SATS has reported earnings – or PATMI – of $5.1 million in the 3QFY2021/2022 ended December, a reversal from the loss of $3.1 million in the same period the year before.
However, the bottom line support would’ve been a loss of $33.0 million, down from 2QFY2021/2022’s loss of $30.1 million, if not for the government reliefs.
Group revenue improved by 22.6% y-o-y to $307.8 million in the 3QFY2021/2022, due to broad-based growth in all segments, supported by travel growth.
In particular, SATS’s food solutions and gateway services saw growth driven by increased business activities.
Food solutions revenue grew by 16% y-o-y to $23.0 million, while gateway revenue rose 33.5% y-o-y to $35.2 million.
Travel revenue rose 40.1% y-o-y to $49.7 million, while non-travel revenue increased by 6.8% y-o-y to $8.5 million.
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Group expenditure increased by 28.2% y-o-y to $69.7 million due to higher staff costs, higher volume of activities, heightened safety measures. The higher cost of raw materials, higher premise costs and higher other operating costs due to higher provision for bad debts and lower government grants.
In the 3QFY2021/2022, the group recorded an operating loss of $9.5 million, down 379.4% y-o-y from the operating profit of $3.4 million in the same period the year before.
Share of results from associates/joint ventures surged 245.7% y-o-y to a profit of $12.1 million, as the gradual recovery from Covid-19 has boosted the performance for most of the group’s aviation associates and joint ventures.
Other non-operating loss of $6.1 million was ascribed to impairment made for property, plant and equipment.
As at end-December, SATS’s cash balance stood at $678.3 million.
Shares in SATS closed 3 cents lower or 0.71% down at $4.18 on Feb 23.
