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Old 11-01-2005, 06:55 AM   #1
RUFUSBIGBUCKS
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Default 3rd Quarter Results

- Revenue Up 250% Over Prior Year Third Quarter as Net Subscriber Additions Double
- Exclusive Relationships with DaimlerChrysler and BMW Extended

- Subscriber Guidance Raised to "Over" 3 Million by Year-End

- Company Continues to Gain Market Share

NEW YORK, Nov. 1 /PRNewswire-FirstCall/ -- SIRIUS Satellite Radio SIRI today announced strong third quarter financial and operating results, driven by subscriber growth in its retail and automotive OEM distribution channels, and continued demand for its superior programming.

(Logo: http://www.newscom.com/cgi-bin/prnh/19991118/NYTH125 )

As of September 30, 2005, SIRIUS had 2,173,920 subscribers. The third quarter subscriber figure reflects net additions of 359,294 subscribers, a 97% increase over the year-ago figure of 181,948 net subscriber additions.

The company raised its year-end 2005 subscriber guidance to over 3 million, and reaffirmed its previous guidance on all other key metrics. SIRIUS expects its subscriber growth will be driven by traditionally strong consumer demand in the fourth quarter, and by SIRIUS' exclusive programming as well as the continued appeal of its commercial-free music.

"The third quarter represented another quarter of solid execution by our management team," said Mel Karmazin, CEO of SIRIUS. "We continued to gain retail and overall market share in the quarter, while meeting our guidance for third quarter net subscriber additions. As we move into the important fourth quarter, we believe that our mix of innovative and competitively-priced products at retail, combined with more SIRIUS factory installations by our automotive partners, will yield strong year-end results, and we are raising our subscriber guidance to over 3 million to reflect this expectation. The introduction of Martha Stewart Living Radio and the anticipation of Howard Stern's arrival in January 2006 should also generate unprecedented excitement for our service."

SIRIUS reported revenue of $66.8 million for the third quarter of 2005, a 250% increase over the $19.1 million reported for the year-ago quarter. Average monthly churn for the third quarter and year to date was 1.8% and 1.5%, respectively. Average monthly churn is expected to be approximately 1.5% for the full year.

The company reported subscriber acquisition costs (SAC) per gross subscriber addition of $149 for the third quarter of 2005, a 35% improvement over SAC per gross subscriber addition of $229 in the year-ago quarter. SIRIUS continues to project SAC per gross subscriber addition of under $145 for the year.

During the third quarter of 2005, SIRIUS added 209,920 net subscribers from its retail channel, a 56% increase over 134,442 retail net subscriber additions in the year-ago quarter. The company also added 149,000 net subscribers from its automotive OEM channel, a 230% increase over 45,196 net subscriber additions from that channel in the third quarter of 2004.

SIRIUS reported a net loss of ($180.4) million, or ($0.14) per share, for the third quarter of 2005 compared with a net loss of ($169.4) million, or ($0.14) per share, for the third quarter of 2004.

Automotive OEM Update

SIRIUS recently extended each of its exclusive automotive OEM relationships. On October 31, 2005, SIRIUS announced the extension of its exclusive agreement with DaimlerChrysler to September 1, 2012. The agreement includes all Chrysler Group and Mercedes-Benz vehicles as well as Freightliner trucks. Over 750,000 new subscribers are expected to be generated from the Chrysler Group alone for the 2006 model year, with volumes estimated to increase significantly in the future. In September 2005, SIRIUS and BMW of North America announced an agreement that extends SIRIUS' exclusive relationship with BMW through August 2008. All BMW models are covered by the agreement. During the second quarter of 2005, SIRIUS extended its exclusive relationship with the Ford Motor Company through September 2011. All Ford Motor Company brands in the U.S. are covered by the agreement.

Product Update

SIRIUS will have a number of next generation products available at retail during the fourth quarter including the SIRIUS S50, the company's first wearable product; the sleek Starmate Replay, designed for easy vehicle installation; SIRIUS One and the XACT Visor, two new slim-line products that have multiple installation options including dash, console or visor mounting; and a SiriusConnect product that is backwards compatible with many Sony UniLink(TM)headunits. In the fourth quarter, SIRIUS will also offer a SiriusConnect unit that will make it easy for owners of General Motors vehicles to install SIRIUS. The company is also introducing the Alpine SiriusConnect SIR-ALP10T, its first tuner to incorporate both audio entertainment and traffic data services.

