Inmarsat Share Discussion Threads

[andrbea] 26/8/2005 16:17

one for the weekend:

"As the technology to enable in-flight mobile phone use is being tested, it looks as if it will only be a matter of time before the technology is ready and the regulation and certification issues are sorted out.

'OnAir expects to launch its service in Europe in the second half of 2006,' says Cooper. Boeing also hopes to launch its services in 2006.The Telenor-Arinc solution, Aero Mobile, is scheduled to be commercially available later this year"

[andrbea] 26/8/2005 16:10

The Business Gazette obscure enough?

:-)

Xantic in 2004 reported $172 million in revenues. The company is jointly owned by KPN N.V. of the Netherlands and Telstra Corp. Ltd. of Australia. It has two international maritime satellite-operated land earth stations -- in Australia and the Netherlands. Xantic employs 270 people worldwide.

Xantic is recognized as an industry leader in maritime communications, according to Stratos information.

"The purchase will make us stronger in all segments, especially maritime communications," said Scott Hoyt, chief marketing officer with Stratos."



relevance: xantic is a distributor of inmarsat services I believe

[whipround] 26/8/2005 16:01

Andrbea

Good posting. very quiet today, no obscure journals read today?

[andrbea] 26/8/2005 09:24

"Dealers noted Inmarsat, the satellite operator that floated in June at 245p, is another candidate for a berth in the FTSE 250. Its shares rose 1p to 325.5p."

[tony5505] 25/8/2005 00:18

24 August 2005

INMARSAT (ISAT)




Inmarsat, which provides services such as phone, video, and Internet access via satellite, has made a promising stock market debut after listing in June at 245p and rising to 316p. The company is currently in a transition period as it spends $1.5bn rolling out a new generation of Inmarsat-4 satellites, with the first launched in March and beginning commercial operation in May. Inmarsat will offer Broadband Global Area Network (BGAN) services using the satellite before the end of the year and revenues will begin to flow in 2006.

Meanwhile, its existing businesses are performing strongly. Its biggest source of revenue and best performing unit is maritime services, which provides phone, fax and Internet services at sea. The unit posted a rise in first-half sales from $125m to $134m, after benefiting from an increase in usage of data services by vessels, particularly during the Asian Tsunami. The other strong performer was its aeronautical arm, which targets government aircraft and business jets. This posted a one-third rise in revenue to $10.6m, helped by its Swift64 high-speed data service. But its land-based business suffered a drop in sales from $73m to $65.8m, as a result less business in the Middle East and greater competition. Stockbroker Cazenove has cut its forecast for 2005 turnover from $488m to $481m, but has kept its cash profit forecast at $312m.

IC View

Demand for Inmarsat's services remains strong and further growth will come from broadband offerings on its new satellites. The shares are good value.




--------------------------------------------------------------------------------

INMARSAT (ISAT)

--------------------------------------------------------------------------------
Ord price: 316p Market value: £1,443m

Touch: 314-317p 12 month High: 358p
12 month low: 245p
Dividend yield: n/a PE ratio: n/a

Net asset value: 150c Net debt: 118%
£1 = $1.79

--------------------------------------------------------------------------------

Half year Turnover Pre-tax Earnings Dividend per
to 30 June ($m) profit ($m) per share (p) share c
2004 244 29.3 6 nil
2005 254 65.5 14 5.47
% change 4 124 133
Ex-div: 28 Sept Payment: 28 Oct

--------------------------------------------------------------------------------

SHARES IN ISSUE: 456.69 MILLIONS
FULL YEAR DIV: n/a p
FULL YEAR EPS: n/a p

[whipround] 24/8/2005 10:03

:
Higher demand provides 11% boost for Inmarsat
By Lucy Killgren
Published: August 24 2005 03:00 | Last updated: August 24 2005 03:00

Inmarsat, the global mobile satellite company, said first-half profit had jumped 11 per cent, helped by higher demand following the Asian tsunami and from maritime customers.


But, announcing its first results as a listed company since its flotation in June, Inmarsat said margins would stay under pressure as a result of discounting until the end of the calendar year and would be affected by the launch of its broadband global area network service (BGAN), scheduled for the end of the year.

Laura Mills, analyst with Merrill Lynch, said in a research note that the results were in line with expectations. "Inmarsat's share price will likely continue to be driven by expectations of additional revenues from high-speed BGAN services, as well as the potential value of its spectrum assets," she said.

The launch of BGAN in the fourth quarter will give mobile users voice and high-speed data capability and will use smaller terminals.

