Thaicom Reports Q3/2023 Results
- Net profit growth 37% YoY for the first 9 months of 2023
- Success on broadband service expansion in the Philippines
- Subsidiary’s revenue growth 70% from New Space Technology
- Announced the selection of Airbus to build a new satellite with advanced technology ”Software Defined High Throughput Satellite (SD-HTS)”
Bangkok, Thailand, November 3, 2023 – Thaicom Public Company Limited (the “Company” or “THCOM”), satellite operator, announced its financial results Q3/2023.
Thaicom Public Company Limited reported a net profit attributable to the Company’s owner of Baht 660 million for the first 9 months of the year 2023. This represented a significant increase of 37.1% compared to Baht 481 million reported for the first 9 months of 2022, resulting from the recognition of the compensation income from a business partner of Baht 301 million.
In Q3/2023, the Company generated the revenue from sales and services of Baht 623 million with a net profit attributable to the owner of the Company of Baht 114 million. When compared to the corresponding period of the previous year (YoY), there was 18.9% decrease of the revenue from sales and services from 767 million Baht, primarily attributed to the decrease of the revenue from the Thaicom 4 broadband services. However, the company’s net profit only saw a modest decline of 6.1% from Baht 121 million in Q3/2022 due to efficient cost and expense management.
In comparison to the previous quarter (QoQ), the revenue from sales and service was not of significant difference. The decrease of the net profit by 75.1% from Baht 457 million was from the recognition of one-time compensation income from a business partner during Q2/2023, as aforementioned.
The ramp down of broadband services revenue during 2022 – 2023 was consistent with the Company’s customer restructuring plan, aimed for introducing new satellite services at the 119.5 Degrees East orbital position. The existing customers on the Thaicom 4 satellite have been ramping down in some areas not covered by the new satellites’ footprint, while the Company is focusing on service expansion in regions with high potential demand covered by the footprint, i.e., Thailand, India, the Philippines, and Indonesia. During Q3/2023, THCOM was successful in securing the service expansion agreement with We Are IT Philippines Inc., the leading broadband services provider in the Philippines, for the government broadband connectivity throughout the country.
In Q3/ 2023, the Company recorded revenue from the Thai General Insurance Association for utilizing satellite technology to assist Thai farmers in mitigating the risks associated with natural disasters. This service is a part of the New Space Technology business, led to revenue generated by Thai Advanced Innovation Co., Ltd., a subsidiary of THCOM, totaling Baht 17 million. This marked a substantial increase of 70.0% when compared to Baht 10 million recorded in Q2/2023 (QoQ) and is a significant milestone in the expansion of such services in the future.
The Company announced the selection of Airbus, a world’s leader in space businesses, to build a new satellite with advanced technology “Software Defined High Throughput Satellite or SD-HTS technology” at 119.5 Degrees East, which is THCOM’s main strategic orbital slot.
Space Tech Innovation Company Limited, THCOM’s subsidiary, signed a contract with Airbus Space Systems to design and build a new satellite, as well as provide ground control segment components. Airbus will build the satellite applying the newest design technology, and propose to deliver the satellite in 2027. This is the ninth order of Airbus’ OneSat line of satellites, which is capable of adjusting the coverage area, capacity, and frequency “on the fly” to respond to future communications by enabling the adoption of new technologies while the satellite is in orbit. This satellite will be able to extend connectivity in Ku-band enhanced service and customers’ relationship across Asia Pacific, strengthen the potential of providing integrated services and build confidence in providing stable services to customers.
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