Programming Update

SIRIUS continues to add innovative programming. In August, SIRIUS launched its second season of NFL play-by-play coverage as The Official Satellite Radio Partner of the NFL. On September 29, 2005, SIRIUS launched a new programming lineup, including the addition of five compelling new music channels, and channels for Martha Stewart Living Radio and Howard Stern. Preparations are well underway for Howard Stern's arrival at SIRIUS in January 2006. In its continuing effort to expand programming for women, SIRIUS announced that it will launch a full time channel with Cosmopolitan, the best-selling young women's magazine in the world, early next year. Demonstrating the flexibility derived from its significant bandwidth, SIRIUS dedicates entire 24-hour, commercial-free music channels to some of the world's greatest artists. In addition to "Radio Elvis," its all-Elvis Presley radio channel broadcast live from Graceland in Memphis, SIRIUS launched "Rolling Stones Radio" and recently announced "E Street Radio," the world's first 24-hour channel featuring the music of Bruce Springsteen and the E Street Band.

Offering of $500 million of 9-5/8% Senior Notes and Redemption of 15% and
14-1/2% Notes
During the third quarter of 2005, SIRIUS completed an offering of $500
million in aggregate principal amount of 9-5/8% Senior Notes due 2013.
SIRIUS used approximately $63.1 million of the proceeds of this offering to
redeem all of its outstanding 15% Senior Secured Discount Notes due 2007 and
14-1/2% Senior Secured Notes due 2009, and will use the balance of the net
proceeds for general corporate purposes.

Guidance for 2005
The company raised its year-end subscriber guidance and reaffirmed its
previous guidance on all other key guidance metrics for the full year 2005.
After adding over one million new subscribers in the first nine months of the
year, SIRIUS expects continued strong subscriber growth in the traditionally
busy fourth quarter and raised its previous year-end 2005 target to over 3
million subscribers.
Average monthly churn is expected to be approximately 1.5% for full year
2005, in line with previous guidance, given continued high levels of customer
satisfaction. The company continues to expect SAC per gross subscriber
addition to be under $145 for the full-year 2005, with further declines
expected in 2006.
SIRIUS expects to generate $230 million of total revenue and an adjusted
loss from operations of approximately ($540) million in 2005. Total operating
cash uses, capital expenditures and restricted investment activity are
expected to be approximately ($375) million in 2005.
SIRIUS ended the third quarter of 2005 with approximately $934 million in
cash, cash equivalents and marketable securities. SIRIUS' first quarter of
positive free cash flow could be reached as early as the fourth quarter of
2006, and the company continues to expect to generate positive free cash flow
for the full-year 2007.

Conference Call Information:
SIRIUS will hold a conference call today at 8 am ET to discuss operating
and financial results. The public, members of the investment community and
the press will have live access to the conference call via the company's
website, http://www.sirius.com, and on the SIRIUS service by tuning to SIRIUS
Channel 127. A replay of the call will also be available on the SIRIUS
website.

