment reversal recorded for orbital slot licence rights was EUR 93 million (2023: EUR 1,677 million charge), with EUR 93 million of impairment charges (2023: EUR 1,677 million) offsetting EUR 186 million in reversals of previous impairment charges (2023: nil). The pre-tax discount rates applied in the prior year were 9.4% to 12.6%. The charges and reversals are the aggregation of impairment testing procedures on specific orbital slot rights used by the Group’s geostationary fleet and are caused by the disaggregation of the former regional grouping of orbital slot rights, changes in the underlying business plans for these rights as compared to the prior year, and the higher discount rate applied to rights with predominantly USD cash inflows. As the Group now tests its orbital slot rights together with its satellites, the applicable amounts and discount rates for orbital slot rights for 2024 are presented together with the same information for satellites in Note 13. As part of standard impairment testing procedures, the Group assesses the impact of changes in the discount and growth Consolidated financial statements as at and for the year ended 31 December 2024 rates and reductions in cash flows. Discount and growth rates are simulated up to 1% below and above the CGU’s specific rate used in the base valuation and cash flows projections are simulated up to 5% below and above the base valuation. In this way a matrix of valuations is generated, which reveals the potential exposure to impairment expenses based on movements in valuation parameters which are within the range of outcomes foreseeable at the valuation date. See Note 13 for the sensitivity analysis on GEO orbital slot licence rights as they are grouped with GEO satellites. MEO orbital slot licence rights were fully impaired in 2023. iii Definite-life intangible assets The definite-life intangible assets as at 31 December 2024 have a net book value by country as presented below: 2024 €million Orbital slot licence rights Customer relationships Other United States of America 116 226 8 Luxembourg 143 - 44 Netherlands 169 - - Sweden 39 - - Brazil 7 - 1 Germany - - 6 Other 3 - 3 Total 477 226 62 The definite-life intangible assets as at 31 December 2023 have a net book value by country as presented below: 2023 €million Orbital slot licence rights Customer relationships Other United States of America - 265 3 Luxembourg 105 - 46 Brazil 2 - 1 Germany - - 9 Other - - 1 Total 107 265 60 As at 31 December 2024, the amount of the intangible assets pledged in relation to the Group’s liabilities is nil (2023: nil). Note 16 - Other financial assets At initial recognition, the group measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss (FVTPL), transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at FVTPL are expensed in profit or loss. Changes in the fair value of financial assets at FVTPL are recognised in ‘Other non-operating income / expenses ’ in the statement of profit or loss as applicable (refer to Note 7). €million 2024 2023 Other financial assets include the following: Listed equity securities 1 1 Other equity securities 19 16 Other financial assets 14 3 34 20 Consolidated financial statements as at and for the year ended 31 December 2024 Note 17 - Inventories €million 2024 2023 Current assets Work in progress 9 9 Finished goods 40 46 49 55 ‘Work in Progress’ represents equipment being prepared for delivery to the Group’s customers whereas ‘Finished goods’ is the available on-hand equipment ready for deliver to customers. In 2024 the Group recognised an inventory provision of EUR 7 million (2023: reversal of EUR 1 million of the previous inventory provision) based on stock movements in the period. The adjustments have been included in cost of sales in the consolidated income statement. Note 18 - Assets and liabilities related to contracts with customers The Group has recognised the following assets and liabilities related to contracts with customers: €million 2024 2023 Current contract assets 429 405 Trade receivables (80) (96) Provision for trade receivables 349 309 Trade receivables, net of provisions 139 100 Unbilled accrued revenue (4) (3) Provision for unbilled accrued revenue 135 97 Unbilled accrued revenue, net of provisions 2 2 Deferred customer contract costs 486 408 Non-current contract assets Unbilled accrued revenue 137 102 Provision for unbilled accrued revenue (30) (15) Unbilled accrued revenue, net of provisions 107 87 Deferred customer contract costs 1 3 108 90 Current contract liabilities Deferred income 225 224 Non-current contract liabilities Deferred income 338 337 The following table shows the movement in deferred income recognised by the Group: €million Non-current Current As at 1 January 2024 337 224 Revenue recognised during the year -(1,884)New billings - 1,810 Other movements (12) 70 Impact of currency translation 13 5 As at 31 December 2024 338 225 * Other movements include reclassifications (between current and non-current, upfront and deferred, as well as against trade receivables) Consolidated financial statements as at and for the year ended 31 December 2024 €million Non-current Current As at 1 January 2023 359 189 Revenue recognised during the year - (1,609) New billings - 1,671 Other movements (15) (26) Impact of currency translation (7) (1) As at 31 December 2023 337 224 * Other movements include reclassifications (between current and non-current, upfront and deferred, as well as against trade receivables) Note 19 - Trade and other receivables €million 2024 2023 Trade receivables, net of provisions 349 309 Unbilled accrued revenue, net of provisions 242 184 Other receivables 165 454 Total trade and other receivables 756 947 Financial receivables 726 912 Non-financial receivables 30 35 Of which: Non-current 107 87 Current 649 860 Unbilled accrued revenue represents revenue recognised, but not billed, under long-term customer contracts. Billing will occur based on the terms of the contracts. The non-current balance represents entirely unbilled accrued revenue. Other receivables include EUR 87 million (2023: EUR 350 million) to be received as part of the C-band repurposing project (refer to Note 35). An amount of EUR 6 million (2023: EUR 12 million) was expensed in 2024 reflecting a decrease in the impairment of trade and other receivables. This amount is recorded in ‘Other operating expenses’ and includes a reversal of provision of EUR 33 million (2023: EUR 30 million) mainly related to cash collections in respect of trade receivable balances previously provisioned. As at 31 December 2024, trade and other receivables with a nominal amount of EUR 114 million (2023: EUR 114 million) were impaired. Movements in the provision for the impairment of trade and other receivables were as follows: €million 20242023 As at 1 January 114 114 Increase in provision 39 42 Reversals of provision (33) (30) Utilised (10) (5) Other movements - (3) Impact of currency translation 4 (4) As at 31 December 114 114 Note 20 - Financial instruments Fair value estimation and hierarchy The Group uses the following hierarchy levels for determining the fair value of financial instruments by valuation technique: i Level 1 - Quoted prices in active markets for identical assets or liabilities; ii Level 2 - Other techniques for which all inputs which have a significant effect on the recorded fair value are observable either directly or indirectly; iii Level 3 - Techniques which use inputs which have a significant effect on the recorded fair value that are not based on observable market data. Consolidated financial statements as at and for the year ended 31 December 2024 The fair value of investments that are actively traded in organised financial markets is determined by reference to quoted market bid prices at the close of business on the reporting date. For investments where there is no active market, fair value is determined using valuation techniques. Such techniques include using recent arm’s-length market transactions; reference to the current market value of another instrument, which is substantially the same; discounted cash flow analysis and option pricing models. The fair value of forward exchange contracts is calculated by reference to current forward exchange rates for contracts with similar maturity profiles. As at 31 December 2024 and 2023, the Group does not have any financial derivatives outstanding. Fair values The fair value of borrowings has been calculated with the quoted market prices except for the LuxGovSat Fixed Term Loan Facility, SES Astra 1P Fixed Term Loan Facility, and SES Satellites Ventures Floating Term Loan Facility, for which the discounted expected future cash flows at prevailing interest rates has been used. The fair value of foreign currency contracts is calculated by reference to current forward exchange rates for contracts with similar maturity profiles. All borrowings are measured at amortised cost. Unless otherwise stated, the fair value of each class of financial assets and liabilities measured at amortised cost approximates their carrying amount. To that effect, for instruments carried at amortised cost, the Group determined that the fair value at origination date approximates the carrying amount, either due to the short-term nature of the instruments, or because the stated rates are close to the prevailing market rates and / or there were no significant origination costs at origination date. Set out below is a comparison by category of carrying amounts and fair values of all the Group’s financial instruments that are carried in the financial statements. € million Carried at fair value Carried at amortised cost At 31 December 2024 2023 2024 2023 Financial receivables - - 726 912 Cash and cash equivalents - - 3,521 2,907 Other financial assets 34 20 - - Total assets 34 20 4,247 3,819 Borrowings – Level 1 - - 4,127 3,943 Borrowings – Level 2 - - 393 216 Borrowings - - 4,520 4,159 Lease liabilities - - 51 39 Fixed asset suppliers - - 610 768 Other long-term liabilities - - 55 83 Financial liabilities - - 663 359 Total liabilities - - 5,899 5,408 * Level 2 hierarchy measurement ** Fair value of the borrowings in 2024 is EUR 4,137 million (2023: EUR 3,880 million) *** Fair value of the fixed asset suppliers in 2024 is EUR 592 million (2023: EUR 752 million) Consolidated financial statements as at and for the year ended 31 December 2024 Note 21 - Financial risk management objectives and policies The Group’s financial instruments comprise: a syndicated loan, Eurobonds, US dollar bonds (144A), a Euro-dominated Private Placement, German Bonds (‘Schuldschein’), deeply-subordinated loans, committed credit facilities for specified satellites and projects, cash, money market funds and short-term deposits. The main purpose of the debt instruments is to raise funds to finance the Group’s day-to-day operations, as well as for other general business purposes. The Group has various other financial assets and liabilities such as trade receivables and trade payables, which arise directly from its operations. The main risks arising from the Group’s financial instruments are liquidity risks, foreign currency risks, interest rate risks and credit risks. The general policies are periodically reviewed and approved by the board. 1 Liquidity risk The Group’s objective is to efficiently use cash generated to maintain borrowings at an appropriate level. In case of liquidity needs, the Group can call on commercial paper programs, committed syndicated and EIB loan, uncommitted loans. In addition, if deemed appropriate based on prevailing market conditions, the Group can access additional funds through the European Medium-Term Note programme. The Group’s debt maturity profile is tailored to allow the Company and its subsidiaries to cover repayment obligations as they fall due. The Group operates a centralised treasury function which manages, amongst others, the liquidity of the Group to optimise the funding costs. This is supported by a daily cash pooling mechanism. Liquidity is monitored regularly through a review of cash balances, the drawn and issued amounts and the availability of additional funding under committed credit lines, the commercial paper programme and the EMTN Programme (EUR 6,752 million as at 31 December 2024 and EUR 4,560 million as at 31 December 2023 - more details in Note 26). The table below summarises the projected contractual undiscounted cash flows of the non-derivative financial liabilities based on the maturity profile as at 31 December 2024 and 2023. Within Between After €million Total 1 year 1 and 5 years 5 years As at 31 December 2024: Borrowings 273 2,509 1,773 4,555 Future interest commitments 160 552 638 1,350 Trade and other payables 663 - - 663 Other long-term liabilities - 56 - 56 Lease liabilities 19 28 8 55 Fixed assets suppliers 184 426 - 610 Total maturity profile 1,299 3,571 2,419 7,289 As at 31 December 2023: Borrowings 716 1,989 1,479 4,184 Future interest commitments 133 347 580 1,060 Trade and other payables 359 - - 359 Other long-term liabilities - 83 - 83 Lease liabilities 17 19 9 45 Fixed assets suppliers 455 313 - 768 Total maturity profile 1,680 2,751 2,068 6,499 2 Foreign currency risk SES is active in markets outside the Eurozone, with business operations in many locations throughout the world. The Group's main exposures to foreign currency at the end of the reporting period are in respect of balances denominated in US dollars related to cash and cash equivalents (2024: EUR 2,338 million; 2023: EUR 2,169 million), intercompany balances (2024: EUR -2,048 million; EUR -1,859 million) and fixed assets suppliers (2024: EUR -192 million; EUR -342 million). Consolidated financial statements as at and for the year ended 31 December 2024 The aggregate net foreign exchange gains/ losses recognised in profit or loss were: 2024 2023 Net foreign exchange gain included in main currencies 2 3 Net foreign exchange gain/ (loss) included in other currencies -1 2 Net foreign exchange gain included in foreign exchange transactions 4 8 Total 5 13 SES uses certain financial instruments to manage its exposure to fluctuations in foreign currency exposure rates. Examples used to mitigate such exposures are the spot or forward buying and selling of foreign currencies, creating natural hedges (for example intercompany loans, quasi-equity qualification of such intercompany loans, intercompany dividend distributions), and external hedging, whereby speculative foreign exchange trading is disallowed under internal policies. The Group may enter into forward currency contracts to eliminate or reduce the currency exposure arising from individual capital expenditure projects such as satellite procurements, tailoring the maturities to each milestone payment to maximise effectiveness. Depending on the functional currency of the entity with the capital expenditure commitment, the foreign currency risk may be in euro or in US dollar. The forward contracts are in the same currency as the hedged item and can cover up to 100% of the total value of the contract. The Group has a corresponding exposure in the consolidated income statement, excluding the impacts of C-band repurposing, of EUR 1,209 million or 60.4% of the Group’s revenue and other income (2023: EUR 1,239 million or 60.9%) and EUR 492 million or 45.0% of its operating expenses (2023: EUR EUR 567 million or 54.0%) being denominated in US dollars. 3 Hedge of net investment in foreign operations As at 31 December 2024 and 2023, certain borrowings denominated in US dollars were designated as hedges of the net investments in SES Global Americas Inc. in 2023 and SES Americom Inc. in 2024, following 2024 mergers of SES Global Americas Inc. into SES Global Americas Holdings Inc., which then merged into SES Americom Inc. and its subsidiaries (‘SES Americas’), SES Holdings (Netherlands) BV and its subsidiaries (‘SES Netherlands’) and MX1 Limited to hedge the Group’s exposure to foreign exchange risk on these investments. As at 31 December 2024, all designated net investment hedges were assessed to be highly effective and a total gain of EUR 11 million, stated net of tax of EUR 4 million is included as part of other comprehensive income for the period (2023: gain of EUR 16 million, stated net of tax of EUR 6 million). The following table sets out the hedged portion of USD statement of financial position exposure as at 31 December: 2024 2023 $million USD statement of financial position exposure: SES Americas 225 281 SES Netherlands 1,797 1,899 MX1 Limited, Israel 17 30 Total 2,039 2,210 Hedged with: US Bonds 250 750 Total 250 750 Hedged proportion 12% 34% The following table demonstrates the sensitivity to a +/- 20% change in the US dollar exchange rate on the nominal amount of the Group’s US dollar net investment, with all other variables held constant. All value changes are eligible to be recorded in other comprehensive income with no impact on profit and loss. 2024 was marked by EUR/USD fluctuation. The macro-outlook and global uncertainties along with worries regarding high energy prices and inflation result in the maintenance of a wide sensitivity range. Consolidated financial statements as at and for the year ended 31 December 2024 Amount in EUR Amount in EUR Amount in EUR Amount in million at closing million at rate million at rate 31 December 2024 USD million rate of 1.04 of 1.25 of 0.83 USD statement of financial position exposure: SES Americas 225 217 180 272 SES Netherlands 1,797 1,730 1,438 2,166 MX1 Limited, Israel 17 16 14 20 Total 2,039 1,963 1,632 2,458 Hedged with: US Bonds 250 241 200 301 Other external borrowings - - - - Total 250 241 200 301 Hedged proportion 12% Absolute difference without hedging (331) 494 Absolute difference with hedging (291) 433 Amount in EUR Amount in EUR Amount in EUR Amount in million at closing million at rate million at rate 31 December 2023 USD million rate of 1.105 of 1.33 of 0.88 USD statement of financial position exposure: SES Americas 281 255 212 320 SES Netherlands 1,899 1,718 1,428 2,158 MX1 Limited, Israel 30 27 22 34 Total 2,210 2,000 1,662 2,512 Hedged with: US Bonds 750 679 564 852 Other external borrowings - - - - Total 750 679 564 852 Hedged proportion 34% Absolute difference without hedging (338) 512 Absolute difference with hedging (223) 339 4 Interest rate risk The Group’s exposure to market interest rate risk relates primarily to its debt portion at floating rates. In order to mitigate this risk, the Group generally contracts its debt at fixed rates, and monitors carefully the evolution of market conditions, adjusting the mix between fixed and floating rate debt if necessary. To mitigate the Group’s interest rate risk in connection with near-term debt refinancing needs, the Group may from time to time enter into interest rate hedges. As per 31 December 2024 and 31 December 2023, the Group had no interest rate hedges outstanding. The table below summarises the split of the carrying amount of the Group’s debt between fixed and floating rate. At fixed At floating €million rates rates Total Borrowings at 31 December 2024 4,510 10 4,520 Borrowings at 31 December 2023 4,009 150 4,159 As of 31 December 2023, the interest rate applying to the floating rate instrument (EUR 150 million German bond) has been fixed through to its maturity date in June 2024. Thus, there is no residual interest-rate risk on this floating rate instrument. Consolidated financial statements as at and for the year ended 31 December 2024 Euro interest rates Floating Increase in rates Decrease in rates €million rate borrowings Pre-tax impact Pre-tax impact Borrowings at 31 December 2024 10 0.0 - Borrowings at 31 December 2023 150 0.0 - The Group’s debt portion at floating rate is a USD denominated junior loan. The interest rate risk was calculated based on prognosis for USD fluctuations. 