Sirius XM Boosts Customer Forecasts As 2Q Earnings Beat Predictions But Revenue Fails To Deliver

The satellite radio company reported 2Q internet profits of $173.3M, up from $15.3M within the same period this past year, on revenues of $744.4M, up 6.4%. Earnings at 3 cents a share beat the 1 cent consensus among experts who follow Sirius XM. However they believed that revenues would achieve about $752.6M. The organization states it had 21M customers by June 30, up 7.6% from last year. Which was sufficiently strong for Boss Mel Karmazin to express that Sirius XM will prove to add 1.6M clients this year, up from 1.4M he'd formerly forecasted. Although he states the organization will generate about $400M in free cash for that year, a rise from his earlier forecast of $350M, he stored his revenue target at $3B. The financial report follows anFCC decision a week ago which will allowSirius XM to boost its rates the organization had agreed in 2008 to freeze them for 3 yearswhen government bodies approved the merger of Sirius andXM. Government bodies now state that "there's evidence that new competitive options have come to light since 2008" including HD Radio and Web-based music services for example The planet pandora, Spotify, and iheartradio. Today Karmazin will speak with experts concerning the results -- and possiblythe status of Howard Stern's breech of contract suit against Sirius XM.