DISH profits rise on US tax law boost
February 21, 2018
US satellite broadcaster DISH Network has eported revenue totaling $3.48 billion (€2.83bn) for the quarter ending December 31st 2017, compared to $3.75 billion for the corresponding period in 2016.
Net income attributable to DISH Network totalled $1.39 billion for the fourth quarter 2017, compared to $355 million from the year-ago quarter. Fourth quarter 2017 net income was positively impacted by an income tax benefit of approximately $1.2 billion due to an adjustment to deferred tax assets and liabilities related to tax reform legislation, and negatively impacted by an impairment of long-lived assets expense of $112 million, net of related taxes.
DISH TV and Sling TV Subscribers
The company closed the fourth quarter with 13.2 million pay-TV subscribers, including just over 11 million DISH TV subscribers and 2.2 million Sling TV subscribers. This reporting marks the first time the company has separately disclosed its DISH TV and Sling TV subscribers within the total population of pay-TV subscribers.
Net pay-TV subscribers increased by approximately 39,000 in the fourth quarter, which includes 75,000 reactivations in Puerto Rico and the US Virgin Islands following the extraordinary devastation of Hurricane Maria. This gain is compared to net additions of 28,000 in the year-ago quarter.
Full-Year 2017 Review
For the year, DISH reported 2017 total revenue of $14.39 billion, compared to $15.21 billion in 2016. Subscriber-related revenue in 2017 was $14.26 billion, compared to $15.03 billion in 2016.
Net income attributable to DISH Network in 2017 was $2.10 billion, compared to $1.50 billion in 2016. Net income for 2017 was positively impacted by an income tax benefit of approximately $1.2 billion related to tax reform legislation. Net income was negatively impacted by an impairment of long-lived assets expense of $112 million and litigation expenses of $287 million, each net of related taxes.
Pay-TV ARPU was $86.43 during 2017 versus $88.66 in 2016. DISH TV’s average monthly subscriber churn for 2017 was 1.78 per cent, compared to 1.97 per cent in 2016.