5 Customer credit risk The Group has the following types of financial assets subject to the ‘expected credit loss’ model: trade receivables; unbilled accrued revenue; and, C-band repurposing reimbursement receivables. It is the Group’s policy that all customers who wish to trade on credit terms are subject to credit verification procedures. To measure expected credit losses on trade receivables and unbilled accrued revenue, they are grouped based on shared credit risk characteristics, country and days past due. Unbilled accrued revenues have substantially the same risk characteristics as trade receivables for the same types of contracts and so management believes that the expected loss rates for trade receivables are a reasonable approximation of those for unbilled accrued revenue. The credit verification procedures in relation to trade receivables and unbilled accrued revenue include the assessment of the creditworthiness of the customer by using sources of quality information such as external specialist reports, audited annual reports, press articles or rating agencies. Should the customer be a governmental entity, the official debt rating of the respective country is a key driver in determining the appropriate credit risk category. Following this credit analysis, the customer is classified into a credit risk category which can be as follows: ‘Prime’ (typically publicly rated and listed entities), ‘Market’ (usually higher growth companies with higher leverage), ‘Sub- prime’ (customers for which viability is dependent on continued growth with higher leverage), or Government (governments or governmental institutions, subject to the corresponding country meeting minimum credit rating criteria). The credit profile is updated at least once a year for all key customers with an ongoing contractual relationship. There are no significant concentrations of credit risk, whether through exposure to individual customers, specific industry sectors and/or regions. The Group applies the IFRS 9 simplified approach to measuring expected credit losses for trade receivables and unbilled accrued revenue by measuring the loss allowance at an amount equal to lifetime expected credit losses. To measure the expected credit losses, trade receivables and unbilled accrued revenue have been grouped in portfolios based on shared credit risk characteristics (credit risk profile: Prime, Market, Sub-prime, and Government), country and the days past due. In order to compute the provision, the gross trade receivables balance is reduced for any portion representing deferred revenue and any securities held. Trade receivables and unbilled accrued revenue are written off when there is no reasonable expectation of recovery. The Group’s largest customers are large media companies and government agencies, and hence the credit risk associated with these contracts is assessed as low. The Company calculates loss expectancy rates based on the history of losses to create a provision matrix. On that basis, the provision as at 31 December 2024 and 31 December 2023 is as follows: €million 31 December 2024 Current Less than 1 Between 1 and More than Total month 3 months 3 months Average expected loss rate (by portfolio) 2.8% 3.9% 7.0% 13.1% Gross carrying amount – trade receivables 208 51 38 133 430 Provision 2 - - 14 16 Consolidated financial statements as at and for the year ended 31 December 2024 31 December 2023 Current Less than 1 Between 1 and More than Total month 3 months 3 months Average expected loss rate (by portfolio) 3.0% 4.1% 6.5% 9.8% Gross carrying amount – trade receivables 162 66 48 129 405 Provision 2 - - 11 13 The provision in respect of unbilled accrued revenue as at 31 December 2024 amounts to EUR 34 million and the corresponding expected credit loss is 12.0% (31 December 2023: EUR 18 million, 9.0%). An amount of EUR 1 million (2023: EUR 6 million) was expensed in 2024 reflecting an increase in the IFRS 9 related provision for trade and other receivables. Additional provisions are recorded for trade receivable balances if specific circumstances or forward-looking information lead the Group to believe that additional collectability risk exists with respect to customers that are not reflected in the loss expectancy rates. A cumulative provision for trade receivables of EUR 64 million has been recorded as of 31 December 2024 (31 December 2023: EUR 83 million). The movement in provisions for trade receivables and unbilled accrued revenue as at 31 December 2024 and 2023 are as follows: €million Provisions for trade receivables Provisions for unbilled accrued revenue 2024 2023 2024 2023 At 1 January 96 100 18 14 Increase in provision 30 41 9 1 recognised in profit or loss during the year Receivables written off during (18) (13) 8 8 the year as uncollectible Unused amount reversed (31) (29) (2) (1) Other movements - - - (3) Impact of currency translation 3 (3) 1 (1) At 31 December 80 96 34 18 6 C-band repurposing receivables risk The Group records reimbursement receivables for capital expenditure and operational costs only when the expenses have been incurred and the Group has obtained reasonable assurance that the costs will be reimbursed and that it will comply with the requirements attached to the reimbursement. In both cases, the Group believes it obtains such reasonable assurance when either the Clearinghouse specifically validates the costs as being reimbursable, or the costs fall within cost ranges for the applicable costs as published by the FCC in a cost catalogue. Hence the Group believes the credit risk related to the C-band repurposing receivables at the end of 2024 and 2023 is insignificant and concluded that the expected credit losses is zero. (See also Note 35) 7 Financial credit risk With respect to the credit risk relating to financial assets, this exposure relates to the potential default of the counterparty, with the maximum exposure being equal to the carrying amount of these instruments. The counterparty risk from a cash management perspective is reduced by the implementation of several cash pools, accounts and related paying platforms with different counterparties. To mitigate the counterparty risk, the Group only deals with recognised financial institutions with an appropriate credit rating - generally ‘A’ and above - and in adherence to a maximum trade limit for each counterparty which has been approved for each type of transactions. All counterparties are financial institutions which are regulated and controlled by the national financial supervisory authorities in the relevant jurisdiction. The counterparty risk portfolio is analysed on a quarterly basis. Moreover, to mitigate any counterparty risk, the portfolio is diversified as regards the main counterparties ensuring a well-balanced relation for all categories of products (derivatives as well as deposits). Consolidated financial statements as at and for the year ended 31 December 2024 8 Capital management The Group aims to have a balanced mix of equity and debt capital. In addition, it is the Group’s policy is to attain and retain an investment grade rating from at least two reputable rating agencies. These investment grade ratings serve to maintain investor, creditor, and market confidence. Within this framework, the Group manages its capital structure and liquidity in order to reflect changes in economic conditions to keep its cost of debt low, maintain the confidence of debt investors at a high level and to create added value for shareholders. The Group’s dividend policy takes into account the financial performance of the year, business plan cash flow requirements and other factors such as yield and pay-out ratio. Note 22 - Cash and cash equivalents €million 20242023 Cash at bank and in hand 290 283 Cash and cash equivalents subject to contractual restrictions 300 - Term deposits 1,458 1,336 Money market funds 1,473 1,288 Total cash and cash equivalents 3,521 2,907 Cash at banks and money market funds are subject to interest at floating rates based on daily bank rates. Short-term deposits are made for varying periods, depending on the immediate cash requirements of the Group - and earn interest at the respective deposit rates. Cash and cash equivalents are held at various financial institutions meeting the credit rating criteria set out in Note 21 above. See also Note 35 in connection with the receipt of C-band Accelerated Relocation Payments around the year end. Cash and cash equivalents subject to contractual restrictions of EUR 300.0 million (2023: EUR nil) represents funds received from European Commission in relation to the IRIS² (Infrastructure for Resilience, Interconnectivity and Security by Satellite) programme. This represents initial funding from the EU Commission for programme costs arising in the first year of the programme for both SES ASTRA S.A. and other consortium members and subcontractors. At the year-end, the Group has a deposit of EUR 300.0 million (2023: EUR nil) in relation to the IRIS² programme. Note 23 - Shareholders’ equity Issued capital SES has a subscribed capital of EUR 696 million (2023: EUR 696 million), represented by 371,457,600 Class A shares (2023: 371,457,600 Class A shares) and 185,728,800 Class B shares (2023: 185,728,800 Class B shares) with no par value. The movement between the opening and closing number of shares issued per class of share can be summarised as follows: Class A shares Class B shares Total shares As at 1 January 2024 371,457,600 185,728,800 557,186,400 Shares issued during the year - - - Shares cancelled during the year - - - As at 31 December 2024 371,457,600 185,728,800 557,186,400 Class A shares Class B shares Total shares As at 1 January 2023 371,457,600 185,728,800 557,186,400 Shares issued during the year - - - Shares cancelled during the year - - - As at 31 December 2023 371,457,600 185,728,800 557,186,400 Consolidated financial statements as at and for the year ended 31 December 2024 Fiduciary Deposit Receipts (‘FDRs’) with respect to Class A shares are listed on the Luxembourg Stock Exchange and on Euronext Paris. They can be traded freely and are convertible into Class A shares at any time and at no cost at the option of the holder under the conditions applicable in the Company’s articles of association and in accordance with the terms of the FDRs. All Class B shares are currently held by the State of Luxembourg, or by Luxembourg public institutions. Dividends paid for one share of Class B equal 40% of the dividend for one share of Class A. A shareholder, or a potential shareholder, who seeks to acquire, directly or indirectly, more than 20% of the shares of the Company must inform the Chairman of the Board of Directors of the Company of such an intention. The Chairman of the Board of Directors of the Company shall forthwith inform the government of the Grand Duchy of Luxembourg of the envisaged acquisition which may be opposed by the government within three months should the government determine that such an acquisition would be against the general public interest. In case of no opposition from the government, the Board shall convene an extraordinary meeting of shareholders which may decide at a majority provided for in article 450-3 of the law of 10 August 1915, as amended, regarding commercial companies, to authorise the shareholder, or potential shareholder, to acquire more than 20% of the shares. If it is an existing shareholder of the Company, it may attend the general meeting and will be included in the count for the quorum but may not take part in the vote. Share buyback programme On 3 August 2023 the Company announced a share buyback programme under the authorisation given by the Annual General Meeting of shareholders held on 6 April 2023. In connection with this programme, as of 31 December 2024 the Group acquired 23,952,416 FDRs at a weighted average price of EUR 5.22 per FDR and 11,976,209 Class B shares at an average price of €2.09 per B-share, resulting in a total cost of the programme of EUR 150 million. Subject to the agreement of the shareholders, the Company also purchases FDRs in connection with executives’ and employees’ share-based payment plans. At the year-end, the Company held 3,898,699 FDRs relating to such plans. These FDRs are disclosed as treasury shares in the consolidated statement of financial position and are carried at acquisition cost as a deduction from equity. 20242023 FDRs held as at 31 December 27,851,115 9,615,110 Carrying value of FDRs held (€million) 173 90 Class B shares held as at 31 December 11,976,209 - Carrying value of Class B shares held (€million) 25 - EUR 550 million Deeply Subordinated Fixed Rate Resettable Securities In November 2016 SES issued Deeply Subordinated Fixed Rate Resettable Securities for an amount of EUR 550 million, with a first call on 29 January 2024. The securities bear a coupon of 5.625% per annum to the first call date and were priced at 99.304% of their nominal value. Tender premium and transaction costs for this transaction amounted to EUR 8 million and were deducted from “Other reserves”. On December 4, 2023 the Company issued a notice of redemption to holders of its EUR 550 million Deeply Subordinated Fixed Rate Resettable Securities with a call date on January 29, 2024, on which date the Company fully settled those securities. EUR 625 million Deeply Subordinated Fixed Rate Resettable Securities In May 2021 SES issued Deeply Subordinated Fixed Rate Resettable Securities for an amount of EUR 625 million, with a first call date on 27 August 2026. The securities bear a coupon of 2.875% per annum and were priced at 99.409% of their nominal value. Tender premium and transaction costs for this transaction amounted to EUR 26 million and were deducted from “Other reserves”. Consolidated financial statements as at and for the year ended 31 December 2024 Coupon payments in respect of the Deeply Subordinated Fixed Rate Resettable Securities occurred on 30 January 2024 (EUR 31 million), 30 August 2024 (EUR 18 million) and have been deducted from ‘Other reserves’. The corresponding payments in 2023 were on 30 January 2023 (EUR 31 million), 28 August 2023 (EUR 18 million) and were also deducted from ‘Other reserves’. Tax on the Perpetual Bonds coupon accrual of EUR 6 million (2023: EUR 14 million) has been credited to ‘Other reserves’. In 2024 the Group repurchased in the open market an aggregate amount of EUR 37 million in principal amount of its EUR 625 million Deeply Subordinated Fixed Rate Resettable Securities issued on 27 May 2021. The Group’s cash outflow in respect to the repurchase amounted to EUR 35 million and the repurchase resulted in EUR 2 million gain being recorded in ‘Other reserves’. In accordance with the terms and conditions of the Securities, the purchased Securities will be cancelled. Following these transactions, the outstanding principal amount of the Securities at the year-end was EUR 588 million. The Company may, at its discretion, elect to defer all or part of any interest payment. Coupon accruals may be paid at the option of the Company in whole or in part at any time. Coupons become payable under the following circumstances: whenever the Company makes dividend payments or other distributions in respect of any junior obligations or parity obligations of the Company or the guarantor (SES Americom Inc.); whenever the Company or the guarantor elects to redeem, repurchase or otherwise acquire any junior obligations or parity obligations; whenever the Company does not elect to defer all of the interest accrued in respect of the relevant interest period; or upon redemption or repayment of the securities. Other reserves In accordance with Luxembourg legal requirements, a minimum of 5% of the yearly statutory net profit of the Company is transferred to a legal reserve which is non-distributable. This requirement is satisfied when the reserve reaches 10% of the issued share capital. As at 31 December 2024 a legal reserve of EUR 70 million (2023: EUR 72 million) is included within other reserves. Other reserves include a non-distributable amount of EUR 198 million (2023: EUR 95 million) linked to treasury shares, and an amount of EUR 54 million (2023: EUR 101 million) representing the net worth tax reserve for 2018-2019, for which the distribution would result in the payment of net worth tax at a rate of up to 20% of the distributed reserve in accordance with Luxembourg law requirement. Note 24 - Non-controlling interests Set out below is the summarised financial information for each subsidiary that has non-controlling interests (NCI) that are material to the Group. The amounts disclosed for each subsidiary are before inter-company eliminations. Al Maisan Satellite LuxGovSat S.A. Communications LLC, UAE €million (50% NCI) (65% NCI) Summarised balance sheet 2024 2023 2024 2023 Current assets 23 12 4 5 Current liabilities (25) (22) (2) (2) Current net (liabilities)/assets (2) (10) 2 3 Non-current assets 131 137 24 20 Non-current liabilities (34) (50) - - Non-current net assets 97 87 24 20 Net assets 95 77 26 23 Accumulated NCI 48 39 17 15 Transactions with non-controlling interests - - - - * Refer to Note 2 Consolidated financial statements as at and for the year ended 31 December 2024 Al Maisan Satellite LuxGovSat S.A. Communications LLC, UAE €million (50% NCI) (65% NCI) Summarised statement of comprehensive income 2024 2023 2024 2023 Revenue 38 31 10 7 Operating expenses (12)(12)(4)(4)Profit/(loss) for the period 9 4 2 - Other comprehensive income - - - - Total comprehensive income 9 4 2 - Profit/(loss) allocated to NCI 4 2 1 - Dividend paid to NCI - - - - Al Maisan Satellite LuxGovSat S.A. Communications LLC, UAE €million (50% NCI) (65% NCI) Summarised cash flows 2024 2023 2024 2023 Cash flows from/(absorbed by) operating activities 37 16 6 5 Cash flows from/(absorbed by) investing activities - - - - Cash flows from/(absorbed by) financing activities (37)(16)(6) (12) Net foreign exchange movements --- (1) Net increase/(decrease) in cash and cash equivalents --- (8) Note 25 - Share-based compensation plans The Group has three share-based compensation plans which are detailed below. 1 Simulated Restricted Share Units (‘SRSU’) SRSU are cash-settled awards delivered on 1 June following a three-year vesting period. The liability for the cash- settled awards is measured initially and at the end of each reporting period until settled, at the fair value of the share appreciation rights, taking into account the terms and conditions on which the stock appreciation rights were granted and recognised to the extent to which the employees have rendered services to date. During 2024, no SRSU have been granted (2023: 1,233,352). During the same period, 282,548 SRSUs have been forfeited (2023: 172,473) and 647,870 SRSU have been vested (2023: 652,648). A liability of EUR 3,525,918 has been recognised in the consolidated statement of financial position as of 31 December 2024 (31 December 2023: EUR 7,290,615) based on the 1,735,344 outstanding SRSUs (31 December 2023: 2,665,762) measured at the Group’s share price at the end of the year on a pro-rata basis over 3 years vesting period. 2 Equity Based Compensation Plan comprising options (‘EBCP Option’) The EBCP Option is usually available to Group executives. Under the plan, the “date of Option Grant” means the first business day that follows fifteen (15) market trading days for Shares after the Allocation Period during which the Fair Market Value is fixed. For EBCP Option grants till year 2020 inclusive and prior, one-quarter of the entitlement vests on each 1 January of the four years following the Date of Option Grant. For EBCP Grants from 2021 onwards a 3-year cliff vesting on June 1 (Y+3) was introduced. One EBCP Grant has an exceptional vesting arrangement whereby one fifth of the entitlement vests on each 1 June of the five years following the Date of Option Grant. There was no stock option issuance in year 2024. Once vested, the options can be exercised until the tenth anniversary of the original grant. 20242023 Outstanding options at the end of the year 15,165,029 19,049,997 Weighted average exercise price in euro 11.54 11.88 Consolidated financial statements as at and for the year ended 31 December 2024 Out of 15,165,029 outstanding options as the end of 2024 (2023: 19,049,997), 12,183,981 options are exercisable (2023: 11,242,584). In 2024 59,060 treasury shares were delivered at a weighted average exercise price of EUR 5.97 each, while in 2023 147,451 treasury shares were delivered at a weighted average exercise price of EUR 6.11 each. On average, in 2024, the related weighted average share price at the time of exercise during 2024 was EUR 6.11 per share. Movements in the number of share options outstanding and their related weighted average exercise prices in euro are as follows: 2024 2023 Average exercise Average exercise price per share price per share Number of option Number of options option options At 1 January 11.88 19,049,997 12.09 20,348,470 - - - - Granted 13.33 (3,825,908) 16.32 (1,151,022) Forfeited 5.97 (59,060) 6.11 (147,451) Exercised At 31 December 11.54 15,165,029 11.88 19,049,997 Share options outstanding at the end of the year have the following expiry date and exercise prices in euro: Grant Expiry date Exercise price per share options Number of options 2024 2023 3,037,691 3,805,164 2022 2032 8.40 196,834 247,307 2022 2032 6.00 2,571,440 3,069,930 2021 2031 6.40 2020 2030 5.97 2,810,388 3,434,330 2019 2029 15.01 1,304,353 1,638,010 2018 2028 18.23 242,000 407,000 2018 2028 12.67 2,540,829 3,038,030 2017 2027 21.15 1,249,983 1,600,721 2016 2026 24.39 888,300 1,084,398 2015 2025 32.73 323,211 407,535 2014 2024 26.5 0 317,572 15,165,029 19,049,997 3 Equity Based Compensation Plan (‘EBCP’) The EBCP is also a programme for executives and senior executives of the Group, comprising performance shares (‘EBCP PS’) and restricted shares (‘EBCP RS’). Under the plan, restricted shares are allocated to executives at the beginning of May each year and these vest on the 1 June following the third anniversary of the grant. Performance shares are allocated at the beginning of May each year. Vesting for performance shares are subject to the achievement of the Total Shareholder Return (“TSR”), measured on a relative basis to the median TSR performance of a panel of comparable companies and reviewed by the Remuneration Committee prior to the Share Vesting Date. In addition, starting from share grant 2023, with first vesting being on 1 June 2026, the performance shares for members of the Senior Leadership Team, are subject to Environmental, Social and Governance ("ESG") metrics which will be applied as a modifier to the TSR and will be reviewed by the Remuneration Committee prior to the Share Vesting Date. 20242023 Restricted and performance shares outstanding at the end of the year 4,438,497 4,215,486 Weighted average fair value in euro 5.51 5.44 Consolidated financial statements as at and for the year ended 31 December 2024 During 2024, 456,894 restricted shares (2023: 451,705) and 1,635,264 (2023: 1,287,594) performance shares were granted; 196,299 restricted shares (2023: 67,853) and 355,197 performance shares (2023: 86,772) were forfeited; and 944,846 performance shares (2023: 604,047) and 372,805 restricted shares (2023: 238,645) were exercised. The fair value of EBCP Option granted is estimated as at the date of the grant using a binomial model. The fair value of EBCP RS is estimated at the date of the grant by restating discounted dividends from share price and taking into account the terms and conditions upon which the shares were granted. The fair value of EBCP PS is estimated at the date of the grant using a Monte-Carlo simulation model and taking into account the terms and conditions upon which the shares were granted. The following table lists the average value of inputs to the model used for the years ended 31 December 2024 and 31 December 2023. EBCP PS and 2024 EBCP RS Dividend yield (%) 11.04% Risk-free interest rate (%) 2.80% Expected life of options (years) 3 Share price at inception (EUR) 5.26 Fair value per option/share (EUR) 4.23-3.83 Total expected cost for each plan (€million) 4.95-1.87 EBCP PS and 2023 EBCP RS Dividend yield (%) 10.22% Risk-free interest rate (%) 2.74% Expected life of options (years) 3 Share price at inception (EUR) 5.59 Fair value per option/share (EUR) 5.41-4.16 Total expected cost for each plan (€million) 8.60 The expected life of options is based on historical data and is not necessarily indicative of exercise patterns that may occur. The expected volatility reflects the assumption that the historical volatility is indicative of future trends, which may or may not necessarily be the actual outcome. The total charge for the year for share-based compensation amounted to EUR 10 million (2023: EUR 13 million), out of which equity-settled EUR 10 million (2023: EUR 9 million) and cash-settled EUR 0 million (2023: EUR 4 million). Note 26 - Borrowings As at 31 December 2024 and 2023, the Group’s interest-bearing borrowings were: Amounts outstanding 2024, carried at €million Effective interest rate Maturity amortised costNon-current Eurobond 2026 (EUR 650 million) 1.625% March 2026 651 Euro Private Placement 2027 (EUR 140 million under EMTN) 4.00% May 2027 140 Eurobond 2027 (EUR 500 million) 0.875% November 2027 499 Eurobond 2028 (EUR 400 million) 2.00% July 2028 398 Eurobond 2029 (EUR 750 million) 3.50% January 2029 746 Fixed Term Loan (LuxGovSat), non-listed 3.30% December 2027 32 German bond (EUR 50 million), non-listed 4.00% November 2032 50 US Bond (USD 250 million) 5.30% April 2043 235 US Bond (USD 500 million) 5.30% March 2044 468 Consolidated financial statements as at and for the year ended 31 December 2024 Amounts outstanding 2024, carried at €million Effective interest rate Maturity amortised costHybrid Bond NC5.25 (EUR 500 million) 5.50% September 2054 494 Hybrid Bond NC8 (EUR 500 million) 6.00% September 2054 496 Fixed Term Loan (SES Astra 1P Sarl), non-28 listed 3.15% March 2031 Floating Term Loan Facility (SES Satellites 10 Ventures Sarl), non-listed SOFR 3M + 2.2% March 2030 Total non-current 4,247 Current German bond (EUR 250 million), non-listed 1.71% December 2025 250 Fixed Term Loan (LuxGovSat), non-listed 3.30% December 2027 17 Fixed Term Loan (SES Astra 1P Sarl), non-6 listed 3.15% March 2031 Total current 273 Amounts outstanding 2023, carried at €million Effective interest rate Maturity amortised costNon-current German bond (EUR 250 million) 1.71% December 2025 250 Eurobond 2026 (EUR 650 million) 1.625% March 2026 652 Euro Private Placement 2027 (EUR 140 million under EMTN) 4.00% May 2027 140 Eurobond 2027 (EUR 500 million) 0.875% November 2027 497 Eurobond 2028 (EUR 400 million) 2.00% July 2028 397 Eurobond 2029 (EUR 750 million) 3.50% January 2029 745 Fixed Term Loan (LuxGovSat), non-listed 3.30% December 2027 50 German bond (EUR 50 million) 4.00% November 2032 50 US Bond (USD 250 million) 5.30% April 2043 220 US Bond (USD 500 million) 5.30% March 2044 442 Total non-current 3,443 Current Perpetual Bond (EUR 550 million) 5.625% January 2024 550 German bond (EUR 150 million), non-listed EURIBOR 6M + 0.80% June 2024 150 Fixed Term Loan (LuxGovSat), non-listed 3.30% December 2027 16 Total current 716 European Medium-Term Note (‘EMTN’) programme SES has an EMTN programme enabling SES, or SES Americom Inc., to issue as and when required notes up to a maximum aggregate amount of EUR 5,500 million. As at 31 December 2024, SES had issued EUR 3,440 million (2023: EUR 2,440 million) under the EMTN programme with maturities ranging from 2026 to 2054. German bond issue of EUR 400 million (2024/2025) In 2018 the Group issued EUR 400 million in the German bond (‘Schuldschein’) market. The transaction consisted of two individual tranches: • a EUR 150 million tranche with a floating interest rate of a six-month EURIBOR plus a margin of 0.8% and a final maturity date on 18 June 2024 was settled in full at maturity. • a EUR 250 million tranche with a fixed interest rate of 1.71% and a final maturity date on 18 December 2025. Consolidated financial statements as at and for the year ended 31 December 2024 EUR 650 million Eurobond (2026) In 2018 SES issued a EUR 500 million 8-year bond under the EMTN programme. On the 22 June 2021 SES announced the successful launch and pricing of a tap of its 1.625% Notes in which it has agreed to sell incremental senior unsecured fixed rate notes of EUR 150 million. These notes were priced at 106.665% of their nominal value. The bond bears interest at a fixed rate of 1.625% and has a final maturity date on 22 March 2026. EUR 500 million Eurobond (2027) In November 2019, SES issued a EUR 500 million bond under the EMTN programme. The bond has an 8-year maturity and bears interest at a fixed rate of 0.875% and has a final maturity date of 4 November 2027. EUR 140 million Private Placement (2027) In 2012 SES issued three individual tranches of a total EUR 140 million Private Placement under the EMTN programme with ING Bank N.V. The Private Placement has a 15-year maturity, beginning 31 May 2012, and bears interest at a fixed rate of 4.00%. EUR 400 million Eurobond (2028) In July 2020, SES issued a EUR 400 million bond under the EMTN programme. The bond has an 8-year maturity and bears interest at a fixed rate of 2.00% and has a final maturity date on 2 July 2028. EUR 750 million Eurobond (2029) On 14 June 2022, SES issued a EUR 750 million bond under the EMTN programme. The bond has a 7-year maturity, bears interest at a fixed rate of 3.50%, and has a final maturity date on 14 January 2029. German bond issue of EUR 50 million (2032) In 2012 the Group signed an agreement to issue EUR 50 million in the German bond (‘Schuldschein’) market. The German bond bears a fixed interest rate of 4.00% and matures on 12 November 2032. 