Dish loses subs in Q2
Stock falls as satellite TV firm loses 19,000 net subsNEW YORK - Dish Network on Monday said it lost 19,000 net subscribers in the second quarter, and its stock tanked.
As of 10:40am EST, Dish shares were down 9.4% at $18.89.
But the decline helped reduce the cost of installations for the satellite TV giant, nearly quadrupling its quarterly profit to $257 million. Revenue rose 9% to nearly $3.2 billion.
The subscriber decline comes after several consecutive quarters of growth. Dish targets lower-end subscribers who are more price-conscious. According to analysts, some of them have been hit hard by the recession. Dish ended the quarter at 14.3 million users.
Competitor DirecTV last week had reported a U.S. subscriber gain of 100,000.