The upcoming Howard Stern streaming video service that the talk show host and satellite radio platform SiriusXM have been touting is on track to launch next year, according to CEO Jim Meyer. The company also announced that it has surpassed 31 million subscribers and is set to add 1.7 million net subscribers in total in the year 2016.
SiriusXM Earnings Beat The Street
SiriusXM appears to be on a roll these days. As streaming competitors like Pandora and Spotify continue to bleed cash, the satellite radio giant is quietly adding to its coffers as well as gaining new subscribers despite the plethora of music streaming alternatives.
The company announced that its quarterly earnings for Q3 shot up by 16 percent to $194 million, earning the company four cents per share as compared to three cents in the same period a year ago, and beating Wall Street analyst's expectations by a penny. Revenue shot up 9 percent to $1.3 billion, and subscriber count surpassed the 31 million mark, with the company adjusting its estimated count of net new subscribers up to 1.7 million from the previous estimate of 1.6 million, which was also an adjustment upward from previous guidance.
"SiriusXM's performance in the third quarter was exemplary," said CEO Jim Meyer. "Our business is operating more efficiently than ever before, and we are pleased to increase our revenue and adjusted EBITDA guidance for the second time this year." He touted newly hired talk show talent, increased focus on the country music genre, and various one of a kind music events as part of the reason for the company's strong growth.
Howard Stern Streaming Video Launch Set For 2017
The jewel in the company's crown, however, remains Howard Stern. The talk show host is just finishing up the first of a 5 year contract that reportedly pays him a reported $90 million per year for his four hour long, three days a week morning show on SiriusXM, and which crosses over nicely with the company's music offerings. A-list musical artists such as Green Day, Lady Gaga and Metallica have all performed live on the show during the past month.
Meyer also confirmed that although no concrete launch date has been established for Stern's upcoming "revolutionary" video streaming app, which has been delayed from its previously announced 2016 debut, it should be available sometime in 2017.
"We are deep into it. ... We are also getting that in a position where we can begin to have more conversations with Howard himself, and clearly we will launch our video service with Howard," promised Meyer. "No question there. I hope I have more to say about this in the next couple of months, but you should assume it's sometime next year."