144A Bond USD 250 million (2043) In 2013 SES completed a 144A offering in the US market issuing a USD 250 million 30-year bond with a coupon of 5.30% and a final maturity date on 4 April 2043. 144A Bond USD 500 million (2044) In 2014 SES completed a 144A offering in the US market issuing a USD 500 million 30-year bond with a coupon of 5.30% and a final maturity date of 25 March 2044. Syndicated loan The facility is provided by 19 banks and has been structured as a 5-year multi-currency revolving credit facility. In 2021 the Company extended the termination date from 26 June 2025 to 26 June 2026. Another extension in 2024 set the termination date to 26 June 2028. The facility is for EUR 1,200 million and the interest payable is linked to a ratings grid. At the current SES credit rating of BBB/ Baa3, the interest rate is 45 basis points over EURIBOR/SOFR. As at 31 December 2024 and 2023, no amount had been drawn under this facility. European Investment Bank (‘EIB’) Financing Facility EUR 300 million (2029) On 16 December 2022 SES signed a seven-year contract with the EIB which will support the funding of SES’s three fully digital satellites serving Western Europe, Africa and the Middle East. The facility is available for disbursement at fixed or floating rates linked to a ratings grid. At the current SES credit rating of BBB/ Baa3 this equates to 0.42% per annum over EURIBOR (in case of a floating rate) or over a base rate as determined by the EIB (in the case of a fixed rate). As at 31 December 2024 no amount had been drawn under this facility. Consolidated financial statements as at and for the year ended 31 December 2024 2016 Deeply Subordinated Fixed Rate Resettable Securities for EUR 550 million (“Perpetual Bond”) In November 2016 SES issued Deeply Subordinated Fixed Rate Resettable Securities of EUR 550 million at a coupon of 5.625 percent. On 4 December 2023 the Company issued a ‘Notice of Redemption’ to holders of the securities with a call date on 29 January 2024. Consequently, the Bond has now been fully settled. EUR 115 million LuxGovSat Credit Facility In 2015 LuxGovSat S.A. signed a financing agreement with BGL BNP Paribas for EUR 115 million at a fixed coupon rate of 3.30%. The facility is repayable in 14 semi-annual instalments and has a final maturity date of 1 December 2027. As at 31 December 2024, total borrowings of EUR 49 million were outstanding under the fixed term facility and the Company is in compliance with the covenants specified in the facility. European Commercial Paper programme In 2012 SES signed the documentation for the inception of a joint EUR 1,000 million guaranteed European commercial paper programme of SES S.A. and SES Americom Inc. (previously SES Global Americas Holdings Inc.). Issuances under the programme represent senior unsecured obligations of the issuer and any issuance under the programme is guaranteed by the non-issuing entity. The programme is rated by Moody’s Investors Services and Fitch Ratings and is compliant with the standards set out in the STEP Market Convention. On 4 July 2024, this programme was updated. As at 31 December 2024 and 2023, no borrowings were outstanding under this programme. Deeply Subordinated Fixed Rate Resettable Securities (‘Hybrid Dual-tranche Bond Offering’) On September 6, 2024, SES S.A. announced the successful launch and pricing of a hybrid dual-tranche bond offering of EUR 1 billion. The settlement took place on September 12, 2024 and the notes are listed on the Luxembourg Stock Exchange. The transaction is composed of: • a EUR 500 million 30-year Non-Call (NC) 5.25-year tranche with a first reset date on December 12, 2029, and • a EUR 500 million 30-year NC 8-year tranche with a first reset date on September 12, 2032. The NC 5.25-year notes bear a coupon of 5.5% per annum and were priced at 99.473% of their nominal value, while the NC 8-year notes will bear a coupon of 6% per annum and were priced at par. Fixed Term Loan (SES Astra 1P S. à r.l.) In December 2024, SES received an interest-bearing loan of EUR 33.5 million from Volantis S.à r.l.. The loan has a fixed interest rate of 3.15%, will be repaid in instalments, and matures in 2031. Floating Term Loan Facility (SES Satellites Ventures S. à r.l.) In December 2024, SES entered into a loan agreement with Elm (Luxembourg) S.à r.l. for USD 28.1 million to be granted in several instalments. The loan has at Term SOFR plus 2.2% variable interest rate. As of 31 December 2024, the Group had received USD 10.5 million. The loan is repayable in instalments, with a final maturity date in 2030. Term Loan Agreement The facility is provided by 24 banks and has been structured as a 5-year term loan facility. The facility amount is EUR 963 million (USD 1,000 million), and the termination date is set for 15 June 2029. The agreement was signed on 14 June 2024 and is related to the acquisition of Intelsat. The interest payable is linked to a ratings grid, with the rate based on the Term SOFR plus a margin that varies according to the SES credit rating. As at 31 December 2024, no amount had been drawn under this facility. Consolidated financial statements as at and for the year ended 31 December 2024 Bridge Facility Agreement The facility has been structured as a EUR 3 billion bridge facility. The agreement was signed on 30 April 2024 and is related to the acquisition of Intelsat. The interest payable is linked to a ratings grid, with the rate based on the EURIBOR plus a margin that varies according to the SES credit rating. SES secured financing for the acquisition through this initial EUR 3 billion bridge facility and a EUR 963 million (USD 1 billion) Term Loan Facility dated 14 June 2024 (“TLA”). Upon entering the TLA, EUR 930 million of the Bridge Facility was cancelled. Additionally, on 12 September 2024, the Company raised EUR 1 billion in Hybrid financing, which similarly led to the cancellation of an equivalent portion of the Bridge Facility. As at 31 December 2024, the facility amount is EUR 1,079 million and no amount had been drawn under this facility. European Investment Bank (‘EIB’) Financing Facility EUR 25 million On 23 December 2024, SES signed a finance contract with the EIB to support the funding of a satellite communications system for rural Central Asia. The facility is available for disbursement at fixed or floating rates linked to a ratings grid. At the current SES credit rating of BBB/Baa3, this equates to 0.36% per annum over EURIBOR (in the case of a floating rate) or over a base rate as determined by the EIB (in the case of a fixed rate). Final availability date falls 24 months after the signature of the contract. As at 31 December 2024, no amount has been drawn under this facility. European Investment Bank (‘EIB’) Financing Facility EUR 125 million On 23 December 2024, SES signed a finance contract with the EIB to support the funding of a satellite constellation project. The facility is available for disbursement at fixed or floating rates linked to a ratings grid. At the current SES credit rating of BBB/Baa3, this equates to 0.36% per annum over EURIBOR (in the case of a floating rate) or over a base rate as determined by the EIB (in the case of a fixed rate). Final availability date falls 24 months after the signature of the contract. As at 31 December 2024, no amount has been drawn under this facility. IBOR Reform Regulatory authorities have identified and recommended alternative benchmark rates and best practice to support the transition of IBORs to respective alternatives (e.g. SOFR, €STR, SONIA) . These changes have been reviewed and do not have any material impact on the Group’s consolidated financial statements and future funding capabilities. Note 27 - Provisions €million 2024 2023 Non-current 3 3 Current 128 88 Total 131 91 Movements in each class of provision during the financial year are set out below: Group tax Restructuring Other provision provision Total €million provisions As at 1 January 2024 59 31 1 91 Additional provisions recognised 4 63 5 72 Unused amounts reversed - - - - Used during the year - (41) - (41) Reclassifications (30) (2) 40 8 Impact of currency translation 1 - - 1 As at 31 December 2024 34 51 46 131 Non-current 2 - 1 3 Current 32 51 45 128 Group tax Restructuring Other €million provision provision provisions Total As at 1 January 2023 58 14 2 74 Additional provisions recognised 7 27 - 34 Unused amounts reversed - - (1) (1) Used during the year - (10) - (10) Reclassification to income tax payable (3) - - (3) Consolidated financial statements as at and for the year ended 31 December 2024 Group tax Restructuring Other provision provision Total €million provisions Impact of currency translation (3) - - (3) As at 31 December 2023 59 31 1 91 Non-current 2 - 1 3 Current 57 31 - 88 Group tax provision Group tax provision mainly relates to disputed withholding tax (‘WHT’) obligations in India where tax authorities have sought to impose WHT on payments from Indian customers despite the existence of a tax treaty that SES believes does not permit this. New Skies Satellites B.V., a Dutch subsidiary of SES providing services in India, has consistently appealed against these decisions from the Indian tax authorities and the case is currently pending before the Indian Supreme Court. Despite the tax technical merits of SES’s arguments, there remains a high-level of uncertainty as to how the Indian Supreme Court will rule. Management believes that it is at present more-likely-than-not that New Skies Satellites B.V. will not be able to obtain a favorable ruling from the Indian Supreme Court and therefore records a provision for this uncertain tax position representing management’s best estimate of the most likely cash out. The increase in the Group tax provision was mainly due to a refund of withholding taxes under litigation. The accrued interest on the disputed WHT position (EUR 30 million) has been reclassified in 2024 as 'Other provisions' (EUR 40 million) and ‘Deferred Tax Asset’ (EUR 10 million). Restructuring provision Expenses of the year include an amount of EUR 54 million (2023: EUR 27 million) of staff-related restructuring expenses (Note 4). The consolidated statement of financial position includes a provision of EUR 51 million (2023: EUR 31 million). Note 28 - Trade and other payables €million 20242023 Trade creditors 58 60 Payments received in advance (please also see Note 29 25 25 2 Liability in respect of IRIS300 - Interest on borrowings 63 52 Personnel-related liabilities 69 90 Tax liabilities other than for income tax 15 31 Other financial liabilities 148 132 Total 678 390 Financial liabilities 663 359 Non-financial liabilities 15 31 Tax liabilities mainly relate to VAT payables in the amount of EUR 10 million as of 31 December 2024 (2023: EUR 22 million). Funds received in connection with the EU IRIS 2 project On 16 December 2024, the European Commission has awarded the SpaceRISE consortium the contract to design, deliver, and operate IRIS² for the next 12 years (see Note 1). The amount of EUR 300.0 million (2023: EUR nil) represents the funds received from European Commission in relation to this programme, representing initial funding for programme costs arising in the first year of the programme for both SES ASTRA S.A. and other consortium members and subcontractors. Consolidated financial statements as at and for the year ended 31 December 2024 Note 29 - Other long-term liabilities €million 20242023 Employee benefits obligations 14 13 Payments received in advance 23 47 Other long-term financial liabilities 18 23 Total 55 83 Employee benefits obligations In the Group’s US operations certain employees benefit from an externally-insured post-retirement health benefit plan. As at 31 December 2024, accrued premiums of EUR 7 million (2023: EUR 6 million) are included in this position. There were no contributions made in 2024 to Group pension schemes (2023: nil). In addition, certain employees of the US operations benefit from defined contribution pension plans. A liability of EUR 8 million has been recognised as at 31 December 2024 (2023: EUR 10 million) in this respect, out of which EUR 0 million is included under ‘Trade and other payables’ (2023: EUR 2 million). Payments received in advance In the framework of receivables securitisation transactions completed in June 2019 the Group received a net cash amount of EUR 59 million, from the financial institution as advance settlement of future receivables arising between 2022 and 2024 under contracts with a specific customer. The entire outstanding balance of EUR 25 million as at 31 December 2023 was repaid to the financial institution in January 2024. In June 2022, the Company received a net cash amount of EUR 47 million from the financial institution as advance settlement of future receivables arising between 2024 and 2025 under contracts with a specific customer. A corresponding aggregate liability including interest of EUR 48 million (2023: EUR 72 million), representing SES’s obligation towards the financial institution to continue to provide services to the customer in accordance with the terms of the customer contract, is recorded in the consolidated statement of financial position as at 31 December 2024 under ‘Trade and other payables’ for EUR 25 million (2023: EUR 25 million) and under ‘Other financial long-term liabilities’ for EUR 23 million. Other long-term liabilities The other long-term liabilities include customer collateral deposits amounting to EUR 18 million (2023: EUR 23 million). Note 30 - Fixed assets suppliers €million 20242023 Non-current 426 313 Current 184 455 Fixed assets suppliers represent liabilities for assets being either acquired directly through procurement contracts with asset manufacturers, or in the framework of agreements whereby the asset is being acquired by an intermediary but where in substance SES bears the risks and rewards of the procurement. In the latter case the Company accrues for construction-related liabilities on the basis of pre-determined milestones agreed between the manufacturer and the relevant parties, see also Note 29. Non-current fixed assets suppliers are initially recognised at fair value and subsequently measured at amortised cost using the effective interest method. The main procurements under this caption are: 1 Satellites for the mPOWER MEO constellation: EUR 233 million (2023: EUR 377 million) 2 Three replacement GEO satellites: EUR 347 million (2023: 330 million EUR) 3 One GEO satellite already in orbit: EUR 0 million (2023: EUR 31 million) Consolidated financial statements as at and for the year ended 31 December 2024 mPOWER satellites In September 2017, the Company, jointly with its subsidiary O3b Networks Limited, entered as Procurement Agent into a Master Procurement Agency and Option Agreement with a financial institution in connection with the procurement by that financial institution of seven medium-Earth orbit satellites from a satellite manufacturer. At the end of the satellite construction period the Group has the right to acquire, or lease, the satellites from the financial institution or to direct their sale to a third-party. In August 2020 the Company exercised the option under the Purchase and Sale agreement to procure four additional O3b mPOWER satellites. The Company, again jointly with its subsidiary O3b Networks Limited, entered as Procurement Agent into a second Master Procurement Agency and Option Agreement with a financial institution in connection with the procurement by that financial institution of the additional satellites. At the end of the satellite construction period, foreseen in 2023, the Group again has the right to acquire, or lease, the satellites from the financial institution or to direct their sale to a third-party. In November 2023 the Company exercised the option under the Purchase and Sale agreement to procure two additional O3b mPOWER satellites to be delivered in 2026. In December 2024, the Company exercised the option to purchase mPOWER satellites 8 and 11. Since the underlying Satellite Purchase and Sale Agreements are directly between the financial institutions and the satellite manufacturer, there is no contractual obligation on the side of the Procurement Agents during the satellite construction process. However, SES management takes the view that there is a constructive obligation arising over the procurement period and hence the Group is accruing for the costs of this programme. SES has the right to nominate shortly before the end of the construction period the entity within the Group which will acquire or lease those assets. SES management expects that the satellites will be acquired or leased in due course by the company SES mPOWER S.à r.l. in Luxembourg, except satellites 12 and 13 which will be acquired or leased by SES Satellites Ventures S.à r.l.. Three replacement GEO satellites In 2021, the Company entered into a procurement agreement for the acquisition of three GEO satellites. Payment of milestones is done through signatures of a series of promissory notes with a maturity date of January 2025, 2026 and 2027, respectively. GEO satellite already in orbit In 2016, the Company entered into a procurement agreement for the acquisition of one of the Company’s GEO satellites. The final obligations in connection with this satellite were settled in December 2024. Note 31 - Commitments and contingencies Intelsat Acquisition On April 30, 2024, SES S.A. announced an agreement to purchase 100% of the equity of Intelsat Holdings S.