Sirius XM's guidance implies that its self-pay subscriber count will decline this year. I know pen rates are higher now, competition is maybe a bit higher now, 360L mix also sounds like tracking up nicely. Invest better with The Motley Fool. Okay. Additionally, we debuted our first ever integrated billing with T-Mobile, expanding upon our existing six-month Sirius XM streaming offer and adding a Pandora premium four-month trial offer, making it even easier for trialers to transition into paying subscribers. And as we noted, our Q1 was at 3.4 times and we returned $161 million to shareholders in the first quarter and will continue to be opportunistic for the remainder of the year. Sirius XM (SIRI) Q1 2023 Earnings Call Transcript, 3 Nasdaq 100 Stocks That Are No-Brainer Buys in April, I Wouldn't Touch This Stock With a 10-Foot Pole 10 Years Ago -- Now I Can't Stop Buying Shares. Overall, SiriusXM revenue declined two percent during Q1 versus a year ago to $2.14 billion, as its earnings also declined nine percent. On conversion rates, so I talked a bit about this on the last call, but just to add some more color conversion rates are continuing to trend in the low-30s and the for new car in the low-20s for used. Sirius XM isn't trading at its lowest levels since early 2016 -- despite kicking off the year with a record 32.4 million self-pay subscribers and churn near its historical lows -- by accident. Thanks. By. Although we continue to be cautious about the overall ad sales market, we still see tailwinds in podcasting. But were still waiting to launch a lot of these underlying capabilities and functionality to be able to support the streaming business, not only for streaming-only subscribers, but also as it continues to support our in-car business through customers listening outside of the car and 360L in the car. Alongside our ad tech success, this quarter, we renewed U.S. and international sales agreements with SoundCloud and our advertising relationship with the owned podcast network. The silver lining here -- as Sirius XM plays old hits to a thinning room with no one calling for an encore -- is that the valuation is surprisingly cheap. Thanks, Stephen. Please proceed with your questions. Sirius XM shares hit a new seven-year low last month. We will also begin to see 360L capable vehicles in our used car trial starts as well. I was hoping you could maybe talk a little bit more about the third-party distribution strategy. It has been a real pleasure to serve this company, its talented employees, and our shareholders as CFO these past two-and-a-half years. We expected Q1 to be a low point in terms of net ads. Please proceed with your questions. But we are actually holding back largely until the launch of the new platform, which is in the fourth quarter. The majority of OEMs have either announced or in process of moving toward that operating system. We'll share progress on future quarterly calls, but the first months of 2023 has already brought several exciting product iterations and consumer offers, providing valuable insights for the full platform relaunch later this year. No, Newsmax TV isn't included in your YouTube TV subscription. SiriusXM executives left open the door to working with both men. Entering text into the input field will update the search result below, materially. How to Watch NewsmaxTV Live Without Cable in 2023 The SiriusXM segment delivered $1.7 billion in revenue, which was down 2%, principally due to lower OEM paid promotional trial revenue reflected in our ARPU of $15.29 and declining subscriber revenue at Connected Vehicle, partially offset by a weighted average subscriber base that was up 1% year over year. All discussions of adjusted operating results exclude the effects of stock-based compensation. WebListen to music, live sports play-by-play, talk & entertainment radio and & favorite podcasts. Learn more about Sling plans and pricing. Sirius XM Scott M. on Twitter: "Same in my house! @FoxNews won't be on Let's get into the best options for everyone. We are already beginning to see benefits from cost reductions implemented in Q1 across every element of our business. SiriusXM bought Conan OBriens Team Coco last year in a $150 million deal that also included a five-year talent agreement for Team Coco staff to collaborate on content, including the new satellite Good morning. Ben Swinburne -- Morgan Stanley -- Analyst. Get your subscription for $40 per month and get access to Newsmax TV and others, like Bloomberg, BBC America, and Cheddar Business. While the exact timing of construction milestone payments can inevitably shift, this gives us a general idea of the trajectory and the scope of spending. Here youve come in and youve updated financial guidance. Any commentary on how those are contributing to either the modest decline or the growing funnel and what we should expect for used car activity this year? I think, GM seems to be somewhat unique in that path. If it has a chance to turn things around, investors don't have to wait long for the next big test. Kelly's new hit, Let's Talk Off Camera, is first released widely as a podcast but also airs on Radio Andy. So that sets us up well for the in-car funnel. Plenty of news shows are airing live now on DirecTV Stream. A connected car offers cheaper