Dish Network Revenue and Earnings Fall as Do Subscribers

Dish Network has posted a drop in both revenue and earnings for its first quarter of 2017. The No. 2 satellite broadcaster saw more of its subscribers cancel service than had been expected.

During the quarter, the pre pay-television subscribers at Dish, which include the over the top Sling TV service, fell by over 143,000 during the quarter in comparison to a drop of just 23,000 for the same quarter in 2016.

The core satellite numbers for television at Dish likely were hit the hardest by the losses, as the skinny bundles of Sling TV have found solid footing thanks to lower price points.

Analysts on Wall Street projected that Dish would lose just 72,000 subscribers during the quarter.

Revenue reached $3.68 billion during the quarter that ended March 31 which was down 3.9% from the same period one year ago. Earnings per share were 76 cents which was a drop of more than 6% compared to 86 cents per share one year ago and revenue of $3.79 billion.

March came to an end with 13.6 million subscribers for pay-TV, which as a drop of 2.5% in comparison to the more than 13.9 million for the same period one year earlier.

The drop in subscribers during the first quarter comes following Dish adding a net 28,000 subscribers of pay-TV, during the fourth quarter of last year.

Per customer average revenue for pay-TV at Dish for its first quarter was $86.54 per month, which was down from the year before during the same period of $87.95. The churn-rate for pay-TV subscribers was 1.68% versus the rate of $1.63 during the 2016 first quarter.

Separately, in the spectrum auction by the FCC of local broadcast airwaves for television that ended last month, Dish purchased more Spectrum than had been expected spending $6.2 billion.

During the first quarter as well, Dish lost over 25,000 net subscribers for satellite broadband to leave approximately 555,000 subscribers of broadband at the quarter’s end.

The company also noted that during the first three months of 2017 it completed its transaction with EchoStar its sister company that transferred certain assets and operation of EchoStar to Dish in exchange for an 80% interest that Dish has in Hughes Retail Group that it held as a tracking stock.

This story was originally published by sleekmoney (https://sleekmoney.com) and is the sole property of sleekmoney. If you are reading this article on another website, that means this article was illegally copied and re-published to this website in violation of U.S. and International copyright law. You can view the original version of this story at https://sleekmoney.com/dish-network-revenue-and-earnings-fall-as-do-subscribers/1777358.html

Get Analysts' Upgrades and Downgrades Daily - Enter your email address below to receive a concise daily summary of analysts' upgrades, downgrades and new coverage with MarketBeat.com's FREE daily email newsletter.

 

Leave a Reply

Your email address will not be published. Required fields are marked *