à r.l. for a cash consideration of USD 3.1 billion (EUR 2.8 billion) and certain contingent value rights. The transaction is subject to relevant regulatory filings and clearances as well as customary provisions concerning cooperation and measures in seeking such regulatory clearances, which are expected to be received during the second half of 2025. Intelsat or SES may be required to pay the other party a Breach Termination Fee of USD 300 million plus certain documented out-of-pocket expenses, if the Share Purchase Agreement is terminated under certain circumstances, Intelsat may be required to pay SES a Vote Condition Termination Fee of USD 300 million, plus certain documented out-of-pocket expenses, if the Share Purchase Agreement is terminated under certain circumstances, and SES may be required to pay Intelsat a Regulatory Condition Termination Fee of USD 250 million, plus certain documented out- of-pocket expenses, if the Share Purchase Agreement is terminated under certain other circumstances. Consolidated financial statements as at and for the year ended 31 December 2024 IRIS 2 Concession Agreement On 16 December 2024, the European Commission awarded the SpaceRISE consortium (“Consortium”), consisting of SES ASTRA S.A. (Consortium Lead Member), a subsidiary of the Company, Eutelsat and Hispasat, the Concession Agreement to design, deliver, and operate IRIS² (Infrastructure for Resilience, Interconnectivity and Security by Satellite) programme for the next 12 years, EU’s new state-of-the-art multi-orbit connectivity system. SES’s contribution to IRIS² will be to develop, procure, and operate 18 new MEO satellites. The initial phases of IRIS² will benefit from upfront public funding with limited need for private financing in the early years of design and procurement. In total, SES expects to contribute approximately 40% - 50% of the MEO cost while having the benefit of commercialising over 90% of the MEO capacity and part of the LEO capacity. The capital expenditure for IRIS² of up to EUR 1.8 billion would be spread across the period from 2027 and 2030. Under the IRIS 2 contract, SES’s commitment to invest the above-mentioned amount is subject to confirmation twelve months after the original contract signature date (16 December 2024) through a contractual mechanism which allows SES to evaluate the status of the IRIS 2 contract execution and its compliance with SES’s investment conditions. If such conditions are not met, SES will propose to the European Commission and the other parties involved necessary adjustments to the terms and conditions of the IRIS 2 contract. In the absence of an agreement with the European Commission on such a revised proposal then SES would be able to unilaterally terminate its contractual commitments under the IRIS 2 contract at the cost of circa EUR 8 million in termination fees. In December 2024 the Group received an initial funding (“Pre-financing”) of EUR 300 million (2023: EUR nil) from the European Commission for IRIS² programme costs arising in the first year of the programme for both the Group and other consortium members and subcontractors. In the event of an early termination of the Concession Agreement for IRIS², the Group has a contractual commitment to refund the European Commission any residual portion of the EUR 300 million Pre-financing which is unused or uncleared against milestones accepted in accordance with the Concession Agreement. Capital expenditure commitments The Group had outstanding commitments in respect of contracted capital expenditure totaling EUR 281 million as at 31 December 2024 (2023: EUR 376 million). These commitments largely reflect the procurement of satellites and satellite launchers and are stated net of liabilities under these programmes which are already disclosed under “Fixed assets suppliers”, see Note 30. The commitments as at 31 December 2024 also include EUR 64 million (2023: EUR 67 million) in connection with the renewal of the agreement with Luxembourg government in respect of SES’s concession to operate satellites under Luxembourg’s jurisdiction. The capital expenditure commitments arising under these agreements as at 31 December are as follows: €million 20242023 Within one year 96 258 After one year but not more than five years 143 72 After more than five years 42 46 Total 281 376 Other commitments The Group’s other commitments include transponder service agreements for the purchase of satellite capacity from third parties under contracts with a maximum life of eight years for EUR 47 million (2023: EUR 24 million), cloud computing service agreements for EUR 59 million (2023: EUR 78 million), as well as EUR 64 million (2023: EUR 67 million) in connection with capital contributions into a Luxembourg space sector fund in connection with the renewal of the agreement with Luxembourg government in respect of SES’s concession to operate satellites under Luxembourg’s jurisdiction. €million 20242023 Within one year 160 152 After one year but not more than five years 130 130 After more than five years 45 47 Total 335 329 Consolidated financial statements as at and for the year ended 31 December 2024 The total expense recognised for transponder service agreements in 2024 was EUR 158 million (2023: EUR 141 million). Litigation There were no significant litigation claims against the Group as at 31 December 2024, or as at 31 December 2023. Guarantees On 31 December 2024 the Group had outstanding bank guarantees of EUR 39 million (2023: EUR 48 million) with respect to performance and warranty guarantees for services of satellite operations. Note 32 - Leases Lessor During 2024 the Group recognised EUR 49 million of leasing income (2023: EUR 22 million) related to customer lease contracts (see Note 3) and EUR 5 million of finance lease income (2023: nil) related to an equipment finance lease contract (see Note 6). Lessee The Group’s right-of-use assets and associated liabilities are measured at the present value of the remaining lease payments, discounted using the Group’s weighted average incremental borrowing rate of the previous year, namely 2.97% (2023: 2.87%). Amounts recognised in the consolidated statement of financial position The Group leases office buildings, third-party transponders, ground segment assets and other fixtures and fittings, tools and equipment as set out below. Transponders Other fixtures (included and fittings, within Space Ground tools and 31 December €million Buildings Segment) segment equipment 2024 Right-of-use assets Cost 32 27 25 2 86 Accumulated depreciation (15)(10)(10)(1)(36) Total 17 17 15 1 50 Transponders Other fixtures (included and fittings, within Space Ground tools and 31 December €million Buildings Segment) segment equipment 2023 Right-of-use assets Cost 49 15 14 2 80 Accumulated depreciation (29)(7)(5)(1)(42) Total 20 8 9 1 38 There were EUR 39 million (2023: EUR 18 million) additions to the right-of-use assets during 2024, partially offset by EUR 35 million (2023: EUR 5 million) disposals of expired assets. The depreciation charge for the year on such assets was EUR 25 million (2023: EUR 19 million). Consolidated financial statements as at and for the year ended 31 December 2024 Lease liabilities are presented below as at 31 December: €million 20242023 Maturity analysis - contractual undiscounted cash flows Within one year 19 17 After one year but not more than five years 28 19 More than five years 8 9 Total 55 45 Lease liabilities included in the statement of financial position at 31 December Current 19 16 Non-current 32 23 Total 51 39 The leases of office buildings typically run for a period of 2-10 years and leases of ground segment assets for 5 years. Some leases include an option to renew the lease for an additional period after the end of the contract term. The Group assesses at lease commencement whether it is reasonably certain to exercise the extension option. The Group reassesses whether it is reasonably certain to exercise the options if there is a significant event or significant change in circumstances within its control. Amounts recognised in the consolidated income statement Depreciation charge of right-of-use assets: €million 20242023 Buildings 5 6 Transponders (included within Space Segment) 15 9 Ground segment 4 3 Other fixtures and fittings, tools and equipment 1 1 Total 25 19 Finance cost: €million 20242023 Interest expense 2 2 Total 2 2 The total cash outflow for leases in 2024 was EUR 26 million (2023: EUR 22 million). Note 33 - Cash flow information Net cash generated by operating activities Other non-cash items in the consolidated income statement, disclosed in other notes are: • Restructuring expense (Note 4) • Charge for share-based compensation (Note 25) • Provision for the impairment of trade and other receivables (Note 19) • Inventory provision (Note 17) • Net foreign exchange gains (Note 6) • Finance lease income (Note 6) • Interest income (Note 6) • Amortisation of loan originations costs (Note 6) • Income from structured financing (Note 7) • Fair value gains/ losses on financial assets (Note 7) Consolidated financial statements as at and for the year ended 31 December 2024 Non-cash investing activities Purchases of property, plant and equipment or intangible assets not included as a cash outflow in the consolidated statement of cash flows are disclosed in Notes 13, 14 and 15. Net debt reconciliation This section sets out an analysis of net debt and the movements in net debt for 2024 and 2023. €million 20242023 Cash and cash equivalents 3,521 2,907 Borrowings - repayable within one year (273) (716) Borrowings - repayable after one year (4,247) (3,443) 1Net debt(999) (1,252) €million 20242023 Cash and cash equivalents 3,521 2,907 Borrowings - floating rates (10) (150) Borrowings - fixed interest rates (4,510) (4,009) 1Net debt(999) (1,252) 1 Net debt excludes lease liabilities. Including these, net debt as at 31 December 2024 was EUR 1,050 million (2023: EUR 1,292 million). The total cash outflow for leases in 2024 was EUR 26 million (2023: EUR 22 million). Borrowings Borrowings Cash and cash repayable repayable after €million equivalents within one year one year Total Net debt as at 1 January 2024 2,907 (716) (3,443) (1,252) Cash flows (net) 472 717 (1,034) 155 Foreign exchange adjustments 142 - (42) 100 Transfers (see Note 26) - (273) 273 - Other non-cash movements - (1) (1) (2) Net debt as at 31 December 2024 3,521 (273) (4,247) (999) Borrowings Borrowings Cash and cash repayable repayable after €million equivalents within one year one year Total Net debt as at 1 January 2023 1,047 (719) (3,629) (3,301) Cash flows (net) 1,983 706 - 2,689 Foreign exchange adjustments (123) - 36 (87) Transfers (see Note 26) - (700) 150 (550) Other non-cash movements - (3) - (3) Net debt as at 31 December 2023 2,907 (716) (3,443) (1,252) * related to loan origination costs During 2024 the Group issued a hybrid dual-tranche bond for EUR 1 billion and entered into two new loan agreements for total amounts of EUR 33.5 million and USD 28.1 million to be granted in several instalments. The Group also reimbursed the 2016 Perpetual Bond for EUR 550 million and a EUR 150 million tranche of the German bond. Consolidated financial statements as at and for the year ended 31 December 2024 Note 34 - Related parties The state of Luxembourg holds a direct 11.58% voting interest in the Company and two indirect interests, both of 10.88% each, through two state owned banks, Banque et Caisse d’Epargne de l’Etat and Société Nationale de Crédit et d’Investissement and is therefore deemed to have a significant influence over the Company. These shares constitute the Company’s Class B shares, as described in Note 23. In 2024 the Company generated revenue of EUR 31 million (2023: EUR 27 million) with departments of the Government of the state of Luxembourg and held a trade receivable of EUR 0 million as at 31 December 2024 (2023: EUR 4.1 million). There were no transactions with other related parties in 2024, nor in 2023, which would require disclosure. The total remuneration paid to directors for attendance at board and committee meetings in 2024 amounted to EUR 1.2 million (2023: EUR 1.2 million). These amounts are computed on a fixed and variable basis, the variable part being based upon attendance at board and committee meetings. The key management of the Group, defined as the Senior Leadership Team, received compensation as follows: €million 20242023 Remuneration including bonuses and other benefits 8 10 Share-based compensation plans 2 1 Total 10 11 * 2024 remuneration of SLT members includes EUR 0 million (2023: EUR 1.6 million) of contractual severance payment for departing Senior Leadership Team members The total outstanding amount in respect of share-based payment instruments allocated to key management as at 31 December 2024 was 2,542,423 (2023: 3,868,807). Note 35 - C-band repurposing The Group was subject to the Federal Communications Commission’s Report and Order and Order of Proposed Modification dated 28 February 2020 (‘the Order’) in connection with the clearing of a 300 MHz band of C-band downlink spectrum between 3,700 and 4,000 MHz by December 2025 to support the rapid deployment of terrestrial 5G services in the continental United States (‘CONUS’). SES filed its Phase II Certification of Accelerated Relocation with the FCC on 10 July 2023, completing SES’s obligations under the Order. The FCC validated the certificate on 9 August 2023, at which time the EUR 2,714 million (USD 2,991 million) of Accelerated Relocation Payments were fully earned. SES received the Accelerated Relocation Payments between 24 August 2023 and 13 October 2023. SES paid EUR 424 million of income tax in respect of the Accelerated Relocation Payments in 2023. Since the C-band repurposing project is not the result of a contract with a customer, the proceeds were not accounted for as revenue but rather as ‘C-band repurposing income’. To facilitate the clearing of the spectrum SES procured six C-band satellites and necessary launch vehicles. The Group’s ground facilities were also consolidated and upgraded to comply with the provisions of the Order, with customers and affiliated earth stations being equipped with special filters, new antennae and/or other capabilities so that they can be migrated to work with services operating in the remaining 200 MHz of spectrum (between 4,000 MHz and 4,200 MHz) available to satellite operators. For capitalised costs related to the procurement of the C-band satellites, launches, and upgraded ground facilities, the Group recorded credits to the recorded book values of the related asset when the costs had been incurred and the Group had obtained reasonable assurance that the costs will be reimbursed and that it will comply with the requirements attached to the reimbursement. The costs and expected reimbursements recorded in the consolidated statement of financial position under “Assets in the course of construction” (Note 14) are presented in the following table: Space Ground €millionsegment segment Total Cost as at 1 January 2024 1,033 55 1,088 Additions - - - Impact of currency translation 65 4 69 Cost as at 31 December 2024 1,098 59 1,157 Consolidated financial statements as at and for the year ended 31 December 2024 Space Ground €millionsegment segment Total Expected reimbursements as at 1 January 2024 243 50 293 Additions / (rejections) (net) (11) 1 (10) Repayments (213) (44) (257) In-kind reimbursements (22) - (22) Impact of currency translation 5 2 7 Expected reimbursements as at 31 December 2024 2 9 11 Cost as at 1 January 2023 1,022 53 1,075 Additions 48 4 52 Impact of currency translation (37) (2) (39) Cost as at 31 December 2023 1,033 55 1,088 Expected reimbursements as at 1 January 2023 345 51 396 Additions (net) 36 2 38 Repayments (129) (1) (130) Impact of currency translation (9) (2) (11) Expected reimbursements as at 31 December 2023 243 50 293 In 2024 the Group incurred no capital expenditures (2023: EUR 52 million) which were partially offset by expected reimbursements as per the table above. Due to the finalization of reimbursable amounts versus expectations, an amount of EUR 11 million was reclassified from ‘Other receivables’ to ‘Assets-under-construction’ (2023: EUR 38 million reclassified from ‘Assets-under-construction’ to ‘Other receivables’). With effect from 28 February 2024, the Group and the C-Band overlay licensees entered into two Settlement Agreements whereby the Group would retain its legal title to the two C-Band satellites SES-19 and SES-23 for an aggregate amount of USD 24 million (EUR 22 million). The Group records repurposing operating expenses as incurred and corresponding reimbursement income when the Group has obtained reasonable assurance that the costs will be reimbursed and that it will comply with any associated requirements. In 2024 the Group recorded C-band repurposing income of EUR 88 million (2023: EUR 2,744 million), including the Accelerated Relocation Payments mentioned above. C-band-related expenses of EUR 5 million (2023: EUR 47 million) represent cost of sales of EUR 1 million (2023: EUR 2 million), accumulated staff costs is nil (2023: EUR 29 million) and other operating expenses (including travel and consulting charges) of EUR 4 million (2023: EUR 16 million). As at 31 December 2024, in connection with the operating expenses and capital expenditures above, the Group had other receivables of EUR 87 million (2023: EUR 350 million) related to the C-band repurposing project. Of the outstanding amount, EUR 79 million is expected to be received in March 2025 with the balance received later in 2025. As at 31 December 2024, SES had no remaining commitments for C-band repurposing expenditures (2023: EUR 3 million). Note 36 - Subsequent events Repurchase of Deeply Subordinated Fixed Rate Resettable Securities On 23 January 2025, SES S.A. announced it has repurchased in the open market an aggregate amount of EUR 100 million in principal amount of its EUR 625 million Deeply Subordinated Fixed Rate Resettable Securities issued on 27 May 2021. In accordance with the terms and conditions of the Securities, the purchased Securities will be cancelled. Following these transactions, the outstanding principal amount of the Securities is EUR 525 million. There have been no other material events occurring between the reporting date and the date when the consolidated financial statements were approved by the Board of Directors. Consolidated financial statements as at and for the year ended 31 December 2024 Note 37 - Alternative performance measures SES regularly uses alternative performance measures to present the performance of the Group. These measures may not be comparable to similarly titled measures used by other companies and are not measurements under IFRS Accounting Standards or any other body of generally accepted accounting principles, and thus should not be considered substitutes for the information contained in the Group’s financial statements. 1 Net debt Net debt is defined as current and non-current borrowings less cash and cash equivalents, all as disclosed on the consolidated statement of financial position. The Group believes that net debt is relevant to investors, since it gives an indication of the absolute level of non-equity funding of the business. This can be compared to the income and cash flows generated by the business, and available undrawn facilities. The following table reconciles net debt to the relevant statement of financial position line items: €million 20242023 Borrowings - non-current 4,247 3,443 Borrowings – current 273 716 Borrowings – total 4,520 4,159 Less: Cash and equivalents (3,521) (2,907) 1Net debt999 1,252 1 Net debt excludes current and non-current fixed asset suppliers and lease liabilities. Including these, net debt as at 31 December 2024 was EUR 1,660 million (2023: EUR 2,059 million) 2 EBITDA and EBITDA margin EBITDA is defined as profit or loss for the period before the impact of depreciation, amortisation, net financing costs and income tax. EBITDA Margin is defined as EBITDA divided by the sum of revenue and other income including C-band repurposing income. The Group believes that EBITDA and EBITDA margin are useful supplemental indicators that may be used to assist in evaluating a Company’s operating performance. The following table reconciles EBITDA to the consolidated income statement line items from which it is derived: €million 20242023 (Loss)/profit before tax 82 (728) Add: Depreciation and impairment expense 866 1,054 Add: Amortisation and impairment expense 63 3,314 Add: Net financing costs 3 42 Add: Other non-operating income / expenses (net) (21) - EBITDA 993 3,682 The following table provides a reconciliation of EBITDA margin: €million 20242023 Revenue 2,001 2,030 C-band repurposing income 88 2,744 Other income 3 5 EBITDA 993 3,682 EBITDA Margin (%) 47.5% 77.0% Consolidated financial statements as at and for the year ended 31 December 2024 3 Adjusted EBITDA and Adjusted EBITDA margin Adjusted EBITDA is defined as EBITDA adjusted to exclude ‘significant special items’. Significant special items need to be approved as such by management and individually exceed a threshold of EUR 5 million at first recognition. The current significant special items relate primarily to the impact of C-Band repurposing, restructuring charges, costs associated with the development and / or implementation of merger and acquisition activities, as well as specific business taxes of a non-recurring nature. €million 20242023 EBITDA 993 3,682 Deduct: C-band repurposing income (Note 35) (88)(2,744)Deduct: Other income (Note 4) (3)(5)Add: C-band repurposing expenses (Note 35) 5 47 Add: Other significant special items (Note 4) 121 45 Adjusted EBITDA 1,028 1,025 Other significant special items include restructuring charges of EUR 63 million (2023: EUR 27 million), costs associated with the development and / or implementation of merger and acquisition activities EUR 55 million (2023: EUR 9 million), specific business taxes of a non-recurring nature EUR 0 million (2023: EUR 9 million) and EUR 3 million other infrastructure charges of non-recurring nature (2023: nil). Adjusted EBITDA Margin is defined as Adjusted EBITDA divided by revenue. The following table provides a reconciliation of the Adjusted EBITDA Margin: €million 20242023 Revenue 2,001 2,030 Adjusted EBITDA 1,028 1,025 Adjusted EBITDA Margin (%) 51.4% 50.5% 4 Adjusted Net Debt Adjusted Net Debt is defined as current and non-current borrowings excluding 50% of the Group’s Perpetual Bonds classified as borrowings, less cash and cash equivalents, and also includes 50% of the Group’s Perpetual Bonds classified as equity. The treatment of the Group’s Perpetual Bonds is consistent with rating agencies’ methodology. The Group believes that Adjusted Net Debt is relevant to investors, since it gives an indication of the absolute level of non-equity funding of the business. This can be compared to the income and cash flows generated by the business, and available undrawn facilities. The following table reconciles Adjusted Net Debt to the relevant line items on the statement of financial position from which it is derived: €million 20242023 Borrowings – non-current 4,247 3,443 Borrowings – current 273 716 Borrowings – total 4,520 4,159 Add: 50% of the Group’s EUR 588 million (2023: EUR 625 million) of Perpetual Bonds 294 313 Deduct: 50% of the Group’s EUR 1 billion hybrid dual-tranche bond (2023: EUR nil) (500) - Less: Cash and cash equivalents (3,521) (2,907) Add: Cash and cash equivalents subject to contractual restrictions 300 - Adjusted Net Debt 1,093 1,565 5 Adjusted Net Debt to Adjusted EBITDA ratio The Adjusted Net Debt to Adjusted EBITDA ratio is defined as Adjusted Net Debt divided by Adjusted EBITDA. The Group believes that the Adjusted Net Debt to Adjusted EBITDA ratio is a useful measure to demonstrate to investors its ability to generate the recurring income needed to be able to settle its borrowings as they fall due. Consolidated financial statements as at and for the year ended 31 December 2024 €million 20242023 Adjusted Net Debt 1,093 1,565 Adjusted EBITDA 1,028 1,025 Adjusted Net Debt to Adjusted EBITDA ratio 1.06 times 1.53 times 6 Adjusted Net Profit and Adjusted Earnings per Share Adjusted Net Profit is defined as profit or loss of the period attributable to shareholders of the group adjusted to exclude the after-tax impact of significant special items (as defined above) and impairment charges and related valuation allowance adjustments on deferred tax assets on ITCs, as well as the tax impact of impairment charges on shareholdings arising at the Company or subsidiary level. The tax rate applied to the pre-tax impact of the C-band operating expenses is the US tax rate. The rate applied for other special significant items and impairment expenses represents the computed weighted average tax rate of the relevant jurisdictions: €million 20242023 Profit/ (Loss) of the group attributable to shareholders of the parent 15 (905) C-band net income (83) (2,697) Other income (3) (5) Other significant special items 121 45 Impairment expenses 123 3,676 Add: Total significant special items 158 1,019 Tax on C-band net income, at 23% (2023:18%) 19 484 Tax on other significant special items, at 25% (2023: 25%) (28) (9) Tax on impairment expenses, at -25.3% (2023: -10.7%) (31) (394) Add: Tax on significant special items (40) 81 Add: Tax expense in respect of impairment expenses on the carrying value of subsidiary investments and other assets eliminated at consolidation level (7) 20 Adjusted Net Profit 126 215 * Includes valuation allowance on deferred tax assets for ITCs, triggered by impairments. Adjusted Earnings per Share is the Adjusted Net (Loss)/Profit, including an assumed coupon net of tax, divided by the weighted average number of shares. For 2024, Adjusted Earnings per Share of EUR 0.26 per Class A share (2023: EUR 0.41), and EUR 0.10 per Class B share (2023: EUR 0.16) have been calculated on the following basis: €million 2024 2023 Adjusted Net Profit 126 215 Assumed coupon on perpetual bond (net of tax) (15) (36) Total 111 179 Split between: 1Class A shares (in million)92 149 2Class B shares (in million)19 30 1 Calculated as 83% of adjusted loss attributable to owners of the parent, based on the weight of the Class A weighted average number of shares out of the total shares. 