Sirius XM Holdings Inc
Q4 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: −0.06%.
Did SIRI Beat Earnings? Q4 2025 Results
Sirius XM delivered a deeply split Q4 2025 report, beating revenue expectations while falling well short on the bottom line. The satellite radio giant posted revenue of $2.19 billion, edging past the $2.17 billion consensus by 1.11% and holding essentially flat against the year-ago period at a modest +0.2% growth rate, but earnings told a sharply different story. Diluted EPS of $0.24 missed the $0.77 consensus estimate by 69.02%, with the shortfall driven largely by $272 million in impairment, restructuring, and other charges during the quarter, compared to just $12 million a year earlier, which compressed net income to $99 million from $287 million in Q4 2024. On a brighter note, full-year free cash flow grew 24% to $1.26 billion, and management guided 2026 revenue to approximately $8.50 billion with adjusted EBITDA of roughly $2.60 billion, signaling continued stabilization even as at least one analyst firm downgraded the stock, citing concerns over self-pay subscriber losses and slower ARPU growth heading into the new year.
- Exceeded $250 million in incremental gross cost savings target for 2025
- Free cash flow growth of 24% year-over-year driven by elimination of Liberty transaction costs, lower cash taxes, and lower capex
- Self-pay monthly churn improved to 1.5% from 1.6% year-over-year
- Q4 self-pay net adds of 110,000 aided by Continuous Service launch and companion subscriptions
- Podcasting revenue grew 41% in 2025 on top of 12% growth in 2024
- Advertising revenue increased 4% year-over-year in Q4
“We entered 2025 with renewed strategic focus as a fully independent public company, and we're pleased to have overdelivered on our commitments, finishing the year with a strong fourth quarter, meaningful free cash flow growth, and exceeding our full-year guidance.”
Sirius XM CEO, on the earnings call
Forward Guidance & Outlook
For 2026, Sirius XM guided to total revenue of approximately $8.5 billion, adjusted EBITDA of approximately $2.6 billion, and free cash flow of approximately $1.35 billion. Management expects financial stability and continued free cash flow growth toward a $1.5 billion objective in 2027. The company targets a long-term net leverage ratio in the low-to-mid 3x range, which it expects to achieve by Q4 2026.
SIRI YoY Financials
SIRI Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.