DirecTV Reports Third-Quarter Subs, Profit Increase
UPDATED: The satellite TV giant added 327,000 U.S. pay TV customers in the latest period, compared with 174,000 in the year-ago quarter, marking its strongest third quarter in seven years.
Satellite TV giant DirecTV on Thursday reported improved third-quarter financials as it added more subscribers than in the year-ago period.
The company, led by chairmsn and CEO Mike White, posted a U.S. customer gain of 327,000 in the quarter ended Sept. 30. In the same period a year earlier, DirecTV had added 174,000 subscribers. It cited its NFL Sunday Ticket promotion as a key growth driver that led to record gross additions of 1.28 million in the latest period. It was the company's biggest third quarter in seven years. DirecTV ended September with 19.76 million U.S. customers.
In Latin America, DirecTV saw a record 574,000 net additions, and in Mexico, it added 238,000 net subscribers. Overall, this meant a record quarterly net sub gain of 1.14 million.
Third-quarter earnings of $516 million compared to $479 million in the year-ago period, up 8 percent, but slightly below analyst expectations. Revenue rose 14 percent to $6.84 billion, ahead of Wall Street projections.
"We plan to build on this momentum by debuting several compelling new products and services, including a greatly enhanced DirecTV Anywhere offering that will enable consumers to stream live TV programming and on-demand movies to their mobile devices, as well as a brand new HD user interface and the much anticipated launch of our home media center," said White. "We also have exciting growth plans in Latin America as we expect to continue to greatly expand our subscriber base by offering the best video experience to a rapidly growing pay TV market throughout the region."