THIRD QUARTER 2005 VERSUS THIRD QUARTER 2004
For the third quarter of 2005, SIRIUS recognized total revenue of $66.8
million compared with $19.1 million for the third quarter of 2004. This
increase in revenue was driven by a net increase of 1,511,631 subscribers from
September 30, 2004 to September 30, 2005.
The company's adjusted loss from operations decreased by $20.3 million to
($105.4) million for the third quarter of 2005 from ($125.7) million for the
third quarter of 2004 (refer to the reconciliation table of GAAP loss from
operations to adjusted loss from operations). This decrease was driven by a
257%, or $46.2 million, increase in subscriber revenue as a result of a 228%
increase in the company's subscriber base, offset by an increase of 46%, or
$21.6 million, in subscriber acquisition costs. Such increase in subscriber
acquisition costs reflected higher shipments of SIRIUS radios and chip sets
and increased commissions to support a 125% increase in gross subscriber
additions from 207,181 for the third quarter of 2004 to 465,228 for the third
quarter of 2005. This increase was offset by reductions in average subsidy
rates as the company continued to reduce manufacturing and chip set costs.
Programming and content expenses increased by $4.8 million to $23.5
million for the third quarter of 2005 from $18.7 million for the third quarter
of 2004. The increase was primarily attributable to an increase in license
fees associated with new content agreements; compensation related costs for
additions to headcount; additional on-air talent costs due to the expansion of
the programming lineup; and broadcast royalties as a result of the increase in
the company's subscriber base.
During the third quarter of 2005, the company also had increases in
customer service and billing expenses and general and administrative expenses.
Customer service and billing expenses increased by $4.1 million to $9.4
million for the third quarter of 2005 from $5.3 million for the third quarter
of 2004. The increase was primarily attributable to call center operating
costs necessary to accommodate the increase in the subscriber base. Customer
service and billing expenses per average subscriber per month declined 50% to
$1.59 for the third quarter of 2005 from $3.16 for the third quarter of 2004.
General and administrative expenses increased by $2.2 million to $14.0 million
for the third quarter of 2005 from $11.8 million for the third quarter of
2004. The increase was primarily attributable to additional personnel-related
costs offset by a decrease in consulting fees.
Such increases in operating expenses were offset by a decrease in sales
and marketing expenses of $4.4 million to $38.2 million for the third quarter
of 2005 from $42.6 million for the third quarter of 2004. The decrease was
primarily a result of the expiration of certain sponsorships and higher costs
incurred in 2004 relating to the company's NFL marketing campaign.
In September 2005, the company also recorded a $6.2 million loss from the
redemption of its 15% Senior Secured Discount Notes due 2007 and 14-1/2%
Senior Secured Notes due 2009.
SIRIUS reported a net loss of ($180.4) million, or ($0.14) per share, for
the third quarter of 2005 compared with a net loss of ($169.4) million, or
($0.14) per share, for the third quarter of 2004.

NINE MONTHS ENDED SEPTEMBER 30, 2005 VERSUS NINE MONTHS ENDED
SEPTEMBER 30, 2004
For the nine months ended September 30, 2005, SIRIUS recognized total
revenue of $162.2 million compared with $41.6 million for the nine months
ended September 30, 2004. This increase in revenue was driven by a net
increase of 1,511,631 subscribers from September 30, 2004 to September 30,
2005.
The company's adjusted loss from operations increased by $40.2 million to
($341.2) million for the nine months ended September 30, 2005 from ($301.0)
million for the nine months ended September 30, 2004 (refer to the
reconciliation table of GAAP loss from operations to adjusted loss from
operations). This increase was driven by an 88%, or $95.7 million, increase
in subscriber acquisition costs reflecting higher shipments of SIRIUS radios
and chip sets and increased commissions to support a 169% increase in gross
subscriber additions to 1,252,623 for the nine months ended September 30, 2005
from 465,077 for the nine months ended September 30, 2004, offset by
reductions in hardware subsidy rates as the company continued to reduce
manufacturing and chip set costs. The effect of an increase in subscriber
acquisition costs was more than offset by a 288%, or $115.6 million, increase
in subscriber revenue as a result of a 228% increase in the company's
subscriber base.
Programming and content expenses increased by $26.0 million to $63.6
million for the nine months ended September 30, 2005 from $37.6 million for
the nine months ended September 30, 2004. The increase was primarily
attributable to an increase in license fees associated with sports related
programming; compensation related costs for additions to headcount; additional
on-air talent costs due to the expansion of the programming lineup; and
broadcast royalties as a result of the increase in the company's subscriber
base.
Customer service and billing expenses increased by $12.9 million to $26.6
million for the nine months ended September 30, 2005 from $13.7 million for
the nine months ended September 30, 2004. The increase was primarily
attributable to call center operating costs necessary to accommodate the
increase in the subscriber base. Customer care and billing expenses per
average subscriber per month declined 49% to $1.81 for the nine months ended
September 30, 2005 from $3.57 for the nine months ended September 30, 2004.
General and administrative expenses increased $11.9 million to $42.9 million
for the nine months ended September 30, 2005 from $31.0 million for the nine
months ended September 30, 2004 primarily as a result of overhead expansion to
support the growth of the business. In addition, engineering, design and
development expenses increased $11.1 million to $33.2 million for the nine
months ended September 30, 2005 from $22.1 million for the nine months ended
September 30, 2004 primarily as a result of additional personnel-related costs
to support research and development efforts; costs associated with tooling and
manufacturing upgrades at DaimlerChrysler and Ford to support factory
installations of SIRIUS radios; and development costs for the company's next
generation of radios, offset by decreases in chip set development costs.
Such increases in operating expenses were offset by a decrease in
satellite and transmission expenses of $3.5 million to $20.7 million for the
nine months ended September 30, 2005 from $24.2 million for the nine months
ended September 30, 2004. Such decrease was primarily a result of the
company's decision not to renew its satellite insurance policy in August 2004,
offset in part by an increase in personnel-related costs.
In September 2005, the company also recorded a $6.2 million loss from the
redemption of its 15% Senior Secured Discount Notes due 2007 and 14-1/2%
Senior Secured Notes due 2009.
SIRIUS reported a net loss of ($551.6) million, or ($0.42) per share, for
the nine months ended September 30, 2005 compared with a net loss of ($450.3)
million, or ($0.37) per share, for the nine months ended September 30, 2004.

