Sirius Make a Comeback

February 26, 2010 | admin | Comments 0

Last year Sirius XM was on the verge of departing from the big broadcasting network in the sky. Saddled with such high debt, bankruptcy was major possibility. John Malone along and with his Liberty Media dropped a large loan with the company for a 40% stake. Today Sirius XM’s stock is worth 20 times more than it was a year ago. It was worth like $6.50, then dropped to something crazy like .08c, and now it is just over a dollar.

Now with former CBS president Mel Karmazin, they reported net income of $14.2 million for the fourth quarter of 2009 vs a net loss over that time in 2008 of almost $246 million. And thanks to strengthening car sales, Sirius XM welcomed 257,000 new subscribers in the fourth quarter. They now have nearly 19 million subscribers. It is projecting revenue growth this year of 7%, up to $2.7 billion. I still say good luck to Sirius, as with pandora, etc, I see know real need to pay for music, unless you want to just hear another celebrity chat all day, so they make even more money.