viewInmarsat Plc

Inmarsat earnings led higher by demand for aviation broadband in fourth quarter

Inmarsat expects 20019 revenue of US$1.3-1.4bn, excluding a contribution from US partner Ligardo

Inmarsat expects to generate sustained free cash flow growth over the medium to long term

Satellite operator Inmarsat posted a 14.6% rise in earnings in the fourth quarter, driven by demand for aviation broadband.

The British group, which provides communications to ships, aircraft, companies and governments, said earnings (EBITDA) increased to US$190.6mln in the final three months of 2018 as revenue gained 7.6% to US$378.7mln.from

READ: Inmarsat wins contract to provide GX Aviation inflight broadband solution to Indonesian national airline Garuda

The aviation business saw revenues jump 51.8% to US$72.4mln in the quarter and the government division grew by 13.1% to US$102.7mln.  That offset declines in the enterprise and maritime units of 2.2% to US$31.4mln and 6% to US$135.7mln, respectively.

Total EBITDA for the year was US$7701.mln, up 4.2% from 2017, and revenue edged up 5.3% to US$1.47bn.

In 2019, revenue is expected to be US$1.3-1.4bn excluding a contribution from US partner Ligardo.

The group is targeting “mid-single digit percentage” revenue growth on average per year from 2018 to 2022 with EBITDA and free cash flow generation “improving steadily". 

"We remain focused on building and defending substantial market share in our target markets, supported by our diversified product portfolio and leading-edge networks,” said chief executive Rupert Pearce.

"This will ensure we are able to fully capitalise on both the immediate and longer-term growth opportunities in these markets.

"Supported by a tightly controlled cost base and an infrastructure capital investment programme which we are confident will meaningfully and sustainably moderate from 2021, we expect to generate sustained free cash flow growth over the medium to long term."

Quick facts: Inmarsat Plc

Price: 558.2 GBX

Market: LSE
Market Cap: £2.58 billion

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events


The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...



Panther Metals set up for its next strategic move with an 'enviable'...

Panther Metals plc's (LON:PALM) Darren Hazelwood and Kerim Sener introduce the explorer to Proactive London's Andrew Scott. In Canada recent field activities have returned some 'exceptional' results including significant soil gold anomalies in four major target areas. Meanwhile in...

1 hour, 21 minutes ago


Form 8.3 - Inmarsat plc

1 hour, 31 minutes ago

Form 8.3 - Inmarsat Plc

1 hour, 52 minutes ago


2 hours, 5 minutes ago

Form 8.3 - Inmarsat PLC

2 hours, 10 minutes ago

Form 8.3 - Inmarsat plc

4 hours, 8 minutes ago


4 hours, 55 minutes ago

Form 8.5 (EPT/RI) - Inmarsat plc

5 hours, 11 minutes ago

2 min read