Intelsat Revenues Dip in Q1
Intelsat released its financial results for the three months ended March 31, in which it saw revenues dip to $528.4 million, compared to $543.8 million in the same period in 2018. Additionally, Intelsat reported EBITDA gain on early extinguishment of debt, taxes and depreciation and amortization, of $372.8 million and Adjusted EBITDA of $380.3 million, or 72 percent of revenue, for the three months ended March 31, 2019. Free cash flow from operations was $24.0 million, and there was also a reported net loss of $120.6 million.
The satellite operator also lowered its financial guidance for 2019, following the loss of the Intelsat 29e satellite. In Q2, Intelsat expects to record an impairment to asset charge of approximately $400 million.
Intelsat’s Chief Executive Officer, Stephen Spengler, said, “In the first quarter of 2019, we built momentum on our managed services strategy, which addresses new requirements in the markets we serve. We accelerated our deployment of managed services for enterprise, aeronautical and maritime applications. In the past weeks, we introduced new hybrid services for our media customers that seamlessly integrate satellite services with cloud-based solutions. Each of these managed solutions leverages the global reach of our fleet and addresses our customers’ needs for efficient and flexible connectivity.”
Spengler concluded, “In the past month we increased the transparency and provided more details of the C-Band Alliance proposal under the U.S. Federal Communications Commission C-band proceeding. We are collaborating with a number of the stakeholders in the proceeding, gaining consensus so that we can deliver to the FCC a market-based approach which is clearly recognized as the best path to protecting incumbents, while repurposing spectrum that will accelerate 5G deployment and innovation in the U.S.”