Financial Data and Key Metrics - Consolidated revenue for Q2 2024 was $2.18 billion, a 3% decrease YoY, primarily driven by a 5% drop in SiriusXM subscriber revenue to $1.52 billion [14] - Adjusted EBITDA remained flat YoY at $702 million but increased 8% sequentially, with an adjusted EBITDA margin of 32% [15] - Free cash flow increased 6% YoY to $343 million, driven by lower cash taxes paid [19] - Self-pay subscribers declined by 100,000, an improvement compared to the same quarter last year, with voluntary churn reduction being a key factor [14] - Paid promotional subscribers decreased by 73,000 due to automakers shifting from paid to unpaid promotional subscriptions [14] Business Line Performance - SiriusXM segment revenue was $1.64 billion, with subscriber revenue declining 5%, advertising revenue dropping 4%, and equipment revenue remaining flat YoY [16] - Pandora and off-platform segment revenue increased 2% YoY to $538 million, driven by an 8% increase in subscriber revenue from rate hikes on Pandora premium and plus subscriptions [17] - Advertising revenue in the Pandora segment remained flat at $400 million, with ad hours declining 5% YoY to 2.6 billion [17] - Gross profit in the SiriusXM segment declined 6% YoY to $986 million, with a margin drop of 1 percentage point to 60% [16] - Pandora segment gross profit increased 18% YoY to $180 million, reflecting a gross margin of 33% [18] Market and Advertising Trends - Advertising revenue remained flat YoY at $443 million, with growth in political and pharma categories offsetting headwinds in other industries [10] - Programmatic advertising grew 10% YoY, with podcasting programmatic revenue up nearly 60% [10] - The company is leveraging Unified ID 2.0 with The Trade Desk to enhance programmatic capabilities [10] - Podcasting continues to attract significant ad spend, with several brands spending over $1 million on podcast offerings year-to-date [10] Strategic Priorities and Industry Competition - The company is focusing on three strategic priorities: enhancing the subscription business, driving advertising growth, and maintaining financial success through optimization [6] - New subscription packages are being introduced, including a $9.99 music-only package with add-ons for talk, news, and sports, aimed at improving retention and reducing reliance on promotional plans [32] - The company is leveraging AI in customer support and self-serve audio advertising creative development to drive efficiencies [11] - SiriusXM is expanding its content portfolio, including exclusive podcast deals and live programming, to attract and retain subscribers [11][29] Management Commentary on Operating Environment and Future Outlook - Management remains confident in the company's long-term growth potential, citing strong retention rates, customer satisfaction, and industry-leading profitability [12] - The company expects to see improvements in ad revenue in the second half of 2024, driven by political ads and programmatic growth [26][27] - SiriusXM is focused on leveraging its content and technology to drive future growth, particularly in podcasting and live programming [29] - The company is reiterating its full-year 2024 financial guidance and expects the Liberty Media transaction to close on September 9, 2024 [13] Other Key Information - SiriusXM launched a free ad-supported version of its service in select vehicles, offering limited music and talk channels with ads, aimed at engaging potential customers post-trial [9] - The company is opening a European tech hub in the second half of 2024 to support technology and product investments in a tax-efficient manner [18] - SiriusXM paid $103 million in dividends during Q2 2024 and ended the quarter with a net debt to adjusted EBITDA ratio of 3.2x [19] Q&A Session Summary Question: Conversion rates and ARPU outlook [21] - Conversion rates are stabilizing, particularly among younger first-time trialers, with personalized marketing journeys expected to improve post-trial conversion rates [22] - ARPU is expected to remain stable, with the company planning to maintain its every-other-year rate increase cadence while offering tiered subscription packages [23] Question: Advertising growth drivers and content opportunities [25] - Advertising growth is expected in the second half of 2024, driven by political ads and programmatic capabilities [26] - Podcasting and live programming are seen as key growth areas, with exclusive content deals and live sports rights providing significant opportunities [29] Question: Impact of new subscription packages on P&L [31] - New subscription packages are expected to drive demand and improve retention, with impacts on metrics captured in guidance [32] - The company expects self-pay net adds to improve year-over-year, though the improvement will be less negative rather than positive [34] Question: Streaming experience and cost performance [37] - The company is building a next-generation streaming platform, with positive momentum in streaming metrics and personalized marketing journeys [38] - Cost performance in Q2 was driven by $50 million in savings from workforce streamlining and cost optimization initiatives [39] Question: Free ad-supported plans and cannibalization risk [41] - Free ad-supported plans are expected to have minimal cannibalization risk, as they offer a reduced content set with ads [42] - Over time, the company expects to leverage IP-targeted ads to improve ad revenue across both free and paid subscriptions [44] Question: Self-pay outlook and OEM agreements [48] - The company expects self-pay net adds to improve year-over-year, with uncertainty tied to new and used car sales [49] - The shift to unpaid trials in OEM agreements is a long-term trend, driven by adjustments in economic terms as agreements are extended [49]

