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THAICOM Reports Q2/2020 Results

Nonthaburi, Thailand, 5 August 2020Thaicom Public Company Limited (THCOM), satellite operator, announced its financial results for the second quarter ended 30 June 2020.

The Company’s net profit for Q2/2020 was Baht 498 million, significantly improved from the net loss of Baht 135 million for Q2/2019 and Baht 198 million for Q1/2020. The major increase was due to compensation income, offsetting losses from foreign exchange. Excluding such extra items, the normalized profit from operation for this quarter was Baht 2 million.

THCOM reported revenue from sales and services for Q2/2020 of Baht 873 million, down by 28% and 9.5% from Q2/2019 and Q1/2020, respectively, mainly as a result of a decrease of customer demand for broadband satellite services, along with customer churn from the Thaicom 5 satellite deorbit.

The overall utilization rate for Thaicom 6, Thaicom 7, and Thaicom 8 as at the end of Q2/2020 was 63%, down from 65% as at the end of Q1/2020. For broadband satellite, the Thaicom 4, the utilization rate was 19%, decreased from 21% as at the end Q1/2020, mainly due to the drop of bandwidth consumption from overseas customers.

Mr. Anant Kaewruamvongs, Thaicom Chief Executive Officer, commented: 
“The Company’s net profit for Q2/2020 increased significantly, the majority of which was an extra item from the compensation income. Our focus on cost control has still continued. Although revenue decreased compared to the previous year, we could still maintain the normalized profit from operation at Baht 2 million.

In addition, we have signed two joint ventures with business partners. First, a collaboration with CAT Telecom Public Company Limited (CAT) to establish Nation Space and Technology Company Limited (NSAT), to provide satellite and related services via Low Earth Orbit satellite systems. Second, a partnership between our subsidiary Thai AI and Robotics Ventures Company Limited (ARV), a subsidiary of PTT Exploration and Production Public Company Limited (PTTEP), to establish ATI Technologies Company Limited (ATI) for the development of goods and services for unmanned aerial vehicles or drones for Thailand’s agricultural sector. The new business partnerships are aimed at the development of sustainable growth, strong revenue, and business diversification.”

Lao Telecommunications Co., Ltd. (LTC), Thaicom’s telecommunication including TPLUS Digital Company Limited (TPLUS) in Laos, reported total mobile subscribers (excluding fixed wireless) of 1.51 million and ranks number one. The country’s leading mobile network operator reported a market share for Q2/2020 of 61.1%, which increased from 60.3% as at the end of Q2/2019.