Sirius XM Reports Q3 Inline With Expectations

Sirius XM Holdings, Inc. SIRI reported third quarter 2014 financial and operating results Tuesday.

The company reported revenue of $1.057 billion, above the average estimate of $1.04 billion, up 10 percent from $962 million in the third quarter of 2013.

Net income was $136 million, or $0.02 per diluted share, inline with estimates, an increase of 117 percent from $63 million, or $0.01 per diluted share, in the third quarter of 2013.

Adjusted EBITDA climbed 29 percent to a record $381 million in the third quarter of 2014 from $296 million in the third quarter of 2013.

Net subscriber additions in the third quarter were 432,817, bringing total subscribers up nearly 5 percent to 26.7 million. Self-pay net subscriber additions in the third quarter were 379,598, bringing the self-pay subscriber base up nearly 7 percent to 22.0 million.

Total trials underway at the end of the third quarter of 2014 were approximately 7.4 million, the largest in Sirius XM's history, up from approximately 6.9 million at the end of the third quarter of 2013.

"We are very pleased with the performance of SiriusXM in the third quarter, and we are entering the fourth quarter with tremendous momentum. So far this year we have added nearly 1.2 million subscribers, grown our Adjusted EBITDA margin by more than five percentage points, and increased free cash flow by 32 percent," said CEO Jim Meyer.

Sirius XM Holdings, Inc. traded at $3.38 in the premarket, up 0.90 percent.