During the third quarter, SiriusXM benefited from strength in subscriber additions and churn performance. The company added 298,000 net new self-pay subscribers in the quarter to end the period with approx. 28.5 million self-pay subscribers.
Self-pay monthly churn improved 12 basis points to 1.8% year-over-year. Total net additions were 198,000, leading to around 33.7 million SiriusXM subscribers at quarter-end.
In September, SiriusXM agreed to acquire Pandora Media for about $3.5 billion in an all-stock deal that is expected to close in the first quarter of 2019. The combined entity is expected to generate over $7 billion in pro forma revenue in 2018 along with growth opportunities over the long term.
Pandora to be acquired by SiriusXM to create audio entertainment giant
SiriusXM raised its 2018 guidance for revenue, adjusted EBITDA and self-pay net subscriber additions. Revenues are now expected to be approx. $5.72 billion while adjusted EBITDA is expected to be approx. $2.2 billion. Self-pay net subscriber additions are expected to be approx. 1.27 million in 2018.