Intelsat Posts US$ 46.8 Million Loss in 2nd Quarter 2018
Tysons Corner, VA, , July 31, 2018 -- Intelsat S.A. (NYSE: I) reported total revenues of US$ 537.7 million but suffered a net loss attributable to Intelsat S.A. of US$ 46.8 million for the three months ended June 30, 2018.
In the first quarter of 2018, Intelsat said it adopted the provisions of the Financial Accounting Standards Board Accounting Standards Codification Topic 606, Revenue from Contracts with Customers. But by adopting ASC 606, total revenue for the three months ended June 30, 2018 reflected a $25.2 million financing component identified in the company’s customer contracts, which resulted in the net loss, the company said.
Total revenue excluding the effects of ASC 606 was $512.5 million for the three months ended June 30, 2018.
Intelsat reported EBITDA, or earnings before net interest, gain on early extinguishment of debt, taxes and depreciation and amortization, of $408.5 million and Adjusted EBITDA of $415.6 million, or 77 percent of revenue for the three months ended June 30, 2018. Total Adjusted EBITDA excluding the effects of ASC 606 was $390.5 million, or 76 percent of revenue, for the three months ended June 30, 2018. Free cash flow from operations was $4.9 million.
Intelsat’s Chief Executive Officer, Stephen Spengler, said the company is now on the cusp of completing the global deployment of our next generation Intelsat Epic fleet. “We are introducing more managed services to address high growth mobility applications, and we are increasingly recognized for the value of our global network of satellites and terrestrial infrastructure that connects billions of people around the globe.”
“Our overall financial and operational performance year-to-date is tracking to our expectations against a global landscape of increasing mobility connectivity requirements. With our highly successful capital raise of approximately $633 million completed in the second quarter, we have taken significant strides in the management of our capital structure. This allows us to focus our energy on maximizing the commercial opportunities before us, not the least of which is the sizeable opportunity for satellite communications within the global race to deploy 5G,” Spengler said.
“We are encouraged by the thoughtful reception that the Federal Communications Commission has given to the innovative proposal that we developed in conjunction with Intel. We’ll continue to promote our market-based proposal, joining with SES and more recently, Eutelsat. Our proposal will speed wireless access to spectrum in the 3.7-4.2 GHz band known as C-band, crucial for the development of the American economy, while not compromising on the protection of the quality and reliability of television and other critical services that currently rely on this spectrum.”
Related Articles:
Intelsat Appoints Juan Pablo Cofino Regional Vice President, Latin America and the Caribbean
STN Extends Services on Galaxy 19 to Fuel Expansion in North America