Subscriber Metrics - As of June 30, 2024, Sirius XM had approximately 33.3 million subscribers[205] - As of June 30, 2024, Pandora had approximately 45.1 million monthly active users and 6.0 million subscribers[208] - As of June 30, 2024, Sirius XM had approximately 33,257 subscribers, a decrease of 806, or 2%, from 34,063 subscribers as of June 30, 2023[293] - At June 30, 2024, Pandora had approximately 5,951 subscribers, a decrease of 319, or 5%, from 6,270 subscribers as of June 30, 2023[298] - For the three months ended June 30, 2024, net subscriber additions were (173), a decrease of 212 compared to 39 net additions in the same period of 2023[294] - Average self-pay monthly churn rate was 1.5% for both the three months ended June 30, 2024, and 2023[295] Revenue Sources - The primary revenue source for Sirius XM is subscription fees, with additional revenue from advertising on select non-music channels[205] - The majority of revenue from Pandora is generated from advertising on the ad-supported radio service[209] - Sirius XM's subscriber revenue for Q2 2024 was $1,520 million, down 5% from $1,597 million in Q2 2023, with a six-month total of $3,067 million, a decrease of 3% from $3,160 million[223][225] - Total consolidated revenue for Q2 2024 was $2,178 million, a decrease of 3% from $2,250 million in Q2 2023, with a six-month total of $4,340 million, down 1% from $4,394 million[238] - Sirius XM's advertising revenue for Q2 2024 was $43 million, down 4% from $45 million in Q2 2023, while for the six months it remained stable at $83 million compared to $85 million[227] - Pandora and Off-platform subscriber revenue increased by 8% to $138 million in Q2 2024 from $128 million in Q2 2023, with a six-month total of $271 million, up 5% from $257 million[233] Operating Expenses - Total operating expenses for Q2 2024 were $1,673 million, a decrease of 6% from $1,771 million in Q2 2023, with a six-month total of $3,398 million, down 3% from $3,503 million[240] - For the three months ended June 30, 2024, customer service and billing expenses decreased by 13% to $87 million compared to $100 million in the same period of 2023[245] - For the three months ended June 30, 2024, transmission expenses increased by 20% to $49 million compared to $41 million in the same period of 2023[248] - For the three months ended June 30, 2024, cost of equipment decreased by 33% to $2 million compared to $3 million in the same period of 2023[250] - For the three months ended June 30, 2024, revenue share and royalties decreased by 3% to $317 million compared to $327 million in the same period of 2023[254] - For the three months ended June 30, 2024, programming and content expenses decreased by 28% to $13 million compared to $18 million in the same period of 2023[256] - For the three months ended June 30, 2024, sales and marketing expenses increased by 4% to $228 million compared to $220 million in the same period of 2023[267] - For the three months ended June 30, 2024, general and administrative expenses decreased by 31% to $108 million compared to $157 million in the same period of 2023[271] - For the three months ended June 30, 2024, interest expense decreased to $102 million from $107 million in the same period of 2023[277] Net Income and Cash Flow - Net income for Q2 2024 was $316 million, a slight increase of 2% from $310 million in Q2 2023, with a six-month total of $582 million, up 7% from $543 million[239] - Free cash flow for the three months ended June 30, 2024, was $343 million, an increase of 6%, or $20 million, from $323 million in the same period of 2023[305] - Net cash provided by operating activities increased by $21 million to $822 million for the six months ended June 30, 2024, from $801 million in the same period of 2023[308] - Cash, cash equivalents, and restricted cash at the end of the period were $108 million, an increase of $49 million from $59 million at the end of the same period in 2023[307] - Net cash provided by operating activities increased to $514 million in Q2 2024 from $451 million in Q2 2023, and for the first half of 2024, it rose to $822 million from $801 million[333] Future Expectations - Sirius XM expects a decrease in subscriber revenues due to a decline in average subscribers and lower average subscription prices[226] - The company anticipates an increase in Pandora and Off-platform advertising revenue driven by growth in podcast and programmatic revenue[237] - The company expects subscriber acquisition costs to increase due to growth in penetration with certain automakers and higher subsidies[265] - Sirius XM expects overall revenue share and royalty costs to decrease due to lower eligible subscription revenue, despite higher royalty rates[241] Capital and Financing - The board of directors authorized a total of $18,000 for common stock repurchase, with cumulative repurchases totaling $16,834 as of June 30, 2024[318] - A quarterly dividend of $0.0266 per share was declared on July 24, 2024, payable on August 26, 2024[321] - The company expects to fund future stock repurchases and dividend payments through existing cash, cash flow from operations, and borrowings[313] - Cash flows used in financing activities included repayments of $1,002 under the Credit Facility and $205 in cash dividends for the six months ended June 30, 2024[312] - As of June 30, 2024, $350 of borrowings were outstanding under the Credit Facility, with $1,400 available for future borrowing[313] Debt and Interest Rates - The company’s debt includes fixed-rate instruments, with variable interest rates on borrowings under the Credit Facility, which are sensitive to interest rate changes[339] - The company plans to potentially hedge against interest rate fluctuations using various financial instruments in the future[339] Business Strategy - Sirius XM is undergoing a split-off transaction with Liberty Media, which will result in New Sirius combining with Holdings[213] - The revised exchange ratio in the Reorganization Agreement reduces the number of shares of New Sirius Common Stock issued by 90%[216] - Sirius XM Radio Inc. intends to convert to a Delaware limited liability company prior to the closing of the transaction[218] - The company regularly evaluates its business plans, which may lead to significant changes in cash requirements and strategic opportunities[315]

Sirius XM (SIRI) came out with quarterly earnings of $0.08 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.08 per share a year ago. These figures are adjusted for non-recurring items.A quarter ago, it was expected that this satellite radio company would post earnings of $0.06 per share when it actually produced earnings of $0.07, delivering a surprise of 16.67%.Over the last four quarters, the company has surpassed consensus EPS estimates three times.Sirius XM, which be ...

