AsiaSat financial report satisfactory

11 Mar 2004

One of Asia’s leading satellite operators, Asia Satellite Telecommunications Holdings (AsiaSat), says its revenues for 2003 dipped by 6% to HKD896 million and profit slipped by 24% to HKD424 million, thanks to slack demand for services, business contraction of some of its customers and intense price competition for new leases and renewals. The effects of the SARS outbreak in Hong Kong during the spring of 2003 also had a negative effect on the company’s performance. However, AsiaSat remains upbeat saying that though the results were on the whole disappointing, they were in line with earlier indications and that the long-term business outlook is good with the company in a debt-free position at the end of 2003. In what was a challenging year for the satellite operator, AsiaSat also pointed to successes in maintaining its client base, deploying a new orbiter, Asiasat 4, and successfully commissioning its new Tai Po earth station.