Satellite radio provider, SiriusXM released their first 2011 report yesterday.
“SiriusXM’s first quarter results have put us on track to attain our full year goals for subscriber, revenue, and adjusted EBITDA growth. Significantly, we are now in a position to raise our free cash flow estimate for the year,” said Mel Karmazin, Chief Executive Officer, SiriusXM. “Consumers are buying cars again and demand for our product is strong. Were it not for the OEM supply chain uncertainty resulting from the tragedy in Japan, we would be in a position to raise our subscriber guidance today.”
The report indicates that subscriber growth accelerates. Strong auto sales drove net subscriber additions in the first quarter of 2011 to 373,064, up 118% from 171,441 in the first quarter of 2010. Ending subscribers as of March 31, 2011 were 20,564,028, up 9% from the 18,944,199 subscribers reported as of March 31, 2010.
The cost of gaining a subscriber was $57 and. SAC, or Subscriber Acquisition Cost showed a 3% improvement from the $59 reported in the first quarter of 2010.
“We operate in a highly competitive audio entertainment marketplace, where there are more choices than ever before, yet consumers continue to choose SiriusXM. We continue to invest in content, expand distribution and improve our technology to deliver the most compelling value proposition possible to consumers across the country,” Mel added.
With a channel number reshuffle that enables both services to have the same channel number on both Sirius and XM, the company indicated that more Spanish language stations would becoming — and a significant rate hike could happen later this year.
Sirius agreed with the FCC in 2008 during the XM merger that they would not to raise base prices for three years. This expires in the fall, and Mel tells stock analysts the likely increase will be “more than inflation.”
The company does not release subscriber information for markets, only reporting nationwide. The company also markets its services through a Canadian company and is hoping to expand to Hawaii by using ground repeater stations.
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101.5 KGB‘s Clint August is inviting all to a Cinco De Mayo Burger Feast on Thursday! Clint writes that it will be at “East Bound Bar And Grille in Lakeside. Very close to the 67 Freeway and it’s a fantastic burger joint that I want to share with you. Thursday May 5th at 7:30pm.
“Just let me know if you’re going to make it so we have a count. It’ll be tough to get one table but we can squeeze into one area so we’re all able to stuff our faces together!”
See the 101.5 KGB web site for more info. Katy Evans may buy your burger and fries if you find her!
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“The transaction value was approximately $120 million.” That’s the money Clear Channel Communications laid out last week for Metro Traffic. Westwood One sold off their traffic reporting division. The official merge date is expected to happen soon — but it is not known if station groups such as CBS Radio and local stations such as KPRI-FM, XX 1090 or KFMB-AM would essentially give money to their competitor.
Stay Tuned.
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Last week’s royal wedding in England had the world witnessing some outlandish dresses and hats. Here’s Tommy Sablan from the Jeff and Jer Showgram wearing Princess Beatrice’s hat. The KyXy-FM morning show producer has more phone numbers than the CIA!