(Selected financial information follows).

SIRIUS defines adjusted loss from operations as GAAP loss from operations
before depreciation and equity granted to third parties and employees. SIRIUS
believes adjusted loss from operations is useful because it represents
operating expenses of the company excluding the effects of non-cash items.
SIRIUS defines average monthly revenue per subscriber, or ARPU, as the
total earned subscriber revenue and net advertising revenue divided by the
daily weighted average number of subscribers for the period.
SIRIUS defines subscriber acquisition costs, or SAC, per gross subscriber
addition as SAC and negative margins from the direct sale of SIRIUS radios and
accessories divided by the number of gross subscriber additions for the
period.
Adjusted loss from operations, ARPU and SAC per gross subscriber addition
are not measures of financial performance under U.S. generally accepted
accounting principles and are used as measures of operating performance. As a
result, these metrics may be susceptible to varying calculations; may not be
comparable to other similarly titled measures of other companies; and should
not be considered in isolation or as a substitute for measures of financial
performance prepared in accordance with U.S. generally accepted accounting
principles.


Sirius Satellite Radio Inc.
Quarterly Data
(Unaudited) As of September 30,
2005 2004
Subscribers:
Beginning subscribers 1,814,626 480,341
Net additions 359,294 181,948
Ending subscribers 2,173,920 662,289
Retail 1,564,718 534,871
OEM 581,988 100,261
Hertz 27,214 27,157 For the Three Months For the Nine Months
Ended September 30, Ended September 30,
2005 2004 2005 2004

Gross subscriber
additions 465,228 207,181 1,252,623 465,077
Deactivated subscribers 105,934 25,233 221,961 63,849
Average monthly
churn (1) 1.8% 1.5% 1.5% 1.7%
Subscriber acquisition
costs per gross
subscriber addition $149 $229 $164 $235
Monthly ARPU:
Average monthly
subscriber revenue
per subscriber before
effects of Hertz
subscribers and
mail-in rebates $11.08 $10.92 $10.78 $11.15
Effects of Hertz
subscribers 0.06 (0.18) 0.04 (0.29) Effects of mail-in
rebates (0.25) (0.05) (0.24) (0.42) Average monthly
subscriber revenue
per subscriber 10.89 10.69 10.58 10.44
Average monthly net
advertising revenue
per subscriber 0.26 0.15 0.21 0.10
ARPU $11.15 $10.84 $10.79 $10.54 (1) Average monthly churn is the number of deactivated subscribers divided
by average quarterly subscribers. Sirius Satellite Radio Inc.
Financial Highlights
(In thousands, except per share data)
(Unaudited) For the Three Months For the Nine Months
Ended September 30, Ended September 30,
2005 2004 2005 2004
Revenue:
Subscriber revenue,
including effects of
mail-in rebates $64,273 $18,025 $155,799 $40,177
Advertising revenue,
net of agency fees 1,508 249 3,094 399
Equipment revenue 1,030 823 3,300 1,013
Other revenue 20 19 48 48
Total revenue 66,831 19,116 162,241 41,637 Operating expenses:
Cost of services
(excludes depreciation
shown separately below):
Satellite and
transmission 7,228 7,620 20,709 24,215
Programming and content 23,542 18,732 63,589 37,550
Customer service
and billing 9,416 5,329 26,646 13,718
Cost of equipment 1,453 1,146 4,381 1,615
Sales and marketing 38,181 42,645 107,543 103,670
Subscriber acquisition
costs 68,675 47,066 204,461 108,758
General and
administrative 13,966 11,808 42,918 31,009
Engineering, design
and development 9,784 10,444 33,232 22,090
Depreciation 24,559 23,811 73,640 71,082
Equity granted to
third parties and
employees (1) 36,946 17,752 116,882 47,660
Total operating
expenses 233,750 186,353 694,001 461,367
Loss from operations (166,919) (167,237) (531,760) (419,730)
Other income (expense):
Interest and investment
income 7,645 2,291 16,922 5,906
Interest expense (13,693) (5,267) (28,219) (34,235)
Loss from redemption
of debt (6,214) -- (6,214) --
Income (expense)
from affiliate (739) -- (739) --
Other income 30 1,340 82 1,411
Total other income
(expense) (12,971) (1,636) (18,168) (26,918)
Loss before income
taxes (179,890) (168,873) (549,928) (446,648)
Income tax expense (560) (560) (1,680) (3,641)
Net loss $(180,450) $(169,433) $(551,608) $(450,289)
Net loss per share
(basic and diluted) $(0.14) $(0.14) $(0.42) $(0.37)
Weighted average common
shares outstanding
(basic and diluted) 1,328,458 1,236,845 1,322,399 1,230,149 (1) Allocation of equity granted to third parties and employees to other
operating expenses: Satellite and
transmission $467 $202 $1,455 $797
Programming and content 4,855 5,520 14,793 8,397
Customer service and
billing 140 53 405 185
Sales and marketing 9,642 6,246 30,348 21,629
Subscriber acquisition
costs 12,354 3,030 31,115 7,097
General and administrative 6,137 2,159 21,746 7,415
Engineering, design and
development 3,351 542 17,020 2,140
Total equity granted to
third parties and
employees $36,946 $17,752 $116,882 $47,660 Sirius Satellite Radio Inc.
Financial Highlights
(In thousands)
(Unaudited) Selected balance sheet data:
As of
September 30, 2005 December 31, 2004

