Dish Network Misses Estimates on Rising Subscriber Costs

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By Trey Thoelcke Published
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Disappointing average revenue per user resulted in an earnings miss for Dish Network Corp. (NASDAQ: DISH).

The second-largest U.S. satellite-television provider said this morning that its quarterly earnings came to $0.50 per share and revenue totaled $3.57 billion. Both the top and bottom line figures fell short of the consensus estimates of analysts. Sales declined 0.5% from a year ago, while net income fell to $225.7 million from $334.8 million.

The company said previously in a regulatory filing that it lost 10,000 net subscribers in the three months ended June 30, but that was a vast improvement from a year earlier when the company lost 135,000 subscribers.

“In the face of a difficult economy and stiff competition, a disciplined approach to subscriber acquisition and retention is paying off,” said CEO and president Joseph Clayton. “Our focus has overcome the seasonality of the second quarter with year-over-year growth in gross activations and a reduction in churn.”

Competitor DirecTV (NASDAQ: DTV) reported results earlier this week that fell short of EPS estimates while revenue was in line with expectations.

Dish Network shares closed Tuesday at $30.67, in a 52-week trading range of $20.89 to $35.64. Thomson Reuters had a consensus analyst price target of $34.10 before this news.

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About the Author Trey Thoelcke →

Trey has been an editor and author at 24/7 Wall St. for more than a decade, where he has published thousands of articles analyzing corporate earnings, dividend stocks, short interest, insider buying, private equity, and market trends. His comprehensive coverage spans the full spectrum of financial markets, from blue-chip stalwarts to emerging growth companies.

Beyond 24/7 Wall St., Trey has created and edited financial content for Benzinga and AOL's BloggingStocks, contributing additional hundreds of articles to the investment community. He previously oversaw the 24/7 Climate Insights site, managing editorial operations and content strategy, and currently oversees and creates content for My Investing News.

Trey's editorial expertise extends across multiple publishing environments. He served as production editor at Dearborn Financial Publishing and development editor at Kaplan, where he helped shape financial education materials. Earlier in his career, he worked as a writer-producer at SVE. His freelance editing portfolio includes work for prestigious clients such as Sage Publications, Rand McNally, the Institute for Supply Management, the American Library Association, Eggplant Literary Productions, and Spiegel.

Outside of financial journalism, Trey writes fiction and has been an active member of the writing community for years, overseeing a long-running critique group and moderating workshop sessions at regional conventions. He lives with his family in an old house in the Midwest.

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