Dish Network net income falls in 3rd quarter but subscriber base increases

Monday, November 9, 2009

Dish Network 3rd-quarter profit falls

ENGLEWOOD, Colo. — Dish Network Corp. said Monday third-quarter profit fell 12 percent as its subscriber base edged up.

The second-largest satellite TV provider in the U.S. says profit totaled $81 million, down from $92 million a year ago.

Revenue for the three months ended Sept. 30 edged down nearly 2 percent to $2.89 billion from $2.94 billion last year.

Dish says it gained about 241,000 net subscribers, up nearly 2 percent to 13.9 million.

Separately, the company, in Englewood, Colo., issued a one-time dividend of $2, payable Dec. 2 to shareholders of record on Nov. 20.

Dish is widely regarded as one of the weaker players in the pay-TV industry, which encompasses cable, satellite TV and phone companies that provide TV services. Dish focuses on being the low-cost provider, but that strategy hasn’t led to growth amid cable and phone company discounts on their triple-play bundles of phone, Internet and cable TV.

In premarket trading, shares of Dish Network rose to $19.43 from Friday’s close of $19.15.

(This version REVERSES and CORRECTS the net income figures in the second paragraph.)


November 12, 2009: 3:18 pm

I heard this a little too late. I would have dumped some money into DISH stock or option calls! Even though their profit dropped, they added a ton of new customers. The profit decrease was primarily due to the settlement.

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