alternatives. And of course, that helps with the funnel there. Greg and guests discuss politics and news of the day. Sirius XM ( SIRI 1.35%) Q1 2023 Earnings Call. Invest better with The Motley Fool. Firstly, could you talk a little bit more about what was maybe a little bit better than expected audio number? Like how should we think about the cadence of ARPU from here this year? Its growth is as pedestrian as it is predictable. I mean, the economy, we just had a soft GDP number, a couple of minutes ago. People find their way to our door and we consider a lot of factors, said Scott Greenstein, SiriusXMs Chief Content Officer. So we look at this probably more often than not, but we spend a lot of time looking at this. But SiriusXM has their own ad-revenue on those news shows. Today, we'll have prepared remarks from Jennifer Witz, our chief executive officer; Sean Sullivan, our chief financial officer; and Tom Barry, who will assume the position of CFO tomorrow. Sirius XM offers superior reception. Here's why: If, for whatever reason, watching Newsmax TV on Sling doesn't work for you, we've also rounded up 2 more options and we even divided them up into the best picks for people who also watch lots of sports, news, reality TV, and more. Obviously, as we said at the year-end call that a lot of our free cash flow and a lot of our numbers will be coming in the second half of the year, but we're going to continue with our disciplined approach, as we've used over the last couple of years. We help resolve pain points facing marketers by using greater automation and making buying more efficient. We havent changed the guidance on subscribers, so still expecting modestly negative for the year. Pandoras ad hours were 2.59 billion, declined just 4% year-over-year as hours per active users climbed 4.5% with 21 hours per month. Subscribe to Sling, Fubo TV, or DirecTV Stream to get Newsmax TV on your iOS device. ET. How sizable of a trial acquisition funnel you think that could become over the next few years, and maybe how you see that fitting into the broader digital strategy later this year. I will start on advertising and hand it over to Scott on your second question. Thank you. So I think the impact of OEM prepaid revenue should slowdown in terms of how its flowing through ARPU over time. Great. So its like anything else. With that, I'll hand the call over to Jennifer. $13.95 shipping. I would expect the second half to be positive and that sort of nets us out to the modestly negative. Our advertising business operated under the unified SXM Media banner delivered solid first quarter results bolstered by growth in podcasts and programmatic sales. While our top pick is Sling, there are 2 other ways to watch live programming, including Fubo TV or DirecTV Stream. First of all, Sean, thanks very much. Sirius XM (SIRI) Q4 2022 Earnings Call Transcript, U.S. Money Supply Is Doing Something It Hasn't Done in 90 Years, and It May Signal a Big Move for Stocks, Why I Refuse to Chase the Maximum Social Security Benefit, A Bull Market Is Coming: 3 Stocks to Buy Without Hesitation, 1 Trillion-Dollar Growth Stock Down 28% You'll Regret Not Buying on the Dip, Join Over Half a Million Premium Members And Get More In-Depth Stock Guidance and Research, Motley Fool Issues Rare All In Buy Alert, Copyright, Trademark and Patent Information. Thank you. And I highlighted some of these metrics earlier, but we are seeing definitive increases in conversion rates for trialers, particularly younger trialers are using the features, but also just have 360L capable vehicles. Our next question is coming from the line of Ben Swinburne with Morgan Stanley. And podcasting continues to be a bright spot. And the cost to acquire trials has gone down. SIRI earnings call for the period ending March 31, 2023. The cheapest option is Sling. The investments we are making now will support our remaining valuable low-band customers for several years to come, but we will eventually provide new revenue opportunities. Theyjust revealed what they believe are thetenbest stocksfor investors to buy right now and Sirius XMwasn't one of them! Whether you have a Fire TV Stick or a Cube or another device, you can get access to Newsmax TV. Maybe for Jennifer on distribution, you called out the partnership with Walmart+ announcing the quarter. Because this typical seasonality of our business in terms of receipts versus expenditures, combined with the timing of our capital expenditures we expect to produce a meaningful portion of 2023's free cash flow later in the year. When it cuts to commercial break, notice how its NOT the same ads? Looking at the capital allocation for first quarter of 2023, we returned $160 million to the shareholders comprised of $94 million of dividends and $67 million of stock repurchase, as we reentered the market following our fourth-quarter results. If you're trying to watch Newsmax TV without cable and you also watch a lot of sports, Fubo TV is probably the best pick for you. We advise listeners to not rely unduly on forward-looking statements and disclaim any intent or obligation to update them. And maybe how you see that fitting into the broader digital strategy later this year. And then we just have these solutions in market for advertisers to come in and either buy across