Newsat Delivers Positive Results For Half Year Showing Growth Across Key Sectors

ASX Release

NewSat Delivers Positive Results for Half Year Showing Growth Across Key Sectors


Australia's leading independent Satellite Communications Company, NewSat Limited (ASX: NWT), is pleased to report the Group performance for the half-year ending 31 December 2009. As previously announced to the market, the business has turned an EBITDA profit for the six months, with every key financial metric improving significantly in comparison with the corresponding period.

KEY HIGHLIGHTS INCLUDE

* Revenue from ordinary activities - up 21% or $2.03 million to $11.9 million for the period;

* Monthly Recurring Revenue Charge (MRC) has increased $300K (or 17%) from July 2009 to $1.97 million as at December 2009;

* Gross Margin up 18% or $0.9 million to $5.8 million for the period;

* Positive EBITDA of $0.3 million representing both the Group's maiden positive EBITDA for a reporting period and growth of $0.9 million or 143%;

* Net Loss for the period from ordinary activities has been reduced by 71% to $0.5m from a Net Loss of $1.8 million;

* Positive operating cash flow of $0.9 million up 607% or $0.7 million;

* Cash and cash equivalents up $0.3 million to $2.2 million.


NewSat continues to leverage both the infrastructure and engineering at its Perth and Adelaide teleports and global sales resources to win high-grade corporate contracts across the oil, mining, gas and military markets domestically and internationally. Key business growth and market penetration was achieved via a number of substantial mining project installations and expansions.

NewSat has continued to progress development initiatives on the Jabiru satellite launch program. During the period significant progress was made in moving the project from the research stage into a bona fide viable program with an announced start date for build and launch of Jabiru 1 targeted for 30 June.


In commenting on these demonstrative results, Adrian Ballintine, CEO, said,

"NewSat is delighted with the results for the Half Year, which set the scene for the remainder of the 2010 Financial Year."

"It was particularly pleasing to win a number of key corporate contracts across many key industry sectors. This further cements a very solid revenue base for NewSat and its position as Australia's Leading Satellite Communications Company."

To view the full 4D please visit www.asx.com.au and search for NWT.

For further information contact Rod North, Bourse Communications on (03) 9510 8309 or 0408 670 706.


SOURCE: NewSat