[SatNews] ViaSat (NASDAQ: VSAT) has executed a contract with Boeing (NYSE: BA) to build ViaSat-2, which is based on ViaSat’s next generation, Ka-band satellite technology and architecture. ViaSat-2 is expected to be, by far, the world’s highest capacity satellite at the time of launch (scheduled for mid-2016) achieving an unparalleled mix of capacity and coverage. ViaSat-2 is anticipated to approximately double the bandwidth economics of ViaSat-1 while simultaneously increasing its coverage footprint by seven-fold.
Building on the market success of the ViaSat-1 based Exede® Internet service, which has received multiple awards in recognition of its innovation and service performance, ViaSat-2 is expected to significantly improve the speed and availability of broadband services over a greatly expanded coverage area that includes North America, Central America, the Caribbean, a small portion of northern South America as well as the primary aeronautical and maritime routes across the Atlantic Ocean between North America and Europe.
This announcement marks the first major advancement of satellite broadband technology since the initial development of ViaSat-1, which recently earned a Guinness World Records® title as the highest-capacity communications satellite in the world. The ViaSat-2 system will include significant enhancements to ViaSat SurfBeam® networking technology and is designed to multiply the speeds offered to a level commensurate with high-speed fiber-to-the-node networks (FTTN).
ViaSat-2 represents a cooperative effort with Boeing Space & Intelligence Systems. The new satellite will be based on the Boeing 702HP satellite bus and draws on Boeing’s four decades of experience gained from the production of more than 175 commercial communications satellites and its extensive expertise in Ka-band satellite communication systems. Along with the execution of the ViaSat-2 satellite contract, ViaSat and Boeing have entered into a strategic agreement to jointly market and sell satellites systems based on ViaSat-2 technology.
Additionally, ViaSat Inc. (NASDAQ: VSAT) has announced financial results for the fourth quarter and fiscal year 2013.
The fiscal fourth quarter results include new contract awards of $227.1 million, and a 28 percent growth in revenues to $308.7 million compared to the same period last year. Adjusted EBITDA also grew over 10 percent to $40.8 million, driving non-GAAP diluted net income attributable to ViaSat common stockholders of $0.19 per share, or $0.04 per share on a diluted GAAP basis, and cash flows from operations of $42.7 million. For the fiscal year, ViaSat reported new contract awards of $1.4 billion and revenues of $1.1 billion, increases of 36 percent and 30 percent, respectively, from the prior year. ViaSat’s fiscal year 2013 Adjusted EBITDA also grew by 10 percent to $163.3 million, resulting in non-GAAP diluted net income attributable to ViaSat common stockholders of $0.02 per share, or a net loss attributable to ViaSat common stockholders of $0.94 per share on a diluted GAAP basis, and cash flows from operations of $91.8 million.
“We ended our fourth quarter and fiscal year 2013 with strong top line growth across all our business segments, including Government Systems despite severe budget pressures. Steady gains in Exede satellite broadband subscribers coupled with 36 percent growth in contract awards pushed our revenues up 30 percent to over the $1 billion mark in fiscal year 2013,” said Mark Dankberg, chairman and CEO of ViaSat. “We’ve passed the 500,000 subscriber milestone and are reaching important earnings inflection points. We are pleased with our progress and believe we are seeing strong confirmation of our technology strategy across each of our markets.”
To read the entire financial report, access this direct web page.
