XM Losses Shrink in Q2; Predicts 6 Million Subscribers This Year

For the second quarter, XM Satellite Radio Holdings reported revenue of $125 million and a net loss of $146.6 million.
That compares to revenue of $53 million and a loss of $166.1 million for the same period a year ago.
Subscriber gains of 647,226 in the quarter drove revenue growth, the satcaster said. About 23% of new subscribers cited baseball as the reason for signing up. As of June 30, XM had 4.4 million subscribers and predicts it will reach 6 million by year-end. That’s up from a previous estimate of 5.5 million.
Cost Per Gross Addition, which includes subscriber acquisition and marketing costs, were $98 per customer for the quarter, an improvement of $3.00 for Q2 2004.