AsiaSat H1 flat
August 18, 2017
AsiaSat, Asia’s leading satellite operator, has announced its 2017 interim results for the six months ended June 30th 2017. H1 revenue maintained at HK$ 642 million (2016: HK$640 million). Value of contracts on hand remained stable at around HK$4,076 million (December 31st 2016: HK$4,067 million).
AsiaSat’s Chairman, JU Wei Min, said, “The company entered 2017 with expectations consistent with our sales forecast developed over the previous six months. While net revenues were stable, new customers continue to be attracted by competitive pricing. Thanks to our long- term investments in assets and partnerships, demand for our broadcast services remains strong as we expand into regions still developing their economic and technical capacities.”
“However, price pressures remain challenging in a highly-competitive environment as a result of the cyclical over-supply of regional capacity and price expectations, particularly for data applications. For the data market, there is the expectation that the new High Throughput Satellites (HTS) will lower the price for satellite capacity and even though this ubiquitous coverage from HTS satellite does not yet exist, in our markets, it is affecting our customers’ perceptions on pricing levels. The fact that HTS technology is not widely available in the market today and that it is not suitable for all applications or services has led to ongoing misconceptions as to future price levels.”
“Nevertheless, we have seen increased demand for mobility-led data services (maritime and cellular backhaul) along with greater prospects for other Ka- band solutions for the aviation sector. In particular, the company has expanded its provision of capacity for China’s aviation market. Of all satellite operators providing inflight connectivity within China, AsiaSat provides the most capacity for this application, which is being used to serve several domestic and international airlines flying over China.”