DIRECTV Misses Q1 Views

reported weaker-than-expected results for the first quarter. The El Segundo, California-based company posted quarterly net income of $730 million, or $1.44 per share, compared to $561 million, or $1.09 per share, in the year-ago quarter. Its revenue climbed 4 percent to $8.14 billion. However, analysts were expecting earnings of $1.53 per share on revenue of $8.15 billion. The average estimate among 8 Estimize users was for earnings of $1.52 per share and revenue of $8.04 billion. DIRECTV U.S. revenue gained 6 percent to $6.46 billion in the quarter, while ARPU rose 5.5 percent to $105.62. Sky Brasil's revenue, excluding changes in foreign exchange rates, rose 2 percent year-over-year. In the quarter, DIRECTV added 279,000 net new subscribers. DirecTV U.S. also added 60,000 net new customers during the quarter. "Our U.S. business generated another strong quarter of results, further demonstrating our company's strong execution, as well as product and brand leadership," said Mike White, president and CEO of DIRECTV. "In the quarter, our focus on high-quality new customers combined with an improving economy to enable our lowest first quarter churn rate in six years. Just as impressive was our highest first quarter ARPU growth in five years, as we continue to generate demand for higher-end services and packages, as well as successfully pass through programming cost increases to our customers." DIRECTV shares fell 0.51 percent to $89.93 in pre-market trading.