Avanti admits “difficulties”, but revenues rise
October 1, 2018
By Chris Forrester
Satellite operator Avanti Communications has reported its first-half year results (to June 30th), saying that revenues were up 23 per cent to $29.9 million (from $24.3 million) for the six-month period. However, for the full year (to June 30th) revenues fell back by $6.6 million to $50 million.
“Staff and other operating expenses for the six months were $22.4 million compared to $16.6 million for the six months to 30 June 2017 due to an end to a hiring freeze in place for the first six months of 2017. Other operating income increased from $1.4 million to $5.3 million, reflecting compensation for late delivery of the HYLAS 3 and HYLAS 4 satellites,” said Avanti.
Avanti’s backlog totalled $87 million (June 2017: $104 million). With the wholesale capacity contract announced on 24 September 2018, backlog increased to $165 million.
“The past eighteen months have been difficult for Avanti from a financial perspective,” says the company. “With these issues now largely behind us and with our revised strategy, engagement and branding we are firmly focused on delivering recurring core bandwidth revenue with the aim of increasing this by double digit percentage year on year. The interest in HYLAS 4 evidenced by the initial contracts with Viasat and Comsat, gives us confidence that we will deliver solid progress in utilising the capacity of our fleet over the coming months.”