our network on an audience basis or buy show level and even custom integrations. At the corporate level, G&A was up 21% with the majority of the increase driven by litigation expenses and investment asset adjustments on our employee deferred comp plan. Satellite Radio Is this happening to you frequently? I think you'll see continuity as I lead our talented finance team and continued our disciplined approach to financial decision-making. With more than a decade's experience working closely together, I know that Tom's deep institutional knowledge and broad finance experience will be invaluable as we drive growth across the business and continue our commitments to customers, employees, and shareholders. Our extensive portfolio includes chart-topping podcast by EarWolf and Team Cocoa and exclusive channels featuring A-list talents like Andy Cohen, [Inaudible], and Conan O'Brien. Cost basis and return based on previous market day close. Good morning. This gives us a general idea of the trajectory and the scope of spending. Thank you. We announced this morning that Mercedes has a plan to roll out, and we are very eager to see it continue to move through our OEM partners. Anything different here going forward that we should be mindful of relative to that we thought about it in the past? And were really focused, again, heads down on investing in this new platform and making sure that that positions us for growth going forward. In particular, what are the things that are going to allow for the streaming-only subscriber losses sort of moderate? To make the world smarter, happier, and richer. Sirius is getting a cut of the $ from those ads on the radio. While this is a great indicator of what's to come, these features are currently only available in a limited number of 360L-enabled vehicles and awareness of these features is still low. An iPad? I would like to remind everyone that certain statements made during the call might be forward-looking statements as the term is defined in the Private Securities Litigation Reform Act of 1995. The investments we are making now will support our remaining valuable low band customers for several years to come, but well eventually provide new revenue opportunities. If you're someone who watches a lot of news, you probably want to subscribe to a streamer with access to the most popular news channels. I was wondering if you talk a little bit to conversion rates. We see significant in-car conversion improvements when trialers engage with features that enable more control in discovery, including our more targeted extra channels, Pandora artist stations, and enhanced recommendations. Jennifer, could you talk a little bit about the subscriber outlook for the rest of the year in particular, what are the things that are going to allow for the streaming only subscriber losses to sort of moderate? Sirius XM's guidance calls for $9 billion in revenue this year, flat with where it landed in 2022. And weve settled in at this sort of range in the low-80s that I think is the optimal place for us going forward. Thanks everybody for participating today. Using our streaming recommendation system, the Flixed team has determined that Sling is the best way for most people to watch what's live on Newsmax TV because it offers the ideal combination of price, channels, and features. Download the SiriusXM Dealer App. I just saw a stat the other day that we watch quite frequently about intent to buy, and it's at one of the highest levels we've seen over the last couple of years. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. And I highlighted some of these metrics earlier, but we are seeing definitive increases in conversion rates for trialers, particularly younger trailers, who are using the features, but also just have 360L capable vehicles. Thanks, Stephen. And so were really well positioned on the podcasting side. WebSiriusXM Satellite Radio is a broadcasting company that offers subscription services that allow you to listen to various channels of music, news, sports, and entertainment. Fubo TV plans start at $69.99. On the self-pay side, I would continue to expect improvement in year-over-year comps as we roll out the rate increase. Putting all this together, adjusted EBITDA of $625 million was down 9% over the prior year. And, Sean, best of luck in your new opportunity. Sirius XM Holdings Inc. (NASDAQ:NASDAQ:SIRI) Q1 2023 Earnings Conference Call April 27, 2023 8:00 AM ETCompany ParticipantsHooper Stevens Senior And again, I kind of apologize for the question, but Id love I cant resist. The upside to the boring turn is that the media stock is consistently profitable. So that sets us up well for the in-car funnel. Devices supported by Sling include: web browsers, Android, iOS, Amazon Fire, Roku, Chromecast, Apple TV, LG/Samsung Smart TVs, and Xbox One. The Howard Stern Show will air live May 13 from the SiriusXM Miami studios, where Stern will be joined on-air by various music and celebrity guests. SiriusXM has an incredibly solid, profitable business today that benefits from a loyal subscriber base and enviable margins. Hooper Stevens. That's right -- theythink these 10stocks are even better buys. Thanks. SiriusXM Some sports might be live on Fubo TV right now. So your commentary on the intent to buy and the improving