Melbourne-based satellite communications company NewSat has secured contracts worth about $2 million in recent times including a $1 million contract to provide voice and data communications on the Gorgon gas project on Barrow Island.
NewSat has entered the second half of FY10 with monthly annuity contract revenue in excess of
$1.9 million as a result of two new contract additions.
The first is the initial contract with Gorgon while the second is a three-year contract with a defence force contractor for satellite communications worth approximately $1 million dollars annualised.
Full announcement below:
NEWSAT SECURES MORE NEW BUSINESS WITH "BLUE CHIP" CUSTOMERS
(Melbourne, Australia) As part of NewSat Limited's (ASX:NWT) continuous disclosure obligations, the company advises the market of the following new developments.
NewSat has entered the second half of FY10 with monthly annuity contract revenue in excess of
1.9 million dollars as a result of two new contract additions. While terms of service limit the disclosure of client's names, details of these contracts include;
- Initial contract to provide voice and data communications on the Gorgon gas project on Barrow Island, worth over $1 million dollars annualised.
- Three year contract with a Defence Force contractor for satellite communications worth approximately $1 million dollars annualised.
The two new contracts follow on from a successful 6 months where NewSat increased contracted new business revenues by approximately 20% against the corresponding period and
delivered on its promise to shift an EBITDA loss to an EBITDA profit.
NewSat CEO Adrian Ballintine said, "This continued turnaround in earnings demonstrates the
NewSat business model reaching a critical mass where each dollar of new revenue generates
an average of 30% EBITDA for the businesses bottom line."
