Intelsat boosts revenues, trims net loss

(Satellite Today via NewsEdge) Intelsat posted revenues of $310.5 million in the second quarter, 7% higher than the $289.8 million registered in the same period last year. The revenue gains helped the company cut its net loss from $53.4 million in the 2005 second quarter to $42.7 in this year's second quarter, which closed June 30.


Intelsat credited the revenue improvements to strong results from lease, channel and managed solutions service offerings.


Lease services revenue increased $13.9 million to $196.9 million in the second quarter due to increased demand from network services and telecom customers in North America, Africa and the Middle East. Channel revenue improved $9.5 million to $66.7 million due to a one-time channel termination fee of $20.6 million. Mobile satellite services and other revenue fell from $21.9 million last year to only $12 million in the second quarter due to reduced use of services sold to customers of Intelsat General.


The declines were partially offset by increases in managed solutions revenues, which improved $7.2 million to $34.9 million, driven by increased demand for trunking and private line solutions.


© 2006 Access Intelligence, LLC


© 2006 Dialog, a Thomson business. All rights reserved