funnel sounds constructive. So how do you think about conversion rates on new car trials today versus where you were historically, I think, in that sort of mid-30s range? SiriusXM Learn More. Thank you, Jennifer. On the self-pay side, I would continue to expect improvements in year-over-year comps, as we roll out the rate increase, itll be less impactful than the last time we did the rate increase because weve focused primarily on full price plans. Great. It allows us like many other services to update much more frequently our feature set. Podcast And Satellite Radio Businesses Will Be More Closely Aligned, SiriusXM CEO Says. Were increasingly flexible and even agnostic in how we add subscribers and accommodate listening preferences. Sirius followed their initial launch with two more which gives them a total of three active satellites in orbit which deliver high-quality radio programs. Sirius xm Orbiter SB4000/SR4000/SM4000 Receiver * LIFETIME ACTIVE SUBSCRIPTION * Read on to learn which streamers support both your device and Newsmax TV live streams. As we develop our new SiriusXM platform, we are rethinking how we surface and deliver talk content and see opportunities to better combine live shows with on-demand podcasts to serve the diverse preferences of listeners. Oh, thank you. Sirius XM Patriot Our new platform will streamline purchasing and usage in and out of the car, and enhance the value of SiriusXM, making our service worth the premium for a wider range of audience segments. SiriusXM-owned Pandora continues to see its reach shrink, however. What channel is NewsMax on Sirius XM We do expect to see future quarter-over-quarter progress in self-pay net adds but we still anticipate being modestly negative for the full year in aggregate. Newsmax We'll start seeing it actually come through used car trial starts, as well as some of those early cars turnover. And we are just getting started. Sirius XM It's definitely possible to watch Newsmax TV on your Roku device, be it a streaming stick or actual Roku TV. Late last year, Newsmax ventured into radio with The Rob Carson Show in the noon-3 pm daypart at independently owned Talk Radio 680 WCBM Baltimore. Please proceed with your questions. And on that note, Tom if you could just give us an idea, your key priorities coming into the role, sort of whats at the top of the bullet point list on the whiteboard in your office? So Q1 was impacted, as we said, by lower fourth-quarter trials and then third quarter, but Q1 trials have been stronger -- were stronger than Q4. But our team's pick for most people to watch . Entertainment Television, ESPNU, Freeform, FX, INSP, Science, MTV2: Music Television, Animal Planet, BBC America, beIN Sports, CMT, CNBC, Disney Junior, Discovery Life Channel, and more. Harts podcasts will continue to air on satellite radio prior to their release as a podcast, and Hartbeat will also produce broadcast-specific content. But Q1 trials have been stronger, were stronger than Q4. Apr 27, 2023, 8:00 a.m. Read our full review of DirecTV Stream and visit our TV guide to DirecTV Stream to find out what you can watch right now. Just to talk about my whiteboard, what we're focused on. We expect this margin to trend favorably for the remainder of the year. Despite market and business challenges, I'm proud of our good start to the year. With upwards of a thousand hours of DVR space and multiple simultaneous streams available, youll never miss a game. And just on the categories, its been continued improvement in travel, restaurants, casino, even automotive is coming back more, which makes sense and then softness in telecom and some financial services. Im glad you extended your tenure in the media industry here and to Tom, congratulations. Just since it's your first call as CFO, a follow-up to James' question. Sirius XM ( SIRI 1.35%) Q1 2023 Earnings Call. And in particular, with Walmart, we're testing an offer that allows consumers to choose, do they want satellite trial or in-car trial or a streaming trial. Please proceed with your questions. The change in royalties was driven by the expiration of the discounted rates on pre-1972 music as of the end of 2022 and a CRB announced 9% CPI inflator on webcasting performance rights and programming and content expenses climbed 6% due to increased licensing fee and production costs. And then to your question on streaming net ads, we did -- to some extent, we've gone through this hurdle of the reduced marketing spend we had in the fourth quarter, and now we're operating at a much more efficient level. Please proceed with your questions. And I believe that because we were really well positioned to capture late in quarter demand that came in as advertisers started to open up their budgets, because we have these programmatic solutions across music streaming and podcasting. WebIndeed, there is no Newsmax on Sirius XM since the corporation strives to keep its networks fair and independent. You have three options to watch Sirius XM Scott Greenstein, our president and chief content officer, will join Jennifer, Sean, and Tom to take your questions during the Q&A portion of the call. Our team took Fubo TV for a test drive and put all of our thoughts together in our Fubo TV review. As previously discussed, we reduced marketing spend, particularly around streaming in anticipation of product improvements we are launching later this year. The focus comes as advertising has more attention at SiriusXM, despite an ad market that is presenting challenges for most other companies. OK. James, I'll go first. 