SiriusXM posted robust operating and financial results for the third quarter of 2019. The company’s total revenue of $2 billion was up 37% over the same period last year, seeing a considerable boost from the company’s acquisition of Pandora Media earlier this year. On a pro forma basis, revenue climbed 7% from $1.9 billion in the third quarter of 2018.
The company’s net income totaled $246 million in the third quarter, compared to $343 million in the prior year period. Net income per diluted common share was $0.05 and $0.07 in the third quarter and the prior year period, respectively.
According to the report, the decline in net income was primarily driven by refinancing expenses associated with SiriusXM’s July redemption of its 6.00% senior notes due 2024, in addition to non-recurring tax benefits in the prior year period. Adjusted EBITDA grew 12% to $657 million in the third quarter and resulted in an adjusted EBITDA margin of 32.6%, growing approximately 160 basis points from 31.0% in the third quarter 2018.
“SiriusXM’s robust third quarter saw strong results across the board,” said CEO Jim Meyer (pictured above). “Total net additions benefited from continuing strength in the auto sector, and our adjusted EBITDA hit an all-time quarterly record of $657 million. Things have never been more exciting at the company as we continue to invest in our brands, content, products and expanded OEM distribution. With two months left in the year, we are raising 2019 guidance for revenue, adjusted EBITDA and free cash flow and we are confident in our expectations for self-pay subscriber growth.
“We officially opened our new Hollywood studio complex with a special series of shows by Howard Stern,” he continued. “Howard is at the top of his game and was welcomed to LA by an array of stars and special live performances by Adam Levine and Green Day, all from our state-of-the-art street level performance space we call The Garage. Howard’s broadcast followed a month of special shows, interviews, and performances in L.A. exclusively for us by Carrie Underwood, Julia Roberts, Dave Matthews and breakout artist Billie Eilish, to name a few.”
The company added 302,000 net new self-pay subscribers in the third quarter to end with a total of more than 29.6 million. Total net subscriber additions in the third quarter were 210,000, resulting in more than 34.6 million total SiriusXM subscribers at the end of the period.