Inmarsat Share Discussion Threads

[losos] 15/5/2012 12:33

wad collector - too old to get involved in all that 'day trading' malarky ! Just holding for divi and look at the share price every now and then, enjoyable stress free days are the priority now lol.

[wad collector] 15/5/2012 12:11

If you can't beat 'em...
Or just hold for the yield and don't worry about it.

[choppa] 11/5/2012 19:23

Range bound and the day traders are all over it imho.

[soi] 11/5/2012 14:15

Losos
Yes I think you are right with your summary.

I`ve just bought back the part holding I sold a few days ago, gained a small amount overall.
Seems lowly priced with the Ex divi date so near

[losos] 11/5/2012 12:41

soi - I can't help feeling that 'market jitters' are going to be a familiar theme this year, the Eurozone crisis just won't go away, now we have the Greek people deciding that austerity is not what they want (No surprise there then!)

You could hardly get a more 'international' company than Inmarsat yet as you say it seems to suffer from market jitters more than some others. Maybe a lot of people don't really understand what they do, how they do it, and how their customers are virtually locked in, I'm happy to hold for the dividend right now.

[soi] 11/5/2012 10:10

Well, it appears selling part was correct, shame I didn`t sell all,this share seems to give up gains so easily yet appears to be a decent prospect, good yield, confident sounding words from management.
General market jitters I guess.
I`ll hold the remainder for dividend now.

[losos] 09/5/2012 15:54

wad collector - Yes, my screen is all red apart from Inmarsat and I also thought the Q1 report was encoraging, another payment from Lightsquared will help offset the loss in revenue from customers switching to their newer service although I'm convinced Lightsquared is for the chop eventually.

[wad collector] 09/5/2012 10:18

Q1 statement seems well received this morning - blue in a red market;


Inmarsat plc - Highlights

Total revenue $355m up 10% (2011: $324m)
Wholesale maritime revenues up 7%
Over 2,000 FleetBroadband terminals added in Q1
Over 55,000 IsatPhone Pro subscribers at end of Q1
Agreement with LightSquared, resulting in $56m payment in April
Honeywell to develop Global Xpress in-flight passenger services
First XpressLink dealers appointed
Inmarsat Group Limited - First Quarter Highlights

Total revenue $237m up 6% (2011: $223m)
Inmarsat Global MSS revenue $178m (2011: $181m)
Inmarsat Solutions revenue $191m (2011: $176m)
Total EBITDA $205m up 1% (2011: $204m)
MSS active terminals up 10%

[wad collector] 08/5/2012 08:35

Well, in retrospect , holding was the right choice.If the estimates of a 30p dividend next year are accurate, then it is still cheap.

[soi] 04/5/2012 07:07

I sold a third on the rise but want to hold the rest for dividend, hard to know what to do for best.

[choppa] 03/5/2012 22:44

Looks like a good short on this mark up imho. Still sits on my dogs list.

[redips2] 03/5/2012 12:17

TIDMISAT

RNS Number : 6677C

Inmarsat PLC

03 May 2012

INMARSAT PLC - ANNUAL GENERAL MEETING: 3 MAY 2012

ANDREW SUKAWATY: CHAIRMAN

It's 10 o'clock. Good morning, ladies and gentlemen, and welcome to Inmarsat plc's 2012

Annual General Meeting.

I would like to start today's meeting by welcoming our board of directors:

-- John Rennocks, our Deputy Chairman and senior independent non-executive director. John is also Chairman of our Audit Committee.

-- Sir Bryan Carsberg, Kathleen Flaherty and Janice Obuchowski, who are independent non-executive directors.

-- Stephen Davidson, an independent non-executive director and our Remuneration Committee Chairman.

-- Rupert Pearce, who became Chief Executive Officer at the start of this year; and
-- Rick Medlock, our Chief Financial Officer and Alison Horrocks, our company secretary.

Unfortunately Jim Ellis has not been able to attend - he is very sorry to miss this AGM after being at all previous ones since he joined the board in 2005.

As detailed in the Notice of Annual General Meeting, the UK Corporate Governance Code recommends that all directors of FTSE 350 companies should be subject to annual re-election by shareholders. Accordingly all the directors of the company are submitting themselves for re-election by shareholders today, other than Rupert Pearce, who is standing for election for the first time in accordance with the Company's articles of association. I believe that each director continues to make a valuable contribution to the board. I do not propose to introduce each member of the Board, you can refer to their biographical details which are set out in the Company's 2011 annual report and also on our website.

As we are announcing our first quarter results for 2012 on 9(th) May, I cannot provide any updates on specific trading activity or financial information today, so will focus on highlighting key aspects of our 2011 performance with additional comments as appropriate.

