CanCom reports continued growth for the nine month period ended, May 31, 1996.MISSISSAUGA Mississauga (mĭsĭsaw`gə), city (1991 pop. 463,388), S Ont., Canada, 12 mi (20 km) W of Toronto on Lake Ontario. A residential suburb of Toronto and a growing transportation and industrial center, it is one of Canada's fastest-growing , Ontario--(BUSINESS WIRE)--June 20, 1996--CANCOM (TSE See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). , ME: SAT) For the nine month period ended May 31, 1996, Cancom (Canadian Canadian (kənā`dēən), river, 906 mi (1,458 km) long, rising in NE New Mexico. and flowing E across N Texas and central Oklahoma into the Arkansas River in E Oklahoma. Satellite Communications Inc.) is pleased to report that revenues increased by 15 percent to reach $67.1 million, compared with $58.5 million for the same period in 1995. Increased revenues over the nine month period are attributable to continued strong performance from the Mobile and InfiNet units of the Business Division which now represents 48 percent of total revenues versus 37 percent in 1995. Net income of $5.5 million or $0.55 per share was stable compared with fiscal 1995 because of the growth in the Business Division which operates at lower margins than the Broadcast Division, combined with the impact of additional interest costs, increased depreciation expense and the one-time one-time adj. 1. or one·time a. Occurring or undertaken only once: a one-time winner in 1995. b. costs of converting the Broadcast Division to digital technology. Cash flow derived from operations increased 25 percent compared to last year, rising to $12.5 million or $1.25 per share from $10.0 million or $1.00 per share. As a result of payments to reduce accounts payable combined with a year end tax payment of $4.0 million, cash flow after working capital changes declined to $1.2 million or $0.12 per share versus $11.9 million of $1.19 per share last year. The Directors are pleased to announce that Cancom's quarterly dividend has been increased from $0.05 per share to $0.06 per share. This quarter's dividend will be paid on outstanding common shares of the corporation on August 31, 1996, to shareholders of record at the close of business on August 9, 1996. Alain Alain: see Chartier, Émile Auguste. Gourd gourd (gôrd, g  rd), common name for some members of the Cucurbitaceae, a family of plants whose range includes all tropical and subtropical areas and extends into the temperate zones. , Cancom's President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. stated: "Our
successful implementation of digital television signals is already
reaping benefits through the signing of a multi-year signal contracts.
Furthermore, the important capital investment that was recently made to
totally convert Cancom to digital technology and integrated terrestrial Dealing with the earth. See terrestrial link. capacity made it possible for Cancom to redeploy re·de·ploy tr.v. re·de·ployed, re·de·ploy·ing, re·de·ploys 1. To move (military forces) from one combat zone to another. 2. all of its signals and services in record time when problems arose with Telesat's Anik E1 satellite." Through the third quarter, Cancom's Programming Services has been successful in continuing to secure multi-year contracts with its small cable customers all across Canada Across Canada was an afternoon program that formerly aired on The Weather Network. The segment ran from early 1999 until mid 2002. The show ran from 3:00PM ET until 7:00 PM ET. . As of now, 35 percent of Cancom's channel subscriptions have been contracted for a 5 year period and 23 percent for 7 or more years, for a total of 58 percent. Rate decreases in the multi-year contracts will cause a short term decline in this division's revenues in the interest of long term revenue stability. Cancom's Network Operations unit, while fine tuning Fine Tuning is the name of XM Satellite Radio's eclectic music channel. The program director for Fine Tuning is Ben Smith. The channel is described as "A musical oasis for the sophisticated listener culled from every imaginable genre and country. and expanding its digital integrated services In computer networking, IntServ or integrated services is an architecture that specifies the elements to guarantee quality of service (QoS) on networks. IntServ can for example be used to allow video and sound to reach the receiver without interruption. , ensured a successful early recovery when Telesat's Anik E1 experienced a failure at the end of March because it had an effective backup plan and was able to implement it rapidly. Broadcast signals were relocated re·lo·cate v. re·lo·cat·ed, re·lo·cat·ing, re·lo·cates v.tr. To move to or establish in a new place: relocated the business. v.intr. overnight