SIRIUS Beats 2Q06 Revenue Expectations, Increases EOY Guidance, Posts Wider Loss
Tuesday, August 1, 2006 at 8:36 AM
Tags:
SIRIUS Satellite Radio announced that its 2Q06 revenue has increased to $150.1 million (beating analsyst expections of $147 million). SIRIUS also increased their guidance for total year-end revenue to $615 million and subscriber count to 6.3 million (from 6.2 million).During the second quarter SIRIUS added 600,460 net subscribers, bringing their total to 4,678,207 subscribers (that's a 158% YoY increase from 2005). Of those subscribers, 276,294 net subscribers came from retail (13% YoY improvement), and 324,574 net subscriber additions came from the OEM channel (16% YoY improvement).
SIRIUS' monthly ARPU was $11.16 in 2Q06, up from $10.50 from the same period in 2005. Part of cause for the increase is from net advertising revenue, which was $0.62 contribution - as compared to the $0.22 advertising contribution a year ago. Average monthly subscriber churn was at 1.8%, and SAC per gross subscriber was $131 (down from a $160 SAC a year ago).
SIRIUS posted a wider net loss of $237.8 million, or $0.17 per share for 2Q06, a wider loss than $0.13 per share for the same period last year. That's a wider loss than analysts expected who estimated a $0.15 loss per share. The adjusted net loss per share (excluding the impairment loss and equity charges) was $0.11 for the 2Q06 compared with an adjusted net loss per share of $0.10 for 2Q05.
Digg It!
Featured Entries
From the Forums...
Search Orbitcast:
Latest Poll
Satellite Radio Websites
Sponsored Links
Comments
Same Ole' Song. Hopefully the Cramer pump can save us.
Posted by: Joe Blow | August 1, 2006 8:41 AM
Hmmm...go go O&A effect.
:P
Posted by: PNess ? | August 1, 2006 8:54 AM
Sirius got 60% of the new subscribers last quarter but is still losing money slightly faster than XM. The first part is probably somewhat more important long-term.
If there's anything the numbers show, it's just how critical it is to get those radios into as many cars as possible.
Posted by: Andy ? | August 1, 2006 9:07 AM
gee if howard could could broadcast to testical radio.
Posted by: sternfan73 ? | August 1, 2006 9:08 AM
its interesting that more subs came from OEM's than people running to Best Buy because they just got to have Stern.
Posted by: bloody cape | August 1, 2006 9:30 AM
gee if howard could could broadcast to testical radio.
First, we know that ain't happening. Second, you and all other STern fans should be slapped when you call regular radio "Testicle radio". At least spell it right.
Posted by: Brian ? | August 1, 2006 10:25 AM
its was early.how bout old boring radio.
yes we do know that stern is not comming.its called exclusive.not whoring out.
Posted by: sternfan73 ? | August 1, 2006 10:33 AM
It's funny how much more popular Stern is during football season.
Posted by: Andy ? | August 1, 2006 10:35 AM
nfl radio is a great channel
Posted by: sternfan73 ? | August 1, 2006 11:20 AM
Have any of you idiots ever even read a financial report? 200% revenue growth is nothing to poo poo. And a good amount of the cost increase was one time charges. Subscriber acquisition costs are down which is key.
Sirius is certain on track to be on top.
Posted by: Frank Z ? | August 1, 2006 11:21 AM
Aren't both companies set to have positive cash flow by years end? Investors still hate the industry, fucking old white men.
So if gains were 150mill and losses were 238mill, when will they actually stop having net losses? I'd say sometime past 2010.
Posted by: FaFaFluFly ? | August 1, 2006 11:37 AM
I don't think satellite radio is going away anytime soon, but you're fooling yourself if you think either company (Sirius or XM) will have positive cash flow in the near future. Both companies are hemorrhaging cash.
As it stands now, it's not a lucrative business and may never be.
Posted by: Alan | August 1, 2006 11:54 AM
Fafaflufly is correct.
I'd like to know how Sirius (or XM) are going to be cash flow positive by the end of the year as well. If losses are greater than earnings, how can you come out in the green?
It will be a couple more years of bleeding before it's over.
Posted by: SatelliteRadioFan ? | August 1, 2006 4:55 PM