Sirius XM Radio Inc. said today that they will release their first quarter 2009 financial and operating results on Thursday, May 7th.
The investor conference call will be held bright and early, just the way Mel likes it, at 8am ET the same day to discuss the results. You can listen online, or on the satellite radio service by tuning to Sirius channel 126 or XM channel 90.
Bankruptcy proceedings begin May 8th.
Will Mel report the quarterly loss in net subscribers the same day?
Wow!
I see dumb people everywhere.
U are such an asshole that WON'T happen again. do u have anything to back this up???
There may not be a quarterly loss in net subscribers as most people think. Ford backed off on production late last year and early into 2009. Their lots were empty. Then they ramped back up, and prior to March 31, the lots were full again with Sirius radios which will count towards the Q1 results.
Holiday sales from 2008 played no part in the 82,000 net subs for Q4, so I would expect at least that many for Q1. But that's it. Ford needs to find a way to sell its vehicles or Q2 will be a net decline.
Toyota needs to get its act together as far as installing XM radios in their cars. I just visited one of their lots and out of hundreds of vehicles, I could only find 6-7 that had a Satrad system with the 3 month free package. Even GMs little shit-box Colbalt has an XM radio as satndard equipment.
wow, the merger really killed satellite radio. If I didn't have a free subscription from working at the XM Kiosk I would have cancelled my sub after the channel switches. It's sad this was a really bright industry too. 11 news posts for almost the entire month of april? Sad days indeed.
Do you have info on this, or just speculating?
If they're seeing a net loss in subscribers, that would be about as strong an indictment of the "channel merging" as there could be.
One could only pray for bankruptcy and hope that the service is sold off to a company that really gets what satellite radio is all about and begins to care about the concerns of their subscribers.
xcountry & NJRonbo:
I am on the same page with y'all.
Mel & his merry band of inept programmers and VP's who are stuck in the world of commercial radio don't give a damn about quality programming.
I now download Zoltar's "Subterranean" & Slacker's comedy site because "Area" & "Rawdog" are so damn lame. Since I switched to broadband I now listen to some classic rock stations ((independently owned BTW) on my home computer that give "Classic Vinyl" a run for its money and the DJ's on the FM stations are BETTER than the yakkers hired by SiriusXM.
Yeah, Mel you & your cohorts have relly kept me in your fold!!!
XM subscriber since Feb 2002
(SkiFy generation 1 - Was gonna buy an Inno but now, what's the use???)
Recondo72, Xcountry, & NJRonbo...
Why don't you guy's cancel your service if you are so dissatisfied with satellite radio? I know you guy's are disgruntled XM fans but, ALL you guy's do is bitch and whine about play list's, Mel, Howard, and pretty much everything else Sirius-XM. Satellite radio is having growing pains.... They have the NAB up their ass, a shitty economy, a newly merged company, and auto manufacturers about to go belly up. Satellite radio is still the best radio service out there... Slacker sucked so I stopped using it.. You guy's can do the same with Sirius-XM... Just sayin'.... I am Soooo glad Satrad is still around. I just drove from Pittsburgh to Miami and back and loved the fact I did not have to search for something to listen to every 25 miles..
Speculating. However, I can't think of any possible way they could have gained subscribers... the people who got 3 free months after the merger will have canceled by now. Nobody is buying new cars to bump up the OEM. Retail has been virtually nonexistent. If churn is even 1.5% of the 19 millionish subscribers out there, then that is 285,000 cancellations.
They barely gained any subscribers during the christmas quarter. I'm sure Mel can come up with some more fake subscribers to add, but eventually the smoke and mirrors are going to clear and everyone will get to see Mel standing alone with piles of money bags.
Mrwirez
When you invest in something, whether it be a penny or a billion, you get a say of what you like and dislike.
I too am on board with giving Satrad a good enema.
The reason why people complain is because they have seen better days, and it has nothing to do with economy or auto. It has to do with quality of programming.