Cash, cash equivalents and
marketable securities $934,383 $759,168
Restricted investments 92,615 97,321
Working capital 652,502 541,526
Total assets 2,092,389 1,957,613
Long-term debt 1,096,789 656,274
Total liabilities 1,517,583 956,980
Accumulated deficit (2,417,464) (1,865,856)
Stockholders' equity 574,806 1,000,633The following table reconciles GAAP loss from operations, as reported, to adjusted loss from operations:

For the Three Months For the Nine Months
Ended September 30, Ended September 30,
2005 2004 2005 2004

GAAP loss from
operations, as reported $(166,919) $(167,237) $(531,760) $(419,730)
Depreciation 24,559 23,811 73,640 71,082
Equity granted to
third parties and
employees 36,946 17,752 116,882 47,660
Adjusted loss from
operations $(105,414) $(125,674) $(341,238) $(300,988) Sirius Satellite Radio Inc.
Financial Highlights
(In thousands)
(Unaudited) For the Three Months For the Nine Months
Ended September 30, Ended September 30,
2005 2004 2005 2004
Cash flows from operating
activities:
Net loss $(180,450) $(169,433) $(551,608) $(450,289)
Adjustments to
reconcile net loss
to net cash used in
operating activities:
Depreciation 24,559 23,811 73,640 71,082
Non-cash interest
expense 842 573 2,365 21,168
Non-cash loss from
redemption of debt 712 -- 712 --
Loss on disposal of
assets 34 -- 286 19
Equity granted to third
parties and employees 36,946 17,752 116,882 47,660
Deferred income taxes 560 560 1,680 3,641
Changes in operating
assets and liabilities: Marketable securities -- -- 16 (92)
Prepaid expenses and
other current assets (10,426) (7,840) (26,187) (7,869)
Other long-term assets 2,653 8 3,131 (3,406)
Accrued interest 6,467 972 6,341 3,848
Accounts payable and
accrued expenses 10,211 15,248 36,213 44,721
Deferred revenue 31,549 15,338 81,923 33,306
Other long-term
liabilities 20 2,665 (3,522) 691
Net cash used in
operating activities (76,323) (100,346) (258,128) (235,520)
Cash flows from investing
activities:
Additions to property
and equipment (7,086) (11,976) (17,949) (22,316)
Sales of property and
equipment 6 209 65 237
Purchases of restricted
investments -- (5,104) (6,291) (90,104)
Release of restricted
investments -- -- 10,997 --
Purchases of available-
for-sale securities (128,700) -- (128,700) --
Sales of available-
for-sale securities 5,100 -- 5,100 --
Maturities of
available-for-sale
securities -- -- 4,835 25,000
Net cash used in
investing activities (130,680) (16,871) (131,943) (87,183)
Cash flows from
financing activities:
Proceeds from issuance
of long-term debt, net 493,005 -- 493,005 293,600
Redemption of debt (57,609) -- (57,609) --
Proceeds from exercise
of stock options 5,021 857 11,125 6,004
Proceeds from exercise
of warrants -- -- -- 19,850
Other -- (32) (8) (99)
Net cash provided by
financing activities 440,417 825 446,513 319,355
Net increase (decrease)
in cash and cash
equivalents 233,414 (116,392) 56,442 (3,348)
Cash and cash equivalents
at the beginning of
period 576,919 634,023 753,891 520,979
Cash and cash equivalents
at the end of period $810,333 $517,631 $810,333 $517,631About SIRIUS

