SiriusXM Reports First Quarter 2025 Revenue Falls 4%

RADIO ONLINE | Thursday, May 1, 2025 | 6:05pm CT

SiriusXM

SiriusXM today reported first quarter 2025 earnings, posting revenue of $2.07 billion, a 4% decline compared to the same quarter last year. Net income totaled $204 million, down from $241 million in Q1 2024, while adjusted EBITDA came in at $629 million, a 3% year-over-year decrease.

Despite the drop in revenue, SiriusXM reaffirmed its full-year 2025 financial guidance, projecting $8.5 billion in total revenue, $2.6 billion in adjusted EBITDA, and $1.15 billion in free cash flow.

"We entered 2025 focused on what we do best: delivering standout experiences to our core subscribers, curating compelling content, strengthening our advertising business, and enhancing the value of our service," said CEO Jennifer Witz. "I'm pleased with how we've started the year."

CFO Tom Barry noted cost reductions and efficiencies helped offset declines: "We do not anticipate that tariff-related pressure on new car sales will have a material impact on our subscriber or financial performance this year," he added.

SiriusXM segment revenue was $1.6 billion, down 5% year-over-year, due to a 5% drop in subscriber revenue and a 3% decline in average revenue per user (ARPU), which was $14.86. Total SiriusXM subscribers stood at 33 million at the end of Q1, with self-pay subscriber losses narrowing to 303,000-a 16% improvement from Q1 2024. Self-pay monthly churn declined to 1.6%. Subscriber acquisition costs (SAC) rose 11% to $100 million, driven by updated automaker contracts.

Pandora and Off-platform revenue declined 2% to $487 million. Advertising revenue dipped 2% to $355 million amid a softer digital ad market, though podcast revenue grew 33% year-over-year.

The company returned $91 million to shareholders via dividends and repurchased $25 million in stock during the quarter. SiriusXM ended the quarter with a net debt-to-adjusted EBITDA ratio of 3.8x and said it remains committed to capital discipline and long-term leverage targets in the low-to-mid 3x range.