Asia-Pacific Markets - Latest Developments
The World Teleport Association today released Satellite Operator Benchmarks 2013, the third annual WTA global study. The study tracks, rates, and compares the operational and commercial performance of satellite operators, as experienced by teleport operators. The objective of the annual study, now in its third year, is to strengthen the global industry by encouraging self-improvement among all operating companies.
IPTV subscribers experienced strong growth in 2012. The success of IPTV, particularly in Asia, is due to strong growth in maturing markets like China and South Korea. Currently, China has the most IPTV subscribers worldwide and that trend will likely continue. The fastest growing IPTV regions continue to be emerging markets like Latin America and the Middle East/Africa which today have relatively few IPTV services, but hold great promise in the future, according to a new report by MRG Research Group.
Inmarsat plc has reported a drop in its full year 2012 profit before income tax to US $293.6 million from US$366.9 million last year after revenues dried up from the ill-fated LightSquared plan to create a new mobile network in the US.
Profit to equity holders also decreased to US$217.1 million or $0.48 per share fromUS $249.3 million or US$0.54 per share last year. Adjusted profit per share was $0.60 compared to $0.53 prior year.
The number of satellite transponders required by Indian TV broadcasters and DTH operators is expected to double or triple over the next five years, according to a new report from CASBAA, the apex Asian association of the cable and satellite television industry. Entitled “Easing India’s Capacity Crunch,” CASBAA’s report was released today at the CASBAA India Forum 2013 in New Delhi. Developed with knowledge support from PwC India, it forecasts that transponders required by the DTH industry will rise from 73 in 2012 to more than 220 in 2017 to meet burgeoning demands by Indian consumers.
The number of pay TV homes in the Middle East and North Africa will double between 2011 and 2018 to 16.0 million, according to a new report from Digital TV Research. The third edition of the Digital TV Middle East and North Africa report forecasts that fewer than 15% of TV households (analog and digital) legitimately paid for TV signals by end-2012. This proportion will climb to 21.6% by 2018.
Many readers of this edition will no doubt be thumbing the pages or scrolling a tablet screen at the Dubai International Convention & Exhibition Center (DICEC) at CABSAT 2013. Hoping that I’ve caught your attention earlier during CABSAT rather than later, I’d like to invite you to spend some time participating in the GVF MENASAT @ CABSAT Summit programs. The Summits, which are free to attend, take place in the Exhibition Center’s Meeting Room Hatta G & H, located above exhibition Hall 2, on March 13th & 14th.
CASBAA’s first Forum of 2013 lifted the covers off the emerging market of Myanmar. Held in Singapore on February 27, 2013, the Myanmar in View forum attracted over 100 delegates and speakers eager to explore the opportunities and pitfalls of the multichannel TV industry in the country.
“We were extremely encouraged by the tremendous turn-out and reception for the Forum,” said Christopher Slaughter, CEO, CASBAA. “This tells us that there is great interest in doing business with Myanmar and that people are hungry for information about the market.”
For most satellite service providers and teleports, satellite capacity is the single largest Operating Expense (OPEX) cost item and is therefore key to their profitability. This is traditionally also one of the most difficult cost elements to manage, especially for service providers who provide data services for VSAT and trunking.
The launch of the first commercial communications satellite (Intelsat1, nicknamed “Early Bird”) on 06 April 1965, the commercial satellite industry has seen declining technology risks but still remains fraught with many business risks. It is a capital-intensive industry with high barriers to entry. An aspiring satellite operator faces the difficult decision of investing hundreds of millions of dollars up to three years before the satellite takes its flight and stabilizes in its orbital slot.
Intelsat S.A. reported it suffered a net loss of $146.6 million on revenue of $2,610.2 million in 2012. The company reported EBITDA of $1,940.6 million, and Adjusted EBITDA of $2,016.5 million, or 77 percent of revenue, for 2012.
Intelsat posted revenue of $672.4 million and a net loss of $3.7 million in the last quarter of 2012. The company EBITDA, or earnings before net interest, loss on early extinguishment of debt, taxes and depreciation and amortization, was $520 million, while its Adjusted EBITDA was $516.5 million, or 77 percent of revenue, in the last quarter.
