The virtual MVPD is the target of calls on Capitol Hill and from broadcast network television station affiliate owners for retransmission consent fees similar to what traditional cable TV providers have enjoyed for years.
Just how is the direct broadcast satellite business doing, as cord-cutting has accelerated the shift to the “vMVPD”? Net pay TV subscriber decreases were higher year-over-year for DISH Network. But, other business components helped the company led by Charlie Ergen — for now, given the news that EchoStar and DISH are merging — beat Wall Street forecasts with its Q2 2023 earnings per share.
DISH’s Q2 revenue fell from $4.21 billion to $3.91 billion. But, this was anticipated, and the 12 analysts polled by Yahoo! Finance anticipated revenue of $3.9 billion, based on its consensus estimate.
Net income came in at $200 million ($0.31 per diluted share), dipping from $523 million ($0.82). Again, analysts knew a year-over-year decline was coming, and their EPS consensus estimate was $0.29.
In pre-market trading on Tuesday, DISH was slightly down, however — perhaps a reaction to the EchoStar announcement (see the RBR.com homepage for this story).
For DISH, the second quarter was a tale of two business arms. And, both did not grow their respective customer bases during the three-month period ending June 30.
Pay-TV
Net pay-TV subscribers decreased approximately 294,000 in the second quarter, compared to a decrease of approximately 257,000 in the year-ago quarter. The company closed the quarter with 8.90 million pay-TV subscribers, including 6.90 million DISH TV subscribers and 2.00 million SLING TV subscribers.
The decline from the third quarter of 2021, however, is jaw-dropping. In that quarter, DISH had 10.98 million pay-TV subscribers. Both DISH TV and Sling TV have experienced declines over the two-year period.
Wireless
Retail wireless net subscribers decreased by approximately 188,000 in the second quarter, compared to a net decrease of 210,000 in the year-ago quarter. The company closed the quarter with 7.73 million retail wireless subscribers.
