XM reported a smaller net loss and higher revenue for the second quarter this year, citing high OEM subscribers. Yet churn rose and retail sales continue to soften.
The satcaster reported $277 million in revenue for Q2, compared to $228 million in the second quarter of 2006. XM’s quarterly net loss narrowed to $176 million, compared to the 2006 second quarter net loss of $229 million.
For the second quarter of 2007, adjusted operating loss was $47 million compared to a loss of $46 million in the same period of 2006. The 2007 second quarter adjusted operating loss includes $4 million in expenses related to the company’s pending merger with Sirius.
XM ended the quarter with about 8.25 million subscribers. In the three-month period, it recorded gross subscriber additions of 942,000 and net subscriber additions of 338,000.
Automotive customers made up 618,000 of the gross subscriber additions, the highest ever in a quarter, said outgoing CEO Hugh Panero, who leaves the company after a nearly a decade in early August.