This article was originally published by TheStreet on June 13, 2014
By Sarfaraz A. Khan. Research Asst. Daniel L.
NEW YORK (TheStreet) -- Google (GOOG) will be able to generate the images for Google Maps itself, thanks to the acquisition it announced this week. That should be bad news for DigitalGlobe (DGI) which supplies pictures for Google Maps, right? Wrong.
Google is not one of DigitalGlobe's major customers. The company gets more than 80% of its revenue from government agencies.
For the current year, DigitalGlobe has forecast revenue growth of between 3% and 8% from 2013. The company is aiming for Ebitda (earnings before interest, taxes, depreciation and amortization) margins of at least 50% in the fourth quarter, up from 39.4% in the first quarter.
