Thursday, May 9, 2013

Dish Network Closes Q1 with 14 Million Subscribers, Higher Costs

DISH Network posted Q1 revenue of $3.56 billion, down from $3.58 billion for the corresponding period in 2012. The company cited declines its Blockbuster unit and said subscriber-related revenue for its DISH segment increased from $3.22 billion to $3.35 billion, or 4.0 percent.

Net income attributable to DISH Network totaled $216 million for the quarter ending March 31, 2013, compared to $360 million from the year-ago quarter. The company cited higher subscriber-related expenses driven by increased programming and subscriber acquisition costs.

Some highlights:

  • DISH added about 654,000 gross new pay-TV subscribers compared to approximately 673,000 gross new pay-TV subscribers in the prior year’s first quarter.
  • Net subscribers grew by approximately 36,000 in the first quarter. The company closed the first quarter with 14.092 million pay-TV subscribers compared to 14.071 million pay-TV subscribers at the end of first quarter 2012.
  • Pay-TV ARPU for the first quarter totaled $78.54, an improvement over the first quarter 2012 pay-TV ARPU of $76.24. Pay-TV subscriber churn rate was 1.47 percent versus 1.35 percent for first quarter 2012.
  • DISH also added about 66,000 net broadband subscribers in the first quarter, compared to the addition of approximately 6,000 broadband subscribers in the year-ago period.