Post by Humaniston Oct 22, 2020 8:20am
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MARKET WATCH HIGHLIGHTS SIRI EARNING S
MARKET WATCH HIGHLIGHTS SIRI EARNING SSirius XM profit and subscriber base grow
Published: Oct. 22, 2020 at 7:24 a.m. ET
By Micah Maidenberg
Sirius XM Holdings Inc. said its subscriber base grew in the third quarter and earnings ticked up.
The radio-streaming company Thursday reported a net income of $272 million, up from $246 million for the year-earlier period. Profit increased to 6 cents a share from 5 cents a share.
Revenue was roughly flat at $2.03 billion, compared with $2.01 billion in the third quarter of 2019. But revenue generation was stronger than forecasts from analysts polled by FactSet, who were looking for $1.94 billion on that metric.
Sirius said its SiriusXM service added 186,000 net subscribers in the quarter, giving it 34.4 million. Another 8.9 million consumers were in a trial period for the service as of the end of the quarter.
"Subscriber acquisition costs grew by 9% to $110 million in the third quarter," as automakers pushed to produce vehicles at pre-pandemic volumes, the company said. Sales and marketing costs fell 2% year over year.
Revenue tied to the SiriusXM service increased 1% year over year. Meanwhile, advertising revenue at the company's Pandora service declined 3%.