Shin Satellite D. Kasemset, Ph.D. Executive Chairman

Transcription

1 Shin Satellite 2004 D. Kasemset, Ph.D. Executive Chairman

2 Operational Highlights 2004 Consolidated revenue, including CS Loxinfo, for 2004, was million 6,964 baht, an increase of million 747 Baht, or 12% compared with last year, due to an increase in the revenues of Cambodia, LTC and CSL as well as TMC. By de-consolidating CSL, as shown in our financial statement, consolidated revenue for 2004 was 5,566 million baht, a decrease of 651 million baht, or 10% from last year.

3 Operational Highlights 2004 (cont.) Operating income from the satellite business was 366 million Baht. By adding affiliated companies profit of 381 million Baht with other income of 347 million baht and subtracting a foreign exchange loss of 36 million baht, less corporate income tax 202 million baht, net income was 856 million baht.

4 Operational Highlights 2004 (cont.) Subsidiaries have performed well in 2004 as CSL has declared a dividend of 0.50 baht/share and LTC has approved a $5 million dividend.

5 Thaicom business status The drop in Thaicom revenue for 2004 was due to expiration of a contract in India and churn of an ethnic TV customer in Australia. The cable-feed video business continues to grow in Thailand and India to take up unused C-band capacity. The establishment of the NBC this year and the trend toward DTH in Indochina will foster the growth of addition DTH channels and increased take-up of Ku-ban capacity. HDTV is also emerging as a new application and the IRD will be available in 2006.

6 IPSTAR business status Thaicom 4(IPSTAR) has completed Compact antenna range test (CATR), the final test, which assured end-to end transmit and receive performance. Pre-shipment review has been conducted in January and Space System/Loral is completing the final action items to prepare the satellite for shipment in the next few weeks. Final mission analysis review (RAMF) will be conducted in mid March. Successful completion will lead to authorization to ship and a fixed launch date.

7 IPSTAR business status (cont.) Arrangements are being made for installation of gateways in India, Indonesia, Japan and China to prepare for the service launch of IPSTAR. Revenue from the sales of gateways and user terminals is growing as IPSTAR is being used in a number of applications in the region. To date, the main applications are: broadband access, VPN, VOIP, mobile trunking and SNG.

8 User Terminals and Bandwidth Usage based on Application Type User Terminal VoIP 19.8% GSM Trunking 0.5% Bandwidth (FWD + RTN) GSM Trunking 17% SNG 0.2% Internet Access 59.3% VoIP 12% Internet Access 41% VPN 20.4% SNG 3% VPN 27%

9 Bandwidth Usage based on Application Type Bandwidth (FWD) Bandwidth (RTN) GSM Trunking 14% GSM Trunking 20% VoIP 12% SNG 2% Internet Access 47% VoIP 13% Internet Access 35% SNG 3% VPN 25% VPN 29%

10 Monthly Bandwidth Revenue based on Application Type Bandwidth Revenue GSM Trunking 13% Internet Access 35% VoIP 25% SNG 4% VPN 23%

11 Monthly Bandwidth Revenue per Mbps based on Application Type Bandwidth Revenue/Mbps GSM Trunking, 1,280 Internet Access, 1,402 VPN, 1,379 VoIP, 3,238 Note: Unit: USD/Mbps/Month SNG, 2,637

12 International Business Status The fiber-optic backbone completion has enabled LTC to increase its market share, now reaching 316,505 subscribers, 72%of a total market of 441,325 telephones, fixed and mobile. Meanwhile, the IPSTAR trunking technology has enabled GSM roll-out into previously un-reached population. LTC was nominated for the GSM prize for this innovative technology. The board has declared a $5 million for 2004, a 25% increase.

13 International Business Status The interconnection rates has been applied to all operators in Lao PDR. This will help balance the current reliance on IDD toward more domestic revenue. The Cambodian government has suspended the application of the telecom specific tax for 2004, postponing the application to March The company has started to replace the old NMT 450 WLL network with the more efficient CDMA 450 network.

14 2004 Financial Results

15 Consolidated Financial Results-2004 (Consolidated CSL) Unit : Million Baht Amount Amount % Change Service revenue 6,618 5,805 14% Cost (3,982) (3,534) 13% Gross Profit 2,636 2,271 16% SG&A (1,464) (1,106) 32% EBIT 1,172 1,165 1% D&A 1,479 1,280 16% EBITDA 2,651 2,446 8% Interest exp. (135) (138) -2% FX & Other income % Net result fr.affiliates % Income Tax (298) (313) -5% (Profit) loss of MI (201) (47) 328% Net profit 856 1,080-21% Unit : Million Baht Amount Amount % Change Service revenue Thaicom 2,619 3,125-16% IPSTAR % Internet 1,461 1,194 22% Telephone 1,559 1,340 16% Directory 513 NA Total Service revenue 6,618 5,805 14% Cost Thaicom 1,562 1,796-13% IPSTAR % Internet % Telephone % Directory 156 NA Other cost 9 NA Total cost 3,982 3,534 13%

