EchoStar Loses 348,000 Pay TV Subs in 1st Quarter

EchoStar said it lost another 348,000 pay TV subscribers so far this year, closing the first quarter with 8.18 million subscribers. That total includes 6.26 million Dish Network satellite-TV subscribers and 1.92 million Sling TV virtual multichannel video programming distributor (MVPD) customers.

The company said the losses resulted from its emphasis on acquiring higher-quality subscribers.

Operating income before depreciation and amortization for EchoStar’s pay TV business dropped to $755.5 million from $777.6 million a year ago. Pay TV revenue fell to $2.7 billion from nearly $3 billion a year ago.

Overall, EchoStar said it lost $107.4 million, or 40 cents a share, in the quarter, compared to net income of $253.5 million a year ago, or 82 cents a share.

Total revenue dropped 9% to 4.01 billion.

“The EchoStar team performed as planned in the first quarter of 2024. We concentrated efforts on integrating the EchoStar and Dish Network businesses in order to maximize synergies and cost savings, facilitate growth opportunities, and drive operational alignment,” CEO Hamid Akhavan said. “Overall, ARPU increased in every business unit and customer satisfaction has improved. In addition, the business continues to focus on addressing necessary financing, improving our position in retail wireless, densifying and expanding the wireless network, maximizing our profitability with the newly launched EchoStar XXIV/Jupiter 3, and acquiring higher-quality pay TV customers.”