An increase in the value of the United States dollar has pushed revenue up for Ottawa-based Telesat Holdings, according to quarterly results released on Tuesday.
The satellite communications company reported a revenue of $232 million during the three-month period that ended June 30, an increase of $5 million from the $227 million it reported during the same period last year.
However, that increase was largely credited to a four per cent rise in the value of the U.S. dollar during the same timeframe.
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The stronger U.S. dollar means that Telesat saw a boost in the value of revenue generated in U.S. dollars, but it reported that revenue in Canadian dollars.
Adjusted for currency conversion rates, revenue was up by around $1 million.
“The revenue increase was principally due to short-term services provided to another satellite operator, partially offset by lower revenue from customers in the energy and resource sector in certain international markets,” Dan Goldberg, Telesat’s CEO, told investors on a conference call on Tuesday morning.
Net income was $62 million during the quarter, up from $56 million during the same period last year. That increase was credited to the rise in revenue and a drop in operating expenses.
Telesat’s operating expenses during the quarter were $42 million, down $2 million from the same period last year.
Adjusted EBITDA for the quarter was $191 million, an increase of $6 million from the same period last year.
The company says it currently has a backlog for contracted future services of $4.5 billion and the utilization rate of its North American satellite fleet was at 94 per cent, while its international fleet usage rate was at 66 per cent.
Mr. Goldberg said the company remains focused on selling that available in-orbit capacity as well as constructing two new satellites.