Thaicom Recovers from US$84.26 Loss in 2017, Nets US$7.31-M in 2018
Nonthaburi, Thailand, February 8, 2019 — Thaicom Public Company Limited (THCOM), Thailand’s first satellite operator, reported a consolidated net profit of US$7.31 million (Baht 230 million), an improvement from last year’s net loss of US$84.26 million (Baht 2,650 million). Thaicom said the recovery can be attributed to the recognition of gain from sales of shares of CS Loxinfo Public Company Limited (CSL), a decrease in depreciation and amortization after the recognition of satellite assets impairment in 2017, and an improved cost management.
The company’s consolidated revenue from sales of goods and rendering of services for 2018 was US$191.02 (Baht 6,008 million), a decrease of 10.2% from US$212.67 (Baht 6,689 million) for 2017, mainly due to the worldwide industry downtrend and price decline, as well as the churn of customers during 2017.
Anant Kaewruamvongs, CEO, said their review of the overall business and competitive landscape including key market and technology drivers is enabling the company to determine its long-term strategy.
“In order to further develop our satellite business, we will utilize next generation satellite technology and seek international partnerships including joint investment in order to reduce investment risk and reliance on the concession scheme in Thailand. We will also leverage our marketing and technical strengths to develop businesses that are adjacent to the satellite business, including satellite consultancy services in the areas of satellite construction, teleport services, sales and marketing, as well as system integration of satellite and related communication networks. Moving forward we will venture into new business areas with a focus on digital and future technologies to diversify the Company’s portfolio and reliance on the satellite business,” he said.
Lao Telecommunications Co., Ltd. (LTC), Thaicom’s telecommunication and mobile service provider subsidiary in Lao PDR, reported total mobile subscribers (excluding fixed wireless) of 1,488,196. In January 2018, the country’s market leader entered into a sale and purchase agreement to acquire 500,000 shares or 100% of Vimpelcom Company Limited—one of the mobile operators under the brand name “BEELINE”—from the government of Lao PDR.
This acquisition will significantly help to expand its market and target the country’s young consumers, as well as enhance LTC’s network efficiency. Lao Telecommunications currently holds 56.1% market share in the mobile business.
THAICOM was established in 1991 and the company was the first to launch a broadband satellite in the world and now a leader in developing integrated solutions for satellite broadband and broadcast services. The company’s engineering teams provide leading-edge innovative solutions for satellite-based telecommunications services.
Since its establishment the Company has launched eight satellites, with five satellites in operation: THAICOM 4 (IPSTAR) provides a variety of broadband and data services, including cellular backhaul, mobility, government USO support, content delivery, business continuity and emergency services in thirteen countries in Asia Pacific. THAICOM 6 is to expand the Company’s broadcast carrying capacity in SE Asia and Africa (by the name “AFRICOM 1”) and is collocated with THAICOM 5 and THAICOM 8 at 78.5 degrees East. THAICOM 7 was launched in September 2014 to provide media & data services for Asia’s and Australasia’s entertainment and telecom industries at 120 degrees East. THAICOM 8 was launched in May 2016 to expand Thaicom’s servicing capacity and footprint in the region.
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