We have seen channels dissappear for no good reason, and channels appear and we all wonder what for...
All of us can either pay the sub cost and be miserable drones or realize that we bought a small piece of a large product that is detiorating before our eyes and be mad as hell for it.
i still don't get why they just don't merge all the channels and have 1 service that includes everything.
I wanted to add best of XM to my subscription, but my radio doesnt support it.
plus the only thing im interested in is the virus on xm. I'm not paying a lot for one more channel.
they need to realize that the product would attract a lot more people if it were all inclusive.
Do you remember the days of 100 comments on a post? Satrad is so boring now nobody cares anymore. How sad. :O(
Recondo72, Xcountry, & NJRonbo = RIGHT
Mrwirez = WRONG
Or at least the option to somehow pay for both full services with only one device. It would be a good way to generate revenue for the company.
Chipper, I agree with your reasoning; the problem is these "conference calls" are such nonsense (from all companies - not just this one) that calling what you here "information" stretches the definition of that word to the breaking point. But, as you said, it would be hard to imagine subscriptions are increasing with them doing everything they can to drive their customers away -- and Mel's old trick of cooking the subscription number books will only hide the truth for so long.
Mrwirez, if you were to go back and read through my posts, you'd see that there are both negative and positive comments. I realize that I'm free to cancel the service if I like, but at this point I think it still has some value, albeit far less than it once did. As for the various problems you mentioned (economy, car sales slump, NAB) that's all the more reason why they should not be running their good, paying XM customers off by ruining the service these people are paying for. I share your enthusiasm for satellite radio as a technology, which is why I hate seeing it run into the ground by people who are making lousy programming decisions. And this isn't just me saying this -- it's all over the place. The "word on the street" that you hear, read in newspapers, websites, etc., is that this technology is past its prime, and I think Karmazin and Co. are the major cause of that. If you like this technology, I think that should concern you as well.
That is funny!
I posted something earlier and they didn't post it.
They will put up a post that bankruptcy will start may 8th!
I really love censorship!
If this doesn't post, I will never visit you site again.
I think they got something good cooking. The satellite TV is the way to go. Think of it. TV in your car, boat, RV. On the highway on the high sea or anywhere. Of course they only have three channels for now but they can add as many as necessary. Some guys are talking "Old technology". Not yet. This satellite radio is a must have for truckers, boaters, commercial ships and people living in remote areas. Let's be serious there are quite a few 18 wheelers on the highways. And there is more, the new Iphone and Palm Pre with the 4G capabilities. Pay your subscription, put your headphones on and there you go TV and Radio. How about that? Of course we all have TV's and radios on our phones, but they're garbage. They did increase the monthly premium in order to increase revenue. Sirius operates 12 satellites. The cost for launching a satellite is $250 million. When they will merge the channels there will be a bunch of available channels for lease or other purposes. Anyhow, pay attention to tomorrow's Denver Business Journal edition. There’s a lot in store from Sirius XM. New car sales have already picked up since banks have started lending again. Chrysler’s bankruptcy is actually a good thing for Sirius XM since it gives them the opportunity to get out of the exclusive deal they had with Chrysler for the Backseat TV and go to a stronger brand like Toyota, Honda or who knows who. And yes, we can all listen to terrestrial radio but it has to be within the city limits, it is full of commercials, their content is censored according to FCC regulations, and the programming is not that great. As far as the music goes we all have Ipods, MP3s, etc but I really get tired of my music and I don’t have time to change it. In this day and age when we pay $4.00 for a cup of coffee I don’t think that Sirius monthly subscription will drain my wallet. One last thing, Liberty Media deal has an open end so there is always room for someone with a stronger muscle that puts more money on the table.
You suck!
Who's betting they will postpone it again?
What business doesn't cook the books these days?
I loved the quality of programming but the billing method is nothing short of entrapment.