Analysts also said Inmarsat has the potential tobe part of a coast-to-coast mobile service in the USfollowing the launch of its second Inmarsat-4 satellite later this year.

More than half of Inmarsat's revenues come from providing customers at sea with phone, fax and internet services but it also provides services where existing networks are under threat such as after the Asian tsunami and in war zones.

Customers include the Ministry of Defence, the BBC, CNN, British Airways and Shell.

Total revenues for the half- year ended June 30 rose 4 per cent to $253.6m (£140.8m) but pre-tax profit more than doubled to $65.5m, boosted by a fall in operating costs and lower depreciation costs for 2005 compared with 2004.

The company said thefirst interim dividend was expected to be 5.47 cents a share. Earnings per share were 14 cents (6 cents).

Inmarsat shares rose 2p to 320p yesterday.

FRom ft.com

[andrbea] 24/8/2005 09:19

I think Lehman got it right

"Believes launch of BGAN in 4Q will "ultimately reverse any short-term weakness" thus reiterates its overweight rating. "



IMO:
that geographic rollout for more world coverage (end 2005/early 2006) will bring in x number of new distributors for those new areas which will send the till ringing
even if profit margins are slightly eroded, this new surge of income will IMO be more significant
current results had to show the investment to make/launch/put the satellites in position, it's downhill (IMO) from here...

[hectorp] 24/8/2005 08:33

I note 'the bonds yield 8%' I'm keener on them... But dont know how or wher I can buy them.

[andrbea] 24/8/2005 08:03

"The placement of a new satellite in orbit earlier this year also improves revenue prospects. A new service set to be launched this year will give customers broadband-speed data feeds at the same time as giving voice capability. This should do more than protect Inmarsat's land-based revenues; it should bolster sales all round. "

[andrbea] 24/8/2005 08:02

telegraph - questor column

[shirishg] 24/8/2005 07:51

Post removed by ADVFN

[andrbea] 24/8/2005 07:50

manchester evening news

[andrbea] 24/8/2005 07:48

"Laura Mills, analyst with Merrill Lynch, said in a research note that the results were in line with expectations. "Inmarsat's share price will likely continue to be driven by expectations of additional revenues from high-speed BGAN services, as well as the potential value of its spectrum assets," she said.

The launch of BGAN in the fourth quarter will give mobile users voice and high-speed data capability and will use smaller terminals.

Analysts also said Inmarsat has the potential tobe part of a coast-to-coast mobile service in the USfollowing the launch of its second Inmarsat-4 satellite later this year"

[andrbea] 24/8/2005 07:47

article in Daily Telegraph

[andrbea] 24/8/2005 07:45

Satellite operator Inmarsat shares are up 30% since flotation, but the 4.5% dividend yield suggests there is room for further growth despite the fact that the broadband initiative might take a little time to come through. Buy says the Times.

The Telegraph adds that Inmarsat's launch of its Broadband Global Area Network service before the end of the year will help it to reverse the revenue decline in its land business. By 2007 it will be throwing off cash. Risky, but a hold

[ygor705] 23/8/2005 18:58

I suspect that ISAT's earnings are very difficult to predict. First signs of any major military action in the world and ISAT's revenue prospects improve markedly. My bet is that trouble is never that far away and in those circumstances the FBI just can't resist the "phone a friend" option.

[whipround] 23/8/2005 16:02

Nice rise since the conference call - bodes reasonably well.

[andrbea] 23/8/2005 08:40

inmarsat upbeat ..

[whipround] 23/8/2005 08:19

Rubbish, excellent results, co trying not to pump up if anything, talking very sensibly, although margin might reduce due to volume discount this menas that overall sales are buoyant and expectations of success are great.

[fusebox] 23/8/2005 08:15

Looks to me like a profit warning and the pesent price is insustainable on earnings.

Pumped up stock i'm afraid.

[andrbea] 23/8/2005 07:42

interims out:

LONDON (AFX) - Inmarsat Ltd, the recently floated satellite telecoms group,
reported a healthy rise in underlying earnings in the first half, but cautioned
that profit margins would weaken as 2005 draws to a close.
The group, which listed on the stock market in June, reported a 4 pct rise
in sales to 253.6 mln stg in the first six months of 2005 thanks to strong
demand for its maritime voice and data services.
That helped earnings before interest, tax, amortisation and depreciation to
jump 11 pct to 171.8 mln stg, and pretax profits to more than double to 65.5
mln.
The group, which provides satellite services to government agencies and
global corporations, was expected to report EBITDA of 169.4 ml stg for the
period on sales of 251.4 mln, according to Morgan Stanley.