Sirius XM Radio



Sirius XM Radio - Financial Analysis

Introduction

Overview of the company

Sirius XM Radio is an American based company that has been providing satellite services across United States. This company is one of the largest radio broadcasters with respect of revenue and has more than 24 million subscribers. They also has subsidiary in Canada named Sirius XM Canada that provide services across Canada.

This company was established by Martine Rothblatt, David Margolese and Robert Briskman in 1990 in Washington DC (Sirius XM Radio Annual report, 2012).

Services of Sirius XM Radio

Sirius XM Radio is known because of its commercial free broadcasting of music by the help of developing premier sports and live events. Sirius XM Radio also offers news, exclusive talk, comedy and entertainment. Nevertheless, the most inclusive line-up of commercial free music (Latin), sport with talk programming in radio.

They have offer facilitates i.e. content through different medium such as online, satellite and the most easily medium i.e. Apple iPad, Torch iPod, iPhone, Android-powered smartphones other connected devices (Sirius XM Radio Annual report, 2012).

Other services of Sirius XM Radio

Beside above state services, Sirius XM is one of the largest companies of pure play audio entertainment in the world and also in United States they are among the largest subscription media companies that offers impressive collection of elite content which lengthen almost entire genres and interest which consist of Oprah Winfrey, Howard Stern, Opie & Anthony, Cristina Saralegui, The Grateful Dead etc.

This is a final and decisive end for sports fans that not only offers sports listeners the complete summary but also they can access to live play-by-play via NFL, NASCAR®, Major League Baseball®, PGA TOUR®, IZOD IndyCar® Series, FORMULA 1 and things related to such things (Sirius XM Radio Annual report, 2012).

They have contacts with each major automaker of the world in order to install satellite radio in their vehicles. The products for home, car ad office can easily be access through their website or through their retail shop located nation-wide.

They also offer premium weather and traffic data and information to different vehicle subscribers through different links and Marine connection.

They major focus is on integrity, excellence with diversity within its employees and for their major clients (Sirius XM Radio Annual report, 2012).

Financial Highlight

In 2012, company had launched new product named SiriusXM on demand in order to facilities internet users. This product increases their overall productivity in 2012. They have faced a considerable competition from listener as well advertisers' perspective. Total revenue in 2012 increased from 3,014,524 to 3,402,040 i.e.12.85% while total net income increased to 3,472,702 from 426,961 in 2012 i.e. 713% increase and the reason for increase abnormal increase was due to Income tax benefit (expense). In 2012, company paid their long-term borrowings worth of $915,824 while they have financed certain project worth of $383,641. Company also paid dividend to the shareholders worth of $327,062 in 2012. Cash and cash equivalents at end of period was much less than 2011 ...