For the quarter ended June 30, 2013, Telesat reported consolidated revenues of $216 million, an increase of approximately 7 percent ($14 million) compared to the same period in 2012. Revenue growth was principally the result of the entry into commercial service of the Nimiq 6 and Anik G1 satellites in June 2012 and May 2013, respectively. Operating expenses of $49 million were 6 percent ($3 million) lower than for the same period in 2012 related primarily to lower compensation expenses. Adjusted EBITDA1 was $172 million, an increase of 10 percent ($16 million) over the same period in 2012. The Adjusted EBITDA margin1 for the second quarter of 2013 was 80 percent, compared to 77 percent in the same period in 2012.

For the six month period ended June 30, 2013, consolidated revenues were $435 million, an increase of approximately 9 percent ($37 million) compared to the same period in 2012, primarily reflecting the addition of the Nimiq 6 satellite in 2012, the addition of the Anik G1 satellite in 2013, and higher equipment sales. Operating expenses were $99 million, a decrease of 27 percent ($36 million) compared to 2012 related primarily to special compensation payments to executives and certain employees in connection with the cash distribution made to Telesat’s shareholders in 2012. The Adjusted EBITDA margin1 for the first half of 2013 was 79 percent, compared to 78 percent in the same period in 2012.

Telesat’s net income for the quarter was $15 million compared to net loss of $244 million for the quarter ended June 30, 2012. For the six month period ended June 30, 2013, the net loss was $83 million, compared to a net loss of $145 million in 2012. Results in both the second quarter and first half of 2013 were favorably impacted by an increase in revenues, lower operating expenses, reduced losses on refinancing and by non-cash gains on changes in the fair value of financial instruments, partially offset by increased non-cash losses on foreign exchange related to the translation of Telesat’s US dollar denominated debt balances into Canadian dollars.

“I am very pleased with the meaningful growth in revenue and Adjusted EBITDA we achieved in the second quarter compared to the same period last year,” commented Dan Goldberg, Telesat’s President and CEO. “In light of our strong growth in the first half of the year, the recent entry into service of our Anik G1 satellite, and our industry-leading contractual backlog, we are well positioned to continue to grow our business this year and beyond.”