DISH Network Q2 profits drop
August 8, 2012
DISH Network, the second-largest satellite TV operator in the US, posted lower second-quarter net income attributable to the company of $226 million from $335 million in the prior-year quarter.
The company said that net income was negatively impacted by $43 million as a result of the loss of the 148-degree orbital slot licence in the quarter. Additional contributors to year-on-year net profit decline included higher subscriber-related expenses from higher programming costs and increased subscriber acquisition costs associated with its 16.3 per cent growth in gross subscriber additions, including increased brand advertising.
Quarterly total revenue was $3.57 billion, compared with $3.59 billion for the corresponding period in 2011.
DISH Network’s net subscribers decreased by nearly 10,000 during the second quarter – a vast improvement on the 135,000 subscribers lost a year earlier – and the company ended the period with 14.061 million subscribers.