Starz posted an 8 percent decline in revenue during its April 1st to June 30th earnings, according to results shared on Thursday.
The standalone media company ended the quarter with 12.2 million U.S. streaming subscribers, down from 13.04 million in the previous quarter before its split from Lionsgate. Domestic subscribers across all platforms fell to 17.6 million, a loss of 410,000 from March.
Including Canada, total North American subscribers dropped to 19.1 million, marking a decline of 520,000 customers. Starz explained that Canadian subscribers fell by 110,000 due to “continued linear declines and lower OTT subscriber additions.”
The company reported a net loss of $42.5 million, or $2.54 per share, on $319.7 million in revenue.
“In the three months since becoming a standalone public company, we have made significant progress toward achieving our key financial and operating objectives,” said Starz President and CEO Jeffrey Hirsch. “Our content strategy continues to resonate with our audience as the subscriber additions from last weekend’s ‘Outlander: Blood of my Blood’ premiere were the third highest for a series premiere in Starz’s history. Looking ahead, our highly compelling slate, coupled with an improved cost structure, puts us on a clear path to achieving our key objectives: returning to revenue growth, improving our margins, and increasing our conversion of Adjusted OIBDA to free cash flow.”
Starz completed its separation from Lionsgate on May 7th after a three-year process, officially trading on Nasdaq under the symbol STRZ.
Earlier in May, the company reported $330.6 million in revenue for the January through March quarter, a 6.2 percent drop, and an operating loss of $136.3 million.
