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XM Lowers Subscriber Projections Again - Radio World

XM Lowers Subscriber Projections Again

XM Lowers Subscriber Projections Again
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XM has lowered its projection of subscribers for the second time this year.
Based on current marketplace dynamics and regulatory uncertainties concerning its FM-modulated products, XM projected that it will end the year with between 8.2 million and 7.7 million subscribers. That’s down from 8.5 million projected in May and 9 million originally projected for the year.
It still expects to have positive cash flow by Q4.
Company execs said they would able to refine the subscriber figure in the third quarter when they expect to have a firmer sense of regulatory progress and availability of product for the fourth quarter, as well as retail sales trends.
The company has more than 7 million subscribers now, and CEO Hugh Panero said comparisons to rival Sirius, which so far projects to end the year at 6.2 million subscribers, are not accurate because the two firms count subscribers differently.
For the quarter, XM recorded gross subscriber additions of 926,281 and net subscriber additions of 398,012. The satcaster finished the second quarter with 6,899,871 subscribers, representing a 56 percent increase over the 4,417,490 subscribers at the end of the second quarter 2005.

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