Earnings: DirecTV Q2 Income Falls Slightly On Operating Costs, As Revenue Climbs 17 Percent

DirecTV (NYSE:DTV) reported that net income in Q2 dropped to $448 million from $459 million last year, a 2.4 percent decrease the company pinned largely on rising operating costs. Revenues, meanwhile, gained 17 percent to $4.14 billion in Q2, from $3.5 billion a year ago. As we noted in yesterday’s Liberty Media earnings post, Liberty’s assumption of a 38.5 percent stake in DirecTV from News Corp. is still pending. The satellite TV provider also noted:

— Gross subscriber additions increased to 900,000 from 863,000, a 4.3 percent rise. Average monthly churn declined to 1.58 percent from 1.59 percent, which DirecTV attributed to increased sales of HD and DVR services.

— Net subscription additions increased 2.4 percent to 128,000 from 125,000, putting total subscribership as of June 30 at 16.3 million, up from 15.5 million a year earlier.

— In the U.S., Average Monthly Revenue per Subscriber (ARPU) rose 6.8 percent to $76.43 from $71.59, helping boost domestic revenues 12 percent to $3.73 billion from $3.31 billion. In Latin America, revenues more than doubled to $409 million from $202 million in Q206, reflecting the consolidation of Sky Brazil

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