AsiaSat H1 Profits Rise But Revenues Fall

Hong Kong, 22 August 2013 — Asian satellite operator Asia Satellite Telecommunications Holdings (AsiaSat) reported a first half 2013 profit of HK$401 million (US$51.71 million), up 1.4 percent from HK$395 million (US$50.4 million) during the same period last year. The rise in profit despite a fall in revenues is mainly a result of the reduction in certain professional fees, coupled with careful management of expenditure.

Revenues for the period slipped 25 percent to HK$767 million (US$98.91 million), from HK$1.02 billion (US$131.53 million), as H1 2012 included a one off-revenue contribution of HK$296 million (US$38.17 million).

Chairman Ju Wei Min said the company does not expect to see any major new business developments as it awaits the launch of AsiaSat 6 and AsiaSat 8 in the first half of 2014.

“We can also expect a reduction in turnover and profit as we will feel the full effect of the renegotiated contracts with one of our longest-standing customers at terms lower than the previous contracts in the second half,” he said.

Operating expenses in the first half of 2013, excluding depreciation, totaled HK$96 million (US$12.38 million) against HK$126 million (US$16.25 million) in 2012, representing a decrease of 24 percent.

New contracts won during the review period amounted to HK$234 million (US$30.17 million) vs. HK$91 million (US$11.74 million) in 2012 while renewed contracts were HK$181 million (US$23.34 million) compared to HK$1,397 million (US$180.15 million) in 2012.

Combined new and renewed contracts amounted to HK$415 million (US$53.52 million) in the first half of 2013.

The AsiaSat board has declared an interim dividend of HK$0.12 (US$0.15) per share, which will become payable on November 1, 2013 to equity holders.

AsiaSat said the manufacture of its new satellites, AsiaSat 6 and AsiaSat 8, are on track for launch in 1H 2014 to bring new capacity for future business growth.

The company said overall utilization rate of its in-orbit satellites, AsiaSat 3S, AsiaSat 4 and AsiaSat 5, remained stable at 79 percent. The total number of transponders leased or sold as of 30 June 2013 decreased to 104 from 105 as of 31 December 2012.

In April AsiaSat announced a partnership with GeoMetWatch Corp to host a new generation of meteorological instruments on board our future satellite AsiaSat 9, planned for a 2016 launch date.

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