DirecTV Group Posts Narrowed Q4 Loss

Jan 27, 2005  •  Post A Comment

DirecTV Group on Thursday reported a narrowed fourth-quarter loss, as robust subscriber growth helped offset a series of one-time charges booked in the quarter.

The El Segundo, Calif.-based company, which has 13.9 million subscribers, reported a net loss of $283 million, or 20 cents a share, compared with year-earlier red ink of $310 million, or 22 cents a share. The 2004 quarter included a $217 million pre-tax charge for DirecTV’s expected sale of its Hughes Network Systems unit and a $45 million pre-tax charge related to the closure of DirecTV Latin America’s Mexico operations.

Revenue jumped 22 percent to $3.4 billion, driven largely by 444,000 net subscriber additions.

For the year, DirecTV reported a widened loss of $1.9 billion, or $1.40 a share, compared with a year-earlier loss of $362 million. The 2004 figure includes a series of charges related to subscriber acquisition and retention, a change in the primary use of two satellites and the sale of DirecTV’s PanAmSat unit.