By Demian Russian
SiriusXM CEO Mel Karmazin
Sirius XM Radio (NASDAQ:SIRI) released its Q1 2012 financial and operating results this morning and discussed those results during a conference call held at 8:00AM ET. The satellite radio service provider reported some record breaking numbers, including 405,000 net new subscribers for the quarter — the highest reported subscriber growth for the company in any Q1 since the 2008 merger of Sirius and XM.
The company also posted $805 Million in Quarterly Revenue, up 11% year-over-year and also a new record. Other highlights included Net Income of $108 Million ($0.02 per diluted share), which is up 38% year-over-year, Adjusted EBITDA of $208 Million, up 15% year-over-year, and Free Cash Flow of $15 Million, up from (-$17) million in the first quarter of 2011, the first time the company has ever reported a positive Free Cash Flow number in a first quarter.
All of this was possible while also reporting a decrease in self-pay monthly churn year-over-year, from 2.0% to 1.9%, which is also notable because this is the first quarter that subscribers were impacted by the price increase Sirius XM instituted on January 1st, 2012. The new vehicle consumer conversion rate remained stable at 45%. In light of a strengthening auto sales channel, Sirius XM management also raised their 2012 subscriber growth guidance from 1.3 Million to 1.5 million. Read More