2 Calculated as 17% of adjusted loss attributable to owners of the parent, based on the weight of the Class B weighted average number of shares out of the total shares. The weighted average number of shares, net of own shares held and adjusted to reflect the economic rights, for calculating Adjusted Earnings per Share – unchanged from the numbers of shares applied in the calculation of basic earnings per share: Consolidated financial statements as at and for the year ended 31 December 2024 2024 2023 Class A shares (in million) 351.7 364.8 Class B shares (in million) 182.3 185.7 Total 534.0 550.5 Adjusted Earnings per share 2024 2023 Class A shares 0.26 0.41 Class B shares 0.10 0.16 7 Free cash flow before dividend and treasury activities Free cash flow before financing activities is defined as net cash generated by operating activities, adjusted for the net cash absorbed by investing activities. In addition, free cash flow before dividend and treasury activities considers the effect of the coupon paid on perpetual bond, interest paid on borrowings and lease payments on the computed free cash flow before financing activities. The Group believes that the free cash flow before dividend and treasury activities is relevant to the investors, since it gives an indication of the Group’s ability to generate cash after payment taxes and other committed financing charges. €million 20242023 Net cash generated by operating activities 1,006 3,479 Net cash absorbed by investing activities (159)(370)Free cash flow before financing activities 847 3,109 Coupon paid on perpetual bond (49) (49) Interest paid on borrowings (110)(109)Lease payments (26) (22) Free cash flow before equity distributions and treasury activities 662 2,929 8 Adjusted Free Cash Flow Adjusted Free Cash Flow is defined as Free cash flow before financing activities excluding the effect of cash flows generated by significant special items. €million 20242023 Free cash flow before equity distributions and treasury activities 662 2,929 C-band cash flows202 2,516 2 IRISrelated payable300 Payments in respect of other significant special items(93) (18) Exclude: Total cash flows related to significant special items 409 2,498 Adjusted Free Cash Flow 253 431 9 Constant FX Movements in foreign exchange rates have impact on SES’s results of operations. SES’s management reviews the variance of certain of its results, including revenue and adjusted EBITDA, at constant rates of exchange. Thus, when analysing the performance of the Group against the prior period figures, these are presented both as reported and at ‘constant FX’, whereby they are recomputed using the prevailing exchange rates for each corresponding month of the current period. SES calculates these financial measures at constant rates of exchange based on a retranslation of prior year measures at current year prevailing exchange rates for each corresponding month of the current period. SES does not adjust for the normal transactional gains and losses in operations that are generated by exchange movements. Consolidated financial statements as at and for the year ended 31 December 2024 Although SES does not believe that these measures are a substitute for IFRS measures, SES does believe that such results excluding the impact of currency fluctuations year-on-year provide additional useful information to investors regarding the operating performance on a local currency basis. Revenue by business unit At constant FX, the revenue allocated to the relevant business units developed as follows: Change Constant FX Favourable +/- Adverse €million 2024 2023 (constant FX) SES Video 914 964 -5.3% SES Networks 1,085 1,055 2.9% Sub-total 1,999 2,019 -1.0% 1Other 2 1 n/m Group Total 2,001 2,020 -0.9% n/m = not meaningful (a variance of more than 100% or less than -100%) Change Constant FX Favourable +/- Adverse €million 2023 2022 (constant FX) SES Video 967 1,011 -4.4% SES Networks 1,062 899 18.1% Sub-total 2,029 1,910 6.2% 1Other 1 1 n/m Group Total 2,030 1,911 6.2% n/m = not meaningful (a variance of more than 100% or less than -100%) 1 Other includes revenue not directly applicable to SES Video or SES Networks The performance of the Group against the prior period figures at constant FX developed as follows: Constant Change €million 2024 FX 2023 Favourable +/- Adverse Revenue 2,001 2,020 -0.9% C-band repurposing income 88 2,793 -96.8% Other income 3 5 n/m Operating expenses (1,099) (1,093) -0.5% EBITDA 993 3,725 -73.3% EBITDA margin (%) 47.5% 77.0% -29.5% pts Depreciation and impairment (866) (1,065) +18.8% Amortisation and impairment (63) (3,396) +98.2% Operating (loss)/profit 64 (736) n/m n/m = not meaningful (a variance of more than 100% or less than -100%) Consolidated financial statements as at and for the year ended 31 December 2024 Constant Change €million 2023 FX 2022 Favourable +/- Adverse Revenue 2,030 1,911 6.2% C-band repurposing income2,744 171 n/m Other income 5 - n/m Operating expenses (1,097) (877) -25.1% EBITDA 3,682 1,205 n/m EBITDA margin (%) 77.0% 57.9% +19.1% ptsDepreciation and impairment (1,054) (821) -23.0% Amortisation and impairment (3,314) (256) n/m Operating (loss)/profit (686)128n/m n/m = not meaningful (a variance of more than 100% or less than -100%) Note 38 - Consolidated subsidiaries, associates The consolidated financial statements include the financial statements of the Group’s subsidiaries and associates listed below: Economic Economic Consolidation interest % Consolidation Country interest % 2024 method 2024 2023 method 2023 Luxembourg Space Sector Development General Luxembourg 100 Full 100 Full Partner S.à r.l. Luxembourg Space Sector Development SCSp Luxembourg 50 Full 50 Full LuxGovSat S.A. Luxembourg 50 Full 50 Full 1 SES-17 S.à r.l. Luxembourg - - 100 Full SES Asia S.à r.l. Luxembourg 100 Full 100 Full SES Astra S.A. Luxembourg 100 Full 100 Full SES Astra Services Europe S.à r.l. Luxembourg 100 Full 100 Full SES Engineering (Luxembourg) S.à r.l. Luxembourg 100 Full 100 Full 1SES Finance S.à r.l. Luxembourg - - 100 Full SES Insurance International (Luxembourg) S.A. Luxembourg 100 Full 100 Full SES Insurance International Re (Luxembourg) S.A. Luxembourg 100 Full 100 Full SES Latin America S.à r.l. Luxembourg 100 Full 100 Full SES LU Satellite Holdings S.à r.l. Luxembourg 100 Full 100 Full SES LU US Holdings S.à r.l. Luxembourg 100 Full 100 Full SES mPOWER S.à r.l. Luxembourg 100 Full 100 Full 1SES Participations S.A. Luxembourg - - 100 Full SES Networks Lux S.à r.l. Luxembourg 100 Full 100 Full SES Networks Satellites S.à r.l. Luxembourg 100 Full 100 Full SES Techcom S.A. Luxembourg 100 Full 100 Full 6 SES Astra 1P S.à r.l.Luxembourg 100 Full - - 6 SES Satellites Ventures S.à r.l.Luxembourg 100 Full - - Société Européenne des Satellites Argentina 100 Full 100 Full Telecomunicaciones de Argentina S.A. 1 New Skies Satellites Australia Pty Ltd Australia - - 100 Full O3b Teleport Services (Australia) Pty Ltd. Australia 100 Full 100 Full 3Redu Operations Services S.A. Belgium 100 Full 48 Equity 3 Redu Space Services S.A. Belgium 100 Full 52 Full Satellites Ventures (Bermuda) Ltd Bermuda 50 Full 50 Full New Skies Satellites Ltda Brazil 100 Full 100 Full SES DTH do Brasil Ltda Brazil 100 Full 100 Full SES Satelites Directo Ltda Brazil 100 Full 100 Full SES Telecomunicações do Brasil Ltda. Brazil 100 Full 100 Full Northern Americas Satellite Ventures Inc. Canada 100 Full 100 Full SES Telecomunicaciones de Chile SpA Chile 100 Full 100 Full SES Telecomunicaciones de Colombia S.A.S. Colombia 100 Full 100 Full 1 GSN GoSat Distribution Network LimitedCyprus - - 100 Full ASTRA France S.A. France 100 Full 100 Full Consolidated financial statements as at and for the year ended 31 December 2024 Economic Economic Consolidation interest % Consolidation Country interest % 2024 method 2024 2023 method 2023 HD Plus GmbH Germany 100 Full 100 Full SES Germany GmbH Germany 100 Full 100 Full SES Media Solutions GmbH Germany 100 Full 100 Full SES HD Plus Ghana Limited Company Ghana 100 Full 84.7 Full 1West Africa Platform Services LimitedGhana - - 49 Full SES Satellites (Gibraltar) Limited Gibraltar 100 Full 100 Full 7Jio Space Technology Limited India 49 Equity 49 Equity Orbitconnect India Private Limited India 75 Full 75 Full SES Satellites India Private Limited India 100 Full 100 Full SES Global technology Services India Private India 100 Full - - 4Limited 1SES Satellite Leasing Limited Isle of Man -- -- 100 Full MX1 Limited Israel 100 Full 100 Full O3b Limited Jersey 100 Full 100 Full 1 O3b Networks Limited Jersey - - 100 Full Sirius Satellite Services SIA Latvia 100 Full 100 Full QuetzSat Directo S. de R.L. de C.V. Mexico 100 Full 100 Full QuetzSat S. de R.L. de C.V. Mexico 100 Full 100 Full Satelites Globales S. de R.L. de C.V. Mexico 100 Full 100 Full SES Mexico, S. de R.L. de C.V. Mexico 100 Full 100 Full New Skies Satellites BV Netherlands 100 Full 100 Full New Skies Satellites Argentina BV Netherlands 100 Full 100 Full New Skies Satellites Licensee BV Netherlands 100 Full 100 Full New Skies Satellites Mar BV Netherlands 100 Full 100 Full SES Engineering (Netherlands) BV Netherlands 100 Full 100 Full SES Holdings (Netherlands) BV Netherlands 100 Full 100 Full SES New Skies Marketing BV Netherlands 100 Full 100 Full SES Satellite Nigeria Limited Nigeria 100 Full 100 Full O3b Teleport Services (Peru) SAC Peru 100 Full 100 Full O3b Services (Portugal) Ltda Portugal 100 Full 100 Full SES Services Romania S.R.L. Romania 100 Full 100 Full SES World Skies Singapore Pte Limited Singapore 100 Full 100 Full SES ASTRA Africa Proprietary Limited South Africa 100 Full 100 Full SES Satélites Ibérica, S.L. Spain 100 Full 100 Full SES Astra AB Sweden 100 Full 100 Full SES Finance Services AG Switzerland 100 Full 100 Full SES Sirius Ukraina Ukraine 100 Full 100 Full Consolidated financial statements as at and for the year ended 31 December 2024 Economic Economic Consolidation interest % Consolidation Country interest % 2024 method 2024 2023 method 2023 Al Maisan Satellite Communications Company LLC UAE 35 Full 35 Full ASTRA (GB) Limited UK 100 Full 100 Full SES Defence UK Limited UK 100 Full 100 Full Americom Asia Pacific LLC USA 100 Full 100 Full Global Enterprise Solutions Inc. USA 100 Full 100 Full O3b Networks USA LLC USA 100 Full 100 Full SES 5G Customer Services LLC USA 100 Full 100 Full SES Americom (Asia 1A) LLC USA 100 Full 100 Full SES Americom Inc. USA 100 Full 100 Full 1 SES Global-Americas Inc. USA - - 100 Full 1 SES Global Americas Holdings Inc. USA - - 100 Full SES Satellites International, LLC USA 100 Full 100 Full SES Space and Defense, Inc. USA 100 Full 100 Full SES US Satellite Holdings LLC USA 100 Full 100 Full 5 SES SD Mission Partners, Inc USA 100 Full - - 1. Entity sold, merged, or liquidated in 2024 2. Entity sold, merged or liquidated after the reporting date 3. SES Techcom S.A. acquired all shares in Redu Space Services S.A. and Redu Operations Services S.A. on 22 May 2024 4. SES Global Technology Services India Private Limited was incorporated on 20 July 2024 5. SES SD Mission Partners, Inc. incorporated on 13 March 2024 6. SES Astra 1P S.à r.l. and SES Satellites Ventures S.à r.l. were incorporated on 8 November 2024 7. Jio Space Technology Limited is an entity existing in the framework of SES’s collaboration with Reliance Jio but had no significant operations in 2024 SES S.A. ANNUAL ACCOUNTS SES ANNUAL REPORT 2024 | 236 Independent auditor’s report Balance Sheet Profit and loss account Statement of changes in shareholders’ equity Notes to the annual accounts OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS PricewaterhouseCoopers, Société coopérative, 2 rue Gerhard Mercator, B.P. 1443, L-1014 Luxembourg T : +352 494848 1, F : +352 494848 2900, www.pwc.lu Cabi net de révision agréé. Expert-comptable (autorisation gouvernementale n°10028256) R.C.S. Luxembourg B 65 477 - TVA LU25482518 Audit report To the Shareholders of SES S.A. Report on the audit of the annual accounts Our opinion In our opinion, the accompanying annual accounts give a true and fair view of the financial position of SES S.A. (the “Company”) as at 31 December 2024, and of the results of its operations for the year then ended in accordance with Luxembourg legal and regulatory requirements relating to the preparation and presentation of the annual accounts. Our opinion is consistent with our additional report to the Audit and Risk Committee. What we have audited The Company’s annual accounts comprise: • the balance sheet as at 31 December 2024; • the profit and loss account for the year then ended; • the statement of changes in shareholders’ equity for the year then ended; and • the notes to the annual accounts, which include a summary of significant accounting policies. Basis for opinion We conducted our audit in accordance with the EU Regulation No 537/2014, the Law of 23 July 2016 on the audit profession (Law of 23 July 2016) and with International Standards on Auditing (ISAs) as adopted for Luxembourg by the “Commission de Surveillance du Secteur Financier” (CSSF). Our responsibilities under the EU Regulation No 537/2014, the Law of 23 July 2016 and ISAs as adopted for Luxembourg by the CSSF are further described in the “Responsibilities of the “Réviseur d’entreprises agréé” for the audit of the annual accounts” section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. We are independent of the Company in accordance with the International Code of Ethics for Professional Accountants, including International Independence Standards, issued by the International Ethics Standards Board for Accountants (IESBA Code) as adopted for Luxembourg by the CSSF together with the ethical requirements that are relevant to our audit of the annual accounts. We have fulfilled our other ethical responsibilities under those ethical requirements. To the best of our knowledge and belief, we declare that we have not provided non-audit services that are prohibited under Article 5(1) of the EU Regulation No 537/2014. The non-audit services that we have provided to the Company and its controlled undertakings, if applicable, for the year then ended, are disclosed in Note 24 to the annual accounts. SES ANNUAL REPORT 2024 | 237 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Key audit matters Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the annual accounts of the current period. These matters were addressed in the context of our audit of the annual accounts as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. Valuation of the shares in affiliated undertakings As described in the Note 3 to the annual accounts the Company has investments in shares in affiliated undertakings in net amount of 4,854.4 million EUR, which includes 13.6 million EUR of value adjustments recorded during the year then ended. Management’s assessment of the recoverable amount of investments in subsidiaries requires significant judgement in the determination of the level at which the investments in affiliated undertakings are tested for impairment taking into account the substance of the business activity, interdependency of the cash flows between the different subsidiaries and their level of integration. Moreover, the determination of the recoverable value requires significant estimates as it relates to the estimation of the forecasted cash flows and of the discount rates and growth rates. We focused on this area due to the inherent complexity and judgement in the estimate for the recoverable amount of the investments in affiliated undertakings and the materiality of the balance. How our audit addressed the key audit matter • We evaluated the design and implementation of relevant internal controls; • We evaluated Management’s methodology used to estimate the recoverable amount of the investments in affiliated undertakings. To that effect, we noted that Management has grouped certain undertakings together for the purpose of testing them for impairment in order to appropriately reflect the substance of the activity, interdependency of cash flows and the level of integration of their operations; • We involved valuation specialists to assist in evaluating the appropriateness of the value in use model and the reasonableness of the discount rates and growth rates assumptions; • We agreed the forecasted cash flows used for the calculation of the recoverable amount to the Business Plan as approved by the Board of Directors; • We compared actual revenue with forecasts used in prior Business Plan; • We evaluated the forecasted revenue assumptions, considering our expectations in terms of significant developments during the forecast period and corroborated these with contractual agreements in place as well as external market data in respect of demand for satellite capacity and pricing; SES ANNUAL REPORT 2024 | 238 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS • We evaluated the capital expenditure assumptions, considering our expectations in terms of significant developments during the forecast period (capital expenditure programs, replacement of satellites) and the expected capital expenditure level in the terminal period in order to maintain the current assets base; • We evaluated the accuracy and completeness of the disclosures included in the the annual accounts. Other information The Board of Directors is responsible for the other information. The other information comprises the information stated in the annual report including the consolidated management report and the Corporate Governance Statement but does not include the annual accounts and our audit report thereon. Our opinion on the annual accounts does not cover the other information and we do not express any form of assurance conclusion thereon. In connection with our audit of the annual accounts, our responsibility is to read the other information identified above and, in doing so, consider whether the other information is materially inconsistent with the annual accounts or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Responsibilities of the Board of Directors and those charged with governance for the annual accounts The Board of Directors is responsible for the preparation and fair presentation of the annual accounts in accordance with Luxembourg legal and regulatory requirements relating to the preparation and presentation of the annual accounts, and for such internal control as the Board of Directors determines is necessary to enable the preparation of annual accounts that are free from material misstatement, whether due to fraud or error. In preparing the annual accounts, the Board of Directors is responsible for assessing the Company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Board of Directors either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so. Those charged with governance are responsible for overseeing the Company’s financial reporting process. The Board of Directors is responsible for presenting the annual accounts in compliance with the requirements set out in the Delegated Regulation 2019/815 on European Single Electronic Format (“ESEF Regulation”). SES ANNUAL REPORT 2024 | 239 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Responsibilities of the “Réviseur d’entreprises agréé” for the audit of the annual accounts The objectives of our audit are to obtain reasonable assurance about whether the annual accounts as a whole are free from material misstatement, whether due to fraud or error, and to issue an audit report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the EU Regulation No 537/2014, the Law of 23 July 2016 and with ISAs as adopted for Luxembourg by the CSSF will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these annual accounts. As part of an audit in accordance with the EU Regulation No 537/2014, the Law of 23 July 2016 and with ISAs as adopted for Luxembourg by the CSSF, we exercise professional judgment and maintain professional scepticism throughout the audit. We also: • identify and assess the risks of material misstatement of the annual accounts, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control; • obtain an understanding of internal control relevant to the audit in order to design audit procedure s that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control; • evaluate the appropriateness of accounting policies used and the reasonableness of accounting es timates and related disclosures made by the Board of Directors; • conclude on the appropriateness of the Board of Directors’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our audit report to the related disclosures in the annual accounts or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our audit report. However, future events or conditions may cause the Company to cease to continue as a going concern; • evaluate the overall presentation, structure and content of the annual accounts, including the disclosures, and whether the annual accounts represent the underlying transactions and events in a manne r that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. SES ANNUAL REPORT 2024 | 240 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and communicate to them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, actions taken to eliminate threats or safeguards applied. From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the annual accounts of the current period and are therefore the key audit matters. We describe these matters in our audit report unless law or regulation precludes public disclosure about the matter. We assess whether the annual accounts have been prepared, in all material respects, in compliance with the requirements laid down in the ESEF Regulation. Report on other legal and regulatory requirements The consolidated management report is consistent with the annual accounts and has been prepared in accordance with applicable legal requirements. The Corporate Governance Statement is included in the consolidated management report. The information required by Article 68ter Paragraph (1) Letters c) and d) of the Law of 19 December 2002 on the commercial and companies register and on the accounting records and annual accounts of undertakings, as amended, is consistent with the annual accounts and has been prepared in accordance with applicable legal requirements. We have been appointed as “Réviseur d’Entreprises Agréé” by the General Meeting of the Shareholders on 4 April 2024 and the duration of our uninterrupted engagement, including previous renewals and reappointments, is 12 years. We have checked the compliance of the annual accounts of the Company as at 