Newsroom
Stratos Announces Second Quarter 2008 Results
BETHESDA, MD (July 30, 2008) - Stratos Global Corporation, the world's trusted leader in delivering vital voice, data and IP communication services today announced financial results for the second quarter ended June 30, 2008.
Financial Highlights
(in millions of U.S. dollars, except per share amounts)
|
|
Second quarter ended June 30 |
Six months ended June 30 |
|
2008 |
2007 |
2008 |
2007 |
| Revenue |
$ 162.7 |
$ 149.9 |
$ 310.2 |
$ 294.5 |
| EBITDA* |
$ 28.0 |
$ 25.2 |
$ 51.9 |
$ 44.5 |
| Net earnings |
$ 5.5 |
$ 6.6 |
$ 6.2 |
$ 2.4 |
| Basic and diluted earnings per share |
$ 0.13 |
$ 0.16 |
$ 0.15 |
$ 0.06 |
* EBITDA (a non-GAAP measure) is defined by the Corporation as earnings before interest expense, income taxes, other (income) costs, management long-term incentive expense, depreciation and mortization, non-controlling interest and equity in earnings of investee.
|
The unaudited interim consolidated financial statements and management's discussion and analysis of financial condition and results of operation are available on SEDAR, www.sedar.com and the Corporation's website,www.stratosglobal.com
For the second quarter and six months ended June 30, 2008, the Corporation achieved revenue of US$162.7 million and US$310.2 million, respectively, 9 percent and 5 percent increases compared with US$149.9 million and US$294.5 million, respectively, in the same periods in 2007. EBITDA for the second quarter and six months ended June 30, 2008 increased by 11 percent and 17 percent, respectively, to US$28.0 million and US$51.9 million compared with US$25.2 million and US$44.5 million for the same periods in 2007. The significant improvement in EBITDA for both periods was driven by the increased revenue and cost reductions resulting from the integration of Xantic and other initiatives to improve operating efficiencies.
Net earnings for the second quarter and six months ended June 30, 2008 were US$5.5 million, or US$0.13 per share, and US$6.2 million, or US$0.15 per share, respectively, compared with net earnings of US$6.6 million, or US$0.16 per share and US$2.4 million, or US$0.06 per share, respectively, during the same periods in 2007. The net earnings for the second quarter and six months ended June 30, 2007 included a gain from insurance settlements related to hurricanes Katrina and Rita of $6.2 million.
Cash flow from operations (including working capital changes) in the second quarter and six months ended June 30, 2008 totaled US$17.4 million and US$22.4 million, respectively, compared with US$17.0 million and US$22.5 million, respectively, generated during the same periods in 2007.
About Stratos
Stratos is the world's trusted leader for vital communications. Stratos offers the most powerful and extensive portfolio of remote communications solutions including mobile and fixed satellite and microwave services. More than 20,000 customers use Stratos products and industry-leading value-added services to optimize communications performance. Stratos serves U.S. and international government, military, first responder, NGO, oil and gas, industrial, maritime, aeronautical, enterprise, and media users on seven continents and across the world's oceans. Stratos is a wholly-owned subsidiary of Inmarsat plc. For more information, visit www.stratosglobal.com.
Caution Concerning Forward-Looking Statements
Documents related to this release contain statements and information about potential future circumstances and developments. Such statements and information are qualified by the inherent risks and uncertainties surrounding future expectations generally and may differ materially from Stratos Global Corporation's actual future results. For additional information with respect to these risks and uncertainties, reference should be made to the Corporation's continuous disclosure materials filed with the Canadian Securities Administrators. Stratos Global Corporation disclaims any intention or obligation to update or revise any forward-looking statements or information, whether as a result of new information, future events, or otherwise.
For additional information :
Paula McDonald, FCA
Executive Vice President and Chief Financial Officer
709.724.5227
paula.mcdonald@stratosglobal.com