16 Consolidated Financial Results-2004 (As per F/S report) Unit : Million Baht Amount Amount % Change Service revenue 5,120 5,805-12% Cost (3,218) (3,534) -9% Gross Profit 1,902 2,271-16% SG&A (1,004) (1,106) -9% EBIT 899 1,165-23% D&A 1,270 1,280-1% EBITDA 2,168 2,446-11% Interest exp. (131) (138) -5% FX & Other income % Net result fr.affiliates % Income Tax (298) (313) -5% (Profit) loss of MI (32) (47) -31% Net profit 856 1,080-21% Unit : Million Baht Amount Amount % Change Service revenue Thaicom 2,603 3,125-17% IPSTAR % Internet 409 1,194-66% Telephone 1,559 1,340 16% Directory 47 NA Total Service revenue 5,120 5,805-12% Cost Thaicom 1,568 1,796-13% IPSTAR % Internet % Telephone % Directory 23 NA Other cost 11 NA Total cost 3,218 3,534-9%

17 Company Financial Results EBITDA 1,359 EBIT 403 Net Profit before Gain (Loss) on FX 892 Net Profit (Loss) 856 EBITDA Margin 43% EBIT Margin 13% Net Profit before FX Margin 28% Net Profit Margin 27% Total assets 24,310 Total liabilities 15,218 Total equity 9,092 Current ratio 0.46 Debt to equity 1.53 Net debt to equity 1.46 EBIT = sales and service revenue concession fee cost of sales and service selling and administrative expense- director remuneration

18 Utilization As of December 31, 2004 (End of Period) Thaicom 1A Thaicom 2 Thaicom 3 Total C Regional Band Capacity Occupied Transponder Utilization 104% 93% 47% 76% C Global Band Capacity 6 6 Occupied Transponder Utilization 47% 47% Total C Band Capacity Occupied Transponder Utilization 104% 93% 47% 71% Ku Band Capacity Occupied Transponder Utilization 116% 130% 85% 100% Overall Company Capacity Occupied Transponder Utilization 106% 100% 55% 77%

19 Customer Breakdown by Application Application Portion Domestic VSAT 24.5% Rural Telephone 8.8% Internet 10.0% Cellular Trunking 7.3% Other 1.9% Telecom operator 52.5% TV Broadcasting 32.0% Ku-DTH 12.5% Educational TV 1.8% Other 1.2% Broadcasting 47.5% Total 100.0% 80% 60% 40% 20% 0% Telecom operator Broadcasting

20 Company: Service Income Year USD Baht Total Million Baht , , ,185 92% 94% 89% 2004:Revenue By Geography 50% 8% 6% 11% 19% 8% 23% Foreign Currency Thai Baht Thailand Indochina India & Sub continent Others

21 Remaining Contract Value-Thaicom Bandwidth Year Amount % Million Baht Million USD Total Million baht 1 53 $50 2,060 31% 2 51 $37 1,530 23% 3 18 $30 1,221 18% 4 up 0 $45 1,809 27% Total , %

22 Contract Value-IPSTAR Bandwidth Year Amount % Million USD Million baht (Equivalent) 1 $ % 2 $29 1,149 12% 3 $35 1,395 14% 4 up $157 6,270 64% Total $243 9, %

23 Remaining Contract Value-IPSTAR Bandwidth Year Amount % Million USD Million baht (Equivalent) 1 $ % 2 $28 1,169 12% 3 $34 1,393 14% 4 up $154 6,356 64% Total $238 9, % 1 USD = Baht

24 Accumulative effect of FX after financial crisis Million Baht 8,000 6,000 4,000 2,000 - (2,000) (4,000) Accum ulative FX Gain (Loss) on Revenue Accum ulative Unrealized FX Gain (Loss) on Loan Accum ulative Realized FX Gain (Loss) on Loan Net Accumulative FX Gain (loss)

25 Subsidiary Companies

26 Cambodia Shinawatra Comparative Financial Results Thousand USD PROFITABILITY SERVICE REVENUE 22,837 19,575 GROSS PROFIT 7,160 7, WLL 450 WLL 1800 CDMA-Fixed GSM CDMA-Mobile Fixed Mobile EBIT 3,299 3, EBITDA 7,545 6,299 NET INCOME 1,791 2, KEY RATIOS GROSS MARGIN 31% 37% 0 0 EBIT MARGIN 14% 17% EBITDA MARGIN 33% 32% NET PROFIT MARGIN 8% 15% Avg FX rate (Baht/USD) CAPITAL STRUCTURE TOTAL ASSET 66,450 59,287 TOTAL LIA. 46,645 40, Internet Subscriber Individual Corporate EQUITY 19,805 19, TOTAL LIA. TO EQUITY

27 Lao Telecommunications Comparative Financial Results Million KIP PROFITABILITY SERVICE REVENUE 369, ,112 GROSS PROFIT 255, ,286 EBIT 189, ,309 EBITDA 243, , Fixed PSTN CDMA-Fixed GSM Mobile NET INCOME 148, ,135 KEY RATIOS GROSS MARGIN 69% 71% EBIT MARGIN 51% 57% EBITDA MARGIN 66% 66% NET PROFIT MARGIN 40% 47% 3000 Internet ipstar Average FX rate (Kip/Baht) CAPITAL STRUCTURE 2000 TOTAL ASSET 891, ,753 TOTAL LIA. 265,082 46, EQUITY 626, ,559 TOTAL LIA. TO EQUITY