6 February 2012 – interim results/placing
The group has revealed its interim results to 31 December which showed revenue increasing to £5.1m (2010: £1.2m), with the loss before tax coming in at £6.6m (2010: £6.3m). The group has also raised £75m to help fund the third of its satellites, HYLAS 3. The group is now seeing revenues begin to flow in more meaningful numbers with sales momentum accelerating, with £23m announced in the last two months. At the end of December there was a backlog of orders of £181m with a pipeline of transactions in negotiation of £530m. The group is well placed to benefit from demand growth and market adoption of the new satellite technology and over 70% of fleet capacity will be dedicated to emerging markets which are experiencing high underlying economic growth. Although not without risk the shares are a BUY.