C-COM Reports Third
Quarter 2020 Results
October 20, 2020
C-COM Satellite Systems
Inc. announced its financial results for the
third quarter ended August 31, 2020.
The Company generated
revenues of $1,773,918 and net after tax income
of $210,856 or 1 cent per share. This compared
with revenues of $1,453,446 and a net after tax
loss of $346,290 or -1 cent per share for Q3,
2019 - representing increases of 22% and 161%
respectively.
The working capital of the
Company decreased by 3.4% to $21,620,236 at
August 31, 2020 as compared to $22,383,369 at
November 30, 2019.
The Company paid out
$480,576 in dividends during this second quarter
compared to $472,466 in the third quarter of
2019, representing a 1.7% increase. The Company
has maintained its quarterly dividend payout
while continuing to innovate and invest in the
next generation of advanced antenna products.
The Company also approved
the payment of its eligible quarterly dividend
in the amount of $0.0125 per common share
payable on November 17, 2020 to all shareholders
of record as of November 3, 2020. Based on the
closing price of $2.95 per share on October
19th, 2020, this dividend represents a yield of
1.69% on an annualized basis. This is the
Company’s 38th consecutive quarterly dividend.
“In spite of the continuing
headwinds caused by COVID-19, and low demand
from the oil and gas sector, the Company posted
its highest quarterly revenue during FY2020 and
generated a quarterly profit ,” said
Dr. Leslie Klein, President & CEO of
C-COM Satellite Systems Inc.
“Q3’s improved performance
is encouraging – nevertheless, the global
pandemic will continue to make global business
challenging,” Klein continued. “C-COM’s healthy
balance sheet, extensive inventory, new product
rollouts and persistent innovation should
position us well to mitigate such uncertainty,”
Klein added.
“The space markets continue
to adapt and will emerge from the impact
of the COVID pandemic with some novel and
unique technologies. For instance, a new
vertical for tracking LEO’s, Smallsats and
CubeSats is emerging and C-COM has developed
advanced tracking algorithms for this market for
use with its existing Flyaway antennas,” Klein
said. “We expect this new market to generate
incremental revenue for the Company,” he added.
“C-COM
remains committed to our investment in R&D so
that we can continue to launch innovative
technology products over the coming years. This
was demonstrated in August with our announcement
of $1 million in funding from the Canadian Space
Agency and our decision to join an international
consortium to develop the next generation of
millimetre wave phased array modules for 5G+ and
satellite V-band frequencies,” Klein also added,
“The Company is also
involved in extensive R&D with the University of
Waterloo to eventually provide C-COM with a
revolutionary, patentable Ka-band antenna
technology to be used with the growing number of
LEO constellations being launched in the next
several years. This modular and conformal
antenna technology is designed to be mass
producible and be compatible with 5G and other
developing millimeter wave technologies.” Klein
concluded.