Mixed Q2 for Dish


Dish Network lost 19,000 subscribers in the second quarter, widely missing analyst consensus estimates for the period, while revenue and earnings growth were nearly off the charts.
Dish reported revenue of $3.17 billion in the period, a 9.1% increase over the previous year. Net income for the quarter was $257 million (57 cents per share) in the quarter, more than four times the $61 million (14 cents per share) generated in the second quarter last year.
But analysts appeared most concerned with the subscriber losses, which come after the company had seemingly rebounded from the declines of 2008, reporting four straight quarters of customer gains.
And it comes just a few days after its chief rival, DirecTV, reported strong subscriber growth for the period - 515,000 net new customers, including 100,000 additional domestic subscribers.
In a research note, Sanford Bernstein cable and satellite analyst Craig Moffett wrote that Dish said the losses were a result of a spike in churn attributed to "competitive intensity." Analysts consensus estimates for the period were for a gain of 129,000 subscribers.
Dish is scheduled to discuss its quarterly results in a conference call with analysts at noon today.