31 December 2024 with relevant statutory requirements set out in the ESEF Regulation that are applicable to annual accounts. For the Company it relates to the requirement that annual accounts are prepared in a valid XHTML format. In our opinion, the annual accounts of the Company as at 31 December 2024 have been prepared, in all material respects, in compliance with the requirements laid down in the ESEF Regulation. PricewaterhouseCoopers, Société coopérative Luxembourg, 3 March 2025 Represented by François Mousel SES ANNUAL REPORT 2024 | 241 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Balance sheet as at 31 December 2024 Assets Note 2024 2023 €million €million Fixed assets Intangible assets 2 0.3 0.4 Financial assets 2, 3 Shares in affiliated undertakings 3 A 4,854.4 5,078.1 Loans to affiliated undertakings 3 B 1,681.4 1,568.7 6,536.1 6,647.2 Current Assets Debtors 2 Amounts owed by affiliated undertakings 2, 4 becoming due and payable within one year 4 2,055.8 2,594.0 becoming due and payable after more than one year 4 201.2 11.2 Other debtors becoming due and payable within one year 5 21.0 33.4 Investments Own shares 2, 6 A 11.9 33.2 Other investments 6 B 35.2 - Cash at bank and cash in hand 7 3,119.7 2,766.5 5,444.8 5,438.3 Prepayments 2 41.1 20.1 Total assets 12,022.0 12,105.6 SES ANNUAL REPORT 2024 | 242 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Balance sheet as at 31 December 2024 Capital, Reserves and Liabilities Note 2024 2023 €million €million Capital and reserves Subscribed capital 8 696.5 696.5 Share premium account 8 1,832.3 1,832.3 Reserves Legal reserve 9 69.7 69.7 Reserve for own shares 10 11.9 33.2 Profit brought forward 780.0 2,565.0 Profit or loss for the financial year (209.8) (1,583.4) Interim dividends (111.4) - 3,069.2 3,613.3 Creditors 2 Debenture loans – non-convertible loans 11 becoming due and payable within one year 311.5 779.3 becoming due and payable after more than one year 4,355.6 3,591.2 Amounts owed to credit institutions 12 becoming due and payable within one year - - becoming due and payable after more than one year - - Trade creditors becoming due and payable within one year 6.1 1.0 Amounts owed to affiliated undertakings 13 becoming due and payable within one year 4,022.8 3,271.1 becoming due and payable after more than one year 39.4 493.7 Other creditors Social security authorities 0.5 0.5 Other creditors 14 becoming due and payable within one year 25.0 355.5 becoming due and payable after more than one year 191.9 - Total capital, reserves and liabilities 12,022.0 12,105.6 SES ANNUAL REPORT 2024 | 243 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Profit and loss account for the year ended 31 December 2024 Note 2024 2023 €million €million Other operating income 15 126.8 19.0 Raw material and consumables and other external expenses Other external expenses 16 (109.3) (30.4) Staff costs 17 Wages and salaries (28.1) (26.0) Social security costs relating to pensions (2.3) (2.0) other social security costs (0.4) (0.4) Other staff costs (0.1) (0.2) Value adjustments 2, 18 in respect of formation expenses and of tangible and intangible fixed assets - (8.3) Other operating expenses (3.6) (1.5) Income from participating interest derived from affiliated undertakings 2, 19 103.5 303.6 Income from other investments and loans forming part of fixed assets derived from affiliated undertakings 20 56.8 69.6 Other interest receivable and similar income derived from affiliated undertakings 21 A 109.6 106.5 other interest and similar income 21 B 303.2 317.1 Value adjustment in respect of financial assets and of investments held as current assets 22 (267.9) (1,764.2) Interest payable and similar expenses concerning affiliated undertakings 23 A (201.4) (132.4) other interest and similar expenses 23 B (296.6) (441.8) Tax on profit or loss - 8.0 Profit or (loss) for the financial year (209.8) (1,583.4) SES ANNUAL REPORT 2024 | 244 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Statement of changes in shareholders’ equity for the year ended 31 December 2024 Subscribed capital Share premium Legal reserve Other reserves Result for the year Total €million €million €million €million €million €million At 1 January 2023 696.5 1,832.3 71.9 2,172.0 646.9 5,419.6 Allocation of result - - - 646.9 (646.9) - Share Capital reduction - - (2.2) 2.2 - - Distribution of dividends - - - (222.9) - (222.9) Loss for the financial year - - - - (1,583.4) (1,583.4) At 31 December 2023 696.5 1,832.3 69.7 2,598.2 (1,583.4) 3,613.3 At 1 January 2024 696.5 1,832.3 69.7 2,598.2 (1,583.4) 3,613.3 Allocation of result - - - (1,583.4) 1,583.4 - Transfer from legal reserve - - - - - - Distribution of dividends - - - (222.9) - (222.9) Interim Dividend - - - (111.4) - (111.4) Loss for the financial year - - - - (209.8) (209.8) At 31 December 2024 696.5 1,832.3 69.7 680.5 (209.8) 3,069.2 * Including reserves for own shares, other non-available reserves and profit brought forward. SES ANNUAL REPORT 2024 | 245 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 Note 1 – General information SES S.A. (hereafter ‘SES’ or ‘the Company’) was incorporated on 16 March 2001 as a limited liability company (Société Anonyme) under the laws of the Grand-Duchy of Luxembourg for an unlimited period. The registered office of the Company is at Château de Betzdorf, L-6815 Betzdorf, Luxembourg. The purpose of the Company is to take generally any interest whatsoever in electronic media and to be active, more particularly, in the communications area via satellites and to invest, directly or indirectly, in other companies that are actively involved in the satellite communication industry. The Company prepares consolidated financial statements for the SES Group drawn up in accordance with IFRS Accounting Standards as endorsed by the European Union (‘IFRS Accounting Standards’) and which are published according to the provisions of Luxembourg law. The accounting period of the Company is 1 January to 31 December. Article 65, Paragraph (1) 2º of the Law of 19 December 2002 on the register of commerce and companies and the accounting and annual accounts of undertakings (the “Law”) requires the disclosure of the amount of capital and reserves and profit and loss for the last financial year of each affiliated undertaking. In conformity with Art.67 (3) of the Law, these details have been omitted as the Company prepares consolidated financial statements and these consolidated financial statements, and the related management report and auditors' report thereon, have been lodged with the Luxembourg Trade Registry. The Company’s Fiduciary Deposit Receipts (‘FDRs’) have been listed on the Luxembourg Stock Exchange since 1998 and on Euronext Paris since 2004 under the symbol SESG. FDRs can be traded freely and are convertible into an equal number of Class A shares at any time, and at no cost, at the option of the holder under the conditions applicable in the Company’s articles of association, and in accordance with the terms of the FDRs. Note 2 – Summary of significant accounting policies and valuation rules Basis of preparation The annual accounts are prepared in accordance with the Luxembourg legal and regulatory requirements under the historical cost convention relating to the preparation and presentation of the annual accounts. Accounting policies and valuation rules are, besides the ones laid down by the amended Law of 19 December 2002, determined and applied by the Board of Directors. The preparation of annual accounts requires the use of certain critical accounting estimates. It also requires the Board of Directors to exercise its judgment in the process of applying the accounting policies. Changes in assumptions may have a significant impact on the annual accounts in the period in which the assumptions are changed. Management believes that the underlying assumptions are appropriate and that the annual accounts therefore present the financial position and results fairly. Management makes estimates and assumptions that may affect the reported amounts of assets and liabilities in the next financial year(s). Estimates and judgments are regularly re-evaluated, and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. SES ANNUAL REPORT 2024 | 246 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 Significant accounting policies The main accounting policies and valuation rules applied by the Company are the following: 1 Intangible assets Amounts related to the development of software and other related expenses, are included in the balance sheet when incurred. Development expenditure is capitalised when its future recoverability can be regarded as assured. The expenditure is transferred to assets in use, and depreciation commences, when the resulting asset is put into service. 2 Financial assets Shares in affiliated undertakings held by the Company are recorded at acquisition cost. In the case of a permanent diminution in the value of a financial fixed asset in the opinion of the Board of Directors, a value adjustment is made such that the investment is valued at the lower figure. Value adjustments are not maintained if the reasons for which they were made have ceased to apply. In some instances, where the Board of Directors believes that it is more appropriate under the circumstances and better reflects the substance of the activity, the interdependency of cash flows between SES subsidiaries, and their level of integration, have been considered in assessing the carrying value of the financial assets. In those instances, investments in certain undertakings have been grouped together for the purposes of testing them for impairment - similarly to cash generating units (‘CGUs’) as defined in IAS 36 “Impairment of Assets” under IFRS Accounting Standards. However, where a contractual disposal of an investment included in one of the cash-generating units triggers the recognition of a book loss then this loss is recorded by the Company in the result of the period when the transaction was approved, and the magnitude of the loss was ascertained. Loans to affiliated undertakings are valued at their nominal value. Value adjustments are recorded on loans which appear to be partly or wholly irrecoverable. These value adjustments are not maintained if the reasons for which they were made have ceased to apply. 3 Debtors Debtors are recorded at their nominal value. They are subject to value adjustments where their recovery is uncertain. These value adjustments are not continued if the reasons for which they were made have ceased to apply. 4 Investments in own shares Own shares are recorded at acquisition cost, including expenses incidental thereto. At the balance sheet date, own shares are valued at the lower of acquisition cost and a valuation calculated based on weighted average cost or market value. A value adjustment is recorded where the market value is lower than the acquisition cost. These value adjustments are not maintained if the reasons for which the value adjustments were made have ceased to apply. 5 Cash and cash equivalents Cash and cash equivalents comprise cash at banks and on hand, deposits, money market funds and short-term, highly liquid investments readily convertible to known amounts of cash and subject to insignificant risk of changes in value. Cash at banks and money market funds are subject to interest at floating rates based on daily bank rates. Short-term deposits are made for varying periods, depending on the immediate cash requirements of the Group - and earn interest at the respective deposit rates. Cash on hand and in banks and short-term deposits which are held to maturity are carried at \amortized costs. SES ANNUAL REPORT 2024 | 247 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 6 Prepayments Prepayments represent expenditures incurred during the financial year but relating to a subsequent financial year. Loan origination costs are recorded at their nominal value and are presented as prepayments. These costs are amortised over the remaining estimated loan periods based on the Company’s financing strategy. 7 Creditors Debenture loans and amounts owed to credit institutions are recorded at their reimbursement value. Where the amount repayable is greater than the amount received, then the difference is shown as an asset and is written off on a straight-line basis over the term of the borrowing. 8 Foreign currency translation The Company maintains its books and records in EUR. Transactions expressed in currencies other than the EUR are translated into EURs at the exchange rates effective at the time of the transaction. Except for fixed assets, all assets and liabilities denominated in foreign currencies are converted at the rate of exchange ruling at the balance sheet date. Realised and unrealised gains and losses are recognised in the profit and loss account. Fixed assets denominated in currencies other than EUR, except for loans to affiliated undertakings classified as financial fixed assets, are translated into EUR at the exchange rate effective at the time of the transaction. At the balance sheet date, these assets remain translated at historical exchange rates. The foreign exchange result for the year has been presented on a net basis. 9 Dividends paid and received Dividends are declared after the annual accounts for the year have been approved. Accordingly, dividends payable are recorded in the subsequent year’s annual accounts. Dividends receivable on own shares are recorded as income in the year in which the dividend is approved. Dividends receivable from affiliated undertakings are recorded as income in the year in which they are approved by the subsidiary. 10 Share-based compensation Employees of the Company receive remuneration in the form of share-based compensation, whereby employees render services to the Company as consideration for equity instruments. Four share-based compensation schemes have been established by the Company and are available to members of the Company’s staff, and to employees of the SES Group: Equity-settled plans: i The Stock Appreciation Rights Plan (‘STAR Plan’) ii Executive Incentive Compensation Plan (‘EICP’) iii Long-Term Incentive Programme (‘LTIP’) Cash-settled plan: iv Simulated Restricted Stock Units plan (‘SRSU Plan’) A charge, representing the difference between the acquisition cost of own shares and exercise price, is recognised in the profit and loss account on the exercising of share option/shares. The SRSU Plan was inaugurated in 2017 and has replaced the Star Plan over time. SRSUs are delivered on 1 June following a three-year vesting period. Delivery occurs through a gross cash payment in the June payroll cycle instead of in FDR’s. For the cash-settled plan, a charge corresponding to the number of SRSUs outstanding at the share price on 31 December 2024 is recognised in the profit and loss account on a pro-rata basis over the vesting period and is presented as part of ‘Wages and salaries’ in the profit and loss account. A corresponding liability is recorded and presented in the balance sheet under ‘Other creditors’. SES ANNUAL REPORT 2024 | 248 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 Note 3 – Financial assets A. Shares in affiliated undertakings €million 2024 2023 Historic cost: As at 1 January: 7,068.0 7,222.8 Increase 1,451.5 1,946.8 Decrease (1,661.6) (2,168.3) Transfer - 66.7 As at 31 December 6,857.9 7,068.0 Accumulated value adjustments: As at 1 January (1,989.9) (1,801.1) Increase (13.6) (1,923.2) Decrease - 1,801.1 Transfer - (66.7) As at 31 December (2,003.5) (1,989.9) Net book value: As at 1 January 5,078.1 5,421.7 As at 31 December 4,854.4 5,078.1 As at 31 December the Company held the following investments and associated book values: Incorporated in: 2024 2023 2024 2023 €million €million SES Holdings (Netherlands) B.V. 1 Netherlands 100% 100% 1,183.0 667.2 SES Astra S.A. Luxembourg 100% 100% 1,046.8 1,046.8 SES Insurance International Re (Luxembourg) S.A. Luxembourg 100% 100% 42.2 90.3 SES Insurance International (Luxembourg) S.A. Luxembourg 100% 100% 15.2 15.2 SES Latin America S.à r.l. Luxembourg 100% 100% 29.7 29.7 SES LU US Holdings S.à r.l. Luxembourg 70% 100% 2,526.4 3,217.8 SES Astra Services Europe S.à r.l. Luxembourg 100% 100% 11.1 11.1 Total 4,854.4 5,078.1 1 SES Holdings (Netherlands) B.V. has a 100% direct ownership of the entity New Skies Satellites B.V. and 100% direct ownership of the MEO entities SES Networks Lux S.à r.l., SES Networks Satellites S. à r.l. and SES mPOWER S. à r.l.. Therefore, for impairment testing purposes the investment is allocated between the SES GEO and SES MEO cash generating units SES ANNUAL REPORT 2024 | 249 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 Movements in 2024 In February 2024, the Company received a distribution in cash out of the share premium of SES LU US Holdings S.à r.l. of EUR 181.8 million, decreasing the carrying value of its interest in that company by the same amount. In April 2024, SES LU US Holdings S.à r.l. contributed its MEO loans with SES mPOWER S.à r.l. of EUR 229.9 million and SES Networks Lux S.à r.l. of EUR 111.4 million to the Company by increasing it share premium, decreasing the carrying value of its interest in the company by EUR 341.3 million. On same day the Company contributed its MEO loans as described above with SES mPOWER S.à r.l. of EUR 229.9 million and SES Networks Lux S.à r.l. of EUR 111.4 million to SES Holdings (Netherlands) B.V., increasing the carrying value of its interest in that company by EUR 341.3 million. In April 2024, the Company contributed cash into the share premium of SES Holdings (Netherlands) B.V. of EUR 470.1 million, increasing the carrying value of its interest in that company by the same amount. In April 2024, the Company sold 30% of the shares in SES LU US Holdings S.à r.l. in the amount of EUR 808.5 million to SES Holdings (Netherlands) B.V. for an amount of EUR 807.3 million, decreasing the carrying value if its interest in that company by EUR 808.5 million and generating a loss on sale of this investment of EUR 1.2 million (see Note 22). In December 2024, the Company contributed cash into the share premium of SES LU US Holdings S.à r.l. of EUR 640.1 million, increasing the carrying value of its interest in that company by the same amount. In December 2024, the Company received a distribution in cash out of the share premium of SES Holdings (Netherlands) B.V. of EUR 282.0, decreasing the carrying value of its interest in that company by the same amount. In December 2024, the Company received a distribution in cash out of the share capital of SES Insurance International Re (Luxembourg) S.A. of EUR 48.1 million, decreasing the carrying value of its interest in that company by the same amount. In 2024, the increase in accumulated value adjustments of EUR 13.6 million represents an impairment of the investment in SES Holdings (Netherlands) BV. Movements in 2023 In April 2023, the Company contributed its loan receivable with SES Networks Lux S.à r.l. of EUR 946.8 million into the share premium of SES LU US Holdings S.à r.l., increasing the carrying value of its interest in that company by the same amount. In April 2023, the Company received a distribution in cash out of the share premium of SES LU US Holdings S.à r.l. of EUR 367.8 million, decreasing the carrying value of its interest in that company by the same amount. In September 2023, the Company made a capital contribution of its investment in SES Participations S.A. of EUR 2.5 million (representing a historic cost of EUR 106.8 million, net of accumulated value adjustments of EUR 104.3 million) and in SES Finance S.à r.l of EUR 8.6 million (representing a historic cost of EUR 1,510.7 million, net of accumulated value adjustments of EUR 1,502.1 million) to SES Astra Services Europe S.à r.l. of EUR 11.1 million, increasing the carrying value of its interest in SES Astra Services Europe S.à r.l. by the same amount. In October 2023, the Company converted a portion of its current account with SES mPower S.à r.l. of EUR 377.6 million into four long-term loans and contributed these into the share premium of SES LU US Holdings S.à r.l., increasing the carrying value of its interest in SES LU US Holdings S.à r.l. by the same amount. In December 2023, SES LU US Holdings S.à r.l. reduced its share premium by assigning two of these loans with SES mPower S.à r.l. back to the Company in the amount of EUR 183.0 million, resulting in a reduction in the carrying value of the Company’s interest in SES LU US Holdings S.à r.l. by the same amount. SES ANNUAL REPORT 2024 | 250 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 In November 2023, the Company contributed its loans receivable from New Skies Satellites BV of EUR 611.3 million, due in November 2023, into the share premium of SES Holdings (Netherlands) BV, increasing the carrying value of its interest in that company by the same amount. In 2023, the increase in accumulated value adjustments of EUR 1,923.2 million represents impairments of the investments in SES Holdings (Netherlands) BV (EUR 445.3 million) and SES LU US Holdings S.à r.l. (EUR 1,477.9 million). The decrease of EUR 1,801.1 million in 2023 represents EUR 194.7 million of a reversal of impairments on the investments in SES Astra S.A. (EUR 47.9 million), SES Latin America S.à r.l. (EUR 1.4 million), SES Holdings (Netherlands) BV (EUR 9.8 million), and SES LU US Holdings S.à r.l. (EUR 135.6 million), as well as the disposal of investments in SES Participations S.A. (EUR 104.3 million) and SES Finance S.à r.l (EUR 1,502.1 million). The transfers of EUR 66.7 million represent grossing up of a historic cost and accumulated value adjustments of SES Astra Services Europe S.