XM Satellite Radio added a record 541,140 net subscribers in its 2005 first quarter , a 68 percent increase over the 321,675 net subscriber additions recorded in the first quarter of 2004, the company said. XM finished the first quarter of 2005 with 3.77 million subscribers.
The company attributed the growth to strong sales in the retail aftermarket, which accounted for nearly 60 percent of the total net subscriber additions, driven by demand for the Roady2, SKYFi2 and the MyFi wearable receiver. The company reiterated its target of 5.5 million subscribers by the end of 2005.
XM reported a net loss of $119.9 million for the first quarter of 2005, down from a $170.1 million net loss in the 2004 first quarter. Revenues during the first quarter of 2005 were $102.6 million, up from $43 million reported during the first quarter of 2004. Cost per gross addition (CPGA) dropped to $90 during the first quarter, which ended March 31, from $106 in the first quarter of 2004. CPGA includes subscriber acquisition costs as well as advertising and marketing expenses.
