XM Q4 Revenues Jump, Net Loss Widens; Board Member Resigns
February 16, 2006 at 7:17 AM (PT)
XM SATELLITE RADIO HOLDINGS fourth quarter revenue jumped 113% to $177 million, but increased subscriber acquisition costs resulted in a widening net loss, up from $188.2 to $268.3 million.
The company sys it ended 2005 with 5,932,957 subscribers, up 84% for the year, with net subscriber additions of 898,315 in the quarter. Late subscription activations pushed the total subscriber count over 6 million in JANUARY.
Pres./CEO HUGH PANERO says that the company expects to hit the 9 million subscriber mark by the end of the year and is on track for 10 million subscribers as of 2010.
Meanwhile, one of the company's directors, PIERCE ROBERTS, has resigned, according to REUTERS, saying that he was "troubled" by the company's direction and sees a "significant chance of a crisis on the horizon." The company says ROBERTS favors spending cuts to increase cash flow.