EchoStar Q2 Profit Rises - Update

Monday, satellite services provider EchoStar Corp. (SATS) reported an increase in net earnings for the second quarter that mainly reflected unrealized gains on investments accounted for at fair value, despite a nearly 21% decline in revenues.

The Englewood, Colorado-based company reported net income attributable to common shareholders of $102 million, or $1.18 per share, higher than $48 million, or $0.53 per share, in the year-ago period.

EchoStar's total revenue for the quarter declined 20.7% year-over-year to $383 million from $483 million for the corresponding period in 2008.

Equipment revenue from DISH Network declined to $204 million from $301 million last year, while services and other revenue from DISH Network grew to $99.48 million from $93,02 million last year.

Total other income for the quarter surged to $101.6 million from $56.01 million last year, primarily reflecting unrealized gains on investments accounted for at fair value of $101 million in this year's second quarter compared to unrealized losses of $7.69 million last year.

On a year-to-date basis, net income attributable to common shareholders increased to $101.17 million, or $1.17 per share, from $53.53 million, or $0.59 per share, last year. Revenues for the period were $862.69 million compared with $1.04 billion in the comparable period a year ago.

In the pre market session, SATS is trading up 8.11% at $16 on the Nasdaq.

by RTTNews Staff Writer

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