DIRECTV Earnings: Another Strong Sales Quarter

S&P 500 (NYSE:SPY) component DIRECTV (NASDAQ:DTV) reported its results for the first quarter. DIRECTV acquires and distributes digital entertainment programming in the U.S. and Latin America.

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DIRECTV Earnings Cheat Sheet for the First Quarter

Results: Net income for DIRECTV rose to $731 million ($1.07 per share) vs. $674 million (85 cents per share) in the same quarter a year earlier. This marks a rise of 8.5% from the year-earlier quarter.

Revenue: Rose 11.5% to $7.05 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: DIRECTV fell in line with the mean analyst estimate of $1.07 per share. Analysts were expecting revenue of $7.04 billion.

Quoting Management: “DIRECTV delivered another strong quarter of financial and operating results highlighted by double-digit revenue, EPS and cash flow growth, fueled in part by another quarter of record-setting subscriber growth in Latin America,” said Mike White, president and CEO of DIRECTV. “Our industry leading revenue and earnings growth continues to be driven by the strength of our premier brands, popularity of our differentiated product and service offerings, and an enhanced focus on achieving operational excellence through effective cost management.”

Key Stats:

For the past five quarters, the company has seen double-digit year-over-year percentage revenue growth. Over that span, the company has averaged growth of 12.7%, with the biggest boost coming in the third quarter of the last fiscal year when revenue rose 13.6% from the year earlier quarter.

The company has now seen its net income rise for three quarters in a row. In the fourth quarter of the last fiscal year, net income rose 16.2% and in the third quarter of the last fiscal year, the figure rose 7.7%.

The company fell in line with estimates last quarter after beating forecasts in the previous quarter with net income of $1.02 versus a mean estimate of net income of 91 cents per share.

Looking Forward: Analysts appear increasingly negative about the company’s results for the next quarter. The average estimate for the second quarter has moved down from $1.18 a share to $1.16 over the last ninety days. The average estimate for the fiscal year has seen a bump from $4.35 per share sixty days ago to $4.38.

(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)

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