Tomahawk, WI 11/08/2013 (BasicsMedia) – Sirius XM Radio Inc (NASDAQ:SIRI) is a satellite radio broadcasting company that is on a recovery path after the hard hit economic crisis that saw its stock drop from a high $7 it ones traded to a low of only 20 cents a share. Since being bailed out by Liberty Media, Sirius XM has been posting good returns with its stock clocking a high of $4 a share for this year. The economic crisis of 2009 resulted in cars sales considerably decreasing which is a major proponent of Sirius XM business, the radio broadcasting company offers radio satellite services thus heavily relies on cars sales.

 The company in its Q3 report reported 5 cent dividend on each share held accompanied with few multi-billion dollar buybacks. The company gross revenue for the third quarter increased to clock a high time high after the economic crisis of $961 million as compared to last year same quarter of $867 million. The third quarter earnings were as high as compared to the first and second quarter’s revenue incomes of $897.4 million and $940 million respectively. This is a positive indication of an upward trajectory that should be a major boost to investors. The company is thus inline to meet its total gross income for the year of $3.7 billion. Whoever said the radio is dead must have been wrong considering the company has been recording consistent growth over the past three years

Sirius XM in 2011 posted total income of $3.01 billion, 2012 $3.40 billion. This is a clear indication the radio has not been killed by the perceived mega weights in the name of video and internet. Based on third quarter earnings more and more people are paying attention to Sirius a good thing that should maintain its stable growth pattern. Sirius currently commands a huge subscriber base totaling 25.6 million which is a 9% increment compared to last year. The company in the third quarter alone was able to add a total of 513,000 new subscribers of which if it continues is in line to surpass any set analyst expectation in terms of gross income. Sirius also enjoys a total of $20.7 million self-paying customers who continuously and consistently renew their monthly Sirius plans. The large customer base assures Sirius XM of a consistent cash flow thus improving its sustainability and stability in the market.

 The upward growth trend looks set to continue as the company recently announced full completion of the purchase of the Connected Vehicle Unit of Agero. With this new venture Sirius XM will rename the new business Sirius XM Connected Vehicle Services Inc. This is an indication of a company with good cash balances able to acquire new profitable ventures to boost its trading volumes in the coming years and boost its revenue. The company projects annual total revenue of $3.7 billion for the year which is low as compared to investors’ expectations. The interest on Debt for the acquisition of Agero is perceived as the main reason for the low year revenue projections.

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