Dish Network Cord-Cutting Woes Accelerate In Q3 2015, Highlighting Satellite

NASDAQ:DISH) activated nearly 751,000 new Pay-TV subscribers in third quarter of fiscal 2015 (3QFY15), compared to 691,000 in the same period previous year.

The company announced on Monday that it lost more than 23,000 subscribers to pay-TV on a new basis during the quarter ending September 30, in comparison with a 12,000 loss for the same period previous year. Dish Network does not break out satellite TV vs. Sling subscribers.

Craig Moffett, an analyst at MoffettNathanson, estimates a loss of 47,000 satellite TV customers, with a gain of 24,000 Sling customers. Finally, Wunderlich reissued a “sell” rating and issued a $65.00 target price on shares of DISH Network Corp in a research note on Friday, July 17th.

In its most recent quarter Dish Network Corporation Class A had actual sales of $ 3832.425M. He contends the Sling service has a high disconnection rate.

UBS analyst John Hodulik, in a research report, estimated that Dish Network added 150,000 Sling subscribers in Q3 but lost 173,000 satellite-TV customers. It provides a range of video services under the DISH brand, with accessibility to a range of channels depending on the amount of subscription.

Dish’s affiliates surrendered 197 spectrum licenses last month after it was found that they were not eligible for small-business discounts.

The full 197 will be re-auctioned after the FCC auction of broadcast airwaves in early 2016.

“Charlie Ergen sits atop a crumbling Pay-TV provider with a very valuable spectrum asset… but it’s not clear who has the money to buy it from him”, MoffettNathanson analysts said.

Analysts on average had expected a profit of 39 cents per share and revenue of $3.79 billion, according to Thomson Reuters I/B/E/S.

Revenue rose marginally to US$3.73 billion.

Dish Network said September-quarter EPS rose 35% from the year-earlier period, to 42 cents, topping consensus estimates.

DISH Network Corp (NASDAQ:DISH) has reported third quarter of fiscal 2015 (3QFY15) earnings on November 9, 2015.

The average estimate among 15 Estimize users was for earnings of $0.47 per share and revenue of $3.81 billion.