Sirius Q1 Revenues, Subs Way Up, Loss Widens
May 2, 2006 at 6:09 AM (PT)
SIRIUS SATELLITE RADIO first quarter revenues jumped 193% to $126.7 million but the company's losses more than doubled from $193.6 to $458.5 million (15 to 33 cents/share), blamed on non-cash equity charges (HOWARD STERN's accelerated stock compensation).
The company ended the quarter with 4,077,747 subscribers, with net subscriber additions of 761,187 for the quarter, a 149% year-to-year increase. Retail subscriber additions rose 169% to 534,598, and automotive OEL additions rose 109% to 225,343.
Ad revenue rose to $7.3 million (53% of total satellite radio ad sales in te quarter). Average monthly subscriber churn stood at 1.8%, and subscriber acquisition costs fell 41% to $113.
On the company's conference call, CEO MEL KARMAZIN said that OPIE AND ANTHONY's move to CBS RADIO while sticking with SIRIUS rival XM SATELLITE RADIO is a "great deal" for the hosts but that SIRIUS is "in the business of getting subscribers to satellite radio" rather than sharing or syndicating its programming. He said that an Internet stream for STERN's show remains in development with no additional cost contmeplated for subscribers. The STERN stream is targeted for debut by FATHER'S DAY, KARMAZIN added.