Space42 has announced its consolidated financial results for the first half of 2025, posting a normalised net profit of $53m, matching its performance in the prior period while improving margins. The results reflect strong operational efficiencies and the successful execution of the company’s long-term strategy.
As of June 2025, Space42 holds $816m in cash and short-term deposits and has secured a $0.7bn ECA-backed funding facility. Backed by contracted future revenues of $6.8bn, the company reported substantial progress across its four strategic pillars, underlining a robust and diversified growth trajectory.
Karim Sabbagh, Managing Director of Space42, commented: “H1 2025 demonstrates our commitment to operational excellence and capability building. The momentum across our platform shows that our dual-use capabilities deliver both commercial success and strategic value. With Thuraya-4 entering commercial operation and our programmatic approach taking hold, combined with sustained optimization, we’re positioned for growth aligned with market demand.”
In Q2 2025, the Space Services division achieved 2% year-on-year revenue growth, reaching $100m. This was primarily fueled by a strong performance in the Oil & Gas segment and increased demand for secure and sovereign communications in the UAE. With Thuraya-4 entering commercial service in the second half of the year, the company expects growth to accelerate, supported by new mobile satellite offerings for defense, security and commercial use. Additionally, Space Services advanced its direct-to-device satellite system, with further milestones expected in the coming months.
Although Smart Solutions underperformed due to the timing of multi-year contracts, the unit laid solid groundwork for future growth. It continued to focus on manufacturing and deploying the Foresight satellite system, comprising seven Earth observation satellites, and expanding the GIQ geospatial analytics platform, which was launched on the Microsoft Azure Marketplace. The UAE Government awarded these dual-use capabilities the “Future Fit” seal, underscoring their strategic value to the country’s space sector.
The company made major strides across its strategic pillars. As a preferred partner for geospatial data, Space42 launched the Middle East’s first commercial SAR satellite manufacturing facility in partnership with ADIO and completed construction of its High-Altitude Platform Systems (HAPS) facility, expected to produce over 20 UAVs annually. These platforms are designed to support civil, defense and environmental applications.
A memorandum of understanding was also signed with Microsoft and Esri to launch the “Map Africa Initiative,” a five-year programme to create a high-resolution, AI-powered base map for all 54 African nations. This will help unlock new opportunities in infrastructure, smart cities, renewable energy, and logistics.
As a global leader in geospatial intelligence AI platform services, Space42 continued scaling its GIQ platform in collaboration with the UAE Space Agency. Full commercial rollout of industry-specific solutions is set for Q4 2025. The company also advanced a joint venture with FADA and EDGE to establish a national geospatial ecosystem, with the legal and operational framework expected to be finalized by year-end.
In the area of non-terrestrial connectivity, in-orbit testing of the Thuraya-4 satellite is nearing completion, with commercial operations scheduled to begin in Q3 2025. The satellite will deliver expanded coverage and faster data speeds across 16 new products, including recently launched IP Neo Broadband and Thuraya Broadband Hotspot. The company also progressed on its direct-to-device initiative with Viasat, working to establish a shared, scalable, 5G NTN open architecture platform.
Space42 also advanced its position as a trusted leader in secure connectivity. The Al Yah 4 and Al Yah 5 satellites are on schedule and within budget, with major design reviews underway. These satellites, supported by a $5.1bn, 17-year government contract, will strengthen secure communication infrastructure and are expected to generate $300m in annual revenues starting Q4 2026.
Space42’s first-half performance in 2025 signals strong alignment with global demand for resilient and secure space-based capabilities, setting the stage for accelerated growth in the second half of the year.
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