Telesat has published its financial results for the three and nine-month periods ended September 30th 2019.
The Canadian satellite comms company reported consolidated revenue of C$237 million (€187.2m), an increase of 4 per cent compared to the same period in 2018. The increase was due to higher revenue related to the Telstar 19 VANTAGE and Telstar 18 VANTAGE satellites, which entered into commercial service in August 2018 and October 2018, respectively, combined with an increase from short-term services provided to other satellite operators. Operating expenses of C$38 millionfor the quarter were 6 per cent lower than the same period in 2018. The decrease was primarily related to lower cost of sales and other expenses offset by higher compensation expenses.
For the nine months ended September 30th 2019 revenue was C$691million, an increase of 3 per cent compared to the same period in 2018.
“I am pleased with our financial and operating performance in the third quarter of 2019 and the first nine months of the year,” commented Dan Goldberg, Telesat’s President and CEO. “Our Telstar 19V and 18V satellites, as well as certain short-term satellite services provided to another satellite operator, contributed to top line growth relative to Q3 last year, and our continued operating discipline resulted in an increase in both Adjusted EBITDA and our Adjusted EBITDA margin. In addition to our strong performance in thequarterand year to date, last month we successfully refinanced our existing 8.875 per cent Notes to reduce our borrowing costs and extend our borrowing maturities. Looking ahead, we remain heavily focused on continuing to increase the utilisation of our in-orbit satellites and executing on our key growth initiatives, including our planned Low Earth Orbit satellite constellation.”