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Q4 Profits Grow 200% for Sirius-XM As Subscriber Base Swells To Record High

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Northern, WI 02/07/2013 (usmarketbuzz) – An expanding subscriber base helped Sirius XM Radio Inc. (NASDAQ:SIRI)’s fourth quarter profits grow over 200%, the company reported Tuesday. The satellite radio provider also hit record sales for the year 2012 this quarter.

Despite failing to surface beyond analyst’s estimates of $898.7 million gross sales recorded in the fourth quarter marked a 14% growth over the last year’s 4th quarter of $783.7 million and landed at $892.4 million. Net profit for the quarter was $156.2 million as against $71.3 million for Q4 2011. EPS rose 50% to $0.02 compared to last year’s Q4, analysts estimate was 2 cents a share.

The number of total paying subscribers swelled to over 23.9 million after a highest ever increment of 2 million in Q4, 2012. Self-pay net subscribersincreased36%YOY to 1.7 million making the self-pay user base total up to almost 19.6 million, the company revealed.

“Aside from attaining outstanding revenues adjusted EBITDA and free cash flow the company also paid first ever return to shareholders in the history of satellite radio through a special-cash dividend  of $327 million”, CEO Jim Meyer candidly announced. Liberty Media Corporation (NASDAQ:LMCA), which holds a 50.2% stake in the company, is entitled to most of that dividend.

Annual revenuesfor 2012  were13% up from the last year, to a record high of $3.4 billion. 2011 subscription revenues of $2.60 billion increased to $2.96 billion in 2012. Despite a $3.0 billion tax benefit and $133 million loss from debt extinguishment net income rose to $3.5 billion as against $427 million while EPS climbed to $0.51 compared to $0.07 in 2011. Adjusted EBITDA in 2012 was $920 million up 26 percent from $731 million in 2011.

Amid rumorsof going bankrupt in 2008 and a $2 billion share buyback program the company has made an amazing retreat. After hitting rock bottom its stocks, that once plunged to as low as a nickel each have earned a stable slot back to the 2007 levels.

Liberty Media Corporation (NASDAQ:LMCA) is a component of the Nasdaq’s global select tier.

The shares of Sirius XM Radio Inc. (NASDAQ:SIRI) were down by 1.25% to close at $3.16 .

The shares of Liberty Media Corporation (NASDAQ:LMCAD) is at $110.55.

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Top 3 Gainers: Zynga (NASDAQ:ZNGA), Eros International (NYSE:EROS), Borqs Technologies’ (BRQS)

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Zynga (NASDAQ:ZNGA) is up 2.5% after Benchmark reiterated its Buy rating in a look-ahead at Q2 earnings. The firm’s expecting a beat and solid guidance for Q3, and it’s raising its guidance for the fiscal year.

Tailwinds from the pandemic won’t dissipate easily, Benchmark suggests, and the videogame maker’s acquisition of Peak (and with it new “forever franchises” in Toon Blast and Toy Blast) will drive audience, bookings, margins and free cash flow, it says. The firm has an $11 price target, now implying 14% upside.

Eros International (NYSE:EROS) is up 5.8% today, making up the last week’s lost ground, after news that its streaming service Eros Now is partnering with Sony India (SNE +2.3%).

That will mean Eros Now’s app is pre-installed on selected Sony smart televisions in India, along with availability on a large base of existing models (Bravia E series and newer).

The country over the past year has seen a 25% growth in demand for smart TVs, fueled by overall industry growth of 15%, to a record 15M units/year.

Borqs Technologies’ (BRQS) personal safety tracker sees strong market with increased orders from the electronics retail chain in the US.

The boost in product demand comes ahead coronavirus pandemic that provides company to expect delivery of 250K units this year. It reflects over 3x the volume delivered in 2019, the year of its launch.

Borqs’ mobile personal safety devices designed particularly for senior citizens come with panic button, location tracking, and fall detection.

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Tesla, Inc. (TSLA): US agencies investigate fatal Tesla Model 3 crash in Florida

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American safety officials are looking into the circumstances surrounding another fatal Tesla, Inc. (TSLA) crash. Both the NTSB and the NHTSA have confirmed that they’re investigating a collision between a Model 3 and a semi truck in Delray Beach, Florida on March 1st. According to the police report, the truck was turning left to enter a main thoroughfare when the Model 3 crashed into the semi’s trailer, shearing off the car’s roof and killing the driver. It’s not certain if Autopilot was active, although the Model 3 kept traveling for more than 500 yards before coming to a stop.

Why ASDN Could Massively Outperform TSLA in 2019

Tesla said in a statement that it was “deeply saddened” about the collision and was “reaching out” to authorities to cooperate. The NTSB added that it typically takes one to two years to complete investigations like this.

This certainly isn’t the first time US safety agencies have investigated Tesla crashes to determine the possible role of Autopilot. However, there are unusually close parallels to a deadly incident from May 2016, when a Model S driver in Florida struck a trailer. His vehicle had Autopilot engaged and also kept going a significant distance after the crash, although investigators cleared Tesla and noted that the driver in that case ignored safety warnings. While the particular circumstances are different, it wouldn’t be out of the question for agents to compare the two cases.

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Amazon (NASDAQ:AMZN), Qualcomm (NASDAQ:QCOM) Are In News On Monday

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Evercore raises its Amazon (NASDAQ:AMZN) price target from $1,800 to $1,965 saying that gross profit has become a “more important indicator” than Y/Y revenue growth.

Key quote: “As such, we remain bullish on AMZN at least in part because the company’s gross profit is expected to grow ~400bps faster than revenue for AMZN over the next 3 years.”

Why Investors Are Calling ASDN the AMZN of the Sky!

Amazon shares are up 0.9% pre-market to $1,686.

Qualcomm (NASDAQ:QCOM) alleges in a San Diego federal court that Apple (NASDAQ:AAPL) violated three of its patents and asks for tens of millions of dollars in damages.

Qualcomm has filed a series of patent actions against Apple around the world that will conclude before the antitrust trial starting in April, which will hear Apple’s challenge to QCOM’s business model.

Have you seen the article Forbes wrote about the ASDN Flying Passenger Drone and its technology?

U.S. District Judge Dana Sabraw will open an eight-day trial today deciding whether Apple violated Qualcomm’s patents with its iPhones that contain Intel (NASDAQ:INTC) chips.

Qualcomm shares are up 0.8% pre-market to $54.65.

Apple shares are up 0.5% to $175.88.

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