When my portable XM Radio was stolen I attempted to have the service disconnected and stop the quarterly billing. Try and figure out how to discontinue the service, it was like a maze with no clear path. I ended up paying for the service for an extra year before my credit card mercifully expired. A year later (April 2009)I received a call from a collection agency looking to collect for outstanding fees.
I said to the collection agent that I legitimately tried to cancel the service but XM did not provide a straight formward way to do so. The collection agent acknowledged that he hears the same story from alot of people who claim they were unable to cancel the service when they wanted.
I understand the nature of subscription services but when there is no contract should it be so difficult to cancel a service that it is easier to wait until the credit card expires or you stop payment on the card? I don't think so. This is a business strategy and the friction is intentional, fortunately for consumers there are options once you get free of a company who employs these types of pratices.
It was not a significant amount ($45.58) but it was the principle that really prompted me to write this comment.
(BTW this is the 1st time I have ever written on a blog)
I guess I'm fortunate that all of my interactions with XM customer service people have gone reasonably well, but this apparently happens often because it comes up in every forum dedicated to satellite radio.
If anyone finds himself or herself in this situation, I'd simply do the following:
1. Send the company a certified, return-receipt letter with your account number and instructions to cancel your service effective immediately. Keep a copy of the letter and the receipt when you get it.
2. Contact the credit card issuer to which service is billed and tell them that you are revoking your authorization for Sirius XM to bill charges to the account, and they should no longer process charges from this company. The credit card issuer may send a form and direct you to do this in writing, which you can then do.
Then, you're done.
My apologies, the delay in posts is a little long.
Again sorry!
I think the results will be pretty good.
Most of the merger-related churn occurred in Q4 (and the ARPU figures indicated that there weren't many retention discounts being given out either), and with the quarter-to-quarter auto sales stabilizing, another headwind on sub numbers has been eliminated.
I think 100k net adds is reasonable and 150k net adds is possible.
On the revenue front, I think we'll see ARPU of about $11/month, thanks to Best of packages, the rate increases for streaming and extra radios, and rebate effects (Q4 ARPUs have always been low, due to the way that rebates are accounted for).
Summarizing...
Avg. subscriber level: 19.05 million
Operating expenses: $680 million
Cost of net additions: $7 million
Carrying cost per subscriber: $35.33/quarter
ARPU: $33/quarter (about $630 million in subscription and advertising revenue)
Continuing loss per subscriber-quarter: $2.33
As long as Sirius XM can continue to show improvement over time, the company lives.
QUOTE:
Why don't you guy's cancel your service if you are so dissatisfied with satellite radio? I know you guy's are disgruntled XM fans but, ALL you guy's do is bitch and whine about play list's, Mel, Howard, and pretty much everything else Sirius-XM.
RESPONSE:
The reason why people complain is because they have seen better days, and it has nothing to do with economy or auto. It has to do with quality of programming.
We have seen channels dissappear for no good reason, and channels appear and we all wonder what for...
AGREED! We are sticking around hoping that SiriusFM will be taken over by someone more competent and run the service in a more caring and professional manner.
Likewise, I don't expect to like every channel. I didn't like every channel on XM. But taken as a whole, it was different, unique, something you couldn't get anywhere else.
Now it's just okay - worth having, yes, but uninspired, somewhat dull, predictable. It merits the price of one subscription, as I now have, but not four as I had before.
Leviramsey, your analysis is interesting; time will tell if you're right, but I don't agree that the last quarter of '08 was the end of merger-related cancellations. A lot of us waited around to give it a chance, then canceled or reduced our number of radios after a few months when nothing got better. Now that car sales are poor, they really need enthusiastic retail customers who are willing to buy portable or hand-held equipment, or install aftermarket car kits, and that's where they're the weakest. I believe that's because the people who were the most committed to the service -- those who purposely bought equipment rather than just getting it thrown in with a new car -- have been the most displeased by the channel changes. It just doesn't seem wise to antagonize your best customers, but that's what they seem to want to do.
xcountry:
You've hit the nail squarely on the head.