13. Turning to our content. Talk to you later. And then over time, in the years to come, it will get to 80% of our trial starts. Listen Page - Newsmax Broadcasting Inc Welcome to SiriusXM's First Quarter 2023 Earnings Conference Call. All discussions of adjusted operating results exclude the effects of stock-based compensation. Satellite Radio And that is because we're addressing these pain points. WebComplete replay of the nationally syndicated talk radio show "The Rob Carson Show" by Newsmax Radio. Gross profit in the Pandora and Off-Platform segment was 111 million, down 19% in representing a margin of 24%. The other two components of Sirius XM's full-year outlook -- adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) of roughly $2.7 billion and $1.05 billion in free cash flow -- are well below last year's results. Podcasting ad revenue was up 34% year-over-year in the quarter. At this time, well be conducting a question-and-answer session. Subscribe to Sling, Fubo TV, or DirecTV Stream to get Newsmax TV on Roku. Please proceed with your question. Welcome to SiriusXM's First Quarter 2023 Earnings Conference Call. Well target leverage in the low to mid-3s in light of the macroeconomic factors. For example, we introduced a new in-app onboarding experience for users to select genres allowing faster, more efficient access to the most relevant content. Listeners can hear Kevin show Gold Minds on all major podcast platforms with extended episodes available early to subscribers on his Laugh Out Loud radio channel only on SiriusXM. Question on the new trends. Other channels on DirecTV Stream include: Cable News Network, HLN, Turner Classic Movies, TV Land, A&E, AMC, BET, Bravo, Comedy Central, Discovery Family Channel, E! So I think there is a case to be made for demand to start coming back, maybe some of the pent-up demand to be released, and auto sales to slowly but incrementally improve over the course of the year. Newsmax's Steve Malzberg Show To Air On SiriusXM - All Access [Operator instructions] One moment please will we poll for questions? US satellite radio firm SiriusXM has published its financial results for the first quarter of 2023. Thanks. Despite its lack of ESPN, the service offers almost every league, including NFL, NBA, MLB, NHL, and more. Listeners can hear Kevins show Gold Minds on all major podcast platforms with extended episodes available early to subscribers on his Laugh Out Loud Radio channel only on Sirius XM. And then relatedly, I was just wondering if you could speak to whats going on in the used car market? The majority of our trial funnel as you would expect, is represented by the millions of trial starts that we do every year through our automotive partners. You can watch Newsmax TV on your Pixel or Samsung or Nokia or whatever type of Android you have! Listen to music, live sports radio, the best talk and entertainment radio. And we will continue to be active in generating trials. And I think ultimately, ARPU as well because we can deliver even more content and features to our subscribers. Pause and rewind live radio. Thanks, Matt. https://buff.ly/41pw0RC . [Operator Instructions] Please note this conference is being recorded. And then on to your question on streaming net adds, we did to some extent, weve gone through this hurdle of the reduced marketing spend we had in the fourth quarter, and now were operating at a much more efficient level and the cost to acquire trials has gone down, some of thats market conditions and some of that is more efficiently buying in specific channels. In this quarter, we recorded $2.14 billion of revenue, a modest 2% decline compared to the prior-year period. Sales and marketing expenses are lower by 17% as discussed, while engineering design and development expenses were up 15% on the back of new product investments. We expect to see more rapid feature adoption tied to automakers incorporation of the Android Automotive operating system with our 360L platform beginning later this year. As we approach the launch of our next generation Sirius XM experience, we are confident that the upgrades will boost engagement and customer satisfaction for in-car and streaming-only customers alike. have, you can watch Newsmax TV on an iOS device with ease. And please let me add my welcome to Tom Barry who may be new to this call but is a veteran of SiriusXM and its finance organization since 2009. Supporting this, first quarter vehicle trial starts were up 7% overall compared to the fourth quarter, including a 3% rebound in new vehicle trials and an 11% rebound in used vehicle trials. Do you have -- you usually you guys have a pretty good line of sight on that. We may receive an affiliate commission from product sales generated through these affiliate links. We're investing in the new platforms. That's why we recommend trying Sling. These are some of the easiest to use to get Newsmax TV access without cable. Clearly, with negative 347 this quarter, we are expecting, as we said, improvements quarter-over-quarter.