APTT earnings reach $48 million in 2Q

Their core network is expanding to more homes.

First listed business trust in Asia focused on pay-TV businesses, Asian Pay TV Trust (APTT) reported attractive earnings for 2Q and 1H.

In a media release, APTT reported total revenue of $79.2 million and asset EBITDA ((earnings before interest, taxes, depreciation and amortisation) of $52 million for the quarter ended 30 June 2014. There are no available year on year earnings yet as APTT was listed on SGX on 29 May 2013.

APTT adds that total revenue was S$156.4 million and Asset EBITDA was $101.7 million for the half-year ended 30 June 2014. APTT is well placed to achieve forecast revenue of S$323.8 million and Asset EBITDA of $210.8 million from existing operations for the twelve months ending 31 December 2014 as outlined in the Prospectus.

Here’s more from APTT:

APTT’s core network in Taichung has expanded to cover in excess of 30% of homes in the new coverage areas in the region. APTT is working to obtain all necessary licences to operate in the new coverage areas. It is anticipated that operations will commence during the fourth quarter of 2014.

Capital expenditures related to the network expansion during the second quarter amounted to S$6.7 million, bringing total expenditures for the year to date to S$9.8 million. An additional amount of between S$30 million and S$40 million is expected to be incurred during the remainder of 2014, and between S$20 million and S$30 million in total during 2015 and 2016. All such capital expenditures will be funded from the existing borrowing facilities. The network expansion is expected to be completed in early 2016.

Distributions in 2014 and 2015 will not be negatively impacted by the network expansion, with the potential for it to have a positive impact as early as 2015.