Former "enthusiastic" customer who has had same portable unit since Feb 2002(my trusty "lil 'ol SkyFi keeps going like the Energizer Bunny but kept waiting for the Inno to get REAL cheap). Install aftermarket systems for my personal & family use (since 1977). DIY'ers who WERE the most supportive and are pissed off about the way things are going. That's me to a T.
Too bad you aren't part of the marketing team but sadly SiriusXM wouldn't keep you, you make too much sense.
Vernon Irving AKA "Fucking Dirtbag" joins verisign in 2003 to take over the recently purchased illuminet telecommunications division (because verisign did not know how to spell telecom) making 350K a year with a 200K signing bonus. Not having a clue himself about telecom he immediately starts fucking the executive team (including me) and managers at illuminet, laying off long time employees and acting like a fucking prick. No doubt wore out his welcome at verisign and in 2006 left to began fucking up the works at the destined to fail XM. Now XM is wallowing in debt because the exec team is clueless.
Good riddance - see you in bankruptcy court. What comes around goes around Vernon Irving!!
Vernon Irving AKA "Fucking Dirtbag" joins verisign in 2003 to take over the recently purchased illuminet telecommunications division (because verisign did not know how to spell telecom) making 350K a year with a 200K signing bonus. Not having a clue himself about telecom he immediately starts fucking the executive team (including me) and managers at illuminet, laying off long time employees and acting like a fucking prick. No doubt wore out his welcome at verisign and in 2006 left to began fucking up the works at the destined to fail XM. Now XM is wallowing in debt because the exec team is clueless.
Good riddance - see you in bankruptcy court. What comes around goes around Vernon Irving!!
The results weren't pretty good; they were pretty bad, showing a loss of 404,000 subscribers in the first quarter of 2009, representing a loss of two percent of the subscriber base in three months.
The company chalks this up to slow car sales, but this is almost certainly not the case, since car sales have been slow for quite a while now. It's due to the fact that the product for which more than half of their customers signed up -- XM -- was summarily trashed and replaced with an inferior product that people do not find as interesting, as compelling, or as worthy of a subscription fee.
Want to stanch the bleeding, Sirius XM? Admit that the "channel merger" that was really a channel replacement was a disaster, restore our deleted channels, such as X Country, repair the ruined channels that now have boring, repetitive playlists, and stop practicing lowest-common-denominator programming.
As always, well said/posted.
I'm in total agreement.
The merger was wrong in so many ways.
Will be voting proxy in a few days.
It's fun being right. However, the vindication is pretty small compared to the crappy service we're all stuck with now. Maybe I'll get over it someday.
Thanks. And, like Chipper, I would rather have the good, not-so-old days of satellite radio back than be right about the service's decline.
There are so many red herrings in the company's comments and those of many analysts. They keep belaboring the Circuit City bankruptcy, as if that was a big deal for Sirius XM. As I posted once before, I went with a friend who was looking for satellite radio equipment about a year ago, and the stuff at Circuit City was thickly coated with dust and grouped together on a discount rack. If this was their key retailer, Sirius XM had problems in the retail sphere long before Circuit City went belly up.
Karmazin also said Wal-Mart is not such a good source of subscribers. Well, no, because I do not know of any Wal-Mart that still has satellite radio equipment in stock. The thing about Wal-Mart is, they're pretty damn good at figuring out what people buy and what they don't, and if it's not moving, they dump it.
And there's car sales, which can, in part, explain slow subscriber growth, but not all the cancellations. Here Sirius XM is guilty of the classic mistake of forgetting that an existing customer retained is better than a new customer recruited, for it costs more money to lure in a new customer (advertising, promotion, free or reduced-price introductory subscriptions) than to keep one you've already got.