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Azerkosmos` export portfolio consists mainly of companies from 5 countries

31.05.2020,16:27


May 31, Fineko/abc.az. According to forecasts, Azercosmos' earnings is expected to grow even more in the coming years.

ABC.AZ informs with reference to the company's report that income of AZN 107.1 million was ensured for the next period on existing commercial agreements.

As a whole, 90% of Azerkosmos' revenue is formed from the export of satellite services to more than 20 countries. At the end of 2019 Azerkosmos ranked the first among state and non-state exporters on exports in the service sector. Company's export portfolio consists mainly of leading companies from key countries of the world, such as the U.S., UK, France, Germany, and Malaysia. At the same time, in 2019 accumulated losses of Azerkosmos decreased by 1.9% to AZN 307 million.

The accumulated loss is not directly related to the operating activities of Azerkosmos, but mainly (85%) - to the fall in the manat exchange rate as a result of devaluations that occurred in previous years, and the reflection of a negative exchange rate difference in the financial statements prepared for this reason in manats. Thus, a negative exchange rate difference arising in obligations for loans raised in foreign currency to finance satellite projects in accordance with the requirements of international accounting standards should be recognized in the financial statements as technical damage in Azerbaijani manats. According to stories and forecasts related to the growth of the company's profit and revenue, at least part of the total loss related to operating activities may be replaced by profit in the coming years.