Sirius XM Adds Over 583,000 Net Subscribers In Q2
July 7, 2010 at 4:20 AM (PT)
SIRIUS XM RADIO has added 583,249 net subscribers in the second quarter of 2010, compared to a net subscriber decline of 185,999 in the second quarter of 2009. In the first half of this year, SIRIUS XM added 754,690 net subscribers compared to a loss of 590,421 net subscribers in the first half of 2009. The Company ended the second quarter with a record-high 19,527,448 subscribers, an increase of more than 1.1 million subscribers from JUNE 30th, 2009.
SIRIUS XM also announced the following additional second-quarter 2010 subscriber metrics:
* Gross additions increased by 46% and deactivations decreased by 8% compared to the second quarter of 2009;
* Self-pay churn improved to 1.8% for the second quarter of 2010 from 2.0% for the second quarter of 2009; and
* The conversion rate from a trial subscription included in the sale of a vehicle to a self-pay subscription improved in the second quarter of 2010 to 46.7%, up from 44.3% for the second quarter of 2009.
In addition, SIRIUS XM announced its third increase this year in subscriber guidance; the Company now expects net additions of approximately 1,100,000 in 2010.
"Our subscriber results mark the best quarter of gross additions, deactivations and net additions since the merger of SIRIUS and XM in JULY 2008. The strong execution in both adding subscribers and retaining them resulted in our record-high 19.5 million subscriber milestone, despite continued economic uncertainty," said CEO MEL KARMAZIN. "The further improvement in our guidance reflects the attractiveness of satellite radio but maintains a cautious outlook for continued improvement in the economy."
SIRIUS XM plans to release full second-quarter 2010 financial results in AUGUST.
[Is this a sign that there's still growth ahead for satellite radio, or will Internet radio kill this radio star? Share your opinion below.]