XM Canada Loss Widens, Subscribers Up
July 14, 2008 at 5:40 AM (PT)
XM CANADA, the Canadian licensee of XM SATELLITE RADIO, posted a wider third-quarter loss THURSDAY, but said its subscriber base jumped 58% and it achieved positive cash flow for the first time, reports REUTERS. The satellite radio company said it lost $18.8 million, or 39 cents a share, in the three months ended MAY 31st. That was worse than the loss of $13.3 million, or 28 cents a share, in the same period a year earlier.
The company said total revenue rose to $10.3 million from $5.7 million a year earlier and that its subscriber base rose to 439,000 in the quarter. It also said it booked $300,000 of positive cashflow, adding, "this milestone was attained in only 2½ years."
XM CANADA said its average monthly subscription revenue per user rose to $11.99 from $11.70 a year earlier.
"Much of this growth is attributable to an increasing proportion of our subscribers transitioning from our previous basic monthly subscription price of $12.99 to the current price of $14.99," the company said.