TORONTO, Nov. 16 /CNW/ - The purpose of the Management's Discussion and Analysis ("MD&A") is to provide readers with additional and complementary information regarding Asian Television Network International Limited, herein referred to as ("ATN" or)(the "Company"). This MD&A is dated November 12, 2007 and is in respect of the Year to Date and Quarter ended September 30, 2007. This MD&A should be read in conjunction with the audited consolidated financial statements and related notes of ATN for the year ended December 31, 2006.
OVERALL PERFORMANCE
The Company is a leading broadcaster of specialty television programming. The Company has a total of fourteen licensed television channels, including the recently launched and dedicated English language sports channel with primary focus on Commonwealth sports. The majority of the channels are focused on multi-lingual television programming for which ATN has programming alliances with leading international broadcasters. The Company's operations reach beyond the niche markets as it is committed to bringing world-class cricket including the recently completed 2007 ICC Twenty 20 World Cup Championship Cricket to Canada. In addition ATN broadcasts an English language news channel.
The 3rd quarter of 2007 saw active preparation for the 4th quarter launch of ATN Asian Radio on XM all across the USA and Canada.
ATN has played a pioneering role in providing the most comprehensive and affordable bundle of South Asian programming across Canada. This brings the prominence and popularity of Indian television to Canadian viewers.
ATN's digital broadcast center in Newmarket, Ontario includes 3 master control centers, a constantly updated distribution system through cable and satellite and a fully self-sufficient production and programming service, including a substantial original content library. We recently added a broadcast studio for our ATN Asian Radio on XM 159.
The Company expects to continue to attract a wide audience by complimenting our existing South Asian offering of general interest, Bollywood movies, drama, game shows, regional language channels, news and sports/cricket.
Some cable and satellite providers carry either all or some of our channels coast to coast across Canada.
The Company has experienced an overall growth trend in the number of subscribers as well as subscription and advertising revenue due to the number of channels launched in 2004, 2005 and 2006. During these three years the company brought 8 new channels to air. The first nine months of 2007 also benefited from these new channels as this was the 2nd full year for eight of the channels. The Company believes that this trend will continue as it strives to achieve greater penetration in the digital tier. The Company plans to continue to launch new & varied channels for its niche market.
Our expectations of revenues on a cricket event were not fully realized and that was a set back. However, on an overall basis, the company continues to be committed to bringing world class cricket and be involved in future events to ensure that the quality of programming is maintained. Management continues to vigilantly monitor costs while pursuing the goals and commitment to keep bringing world class cricket to our viewers. This is an ever-changing industry through technology and a very competitive industry for your advertising and subscription dollar. The company is well positioned to meet these challenges. We constantly review new technological means to reach our viewers and search for new high quality programming.
FOCAL POINTS
- The financial statements for the third Quarter ending September 30,
2007 show a continuing increase in revenues from our expanding
distribution base.
- 48.2% increase in Revenue year over year
- 14.9% increase in EBITDA year over year
- Broadcast of the 2007 ICC Twenty 20 championship of Cricket
- Preparation for 4th quarter launch of ATN Asian Radio on XM
- The launch on March 05, 2007 of ATN Cricket Plus