à r.l. Impairment testing procedures Management identified the following CGUs for the purpose of impairment testing: SES GEO operations (‘SES GEO’); and, SES MEO operations (‘SES MEO’). The investment in SES Holdings (Netherlands) BV includes both SES GEO and SES MEO operations and was analysed accordingly for impairment testing purposes. Affiliated undertakings listed under “SES GEO” form part of the geosynchronous-orbit satellite operations of the SES Group. They are aggregated into one CGU for the purpose of testing their carrying values for impairment, considering the interdependency of their cash flows and their level of integration (see Note 2). Loans to and from SES GEO companies are added to the carrying values of the shares concerned for impairment testing purposes. The value-in-use of this CGU is determined based on a calculation using the most recent business plan information approved by the Board of Directors which covers a period of five years. This period reflects the long-term contractual base for the satellite business. The after-tax discount rate varies based on the geographic region covered by the satellites; the rates used ranged from 6.83% to 8.89% and were selected to reflect market interest rates and commercial spreads, the capital structure of businesses in the SES Group's business sector, and the specific risk profile of the businesses concerned. Similarly, the terminal growth rates used in the valuation varied from -1.1% to -3.8%, reflecting the most recent long-term planning assumptions approved by the Board, and are supported by reference to the performance of the SES business concerned over a longer period in the relevant markets. The assessment resulted in no impairment charges on investments in 2024 (2023: EUR 194.7 million impairment reversal). SES MEO operations, representing the O3b business acquired in 2016 and is considered a separate CGU as the business currently generates cash inflows that are largely independent from SES GEO operations. Similar to SES GEO, the value-in-use of this CGU is determined based on a calculation using the most recent business plan information approved by the Board of Directors covering five years. For the period between the end of business plan and mPOWER end of life (2030 to 2037) it was a assumed a steady decline rate of 3.75%, based on the 2025 to 2029 compound annual growth rate for pricing per application, weighted by the 2029 revenues. This approach represents a change from previous year fading growth approach, as mPOWER is expected to reach its maximum commercialisable capacity by the end of 2029. The post-tax discount rate applied for 2024 was 8.89% (2023: 8.51 %) and was selected to reflect market interest rates and commercial spreads; the capital structure of businesses in the CGU’s business sector; and the specific risk profile of the business concerned. The assessment resulted in an impairment charge being taken of EUR 13.6 million on investments (2023: EUR 1,923.2) and EUR 254.9 million on loans to affiliated undertakings (2023: EUR nil) (see Note 3 B), SES ANNUAL REPORT 2024 | 251 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 reflecting the challenges that the MEO constellation faces, both operational (with regard to the technical anomalies identified in 2023), and the competitive environment in the NGSO satellite market. Note that an impairment test performed on each investment taken individually (the “line-by-line method”), would potentially lead to a different conclusion. However, for the reasons stated above and as described in Note 2, the Board of Directors does not believe that the “line-by-line method” is appropriate considering the integrated nature of the SES GEO operations business and the interdependency of its cash flows. B. Loans to affiliated undertakings Loans to affiliated undertakings as of 31 December 2024 consisted of: Counterparty Principal and accrued interest (€million) Maturity Interest rate SES Astra S.A. 500.0 October 2030 0.64% SES Astra S.A. 42.0 January 2032 2.29% SES Networks Satellites, S.à r.l. 506.6 October 2029 3.33% HD Plus GmbH 50.0 November 2030 5.60% New Skies Satellites B.V. 250.2 December 2032 3.39% SES mPower S.à r.l. 154.0 October 2033 6.20% SES Holdings (Netherlands) B.V. 185.7 October 2029 3.39% SES Global Technology Services India Private Limited 2.4 December 2034 11.14% SES Astra 1P Sarl 187.6 March 2031 3.80% SES Satellites Ventures Sarl 57.8 December 2032 5.30% Value adjustments (254.9) Total 1,681.4 As at 31 December 2024, the Company performed an analysis of the loans to affiliated undertakings and recorded value adjustments of EUR 254.9 million on loans to SES mPOWER S.à r.l. of EUR 103.4 million and to SES Networks Satellites, S.à r.l. of EUR 151.5 million. Loans to affiliated undertakings as of 31 December 2023 consisted of: Counterparty Principal and accrued interest (€million) Maturity Interest rate SES Astra S.A. 600.0 October 2030 0.64% SES Astra S.A. 48.0 January 2032 2.29% SES Networks Satellites, S.à r.l. 462.6 October 2029 3.33% HD Plus GmbH 60.0 November 2030 5.60% New Skies Satellites B.V. 235.2 December 2032 3.22% SES mPower S.à r.l. 162.9 October 2033 6.20% Total 1,568.7 SES ANNUAL REPORT 2024 | 252 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 Note 4 – Amounts owed by affiliated undertakings The SES Group operates a centralised treasury function at the level of the Company, including a cash- pooling mechanism which manages the Group’s liquidity and optimises its funding costs. Amounts owed by affiliated undertakings as at 31 December consist of: €million 2024 2023 Becoming due and payable within one year Intercompany current accounts * 1,939.5 1,854.0 Forward Sale Agreement with SES mPOWER S.à r.l. - 342.4 Short term loan to SES Astra S.A. 107.0 107.2 Short term loan to SES Holdings Netherland B.V. - 299.1 Short term loan to SES New Skies Satellites B.V. - 5.1 Short term loan to HD Plus GmbH 10.6 10.6 Short term loan to SES mPower S.à r.l. 22.0 18.1 Short term loan to SES Astra 1P S.à r.l. 5.3 - Short term loan to SES Media Solutions GmbH 210.0 210.0 Value adjustments (238.6) (252.5) Total 2,055.8 2,594.0 Becoming due and payable after more than one year Forward Sale Agreement with SES mPOWER S.à r.l. 191.9 - Long term advance to SES DTH do Brasil Ltda 9.3 11.2 Total 201.2 11.2 * Intercompany current accounts represent short-term advances bearing interest at market rates. As at 31 December 2024, the Company performed an analysis of the amounts owed by affiliated undertakings and recorded a reversal of net value adjustments of EUR 13.9 million (see also Note 22) consisting a reversal of the value adjustment on the intercompany current account with MX1 Limited of EUR 10.5 million and a reversal of value adjustment on the intercompany current account with SES Media Solutions GmbH of EUR 3.4 million due to a partial repayment received. As at 31 December 2023, the Company performed an analysis of the amounts owed by affiliated undertakings and recorded a net value adjustment of EUR 34.5 million (see also Note 22) consisting of a value adjustment of the intercompany current account with MX1 Limited of EUR 39.0 million, as these amounts are considered to be irrecoverable, and a reversal of the value adjustment on the intercompany current account with SES Media Solutions GmbH of EUR 4.5 million due to a partial repayment received. As at 31 December 2022, the Company recorded value adjustments of EUR 218.0 million with respect to a short-term loan to SES Media Solutions GmbH of EUR 210.0 million and an intercompany current account with SES Media Solutions GmbH of EUR 8.0 million. In 2018, SES entered into a forward sale agreement with SES mPower S.à r.l (see Note 14) in connection with seven mPOWER satellites. In August 2020 an option to procure four additional satellites was exercised. In September 2022, SES acquired six of the seven initial mPOWER satellites and in January 2023, SES acquired the seventh of the initial mPOWER satellites. In December 2024, SES acquired two of the four additional mPOWER satellites. The purchase of the remaining two satellites will follow in January 2026. The outstanding balance of EUR 191.9 million has been transferred from current to non-current position in the balance sheet. As at 31 December 2024, SES has a receivable becoming due and payable after more than one year from SES mPOWER S.à r.l of EUR 191.9 million (2023: EUR nil million) and EUR nil million (2023: EUR 342.4 million) becoming due and payable within one year in connection with the procurement of the mPOWER satellites. SES ANNUAL REPORT 2024 | 253 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 Note 5 – Other debtors Other debtors as at 31 December consist of: €million 2024 2023 Becoming due and payable within one year Trade debtors 0.4 0.4 Receivable related to VAT 13.6 15.5 Other tax receivables - 10.3 Accrued interest on deposits 7.0 7.2 Total 21.0 33.4 Other tax receivables The Company is subject to the tax regulations in Luxembourg. In accordance with Article 164bis of the Luxembourg income tax law, SES S.A. is the head of the Luxembourg tax unity with its direct and indirect subsidiaries as follows: 1 SES Astra S.A. 2 SES Asia S.à r.l. 3 SES Engineering S.à r.l. 4 SES Astra Services Europe S.à r.l. 5 SES Networks Lux S.à r.l. 6 SES Techcom S.A. 7 SES Latin America S.à r.l. 8 SES Insurance International (Luxembourg) S.A. 9 SES Insurance International Re (Luxembourg) S.A. 10 SES mPOWER S.à r.l. 11 SES Networks Satellites S.à r.l. 12 SES LU Satellite Holdings S.à r.l. 13 Luxembourg Space Sector Development SCSp 14 Luxembourg Space Sector Development General Partner S.à r.l. 15 SES LU US Holdings S.à r.l. The balance sheet tax position represents the net amount payable to, or receivable from, the Luxembourg tax authorities by the Company in its role as head of the tax unity. The net tax receivable of EUR nil million as at 31 December 2024 (2023: EUR 10.3 million) includes a receivable for corporate income tax of EUR nil million (2023: EUR 4.7 million) and for municipal business tax of EUR nil million (2023: EUR 5.6 million). The respective tax charge/income of each subsidiary is computed on a stand-alone basis and it is recorded for the entire Luxembourg tax unity by the Company. Carried forward tax losses and investment tax credits The Company, as the head of Luxembourg fiscal integration, had EUR 2,236.0 million of carried forward tax losses available as at 31 December 2023 (2022: EUR 926.0 million) and estimates approximately EUR 164.7 million of additional tax losses for 2024 (2023: 1,310.0 million). Since these losses were generated after 2017, they can be carried forward for the seventeen years following the tax year in which the losses arose. The Company, as the head of Luxembourg fiscal integration, has EUR 325.0 million of carried forward investment tax credits available as at 31 December 2023 and estimates approximately EUR 15.5 million of additional investment tax credits for 2024. These investment tax credits can be carried forward for a maximum 10 years. SES ANNUAL REPORT 2024 | 254 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 OECD Pillar Two Regulations The Organisation for Economic Co-operation and Development (OECD)/G20 Inclusive Framework on Base Erosion and Profit Shifting published the Pillar Two model rules designed to address the tax challenges arising from the digitalisation of the global economy. The Group is within the scope of the OECD Pillar Two model rules. Pillar Two legislation was enacted in Luxembourg, the jurisdiction in which the Ultimate Parent Entity is incorporated and came into effect from 1 January 2024. Therefore, the Ultimate Parent Entity applies the Income Inclusion Rule for all jurisdictions where Pillar Two rules were not enacted. The Group applies the exception to recognizing and disclosing information about deferred tax assets and liabilities related to Pillar Two income taxes, as provided in the amendments to IAS 12 issued in May 2023. The top-up tax due under Pillar Two model rules was calculated based on the OECD transitional safe harbour rules except for a smaller jurisdiction where a full-fledged calculation was performed. According to these calculations SES should be liable to a top-up tax of EUR 20 thousand. Note 6 – Investments A. Own shares ‘Own shares’ refers to holdings of the Company’s own FDRs. All FDRs held are for use in connection with the share-based compensation plans for executives and staff of the SES Group. FDRs are valued at the lower of the weighted average cost and the market price. As at 31 December 2024, the Company owned 3,898,699 FDRs (2023: 5,575,410) representing a carrying value of EUR 11.9 million (2023: EUR 33.2 million). B. Other Investments In 2024, the Company repurchased on the open market an amount of EUR 35.2 million of its EUR 625 million Deeply Subordinated Fixed Rate Resettable Securities issued on 27 May 2021. In accordance with the terms and conditions of the Securities, the purchased Securities will be cancelled – please see also Note 11 and Note 27. Note 7 – Cash and cash equivalents The cash balances as at 31 December consist of: €million 2024 2023 Cash at bank and in hand 210.7 183.8 Term deposits 1,435.3 1,294.3 Money market funds 1,473.7 1,288.3 Total 3,119.7 2,766.4 The Group’s year-end cash balances derive largely from proceeds from C-band repurposing and the Hybrid Dual-Tranche Bond offering issued in September 2024. The majority of the Group’s cash is being invested in short term deposits and money market funds, using competitive rates, but following the Treasury Policy. All Money Market Funds that are part of SES's portfolio are (among other criteria) required to have a t+0 settlement cycle and daily liquidity of over 10%, which ensures that the invested funds remain highly liquid. SES ANNUAL REPORT 2024 | 255 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 Note 8 – Subscribed capital and share premium account SES has a subscribed capital of EUR 696.5 million (2023: EUR 696.5 million), represented by 371,457,600 Class A shares (2023: 371,457,600) and 185,728,800 Class B shares (2023: 185,728,800) with no par value. Although they constitute separate classes of shares, Class A and Class B shares have the same rights except that Class B shares, which are held by the State of Luxembourg and by two entities wholly-owned by the State of Luxembourg, entitle their holders to only 40% of the dividend, or on dissolution 40% of the net liquidation proceeds, paid to shareholders of Class A. Class B shares are not freely traded. Each share, whether of Class A or Class B, is entitled to one vote. The movement between the opening and closing number of shares issued per class of share was as follows: Class A shares Class B shares Total shares As at 1 January 2023 371,457,600 185,728,800 557,186.400 As at 31 December 2023 371,457,600 185,728,800 557,186.400 Class A shares Class B shares Total shares As at 1 January 2024 371,457,600 185,728,800 557,186,400 As at 31 December 2024 371,457,600 185,728,800 557,186.400 Note 9 – Legal reserve In accordance with Luxembourg law, a minimum of 5% of the annual net profit is transferred to a legal reserve which is non-distributable. This requirement is satisfied when the reserve reaches 10% of the issued share capital. Note 10 – Reserve for own shares In accordance with the Law, the Company has created a non-distributable “reserve for own shares” of EUR 11.9 million (2023: EUR 33.2 million), corresponding to the balance of the own shares held as of year- end. SES ANNUAL REPORT 2024 | 256 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 Note 11 – Debenture loans – non-convertible loans The maturity profile of notes and bonds is as follows as at 31 December 2024. Creditors - Financial liabilities (€million) Interest rate Maturity 2024 a) Debenture loans - Non convertible loans becoming due and payable within one year 311.5 Debenture loan accrued interest 61.5 German Bond EUR 250 million 1.71% December 2025 250.0 becoming due and payable between two and five years 2,440.0 EUR 650 million Eurobond 1.625% March 2026 650.0 EUR 140 million Private Placement 4.00% May 2027 140.0 EUR 500 million Eurobond 0.875% November 2027 500.0 EUR 400 million Eurobond 2.00% July 2028 400.0 EUR 750 million Eurobond 3.50 % January 2029 750.0 becoming due and payable after five years 1,915.6 144A Bond USD 250 million 5.30% April 2043 240.6 German Bond EUR 50 million 4.00% November 2032 50.0 EUR 625 million deeply subordinated fixed rate resettable securities 2.875% N/A * 625.0 EUR 500 million Eurobond 5.50% September 2054 ** 500.0 EUR 500 million Eurobond 6.00% September 2054 *** 500.0 * First reset date August 2026 ** First reset date December 2029 *** First reset date September 2032 SES ANNUAL REPORT 2024 | 257 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 The maturity profile of notes and bonds is as follows as at 31 December 2023. Creditors - Financial liabilities (€million) Interest rate Maturity 2023 a) Debenture loans - Non convertible loans becoming due and payable within one year 779.3 Debenture loan accrued interest 79.3 EUR 550 million deeply subordinated fixed rate resettable securities 5.625% January 2024 550.0 EUR 150 million German Bond Floating June 2024 150.0 becoming due and payable between two and five years 1,940.0 EUR 250 million German Bond 1.71% December 2025 250.0 EUR 650 million Eurobond 1.625% March 2026 650.0 EUR 140 million Private Placement 4.00% May 2027 140.0 EUR 500 million Eurobond 0.875% November 2027 500.0 EUR 400 million Eurobond 2.00% July 2028 400.0 becoming due and payable after five years 1,651.2 EUR 750 million Eurobond 3.50 % January 2029 750.0 USD 250 million 144A Bond 5.30% April 2043 226.2 EUR 50 million German Bond 4.00% November 2032 50.0 EUR 625 million deeply subordinated fixed rate resettable securities 2.875% N/A * 625.0 * First reset date August 2026 European Medium-Term Note (‘EMTN’) programme SES has an EMTN programme enabling SES, or SES Americom Inc., to issue as and when required notes up to a maximum aggregate amount of EUR 5,500 million. As at 31 December 2024, SES had issued EUR 3,440 million (2023: EUR 2,440 million) under the EMTN Programme with maturities ranging from 2026 to 2054. EUR 625 million Deeply Subordinated Fixed Rate Resettable Securities In May 2021 the Company issued Deeply Subordinated Fixed Rate Resettable Securities for EUR 625 million, with a first reset date on 27 August 2026. The securities bear a coupon of 2.875% per annum and were priced at 99.409% of their nominal value. In 2024 the Group repurchased on the open market an aggregate amount of EUR 37.5 million in principal amount of its EUR 625 million Deeply Subordinated Fixed Rate Resettable Securities issued on 27 May 2021. The Group’s cash outflow in respect to the repurchase amounted to EUR 35.2 million. In accordance with the terms and conditions of the Securities, the purchased Securities will be cancelled. Following these transactions, the outstanding principal amount of the Securities at the year-end was EUR 588 million. The repurchased notes of EUR 35.2 million are disclosed on the balance sheet under the caption ‘Other investments’ – see Note 6. EUR 400 million German bond issue (2024/2025) In 2018 the Group issued EUR 400 million in the German bond (‘Schuldschein’) market. The transaction consisted of two individual tranches - a EUR 150 million tranche with a floating interest rate of a six-month EURIBOR plus a margin of 0.8% and a final maturity date on 18 June 2024 when it was settled in full, as well as a EUR 250 million tranche with a fixed interest rate of 1.71% and a final maturity date on 18 December 2025. SES ANNUAL REPORT 2024 | 258 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 EUR 650 million Eurobond (2026) In 2018 SES issued a EUR 500 million 8-year bond under the EMTN programme. On the 22 June 2021 SES announced the successful launch and pricing of a tap of its 1.625% Notes in which it has agreed to sell incremental senior unsecured fixed rate notes for a total amount of EUR 150 million. The new notes were priced at 106.665% of their nominal value. The bond bears interest at a fixed rate of 1.625% and has a final maturity date on 22 March 2026. EUR 500 million Eurobond (2027) In November 2019, SES issued a EUR 500 million bond under the EMTN programme. The bond has an 8-year maturity and bears interest at a fixed rate of 0.875% and has a final maturity date on 4 November 2027. EUR 140 million Private Placement (2027) In 2012 SES issued three individual tranches of a total EUR 140 million Private Placement under the EMTN programme with ING Bank N.V. The Private Placement has a 15-year maturity, beginning 31 May 2012, and bears interest at a fixed rate of 4.00%. EUR 400 million Eurobond (2028) In July 2020, SES issued a EUR 400 million bond under the EMTN programme. The bond has an 8-year maturity and bears interest at a fixed rate of 2.00% and has a final maturity date on 2 July 2028. EUR 750 million Eurobond (2029) On 14 June 2022, SES issued a EUR 750 million bond under the EMTN programme. The bond has a 7-year maturity, bears interest at a fixed rate of 3.50%, and has a final maturity date on 14 January 2029. EUR 50 million German bond issue (2032) In 2012 the Group issued a EUR 50 million bond in the German ‘Schuldschein’ market. The German bond bears a fixed interest rate of 4.00% and matures on 12 November 2032. USD 250 million 144A Bond (2043) In 2013 SES completed a 144A offering in the US market issuing USD 250 million 30-year bond with a coupon of 5.30% and a final maturity date on 4 April 2043. Note 12 – Amounts owed to credit institutions There were no amounts owed to credit institutions as of 31 December 2024. Syndicated loan 2019 The facility is being provided by 19 banks and has been structured as a 5-year multi-currency revolving credit facility. In 2021 the Company extended the termination date from 26 June 2025 to 26 June 2026. Another extension in 2024 set the termination date to 26 June 2028. The facility is for EUR 1,200 million and the interest payable is linked to a ratings grid. At the current SES credit rating of BBB/ Baa3, the interest rate is 45 basis points over EURIBOR/SOFR. As at 31 December 2024 and 2023, no amount has been drawn under this facility. European Investment Bank (‘EIB’) Financing Facility EUR 300 million (2029) On 16 December 2022 SES signed a seven-year contract with the EIB which will support the funding of three fully digital satellites serving Western Europe, Africa and the Middle East. The facility is available for disbursement at fixed or floating rates linked to a ratings grid. At the current SES credit rating of BBB/ Baa3 this equates to 0.42% per annum over EURIBOR (in case of a floating rate) or over a base rate as determined by the EIB (in the case of a fixed rate). As at 31 December 2024 and 2023 no amount has been drawn under this facility. SES ANNUAL REPORT 2024 | 259 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 2016 Perpetual Bond for EUR 550 million In November 2016 SES issued a Perpetual Bond of EUR 550 million at a coupon of 5.625 percent. On 4 December 2023 the Company issued the Notice of Redemption to Holders of the EUR 550 million Deeply Subordinated Fixed Rate Resettable Securities with a call date on 29 January 2024 triggering its reclassification from long-term borrowings to short-term borrowings at 31 December 2023. Consequently, the Bond has been fully settled on 29 January 2024. European Commercial Paper programme In 2012 SES signed the documentation for the inception of a joint EUR 1,000 million guaranteed European commercial paper programme of SES S.A. and SES Global Americas Holdings Inc.. Issuances under the programme represent senior unsecured obligations of the issuer and any issuance under the programme is guaranteed by the non-issuing entity. The programme is rated by Moody’s Investors Services and Fitch Ratings and is compliant with the standards set out in the STEP Market Convention. On 4 July 2024, this programme was updated and extended. As at 31 December 2024 and 2023, no borrowings were outstanding under this programme. Deeply Subordinated Fixed Rate Resettable Securities (‘Hybrid Dual-tranche Bond Offering’) On September 6, 2024, SES S.A. announced the successful launch and pricing of a hybrid dual-tranche bond offering of EUR 1 billion. The settlement took place on September 12, 2024 and the notes are listed on the Luxembourg Stock Exchange. The transaction is composed of: • a EUR 500 million 30-year Non-Call (NC) 5.25-year tranche with a first reset date on December 12, 2029, and • a EUR 500 million 30-year NC 8-year tranche with a first reset date