on another satellite to provide all signals from a single satellite. Cancom's Business Division services were able to continue operations by working with Qualcomm in the U.S. and by using Cancom Data Services dial-backup facilities. In the third quarter of fiscal year 1996, all of Cancom's Business Division units continued to register encouraging growth. Cancom Mobile maintained a strong performance level contracting over 1.000 units and continuing to ship units at an average rate of 200 per month. It now has contracts with 40 percent of the top 100 trucking companies in all regions of Canada and Tri-Line, an existing customer, has made a commitment to double its account. Cancom Data Services is starting to establish itself in the mainstream data communications data communications, application of telecommunications technology to the problem of transmitting data, especially to, from, or between computers. In popular usage, it is said that data communications make it possible for one computer to "talk" with another. market through sales of customized hybrid networks In communications, a network made up of equipment from multiple vendors. and management services to key accounts including Dynavest, Schenker and Toys "R" Us Toys "R" Us (currently typeset as ToYsЯuS in the logo) is a toy store chain based in the United States, Canada, Australia,The Netherlands, South Africa, Hong Kong and the United Kingdom. . Its Internet Internet Publicly accessible computer network connecting many smaller networks from around the world. It grew out of a U.S. Defense Department program called ARPANET (Advanced Research Projects Agency Network), established in 1969 with connections between computers at the Outpost Network has contracted 22 dealers across the country and has successfully tested delivery of Internet services through satellite to cable with Cablevision du Nord de Quebec in Val d'Or Val d'Or (väl dôr), town (1991 pop. 23,842), SW Que., Canada, SE of Rouyn-Noranda. It is a mining center. Gold was discovered in the region in 1909; copper, zinc, lead, and molybdenum are also mined. , Quebec. During the third quarter, Cancom Business Television (BTV (Business TV) Using television to deliver company information and training to employees in remote branches. BTV uses satellite-based video to regular TV sets or IP-based video over the LAN/WAN to desktop computers and room monitors. ) won the contract to design, install and maintain a 187 site network for Human Resources Development Canada “HRDC” redirects here. For other uses, see HRDC (disambiguation). The Department of Human Resources Development, also referred to as Human Resources Development Canada (HRDC), is a former department of the Government of Canada. . At the end of May, most sites were installed with proof of performance having been completed on budget and ahead of schedule. The first broadcast took place May 22. ADDITIONAL FAST FACTS ABOUT CANCOM - On May 15, Cancom, in partnership with CSL (Computerese as a Second Language) Said of people who love to speak high-tech words even though they often use them erroneously. See TLA. 1. CSL - Computer Structure Language. A computer hardware description language, written in BCPL. Infrastructure Management Inc., a subsidiary of SNC-Lavalin Inc. and Clientech Support Services support services Psychology Non-health care-related ancillary services–eg, transportation, financial aid, support groups, homemaker services, respite services, and other services Inc.; Capital Communications CDPQ CDPQ Caisse de Dépôt et de Placement du Québec Inc., a wholly- owned subsidiary of the Caisse de depot et de placement du Quebec; and Rolf Hougen, founder of Cancom and a business leader and entrepreneur entrepreneur (än'trəprənûr`) [Fr.,=one who undertakes], person who assumes the organization, management, and risks of a business enterprise. from the Yukon, applied to Industry Canada Industry Canada is the department of the Government of Canada with responsibility for regional economic development, investment, and innovation/research and development. The department employs 6104 FTEs across Canada. (IC) for a licence to operate RegionalVision, a new national communications distribution system. This Local Multipoint Communications System In telecommunication, a communications system is a collection of individual communications networks, transmission systems, relay stations, tributary stations, and data terminal equipment (DTE) usually capable of interconnection and interoperation to form an integrated whole. (LMCS LMCS Local Multipoint Communication Systems LMCS Lockheed Martin Control Systems LMCS Light Modular Causeway System LMCS Loan Management and Control System LMCS Lake Michigan Carferry Service, Inc. LMCS Logical