OTTAWA – Telesat today reported the financial results for its second quarter and the first six months of 2021 ended June 30, which show consolidated revenue was down 10% to $188 million in Q2 compared to the same quarter in 2020.
“Revenue decreases were primarily due to a slight reduction of service for one of Telesat’s North American DTH customers, non-renewals of certain enterprise contracts, and lower consulting revenue,” according to a press release.
Adjusted EBITDA for Q2 “was $149 million, a decrease of 10%,” the press release reads. Adjusted EBITDA for the first six months of 2021 was $301 million, down from $330 million for the same period last year.
“Although revenues and Adjusted EBITDA were down slightly, we continued to generate strong cash flows and maintained high operating margins, high fleet utilization, and a substantial contractual backlog, which provides good visibility into our future performance,” Telesat president and CEO Dan Goldberg said in the press release.
“I am also pleased with the meaningful progress we are making with our groundbreaking Telesat Lightspeed constellation, including the important announcement we made yesterday regarding the Government of Canada’s $1.44 billion investment in the program and the announcement last week that the Government of Ontario is committing $109 million to use Telesat Lightspeed to provide high capacity broadband connectivity to remote communities throughout the province,” he said.
Goldberg also noted the company and its shareholders are making progress “toward transforming Telesat into a publicly listed company,” which Telesat expects to happen either late in its third or early in its fourth quarter this year.
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