Intelsat S.A., operator of the world’s first Globalized Network and leader in integrated satellite solutions, has announced financial results for the three and six months ended June 30, 2019.
Intelsat reported total revenue of $509.4 million and net loss attributable to Intelsat S.A. of $529.7 million for the three months ended June 30, 2019. The net loss reflects a $381.6 million asset impairment charge incurred in the second quarter of 2019 for an in-period satellite failure.
Intelsat reported EBITDA, or earnings before net interest, gain on early extinguishment of debt, taxes and depreciation and amortization, of a loss of $52.1 million and Adjusted EBITDA of $373.8 million, or 73 percent of revenue, for the three months ended June 30, 2019. Free cash flow used in operations was $45.2 million.
Intelsat’s Chief Executive Officer, Stephen Spengler, said, “In the second quarter of 2019 we made progress on our operational priorities, including the expansion of our managed services platforms. The global footprint of our Intelsat Epic-based managed services addresses aeronautical, maritime, wireless infrastructure, enterprise and government broadband requirements. Reflecting our emphasis on the wireless sector, we ramped up services on our enhanced point-to-point solutions and on our new satellites. In particular, we signed new business on the Horizons 3e high-throughput satellite, which provides infrastructure for several of the largest wireless operators in Asia, as well as Intelsat 38, which is providing new services for government applications.”
Spengler concluded, “Over the past two months we significantly increased the public details of our C-Band Alliance proposal under the U.S. Federal Communications Commission C-band proceeding. We added to the record a committed plan for protecting incumbent users, expanded the detail of our plan for rapid implementation, and submitted additional technical analyses supporting interference mitigation. We will continue to enhance our plan, with a goal of demonstrating that the CBA plan represents the fastest path to cleared spectrum for 5G in the U.S., while maintaining the reliability of the U.S. television and radio ecosystem.”
Second Quarter 2019 Business Highlights
Second quarter revenue of $509.4 million
Second quarter net loss attributable to Intelsat S.A. of $529.7 million, reflecting a $381.6 millionasset impairment charge for an in-period satellite failure
Second quarter Adjusted EBITDA of $373.8 million, or 73 percent of revenue
June 30, 2019 contracted backlog of $7.5 billion, adjusting for known reductions to backlog related to the satellite failure
2019 Financial Guidance Affirme