DirecTV reports profits, but not due to HDTV
DirecTV reported a profit in their quarterly earnings release this morning, but conspicuously absent was any mention of HDTV. The largest satellite company in the country reported earnings of $0.12 a share, which compares with a penny loss in the year ago quarter. Total subscribers increased to 14.7 million, or about 1.7 million more than the previous year.
DirecTV indicated that the average revenue per subscriber was $67.79; a 4% increase. It's the composition of that revenue increase that strikes me: the increase is attributed to three items. Programming prices in general have risen, which is not a surprise. Additional set-top box purchases and more subscribers purchasing local channels make up the rest of the increase.
Isn't the HD package from DirecTV an additional $10.99? Is anyone purchasing the HD package or does it not provide value for the price? I'm just very surprised that with all of the HDTV momentum building, HDTV wasn't even mentioned. It's as if it didn't even contribute to the bottom line. How about it DirecTV subscribers: do you have the HD package? If not, why not? If so, is it worth it?