While we reported record revenue and EBITDA results for 2011, and recording strong cash generation, we saw a slowdown in our core mobile satellite services business, particularly in the maritime and land mobile sectors. We faced pressures at both macro and specific market sector levels. The global economic downturn adversely affected our non-governmental business, particularly our maritime business. We were affected by the continued withdrawal of NATO troop deployment in Afghanistan and diminishing military operational activity in that region of the world also negatively affected revenue. We have been subject to competitor activity from terrestrial as well as other satellite operators and have taken steps to mitigate the erosion of our business through different service initiatives which have been announced over the last couple of years - such as our handheld satellite phone, the IsatPhone Pro to target opportunities to retain and build again our voice market; the new Global Xpress Inmarsat 5 satellite programme and our latest maritime offering, XpressLink. I will refer to these later in my speech.

With the strong results at the Inmarsat plc reporting level, we maintained our commitment to pay increasing dividends to shareholders and uplifted the interim dividend and recommended full year 2011 dividends by 10% on the total dividend paid for 2010. We expect to sustain this level of increase for our 2012 financial year as well. In addition, we believe the share repurchase programme which we started in August 2010 will also provide increased returns to shareholders.

Our 2011 results benefited from substantial payments we received from a US company, LightSquared, under the terms of a Cooperation Agreement we have in place with them. The agreement enables the re-banding and efficient reuse of L-band radio spectrum covering North America and the terms of the agreement can assist LightSquared to develop and deploy a 4G hybrid network which combines satellite and terrestrial capabilities. We reported in April that LightSquared had paid an outstanding amount and we have reached agreement on other outstanding matters regarding when further payments will be due in the future. We do not know whether LightSquared services will eventually be deployed although we have undertaken activities to ensure we can accommodate its rollout if their business proceeds.

Now let me make a few comments about our core mobile satellite services business and its performance in 2011. Inmarsat Global is a wholesaler of satellite airtime and it sells services to our distribution partners who either engage directly with customers or through their own channel of service distributors.

Our maritime business suffered from the effects of the global slowdown at the macro level and also from customers migrating from our older services to our FleetBroadband services. FleetBroadband services offer customers faster speeds and an increased menu of applications, at cheaper prices. It is encouraging that customers migrate to our newer services as this provides benefits to them and allows us to be more efficient in how we use our network. The transition from old to new services though has had a short-term effect of reducing maritime revenues. They in essence move from making phone calls to sending emails which reduces our revenues. However, we are confident that over time we will see greater volume use of our digital services by customers and

that revenues will grow again. Historically we've seen this happen.

We also launched a new service - XpressLink. This service is a strong response to maritime VSAT competition and combines a Ku-band service with our Inmarsat FleetBroadband L-band service to offer a fully-integrated managed service for one inclusive monthly fixed fee. XpressLink will provide a bridge to our future Global Xpress service as well. This gives customers who use the XpressLink services the knowledge that they can automatically upgrade to a higher capacity service in the near future and that this gives them additional value and expanded bandwidth. Our acquisition of Ship Equip in April 2011 gave us a significant market entry point for the XpressLink service with us benefitting from their status as a leading Ku-band VSAT provider to the maritime industry.

We remain the only provider of satellite communications services for the Global Maritime Distress and Safety System and have committed to extend this capability onto our FleetBroadband service. The first stage of this was completed in July last year when we launched our FleetBroadband voice distress service. We are targeting to have a fully compliant service to meet the International Maritime Organization's standards at the end of 2014.

Our land business incorporates several different sub-sectors and we experience quite different usage trends in each, triggered by economic conditions, natural disasters and military activities. In 2011 we saw reduced traffic from government customers in Afghanistan and we are cautious that with the continued troop withdrawal we will see some further softness in revenues from this part of our revenue stream. We have launched new services in the machine to machine market and examples of usage are transportation companies who use satellite applications for tracking and monitoring their vehicles. We have also seen interest from utility companies seeking a real-time application for monitoring their remote infrastructure. Our land broadband service, called BGAN, is now a reasonably mature service and we have been reviewing how we can extend its capabilities and usage to new markets and geographies.

We launched our handheld service, IsatPhone Pro, in July 2010 to take back some voice revenues from competing services and target new customers. In early March, we reported reaching 50,000 subscribers. Although the level of usage is developing at a slower rate than expected, we have received positive feedback from user groups, and are focused on how we penetrate the higher spending customers.

Our aviation sector benefitted from a strong contribution from SwiftBroadband, with terminals being activated at a much faster rate than for our other key aviation service, Swift 64 at its peak. In a similar way to our land business, our aviation revenues have been affected by lower usage by government users and as we've seen previously, this can lead to volatility in revenues.

We are seeing more airlines announcing their commitment to SwiftBroadband, believing that passenger connectivity will become ubiquitous and that they will have to begin full commercial commitments or be behind where the industry is heading. We believe our SwiftBroadband service can fulfil these commitments and that our Global Xpress service will also be adopted by airlines in the future as it represents a major step forward in terms of both speed and capacity for in-flight broadband services.

Our subsidiary company, Stratos, which mainly provides Inmarsat services to its customers, reflected the same type of trends within its business as I've just described for the wholesale part of our business. We saw strong results from our US Government businesses - Segovia and Stratos Government Services.