SIRIUS delivers more than 120 channels of the best commercial-free music, compelling talk shows, news and information, and the most exciting sports programming to listeners across the country in digital quality sound. SIRIUS offers 65 channels of 100% commercial-free music, and features over 55 channels of sports, news, talk, entertainment, traffic and weather for a monthly subscription fee of only $12.95. SIRIUS also broadcasts live play-by- play games of the NFL and NBA, and is the Official Satellite Radio partner of the NFL.

SIRIUS radios for the car, truck, home, RV and boat are manufactured by Alpine, Audiovox, Blaupunkt, Clarion, Delphi, Jensen, JVC, Kenwood, Pioneer, Sanyo and XACT Communications. Available in more than 25,000 retail locations, SIRIUS radios can be purchased at major retailers including Best Buy, Circuit City, Crutchfield, Costco, RadioShack, Sam's Club, Target and Wal-Mart. SIRIUS is also available at heavy truck dealers and truck stops nationwide.

SIRIUS radios are currently offered in vehicles from Audi, BMW, Chrysler, Dodge, Ford, Infiniti, Jeep(R), Land Rover, Lexus, Lincoln-Mercury, Mazda, Mercedes-Benz, MINI, Nissan, Scion, Toyota, Porsche, Volkswagen and Volvo. Hertz currently offers SIRIUS at major locations around the country.

Click on http://www.sirius.com to listen to SIRIUS live, or to find a SIRIUS retailer or car dealer in your area.

Any statements that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions, future events or performance with respect to SIRIUS Satellite Radio Inc. are not historical facts and may be forward-looking and, accordingly, such statements involve estimates, assumptions and uncertainties which could cause actual results to differ materially from those expressed in any forward-looking statements. Accordingly, any such statements are qualified in their entirety by reference to the factors discussed in our Annual Report on Form 10-K for the year ended December 31, 2004 filed with the Securities and Exchange Commission. Among the key factors that have a direct bearing on our operational results are: our dependence upon third parties, including manufacturers of SIRIUS radios, retailers, automakers and programming partners, our competitive position and any events which affect the useful life of our satellites.

E-SIRI

Contacts for SIRIUS:

Jim Collins
Media
212-901-6422
jcollins@siriusradio.com Michelle McKinnon
Investor Relations
212-584-5285
mmckinnon@siriusradio.com Jaymie VanValkenburgh
Investor Relations
212-584-5158
jvanvalkenburgh@siriusradio.com© 2005 PRNewswire

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__________________
2000 Lexus GS400 SIRIUS Starmate Replay
1999 Mitsubishi Eclipse GST (450wHP) XM getting ripped out as we speak!
Proud S50 Owner
Preferred Station: Shade 45
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Old 11-01-2005, 07:01 AM   #2
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Overall looks good... CNBC liked it.... Lets see how the stock reacts today
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Old 11-01-2005, 07:34 AM   #3
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i just purchased some more stock up .21 cents already before market activity.
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Old 11-01-2005, 08:34 AM   #4
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Great conf call... I liked a lot of what I heard. Things are definitely moving in the right direction.
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Old 11-01-2005, 09:26 AM   #5
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Joe/sal
What did you hear on conference call(that wasnt in the news announcements) What specifically is cnbc saying that is good since they have been real negs in the past
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Old 11-01-2005, 09:37 AM   #6
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Sirius Satellite (NasdaqNM:SIRI - News) beat by 0.02 and guided higher for fiscal 2005. On CNBC, Jim Cramer said he thinks the stock will hit $7 by year end and that he likes the stock better than XMSR.
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Old 11-01-2005, 10:16 AM   #7
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only 7 dollars damn. I would think it more around 8 dollars by year end. Up nearly 5% so far today cha ching.
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Old 11-01-2005, 01:19 PM   #8
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I was happy to hear officially that they raised guidance, something that I had been expecting for some time already. Also, SAC is coming down, product shipments are on schedule and in full supply they say for the holiday season. Also, revenue from advertising is starting to ramp up also. Lots of advertising to come in Q4, and also alot in Q1 2006. Things are looking really good.

