SiriusXM Canada Revenue, Subscriber Base Up, Free Cash Flow Down For Fiscal First Quarter 2016
January 13, 2016 at 3:34 PM (PT)
SIRIUS XM CANADA HOLDINGS INC. fiscal first-quarter 2016 revenue rose 5.7% to C$83.517 million, with Adjusted EBITDA up 2.7% to C$23.518 million, net income up 25.6% to C$10.075 million, and free cash flow shrinking 25.2% to C$10.229 million.
The total number of subscribers increased 4.2% to 2,713,000, with self-pay subscribers up 5% to 1,939,000 and subscriber acquisition cost increasing 2.6% to $40.
"With revenue growth, record Adjusted EBITDA and self-pay subscribers at an all-time high, fiscal 2016 is off to a strong start," said Pres./CEO MARK REDMOND. "We added close to 14,000 net self-pay subscribers in the quarter as we continue to drive net self-pay annual subscriber growth. We also delivered year-over-year improvements in self-pay ARPU and impressive self-pay churn of 1.93%. At more than 2.7 million total subscribers, we are one of the largest media subscription businesses in CANADA. We continue to bring unmatched content to people across the country, as recently highlighted by HOWARD STERN's contract renewal. Our addressable market, combined with our strong OEM relationships, continue to grow and we look forward to further penetrating both the new and used vehicle segments. We remain intensely focused on further enhancing our subscribers' listening experience to continue delivering strong subscriber, revenue, Adjusted EBITDA and cash flow growth."
"We delivered strong revenue and Adjusted EBITDA growth in the quarter," said CFO JASON REDMAN, "Adjusted EBITDA margins remain strong despite a one-time 16% increase in copyright fees. They also improved sequentially, primarily due to the seasonality of our CCD payments, the majority of which we recognize in Q4. We will continue to work towards further strengthening our financial results through the remainder of fiscal 2016 by optimizing the balance between expanding our subscriber base and improving self-pay ARPU, while also carefully managing investments in the business to support our long-term growth."
The company's board declared a cash dividend of 10.5 cents per Class A and Class C share and 3.5 cents per Class B share, payable FEBRUARY 26th to shareholders of record as of JANUARY 27th.