At the end of last year, we reviewed the strategy for the overall Inmarsat business and at the beginning of 2012 reorganised and set up four focused market sector business units - maritime, enterprise, US government and global government. We believe our business will benefit from how we have brought our operations together and now have our subsidiary companies - Inmarsat Global, Stratos, Segovia and Ship Equip operating under the Inmarsat brand. This new organisation structure allows us to maintain and strengthen our support for our distribution partners to drive further growth.

Our strategy is to continue to develop and grow our core services in maritime, aviation and land, and target government opportunities. In addition through our investment in next generation broadband services we expect to power applications, solutions and customers that we have not previously served, but with the same focus on the market segments and distribution partners we have served for many years.

We will do this by positioning our Inmarsat 4 services for renewed long-term growth; successfully launching the Inmarsat 5 generation of Global Xpress services; and driving either directly or indirectly broader value-added communications applications and solutions to complement our existing market leading capabilities.

We are excited about our new Global Xpress services which will be launched in 2013. These services will be offered on our new Inmarsat 5 Ka-band satellites, and when combined with our highly resilient existing L-band services provided through our existing satellite constellations, will provide a combined package offering speed, coverage, quality and reliability unrivalled in the satellite industry. This is a US$1.2bn investment programme which is fully funded. We are targeting an existing market today of US$1.4bn, with high growth potential. These new satellites will enable global mobile broadband satellite services which are significantly faster than speeds we can offer now, at highly competitive prices. We believe our Global Xpress service is ahead of the competition by several years, so giving us a first-mover opportunity in this new market.

The Global Xpress programme is progressing according to plan. The first satellite construction by Boeing is on budget and schedule, as is the ground segment and network development programme with iDirect. We have also partnered with leading providers of terminals to the maritime and aeronautical markets - Thrane & Thrane, Cobham/SeaTel, JRC, Intellian and Honeywell. We already have a commitment from Boeing to deliver revenue representing more than 10% of our target revenue over the first 5 years of operation and have preliminary agreements with commercial aviation specialists GoGo and OnAir and also Honeywell to bring GX satellite services to the air transport market.

In summarising our performance in 2011 and how we are focused on the future, I hope I have provided a sense of the challenges we've faced and how we want to address them in 2012 and beyond.

Rupert Pearce as our new CEO leads a strong management team and we have an organisation which we believe will deliver worldwide market leading services to our partners and customers.

We are being prudent in targeting minimal revenue growth at the wholesale level over the next two years, 2012 and 2013. This is because we still face world macro economic uncertainty, migration of customers from our more expensive maritime services to our more cost efficient broadband maritime services and the volatility of government spending in our aviation and land sectors. With the launch of Global Xpress in 2013 and revenues expected from this in 2014, we are looking for stronger annual growth rates thereafter and have already publicly projected compound annual growth rates of between 8% and 12% in wholesale on-network MSS revenues for the period 2014 to 2016.

This is the last AGM where I will be covering a reporting period as both Chairman and CEO. It has been a privilege for me to have been Inmarsat's CEO for the last 7 years. We have accomplished much over this time. Without reciting a list of statistics and accomplishments for the business, let me simply say not only did we list the company and provide significant returns to shareholders but we also significantly grew the business and made it stronger in terms of the services we offer. We are confident that we have a strong business with great growth opportunities as we move into the next phase realising growth from our investments. I am delighted we were able to find a "home-grown" CEO and I look forward to working with Rupert and the rest of our organisation over the coming years as we take Inmarsat forward, to the benefit of all stakeholders.

Thank you for your investment in Inmarsat.

This information is provided by RNS

The company news service from the London Stock Exchange

END

AGMKXLBBLEFEBBD

[eipgam] 02/5/2012 13:11

Thanks Enami... perhaps you could tell the missus that I was right... for once!

Hopefully, the results and the recent solution to the LS situation will see the repurchase of those 69m shares.

[enami] 02/5/2012 10:37

eipgam I just checked the Euroclaer website for CREST Loan data (March)

Seems maybe your figure is correct. Maybe the DataExplorers chart refers to only stock on loan in USA.

https://www.euroclear.com/site/public/EUI

Go to Resources

Average No. on Loan 69,656,224
Average No in Crest 414,125,929
Percentage 16.82%

[choppa] 01/5/2012 22:49

Results 9th May. Not long now.

[eipgam] 01/5/2012 09:46

Just shows you in the this game.... believe no-one!

[enami] 30/4/2012 19:33

eipgam DataExplorers shows less the 10 million on loan (from 448 million) -suspect they may have got their decimal point in the wrong place.

[eipgam] 30/4/2012 18:39

According to www.squaremiledata.com

17.54% of ISAT stock is out on loan (for possible shorting activities)

[eipgam] 20/4/2012 15:37

Turning point perhaps.... Blast off would be better.

[enami] 20/4/2012 09:52

Inmarsat and LightSquared reach agreement

Turning point?

[ygor705] 19/4/2012 18:33

nick100..............3 interesting articles. Just confirms that we are dealing with a quality company here that has loads of opportunities going forward. This year may be a bit sticky but I'm happy to stay with it.