UPDATE: DirecTV Posts Better-Than-Expected Q3 Profit, But US Subscribers Decline

DirecTV

reported upbeat profit for the third quarter. The El Segundo, California-based company reported a quarterly profit of $611 million, or $1.21 per share, versus a year-ago profit of $699 million, or $1.28 per share. Excluding non-recurring items, DirecTV's adjusted earnings came in at $1.33 per share. Its revenue climbed 6% to $8.37 billion. However, analysts were expecting earnings of $1.30 per share on revenue of $8.3 billion. In the US, the company's sales rose 5% to $6.51 billion. The company's US subscriber net losses were around 28,000, versus subscriber net additions of 139,000 in the year-ago period. Average monthly churn rose to 1.73% from 1.61% last year, while ARPU gained 4.8% in the quarter. Adjusted OPBDA and adjusted operating profit both rose 5% to $2.04 billion from $1.28 billion. “Our third quarter financial results continue to demonstrate the strong execution of our operations,” said Mike White, President and CEO of DIRECTV. “In the U.S., although competition for subscribers continues to be intense, revenue growth was very solid while operating profit before depreciation and amortization margin expanded year-over-year for the fifth consecutive quarter, highlighting our commitment to profitably grow our businesses through disciplined subscriber acquisitions and expense management, as well as smart pricing.” DirecTV shares rose 0.49% to $88.25 in pre-market trading.