DirecTV Announces 2008 Financial Performance

February 13, 2009

By Mike Peters

The DirecTV Group has reported that fourth quarter 2008 revenues increased nine percent to $5.31 billion compared to last year's fourth quarter.

DirecTV Reports Strong Growth in 2008

Chase Carey, president and CEO of the DirecTV Group, Inc., said that strong fourth quarter financial results capped the best year ever for DirecTV in both the United States and Latin America. Company highlights included revenue growth of over 14 percent to nearly $20 billion. This is the highest operating profit before depreciation and amortization (OPBDA) margin in the company's history.

"Clearly DirecTV's strong brand and message of offering the best television experience is resonating with consumers as we saw the best quarterly net subscriber growth in over three years at DirecTV U.S.," Carey said.

Strong Customer Demand Gives DirecTV Best Year on Record

Carey added that strong consumer demand contributed to an eight percent increase in revenues, while OPBDA increased five percent in the quarter. Revenue and OPBDA growth were impacted by greater promotional activity for both new and existing customers, as well as an increase in the number of customers signing up for advanced services resulting in higher equipment and installation costs. In terms of the full year 2008, DirecTV U.S. revenue, OPBDA, and OPBDA margin reached record levels and cash flow was more than 73 percent higher than 2007.

DirecTV Latin America Has Best Year Ever

Carey also remarked that results at DirecTV Latin America (DTVLA) were also strong for the quarter and full year and that net subscriber additions of 160,000 in the fourth quarter boosted DTVLA to its best year ever.