Dish Network reported first-quarter earnings and revenue on Friday that missed Wall Street targets. Dish stock plummeted as video subscriber losses continued amid its build-out of a 5G wireless network.
Englewood, Colo.-based Dish said March-quarter earnings were 68 cents, down 31% from a year earlier. Revenue fell nearly 4% to $4.33 billion.
Analysts had projected earnings of 74 cents a share on revenue of $4.38 billion. A year earlier, Dish earnings were 99 cents on revenue of $4.5 billion.
The company reported negative free cash flow of $191 million versus a $729 million gain last year.
Dish stock crashed by 19.1% to close at 22.22 on the stock market today. DISH stock has dropped 26% this year, hitting its worst close on Thursday since late 2020.
During Q1, Dish said pay-TV subscribers fell by 462,000, including satellite video subscribers and internet subscribers. The company had 10.24 million pay-TV subscribers at the end of March, including 7.99 million satellite video subscribers and 2.25 million internet TV subscribers.
Wireless subscribers fell by 343,000. The company had 8.2 million wireless subscribers at the end of March.
Dish Stock: Analyst Day Slated For May 10
Dish acquired Sprint's Boost-branded prepaid wireless business in 2020.
"The market's suddenly obsessive focus on subscriber growth rates in the wake of Netflix's epic stumble only makes things worse," said Craig Moffett, analyst at MoffettNathanson in a report. "Dish's existing wireless and pay-TV businesses are all witnessing steep and accelerating subscriber losses."
The company plans to showcase its 5G wireless network build-out in Las Vegas, its first market, at an analyst day on May 10.
Dish stock holds a Relative Strength Rating of 24 out of a best-possible 99, according to IBD Stock Check-up.
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Follow Reinhardt Krause on Twitter @reinhardtk_tech for updates on 5G wireless, artificial intelligence, cybersecurity and cloud computing.
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