CNBC seemed to think that subs were going to ramp up and that there was lots of potential for the next couple of quarters. Also, as mentioned, Cramer likes Sirius stock better than XM right now.
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Old 11-01-2005, 02:23 PM   #9
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Now that I have listened to the full conference call I have to say that I am very happy with the direction that Sirius is moving.

They are hitting their numeric metrics on sub numbers, fixed costs, churn, revenue, SAC..etc They also slightly raised guidance for end of year subs.

They announced today an extension of the long term exclusive contract with Daimler Chrysler through September of 2012.

They stated again that like they said in the past they have absolutely no plans to issue more shares and they have more cash on hand than necessary to reach CFBE.

They have assured the investment community that they will have a very strong 4Q media blitz...and that the problem with product shortages that they have faced in the past will not be an issue this year.

Sirius has put in a place a very aggressive rebate program which I feel will have a very positive effect on sub numbers.

They understand that Q106 is going to be a big quarter for them as well...they alluded to using Stern for promotion in that quarter once he is available to Sirius, and I am confident that they will have product on the shelves for this quarter as well.

The new S50 radio is the first portable product from Sirius and they alluded to more new radios coming out over the next 12 months. They also said that they will continue to chip away (like they have been) at the technological advantage that XM currently has.

They commented again on the ad sale force they have hired. Putting a nationwide ad sales force in place will pay off in the future and add to the bottom line, benefiting shareholders and stock value.

There is no question that Mel Karmazin is, like he said, working with razor like focus to reach CFBE and execute this business model.

And as an investor in Sirius I have to say that I am quite happy with the guidance for the short term and long term future of Sirius.
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Old 11-01-2005, 03:31 PM   #10
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The company hinted on the conference call that it had a big meeting ahead with a Detroit partner. This helped fuel anticipation that another extended and exclusive contract -- most likely with Ford -- was in the works. Sirius' original agreement with Ford called for 1 million cars with factory-installed radios to hit the lots in the 2006 and 2007 model years.
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Old 11-01-2005, 04:04 PM   #11
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You should read the wailing going on over at XMFan! Yesterday they were predicting doom. Today they think the worst will just take a little longer!

I'm no fan of Howard. I'll probably block him. But, business-wise, this was a great decision!

Whattya think? $7 by Thanksgiving? $8 by Christmas? (XM or Sirius, either way.)
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Old 11-01-2005, 05:04 PM   #12
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Quote:
Originally Posted by joesal905
Also, as mentioned, Cramer likes Sirius stock better than XM right now.
I just don't understand that.

Forget about XM vs. Sirius in terms of product/service---in terms of stock, how is SIRI better than XMSR?

XM has more subs, gets more subs per quarter, has a lower SAC, loses less money, has more revenue...and its market cap is lower.

By these measures, XMSR should be preferred...
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Old 11-01-2005, 05:25 PM   #13
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As a trade or even investment, which has more room to appreciate??? My opinion, and its only my opinion, is Sirius. I own both companies, and that is only my opinion.
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Old 11-01-2005, 05:28 PM   #14
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SATRAD FAN said it best. I agree with everything that you said. Being an investor in Sirius for 4+ years now, I have listened to many conf calls, and by far, this was the best one. Not only are we projecting big numbers, but we are slowly but surely executing on the prior projections. This is a GREAT time to be a Sirius shareholder!!!
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Old 11-01-2005, 08:13 PM   #15
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So Sirius has like 2.2 Millions subs. and they want to be over 3 Million? They really need to go all out and get over 800,000 to reach over 3 Million in Q4!
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