Telesat Holdings has reported consolidated revenues of CAD 219 million for the first quarter of 2013, an increase of approximately 12% or CAD 23 million compared to the same period last year. The company attributes the results to the successful deployment of the Nimiq 6 satellite in the second quarter of 2012 as well as higher equipment sales.
Operating expenses of CAD 50 million were 40%, or CAD 33 million, lower than in the same period in 2012. According to Telesat, this decrease is primarily related to special compensation payments to executives and certain employees in connection with the cash distributions made to the company’s shareholders in 2012. The adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) was CAD 170 million, an increase of 12%, or CAD 18 million, over the same period in 2012. The adjusted EBITDA margin for the first quarter of this year was 78%, which is unchanged from the same period last year.
Telesat’s net loss for the quarter was USD 97 million compared to net income of USD 98 million for the first quarter of 2012.
“I am very pleased with our strong performance in the first quarter of 2013,” says Dan Goldberg, President and CEO, Telesat. “Compared to the same period in 2012, we experienced meaningful growth in revenue and the adjusted EBITDA as a result of continued investments in our satellite fleet and discipline on the cost side of our business.
“With respect to investments in our fleet, we recently successfully launched our Anik G1 satellite, which has considerable expansion capacity, a significant portion of which is already contracted for the life of the satellite. We also recently repriced certain of our term loan facilities and redeemed our 12.5% Notes, steps that will reduce our borrowing costs and support improvement in our cash flows.
“In light of the strong growth we experienced in the quarter, the anticipated near-term entry into commercial service of Anik G1, and our industry-leading contractual backlog, we are well positioned to continue to grow our business this year and beyond.”