Exhibit 99.1 SiriusXM Reports Second Quarter 2024 Operating and Financial Results NEW YORK – August 1, 2024 – SiriusXM today announced second quarter 2024 operating and financial results, including revenue of $2.18 billion, a decrease of 3% compared to the second quarter of 2023. The company recorded net income of $316 million in the second quarter of 2024 compared to $310 million in the prior year's second quarter. Net income per diluted common share was $0.08 in both the second quarter of 2024 and the sec ...

MIAMI BEACH, FLORIDA - JULY 31: UPSAHL speaks with Mack & Jen at SiriusXM Studios on July 31, 2024 ... [+] in Miami Beach, Florida. (Photo by Ivan Apfel/Getty Images)Getty ImagesSirius XM (NASDAQ: SIRI), a leading provider of satellite radio, is scheduled to announce its fiscal second-quarter results on Thursday, August 1. We expect Sirius XM stock to likely trade lower with revenues beating and earnings missing market expectations in the second quarter results. SIRI stock has declined 34% from $5.47 to $3. ...

The satellite radio provider is up 45% since bottoming out last month. There is still more potential upside.One of this year's biggest laggards is showing signs of life this summer. Shares of Sirius XM Holdings (SIRI -1.84%) have soared 45% since bottoming out in June. It's a big jump for any stock, but the satellite radio provider is still trading 35% lower so far in 2024.The stock has been on the move lately. It's going to be even more volatile this week. Sirius XM reports its second-quarter results on Th ...

Core Viewpoint - Sirius XM (SIRI) is expected to report second-quarter 2024 earnings on August 1, with earnings per share estimated at 8 cents, unchanged from the previous year, and revenues projected at $2.2 billion, reflecting a 2.02% decline year over year [1] Group 1: Earnings and Revenue Estimates - The Zacks Consensus Estimate for second-quarter earnings has remained constant at 8 cents per share, consistent with the year-ago quarter [1] - The consensus mark for revenues is pegged at $2.2 billion, indicating a 2.02% decrease from the year-ago quarter's reported figure [1] - The company has beaten the Zacks Consensus Estimate in each of the last four quarters, with an average surprise of 14.44% [1] Group 2: Subscriber and Advertisement Revenue Trends - Subscriber revenues are expected to decline, with the first quarter showing a 1% decrease year over year to $1.7 billion, and the second-quarter estimate at $1.66 billion, indicating a 3.6% decline [2] - Advertisement revenues in the first quarter increased by 7% year over year to $402 million, with the second-quarter estimate at $457.9 million, indicating a rise of 2.9% year over year [3] Group 3: Competitive Landscape and Content Strategy - Sirius XM faces intense competition in the streaming space from companies like Apple and Spotify, which may impact revenue growth [3] - The company continues to enhance its content offerings, including extensive coverage of major sporting events and a diverse range of content across music, politics, news, and sports [3] Group 4: Earnings Prediction Model - According to the Zacks model, Sirius XM has an Earnings ESP of 0.00% and a Zacks Rank of 3 (Hold), indicating lower odds of an earnings beat [4]

Wall Street analysts expect Sirius XM (SIRI) to post quarterly earnings of $0.08 per share in its upcoming report, which indicates no change from the year-ago quarter. Revenues are expected to be $2.2 billion, down 2% from the year-ago quarter.The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.Before a company announces its earnings, it is essent ...

SiriusXM (SIRI) is set to exclusively broadcast the 152nd Open golf championship nationwide. The championship will be played at the Royal Troon Club in Scotland from Jul 18 to Jul 21, 2024.SiriusXM will air more than 45 hours of live coverage across all four rounds. It will be aired on SIRI’s The Open Radio channel, which is available on the SiriusXM app and for listeners in their cars on channel 92.The broadcast team will feature Marcus Buckland, Sue Thearle, Ron Jones, Matt Adams, Sophie Walker, Raymond B ...

Is Sirius XM a hidden gem or a stock to avoid? Here's what you need to know.Satellite radio veteran Sirius XM Holdings (SIRI 2.77%) broke out of a long standstill in 2023, but not in a good way. After trading sideways for two and a half years, Sirius' stock chart started to buckle. The trading pattern turned volatile last year, falling as much as 41% with a peak gain of 34%, before ending the year just 6% lower.The bears are winning the Sirius battle in 2024. The stock is down by 33% year-to-date, and that' ...