Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Loral Space & Communications -- Ignore unavailable to you. Want to Upgrade?

To: Guy Gadois who wrote (6913)	10/28/1999 11:43:00 AM
From: Rocket Scientist	Read Replies (1) \| Respond to of 10852

A few comments on the qrtrly earnings report: FSS revenue and EBITDA seems to have disappointed the street, but I believe the reasons for slow growth are pretty clear (launch delays and O3 launch failure) and nonrecurring. With three new GEOs coming on line this quarter and next, should see some pretty dramatic improvement. Looking at the bookings and backlog in FSS and Data, it's clear that there is a very substantial pre-booked demand for these assets. Notice that the FSS Q3 bookings of 395M is almost 5X Q3 sales. Data bookings are 1.5 X sales. Funded FSS backlog of 1.3B$ is 15(!) times this quarter's sales. Funded Data Services backlog is 8X this quarter's sales. These, of course, are the high margin businesses with lower inter company eliminations than SS/L. G* aside, seems to me the Loral business case for FSS and data is still very much intact.