on September 12, 2032. The NC 5.25-year notes bear a coupon of 5.5% per annum and were priced at 99.473% of their nominal value, while the NC 8-year notes will bear a coupon of 6% per annum and were priced at par. Term Loan Agreement The facility is provided by 24 banks and has been structured as a 5-year term loan facility. The facility amount is EUR 963 million (USD 1,000 million), and the termination date is set for 15 June 2029. The agreement was signed on 14 June 2024 and is related to the acquisition of Intelsat. The interest payable is linked to a ratings grid, with the rate based on the Term SOFR plus a margin that varies according to the SES credit rating. As at 31 December 2024, no amount had been drawn under this facility. Bridge Facility Agreement The facility has been structured as a EUR 3 billion bridge facility. The agreement was signed on 30 April 2024 and is related to the acquisition of Intelsat. The interest payable is linked to a ratings grid, with the rate based on the EURIBOR plus a margin that varies according to the SES credit rating. SES has secured the financing for the acquisition through this initial EUR 3 billion bridge facility and a USD 1 billion Term Loan Facility dated 14 June 2024 (“TLA”). On entering into the TLA, EUR 930 million of the Bridge Facility was cancelled. Additionally, on 12 September 2024, the Company raised EUR 1 billion in Hybrid financing, which similarly led to the cancellation of an equivalent portion of the Bridge Facility. As at 31 December 2024, the facility amount is EUR 1,079 million and no amount had been drawn under this facility. European Investment Bank (‘EIB’) Financing Facility EUR 25 million On 23 December 2024, SES signed a finance contract with the EIB to support the funding of a satellite communications system for rural Central Asia. The facility is available for disbursement at fixed or floating rates linked to a ratings grid. At the current SES credit rating of BBB/Baa3, this equates to 0.36% per annum over EURIBOR (in the case of a floating rate) or over a base rate as determined by the EIB (in the case of a fixed rate). Final availability date falls 24 months after the signature of the contract. As at 31 December 2024, no amount has been drawn under this facility. SES ANNUAL REPORT 2024 | 260 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 European Investment Bank (‘EIB’) Financing Facility EUR 125 million On 23 December 2024, SES signed a finance contract with the EIB to support the funding of a satellite constellation project. The facility is available for disbursement at fixed or floating rates linked to a ratings grid. At the current SES credit rating of BBB/Baa3, this equates to 0.36% per annum over EURIBOR (in the case of a floating rate) or over a base rate as determined by the EIB (in the case of a fixed rate). Final availability date falls 24 months after the signature of the contract. As at 31 December 2024, no amount has been drawn under this facility. Note 13 – Amounts owed to affiliated undertakings Amounts owed to affiliated undertakings of EUR 4,062.1 million (2023: EUR 3,764.8 million) include the following: €million 2024 2023 Current accounts 4,022.8 3,132.1 Long term loans (payable within one year) - 139.0 Long term loans (payable between 2 and 5 years) 39.4 493.7 Long term loans (payable after five years) - - Total 4,062.2 3,764.8 “Current accounts” are linked to the daily cash pooling mechanism and represent short-term debts bearing interest at market rates. The daily cash pooling mechanism supports the liquidity of the Group and the optimisation of its funding costs. As at 31 December 2024, long-term loans included: 1 A loan issued in 2020 of SEK 450.0 million (EUR 39.4 million) from SES Astra AB with a maturity date of November 2023 was not repaid and therefore was, in line with the loan agreement, automatically converted into a new loan at an aggregate principal amount equal to the outstanding principal amount with a maturity date of November 2026 and bearing interest at a rate of 1.0%. 2 A loan issued in 2022 of USD 200.0 million (EUR 181.5 million) from New Skies Satellites B.V. with a maturity date of December 2027 and bearing interest at a rate of 3.39% was repaid in April 2024 prior to the maturity date in the amount of USD 202.2 million (EUR 187.0 million), corresponding to the principle and accrued interest as at 16 April 2024. 3 A loan issued in 2023 of USD 450.0 million (EUR 410.6 million) from New Skies Satellites B.V. with a maturity date of October 2026 and bearing interest at a rate of 3.39% was repaid in April 2024 prior to the maturity date in the amount of USD 457.1 million (EUR 422.8 million), corresponding to the principle and accrued interest as at 16 April 2024. As at 31 December 2023, long-term loans included: 1 A loan issued in 2020 of SEK 450.0 million (EUR 40.6 million) from SES Astra AB with a maturity date of November 2023 was not repaid and therefore was, in line with the loan agreement, automatically converted into a new loan in an aggregate principal amount equal to the outstanding principal amount with a maturity date of November 2026 and bearing interest at a rate of 1.0%. 2 A loan issued in 2022 of USD 200.0 million (EUR 181.5 million) from New Skies Satellites B.V. with a maturity date of December 2027 and bearing interest at a rate of 3.22%. 3 A loan issued in 2023 of USD 450.0 million (EUR 410.6 million) from New Skies Satellites B.V. with a maturity date of October 2026 and bearing interest at a rate of 3.22% and yearly installment repayments of USD 150 million. As at 31 December 2023, the current portion of this loan repayable in 2024 including accrued interest was USD 153.6 million (EUR 139.0 million). SES ANNUAL REPORT 2024 | 261 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 Note 14 – Other creditors Acquisition of SES mPOWER medium-Earth orbit (‘MEO’) constellation In September 2017, the Company, jointly with its subsidiary O3b Networks Limited, entered as Procurement Agent into a Master Procurement Agency and Option Agreement with a financial institution in connection with the procurement by that financial institution of seven medium-Earth orbit satellites from a satellite manufacturer. At the end of the satellite construction period the Group has the right to acquire, or lease, the satellites from the financial institution or to direct their sale to a third-party. In August 2020 the Company exercised the option under the Purchase and Sale agreement to procure four additional O3b mPOWER satellites. The Company, again jointly with its subsidiary O3b Networks Limited, entered as Procurement Agent into a second Master Procurement Agency and Option Agreement with a financial institution in connection with the procurement by that financial institution of the additional satellites. At the end of the satellite construction period, foreseen in 2023, the Group again has the right to acquire, or lease, the satellites from the financial institution or to direct their sale to a third-party. In November 2023 the Company exercised the option under the Purchase and Sale agreement to procure two additional O3b mPOWER satellites to be delivered in 2026. In December 2024, the Company exercised the option to purchase mPOWER satellites 8 and 11. Since the underlying Satellite Purchase and Sale Agreements are directly between the financial institutions and the satellite manufacturer, there is no contractual obligation on the side of the Procurement Agents during the satellite construction process. However, SES management takes the view that there is a constructive obligation arising over the procurement period and hence the Group is accruing for the costs of this programme. SES has the right to nominate shortly before the end of the construction period the entity within the Group which will acquire or lease those assets. SES management expects that the satellites will be acquired or leased in due course by the company SES mPOWER S.à r.l. in Luxembourg, except satellites 12 and 13 which will be acquired or leased by SES Satellites Ventures S.à r.l.. As at 31 December 2024 an amount of EUR nil million (2023: 342.4 million) was recorded under the caption ‘Other creditors – becoming due and payable within one year’ and EUR 191.9 million (2023 EUR nil million) presented under the caption ‘Other creditors – becoming due and payable after one year’. These amounts are corresponding to the constructive obligation of the Company towards the financial institution procuring the satellites. The corresponding amounts due to the Company from SES mPOWER S.à r.l. under the forward purchase agreement were disclosed on the balance sheet under the caption ‘Amounts owed by affiliated undertakings - becoming due and payable within one year’ for an amount of EUR nil million (2023: EUR 342.4 million) and ‘Amounts owed by affiliated undertakings – for an amount of EUR 191.9 million (2023: EUR nil million) becoming due and payable after one year’ - see also Note 4. ‘Other creditors’ as at 31 December consist of: €million 2024 2023 Becoming due and payable within one year SES mPOWER acquisition 3.4 342.4 Personnel-related accruals 10.0 12.2 Other creditors 11.6 0.9 Total 25.0 355.5 Becoming due and payable after one year SES mPOWER acquisition 191.9 - Total 191.9 - SES ANNUAL REPORT 2024 | 262 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 Note 15 – Other operating income Other operating income of EUR 126.8 million (2023: EUR 19.0 million) consists mainly of intra-group recharge income from advisory support services rendered to various affiliates. On 1 January 2024, SES S.A. took over business from SES Participation S.A.. As a result, all back-office activities are now billed by SES S.A. for the whole SES group, resulting in the increase in other operating income as well as on the other external expenses – see also Note 16. Note 16 – Other external expenses Other external expenses of EUR 109.3 million (2023: EUR 30.4 million) consist mainly of intra-group recharge expenses of EUR 51.8 million (2023: EUR 11.1 million) for advisory support services rendered to the Company by various affiliates and EUR 51.7 million (2023: EUR 8.9 million) related to costs associated with the development and / or implementation of merger and acquisition activities. Note 17 – Staff costs As at 31 December 2024 the number of full-time equivalent employees was 114 (2023: 118) and the average number of employees in the workforce for 2024 was 116 (2023: 115). The average number of employees by functional area was as follows: 2024 Product & Innovation 1 Market Verticals Support 8 Finance 42 People & Culture 28 Strategy 7 Legal and Regulatory 17 M&A and Development 4 Transformation 1 President and CEO Office 8 Total 116 Staff costs can be analysed as follows: €million 2024 2023 Wages and salaries 28.1 26.0 Social security costs relating to pension 2.3 2.0 Other social security costs 0.4 0.4 Other staff costs 0.1 0.2 Total 30.9 28.6 Note 18 – Value adjustments in respect of in respect of formation expenses and of tangible and intangible fixed assets In 2023 the Company recorded a value adjustment of EUR 8.3 million in connection with costs arising in 2021 and 2022 associated with a commercial project which the Company has elected not to pursue. SES ANNUAL REPORT 2024 | 263 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 Note 19 – Income from participating interests €million 2024 2023 Dividends received SES Astra S.A. 100.0 300.0 Dividends received SES Participations S.A. - 0.3 Dividends received on own shares 3.5 3.3 Total 103.5 303.6 Note 20 – Income from other investments and loans forming part of fixed assets Income from other investments and loans forming part of fixed assets comprise the following: €million 2024 2023 Interest income from affiliated undertakings 56.8 69.6 Total 56.8 69.6 Note 21 – Other interest receivable and similar income A. Derived from affiliated undertakings Other interest receivable and similar income derived from affiliated undertakings of EUR 109.6 million (2023: EUR 106.5 million) represents interest income on intercompany current accounts. B. Other interest and similar income €million 2024 2023 Interest income on bank accounts 2.7 1.6 Interest income on deposits 68.5 25.3 Interest income on money market funds 51.1 20.9 Foreign exchange gain 180.9 269.3 Total 303.2 317.1 Note 22 – Value adjustments in respect of financial assets and investments held as current assets Value adjustments of financial assets and investments held as current assets were recorded in respect of: €million 2024 2023 Shares in affiliated undertakings (Note 3 A) 13.6 1,728.5 Loans to affiliated undertakings (Note 3 B) 254.9 - Amounts owed by affiliated undertakings (Note 4) (13.9) 34.5 Loss on sale of financial assets (Note 3 A) 1.2 - Net loss on SES FDRs 12.1 1.2 Total 267.9 1,764.2 During 2024 the Company recorded value adjustments in respect of shares in affiliated undertakings of EUR 13.6 million (2023: EUR 1,728.5 million) (see Note 3 A), in respect of loans to affiliated undertakings of EUR 254.9 million (2023: EUR nil) (see Note 3 B) and partial reversal of the value adjustments in respect of amounts owed by affiliated undertakings of EUR 13.9 million (2023: value adjustments of EUR 34.5 million) (see Note 4). In April 2024, the Company recorded a loss on sale of 30% of the shares in SES LU US Holdings S.à r.l. of EUR 1.2 million (see Note 3 A). SES ANNUAL REPORT 2024 | 264 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 A net loss of EUR 12.1 million (2023: EUR 1.2 million) was recorded on FDRs to account for the FDRs at the lower of the carrying amount and the market price. The price of the SES FDR listed on Euronext in Paris was EUR 3.06 as at 31 December 2024 (2023: EUR 5.96). Note 23 – Interest payable and similar expenses 1 Derived from affiliated undertakings €million 2024 2023 Interest charges on intercompany current accounts 201.4 132.4 2 Other interest and similar expenses Other interest and similar financial expenses include the following: €million 2024 2023 Interest charges on loans and bank accounts 133.4 140.3 Loan fees and origination costs 15.9 7.4 Foreign exchange loss 144.3 292.3 Loss on disposal of own shares 3.0 1.8 Total 296.6 441.8 Note 24 – Audit fees Art. 65 Paragraph (1) 16º of the Law requires the disclosure of the independent auditor fees. In conformity with the Law these details have been omitted as the Company prepares consolidated accounts in which this information is disclosed, and these consolidated accounts and the related consolidated management report and auditors' report thereon have been lodged with the Luxembourg Trade Registry. Fees incurred in connection with other assurance and non-audit services rendered to the Company and its controlled undertakings as defined by the Regulation (EU) N°537/2014 amounted to EUR 0.3 million (2023: EUR nil) and represented CSRD-related assurance services as well as comfort letters issued in connection with the Company’s treasury funding operations. Note 25 – Board of Directors’ remuneration Total payments to directors for attendance at board and committee meetings in 2024 amounted to EUR 1.3 million (2023: EUR 1.1 million). These payments are computed on a fixed and variable basis, the variable part being based upon attendance at board and committee meetings. SES ANNUAL REPORT 2024 | 265 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS SES, Société Anonyme Notes to the annual accounts as at 31 December 2024 Note 26 – Off balance sheet commitments Capital commitments MEO satellite procurement On 11 September 2017, SES S.A., jointly with O3b Networks Limited, entered as Procurement Agents into a Master Procurement Agency and Option Agreement with a financial institution in connection with the procurement by that financial institution of seven medium-Earth orbit satellites from The Boeing Company. In August 2020 the company exercised its option to procure additional four satellites. In November 2023 the Company exercised the option under the Purchase and Sale agreement to procure two additional O3b mPOWER satellites to be delivered in 2026. The outstanding commitment of the Company in respect of the related contracted capital expenditure as at 31 December 2024 was EUR 58.9 million (2023: EUR 83.4 million). IRIS 2 programme On 16 December 2024, the European Commission awarded the SpaceRISE consortium of SES ASTRA S.A. (consortium lead member and subsidiary of the Company), Eutelsat and Hispasat a Concession Agreement to design, deliver, and operate the IRIS² programme (“Infrastructure for Resilience, Interconnectivity and Security by Satellite”, the EU’s new state-of-the-art multi-orbit connectivity system) for the next 12 years. SES’s contribution to IRIS² will be to develop, procure, and operate 18 new MEO satellites. The initial phases of IRIS² will benefit from upfront public funding with limited need for private financing in the early years of design and procurement. In total, SES will contribute approximately 50% of the MEO cost while having the benefit of commercialising over 90% of the MEO capacity and part of the LEO capacity. The capital expenditure for IRIS² of up to EUR 1.8 billion will start ramping from 2027 and have an average annual spend of around EUR 400.0 million over 2027-2030. In December 2024, SES ASTRA S.A. (Consortium Lead Member), a subsidiary of the Company, has received an initial funding (“Pre-financing”) of EUR 300.0 million (2023: EUR nil) from the European Commission for IRIS² programme costs arising in the first year of the programme for both SES ASTRA S.A. and other consortium members and subcontractors. A Parent Guarantee for the amount of the Pre- financing was granted by the Company to the European Commission. Every time that a portion of the Pre- financing is partially cleared against payment milestones accepted in accordance with the Concession Agreement, the Company shall be entitled to reduce the guaranteed amount accordingly. In case any advance prefinancing is requested by a Consortium Member, it will be provided, and the SES ASTRA S.A. shall only transfer the relevant amount, in return for a bank guarantee to be delivered, for the relevant amount, as counter-guarantee of parental guarantee referred to above. Intelsat transaction On April 30, 2024, SES S.A. announced an agreement to purchase 100% of the equity of Intelsat Holdings S.à r.l. for a cash consideration of USD 3.1 billion (EUR 2.8 billion) and certain contingent value rights. The transaction is subject to relevant regulatory filings and clearances as well as customary provisions concerning cooperation and measures in seeking such regulatory clearances, which are expected to be received during the second half of 2025. Intelsat or SES may be required to pay the other party a Breach Termination Fee of USD 300 million plus certain documented out-of-pocket expenses, if the Share Purchase Agreement is terminated under certain circumstances, Intelsat may be required to pay SES a Vote Condition Termination Fee of USD 300 million, plus certain documented out-of-pocket expenses, if the Share Purchase Agreement is terminated under certain circumstances, and SES may be required to pay Intelsat a Regulatory Condition Termination Fee of USD 250 million, plus certain documented out-of-pocket expenses, if the Share Purchase Agreement is terminated under certain other circumstances. SES ANNUAL REPORT 2024 | 266 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS PricewaterhouseCoopers, Société coopérative, 2 rue Gerhard Mercator, B.P. 1443, L-1014 Luxembourg T : +352 494848 1, F : +352 494848 2900, www.pwc.lu Cabinet de révision agréé. Expert-comptable (autorisation gouvernementale n°10028256) R.C.S. Luxembourg B 65 477 - TVA LU25482518 Audit report To the Shareholders of SES S.A. Report on the audit of the annual accounts Our opinion In our opinion, the accompanying annual accounts give a true and fair view of the financial position of SES S.A. (the “Company”) as at 31 December 2024, and of the results of its operations for the year then ended in accordance with Luxembourg legal and regulatory requirements relating to the preparation and presentation of the annual accounts. Our opinion is consistent with our additional report to the Audit and Risk Committee. What we have audited The Company’s annual accounts comprise: • the balance sheet as at 31 December 2024; • the profit and loss account for the year then ended; • the statement of changes in shareholders’ equity for the year then ended; and • the notes to the annual accounts, which include a summary of significant accounting policies. Basis for opinion We conducted our audit in accordance with the EU Regulation No 537/2014, the Law of 23 July 2016 on the audit profession (Law of 23 July 2016) and with International Standards on Auditing (ISAs) as adopted for Luxembourg by the “Commission de Surveillance du Secteur Financier” (CSSF). Our responsibilities under the EU Regulation No 537/2014, the Law of 23 July 2016 and ISAs as adopted for Luxembourg by the CSSF are further described in the “Responsibilities of the “Réviseur d’entreprises agréé” for the audit of the annual accounts” section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. We are independent of the Company in accordance with the International Code of Ethics for Professional Accountants, including International Independence Standards, issued by the International Ethics Standards Board for Accountants (IESBA Code) as adopted for Luxembourg by the CSSF together with the ethical requirements that are relevant to our audit of the annual accounts. We have fulfilled our other ethical responsibilities under those ethical requirements. To the best of our knowledge and belief, we declare that we have not provided non-audit services that are prohibited under Article 5(1) of the EU Regulation No 537/2014. The non-audit services that we have provided to the Company and its controlled undertakings, if applicable, for the year then ended, are disclosed in Note 24 to the annual accounts. SES ANNUAL REPORT 2024 | 267 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS FINANCIAL CALENDAR ADDITIONAL INFORMATION 2024 Full Year Results 26 February 2025 Annual General Meeting 3 April 2025 2025 Q1 Results 30 April 2025 The dates for the publication of the Group's Q2 and Q3 results will be influenced by the timing of the closing of the Intelsat transaction (subject to regulatory approval), and will therefore be published later in the year. IMPRINT Contact SES Headquarters Château de Betzdorf L-6815 Betzdorf Luxembourg ses.com The SES Investor Relations team will be pleased to assist you with any questions. Please reach out via [email protected] Investors Christian Kern E: [email protected] T: +352 710 725 261 Communications Suzanne Ong E: [email protected] T: +352 710 725 500 PHOTO CREDITS • Getty • SES • SES Employees • SpaceX • Humanitarian intervention team Luxembourg SES ANNUAL REPORT 2024 | 268 OPERATIONAL & STRATEGIC REPORT ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT CORPORATE GOVERNANCE & REMUNERATION REPORT FINANCIAL STATEMENTS & ACCOUNTS Published in March 2025. 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