DirecTV reported on Thursday an increase in fourth quarter net income by 31% to $942 million mainly due to addition of 761,000 new subscribers mostly from Latin America.
The satellite TV giant said fourth quarter 2012 revenues rose by 8% to $8.05 billion, operating profit before depreciation and amortization increased by 8% to $1.92 billion, and operating profit rose by 7% to $1.30 billion compared to last year's fourth quarter.
Mike White, Chairman, President and CEO of DirecTV, said the company gained the largest annual net subscriber gain in its history in 2012 with nearly 3.8 million net customers added including Sky Mexico. This has resulted in over 35 million subscribers with nearly $30 billion in revenues, a 32% increase in diluted EPS to $4.58, and a 13% increase in free cash flow to $2.3 billion in 2012.
White also announced a share repurchase plan — highlighted by the approval of a new $4 billion buyback authorization, which he said will continue to create significant shareholder value for years to come.
DirecTV fourth quarter revenues of $8.05 billion increased 8% principally due to subscriber growth in Latin America and in the U.S. Operating profit before depreciation and amortization (OPBDA) increased 8% to $1.92 billion, and operating profit increased 7% to $1.30 billion in the quarter compared with the same period last year.
Net income increased 31% to $942 million and diluted earnings per share improved 52.0% to $1.55 compared with the fourth quarter of last year.
DirecTV’s full year 2012 revenues increased 9% to $29.74 billion over 2011 due mainly to subscriber growth in Latin American and in the U.S., as well as higher ARPU at DirecTV U.S. Net income increased 13% to $2.95 billion and diluted earnings per share improved 32% to $4.58 in 2012.
During the past year, DirecTV Latin America set a record with 4.4 million gross additions and 2.4 million net additions while Sky Mexico added 1.1 million net new subscribers. DirecTV U.S. added 199,000 net new customers in 2012.