Methods in Computer Science ) seeks to provide wireless services to 127 remote and underserved communities through a new bandwidth made available in February by IC. - On May 30, the CRTC CRTC Canadian Radio-Television & Telecommunications Commission CRTC Combat Readiness Training Center CRTC Cathode Ray Tube Controller CRTC China Railway Telecommunications Center CRTC Cold Region Test Center CRTC Continuously Regenerated Trap Column granted Cancom a licence to provide 19 additional radio station signals for a total of 31 as part of its radio station programming package for cable and DTH (Direct-To-Home) Typically refers to satellite TV broadcasting directly to a dish antenna on the roof of a house. See DBS. . -0- CANADIAN SATELLITE COMMUNICATIONS INC. Consolidated Balance Sheets As at May 31, 1996 and August 31, 1995 (in thousands of dollars)
May 31, 1996 Aug. 31, 1995
----------------------------
(unaudited) (unaudited)
ASSETS
Current assets
Cash $ - $ 1,608
Accounts receivable 19,162 13,074
Inventories 5,532 8,055
Prepaid expenses,
deposits and other 1,149 1,280
Income taxes recoverable 790 -
----------------------------
26,633 24,017
Fixed assets, net 40,750 29,822
Development projects, net 3,467 4,062
Investments 4,252 2,280
Other assets 1,262 1,148
----------------------------
$ 76,364 $ 61,329
----------------------------
----------------------------
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Bank indebtedness $ 2,805 $ -
Accounts payable and accrued
liabilities 11,128 13,609
Income taxes payable - 4,004
Unearned revenue 1,902 2,539
----------------------------
15,835 20,152
Long-term debt 15,000 - Other long-term obligations 212 - Deferred income taxes 264 88
Shareholders' equity
Capital stock 37,620 37,620
Retained earnings 7,433 3,469
----------------------------
45,053 41,089
----------------------------
$ 76,364 $ 61,329
----------------------------
----------------------------
CANADIAN SATELLITE COMMUNICATIONS INC. Consolidated Statements of Income Nine months ended May 31, 1996 and 1995
Unaudited 1996 1995
----------------------------
(in thousands of dollars)
Revenues
Signal and service $ 47,422 $44,454
Equipment and other 19,696 13,997
----------------------------
67,118 58,451
Direct costs
Signal and service 17,851 17,891
Equipment and other 13,428 10,649
----------------------------
31,279 28,540
----------------------------
35,839 29,911
Administration and
selling expenses 17,984 14,438
Depreciation and amortization 7,093 5,137
Interest expense 597 (3)
----------------------------
25,674 19,572
----------------------------
Income before income taxes 10,165 10,339
Income taxes
Current 4,532 5,327
Deferred 177 (415)
----------------------------
4,709 4,912
----------------------------
Net income $5,456 $5,427
----------------------------
----------------------------
Net income per common share $0.55 $0.54
----------------------------
----------------------------
CANADIAN SATELLITE COMMUNICATIONS INC. Consolidated Statements of Cash Flow Nine months ended May 31, 1996 and 1995
(unaudited) 1996 1995
---------------------------------------------------------------
(in thousands of dollars)
Cash provided by (used for)
Operations
Net income $5,456 $5,427
Items not involving cash
Depreciation and amortization 6,498 4,554
Amortization of development projects 595 583
Deferred income taxes 177 (415)
Other (177) (142)
---------------------------------------------------------------
Cash flow derived from operations 12,549 10,007
Change in non-cash operating working capital (11,346) 1,919 --------------------------------------------------------------- Cash flow from operations 1,203 11,926 Financing activities
Common share dividends (1,492) (994)
Increase in long-term debt 15,000 -
Increase in other long-term obligations 212 -
---------------------------------------------------------------
13,720 (994)
Investment activities
Fixed asset additions (18,853) (6,444)
Investments (1,972) (950)
Proceeds on disposal of fixed assets 1,701 476
Other (212) -
---------------------------------------------------------------
(19,336) (6,918)
---------------------------------------------------------------
Increase (decrease) in cash (4,413) 4,014 Cash (bank indebtedness), beginning of period 1,608 (2,344) --------------------------------------------------------------- Cash (bank indebtedness), end of period ($2,805) $1,670 --------------------------------------------------------------- Cash flow derived from operations per common share $1.25 $1.00 Cash flow from operations per common share $0.12 $1.19 --------------------------------------------------------------- CONTACT: Cancom Colley Clarke, 905/272-6609 Patricia Dumas, 905/272-6603 |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion