Sirius XM Radio (NASDAQ:SIRI) shares traded higher after the satellite radio company reported an earnings beat for the third quarter.
The company reported earnings per share of $0.09, ahead of the Street estimate of $0.08 and up from $0.07 in the year-ago quarter.
Revenue of $2.27 billion, however, fell short of expectations of $2.29 billion and represented a decline from $2.28 billion in 3Q 2022.
Free cash flow was $291 million, down from $329 million in the year-ago quarter driven by increases in satellite and non-satellite capital expenditures.
Paid promotional users, being subscriptions purchased by automakers for their vehicles, added a surprise 2,000. Analysts had expected a 68,000 decline.
This in part offset a decline of 96,000 in self-paid subscribers to the company's “SiriusXM” offering, which includes various channels, podcasts and infotainment.
Total subscribers for its “SiriusXM” segment were about 34 million, down 1% year-over-year.
Sirius XM shares had gained 3.2% at US$4.31 mid-morning on Tuesday.
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