The latest quarterly financials from DISH and Universal Electronics are a mixed bag. DISH Network Corporation (Nasdaq: DISH) reported revenue totaling $3.19 billion for the quarter ending June 30, 2020, compared to $3.21 billion for the corresponding period in 2019.
Net income attributable to DISH Network totaled $452 million for the second quarter 2020, compared to $317 million from the year-ago quarter. Diluted earnings per share were $0.78 for the second quarter, compared to $0.60 per share during the same period of 2019.
DISH TV net subscribers decreased by approximately 40,000 in the second quarter, compared to a net decrease of 79,000 in the year-ago quarter. SLING TV net subscribers decreased by approximately 56,000 in the second quarter compared to a net increase of 48,000 in the year-ago quarter. The company closed the quarter with 11.27 million Pay-TV subscribers, including 9.02 million DISH and 2.25 million Sling subscribers. The company’s quarterly numbers were better than many analysts expected due to the strength of pay per view.
The broadcast and service company states the COVID-19 pandemic has caused significant disruption in certain commercial segments served by DISH, including the hospitality and airline industries. As a result, DISH paused service or provided temporary rate relief for approximately 250,000 commercial accounts and removed those accounts from its ending Pay-TV subscriber count as of March 31, 2020.
During the second quarter, 45,000 of these subscribers resumed normal service. Since DISH did not incur significant expenses related to the return of these commercial subscribers, they were added to the June 30, 2020 DISH TV subscriber count (without being recorded as new subscribers during the second quarter). Therefore, DISH TV’s subscriber count at June 30, 2020 increased by 5,000 subscribers when compared to March 31, 2020.
The Future of Digital Lighting & Control
As a custom integrator, lighting is in demand. Effective communication, education and showcasing the value proposition of LED light fixtures in conjunction with integrative control systems are the keys to overcoming challenges and closing sales in this specialized market. Join us as we discuss the future of digital lighting and control with David Warfel from Light Can Help You and Patrick Laidlaw and Mark Moody from AiSPIRE. Register Now!Universal Electronics Financials Impacted by COVID-19
Universal Electronics Inc. (UEIC) (UEI), (NASDAQ: UEIC) is another electronics company that reported financial results for the three and six months that ended June 30, 2020, and it also beat the expectations of analysts. UEIC is the maker of the Nevo Butler smart home hub.
“Over the past three decades, our innovation and product development have made UEI into a market leader with a strong financial foundation,” says Paul Arling, chairman and CEO, Universal Electronics.
“However, as expected in the current environment, customers have been cautious with their near-term orders, primarily with our traditional home entertainment and security customers. Due to the pandemic, the ability or willingness to install hardware in consumers’ homes, whether it is to establish new service or to upgrade premise equipment, has been significantly disrupted.”
UEI’s financial results for the three months ended June 30 (2020 compared to 2019):
- GAAP net sales were $153.1 million, compared to $193.9 million; Adjusted Non-GAAP net sales were $153.3 million, compared to $193.4 million
- GAAP gross margins were 24.9%, compared to 17.5%; Adjusted Non-GAAP gross margins were 28.5%, compared to 25.2%
- GAAP operating income was $6.5 million, compared to an operating loss of $3.9 million; Adjusted Non-GAAP operating income was $14.5 million, compared to $15.8 million
- GAAP net income was $14.4 million, or $1.02 per diluted share, compared to a net loss of $5.1 million or $0.37 per share; Adjusted Non-GAAP net income was $12.6 million, or $0.89 per diluted share, compared to $11.7 million, or $0.83 per diluted share
- At June 30, 2020, cash and cash equivalents were $58.8 million
If you enjoyed this article and want to receive more valuable industry content like this, click here to sign up for our digital newsletters!