As for total assets, the company sees a huge jump to $10.1 billion. The majority of the company's $1036 million in current assets is comprised of $652 million in accounts receivable. This is because of the company's small amount of cash, with only $164 million. The Balance Sheet Needs to ImproveĪccording to the company's current fundamentals, Sirius XM has a current ratio of just 0.37. The company's royalties consist of those with holders of compositions and sound recordings copyrights. Revenue share arises from the company's agreements to share subscription revenues with certain automakers and non-music/podcast talents. The majority of the company's operating expenses consist of revenue share expenses and royalties.

Moving down the income statement, the company's average net income margin calculates to approximately 12.12%.

Over the previous 5 years, Sirius XM has averaged a gross margin of approximately 58.57%. The Sirius XM segment generated 92.4% of its revenue through subscribers, while the Pandora segment generated only 30.3% of its revenue from subscribers and 69.7% from advertising. When this data is excluded, the company's revenue grew at an annual rate of 6.87%.Īs for revenue concentrations, the Sirius XM segment accounted for 78.9% of revenue and Pandora accounted for 21.1% of revenue. However, this is skewed higher by a 35% growth in revenue in 2019. The company's revenue increased from $4.57 billion to $8.04 billion. The Income Statement Shows Strong Growthįrom 2015-2020, the company's revenue grew at an average annual rate of 12.5%. However, the company's balance sheet could use some work. Sirius XM's revenue and earnings have been growing rapidly in recent years, as well as the company's cash flows presenting mostly strong points. Sirius XM's Revenues are Strong, But the Balance Sheet Could Use Some Work The company dominates the radio broadcasting industry, but may need to focus on its mobile streaming subsidiary and continue to attain new partnerships to grow further. ( NASDAQ: SIRI) has decent fundamentals but needs to improve in some areas.

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