Sirius Shares Slide on Subscriber Data

Updated from 8:52 a.m. EDT

Sirius XM (SIRI Quote) fell short of expectations with its first-quarter results as its subscriber count fell, but the company upped its full-year view and saw a decrease in costs.

The satellite-radio operator recorded a first-quarter net loss of $50.4 million, shrinking from the year-ago loss of $104.1 million.

The net loss attributable to common stockholders was $236.6 million, or 7 cents a share, compared with a year-ago loss of $104.1 million, or 7 cents a share. Common shares outstanding totaled 3.52 billion in the current quarter, compared to 1.47 billion in the year-ago quarter.

Revenue rose 5% from a year ago to $605.5 million, Sirius XM said.

On average, three analysts expected a loss of 2 cents a share on revenue of $646.5 million, according to Thomson Reuters.

Looking ahead, Sirius XM said it now expects to achieve over $350 million in full-year adjusted income for 2009, up from the company's previous guidance of over $300 million it provided in March.

Sirius XM said it ended the first quarter with 18.6 million subscribers, up 3% from the same quarter a year ago but down 2% sequentially. The company saw 1.34 million gross subscriber additions, but deactivations totaled 1.74 million. That's good for a net subscriber loss of 404,422.

"With a 5% increase in pro forma revenue and a 23% decrease in cash operating costs, these results demonstrate our focus on improving profitability despite slower automobile sales and a 2% sequential decline in satellite radio subscribers," said CEO Mel Karmazin in a statement.