Panamsat Holdings Corp. survived its first reporting of quarterly financial numbers last week, with its stock price fluctuating between $18.02 and $18.45 per share for the last five full trading days before this issue went to press.

The company reported revenues of $208.8 million for the first quarter of 2005 ending March 31, up 1.6 percent from the $205.4 million in revenues reported in the first quarter of 2004. The company also reported a net income of $1.1 million for the first quarter of 2005, compared to a net loss of $31.9 million during the same period last year. The net loss during the first quarter of 2004 included a one-time satellite impairment loss.

First quarter 2005 Fixed Satellite Services (FSS) revenues increased $4.5 million to $193.9 million compared to first quarter 2004 FSS revenues. Panamsat attributed the increase to higher video service sales, partially offset by a reduction in network services revenues. Revenues from the company’s G2 government services business unit decreased by $1.3 million during the first quarter 2005 from the same period in 2004. The decrease, according to company executives, was due primarily to a delay in the receipt of revenues of $1.5 million associated with the construction of an L-band payload on the Galaxy 15 satellite.

“Our year-over-year revenue growth was predominantly driven by our core video business, where we are continuing to realize incremental capacity sales for the delivery of high definition television programming to cable distribution systems over our satellites,” Panamsat CEO Joseph Wright said in a prepared statement. “We also are encouraged by recent developments in our telecommunications and satellite-based Internet protocol businesses. As international customers are looking to expand their telecommunications infrastructure, we see an opportunity to leverage low-cost ground terminal and hub management systems and provide a cost effective solution for expanding in-country and international connectivity using our satellite assets.”

Reaction to Panamsat’s first quarter results was positive among two Wall Street firms covering the stock.

Robert Peck of Bear Stearns viewed the results as a positive. In a May 17 equity research report (which was titled “Getting Off to a Good Start”), Peck said the company’s financials were “largely in line” with expectations, noting that “consolidated revenues of $209 million were marginally below our expectations of $211 million” due to the lower revenues for G2 government services but other financial indicators, including EBITDA (earnings before interest, taxes, deprecation and amortization) and free cash flow were higher than projections.

Benjamin Swinburne of Morgan Stanley said in a May 17 equity research report that he “continued to recommend Panamsat for its 8.6 percent dividend yield, stable cash flows.” He added that he was “encouraged by the strong video revenue growth” during the first quarter. He called the company’s revenue guidance “disappointing,” but added, “We believe the company is being conservative in its revenue outlook for the year.”

NSE

Just a quick check on how New Skies is faring since its initial public offering on May 10. In days leading up to the last full trading day before this issue went to press, the stock, like Panamsat, saw some fluctuations, but managed to finish the week up and close to its record high, recorded May 13. The company is still in its quiet period, so no new news has hit the streets to cause a significant shift in the price on its own, but the fact that it held its price suggests investors remain confident in the stock for now.