Ad revenue at Pandora reached a quarterly record of $315 million, up 8 percent over the third quarter of 2018. "Ad revenue was driven by strong third-quarter monetization of $85 per thousand hours, growing 10 percent over the third quarter 2018," the firm said. "Strength in traditional audio advertising, boosted by video programmatic and engagement-based video, as well as the expansion of off-platform efforts and fees generated on the AdsWizz platform drove revenue growth." Total revenue for Pandora rose 7 percent to $447 million in the quarter, thanks in part to a 5 percent increase in subscriber revenue to $132 million.
SiriusXM's earnings fell to $246 million in the third quarter, compared with $343 million in the prior-year period, primarily driven by refinancing expenses associated with the firm's July redemption of debt and non-recurring tax benefits in the year-ago period. Third-quarter revenue rose 7 percent, when adjusting for the Pandora acquisition, to $2.0 billion.
The company has also been expanding its video content, led by Stern. CEO Jim Meyer said recently that, "you guys should expect more and more video to roll out now over the remainder of the year." He also emphasized, however, that SiriusXM is "not going to get into the television business or the movie business. That's not what we do. Our video will be all about enhancing the audio experience" and boost user engagement.
SiriusXM recently also struck a deal with Walt Disney's Marvel for podcasts.
Said Meyer about the latest quarterly results: "Total net additions benefited from continuing strength in the auto sector, and our adjusted earnings before interest, taxes, depreciation and amortization hit an all-time quarterly record of $657 million."
He also touted the recent opening of the company's new Hollywood studio complex with a series of shows by Stern. "Howard is at the top of his game and was welcomed to L.A. by an array of stars and special live performances by Adam Levine and Green Day, all from our state-of-the-art street level performance space we call The Garage," said Meyer. "Howard's broadcast followed a month of special shows, interviews, and performances in L.A. exclusively for us by Carrie Underwood, Julia Roberts, Dave Matthews and breakout artist Billie Eilish, to name a few. Re-establishing ourselves in the entertainment capital of the world, and being closer to compelling talent and brands, bolsters the value of our programming for our subscribers."
This article was originally published by The Hollywood Reporter.