Sirius XM (SIRI) J.P. Morgan 54th Annual Global Technology, Media and Communications Conference summary

Strategic priorities and transformation progress

• Focused on strengthening the subscription business, accelerating advertising growth, and leveraging scale for efficiency and shareholder value, driving strong Q1 results with record low churn and ARPU growth.

• Enhanced in-car experience, improved packaging and pricing, and initiatives like continuous service and companion subscriptions deepened customer engagement.

• Advertising growth led by podcasting (up 37% YoY) and programmatic, with a major new partnership for YouTube audio inventory.

• Achieved significant cost savings, targeting $100 million by 2026, and progressing toward $1.5 billion free cash flow for next year.

• Plans to return more capital to shareholders as leverage moves into target range by H2 2026.

Spectrum monetization and partnerships

• Spectrum has become a fourth strategic pillar, with 35 MHz in mid-band divided into three key elements, each with distinct monetization timelines.

• Monetization will occur in phases, not as a single event, with focus on building partnerships and optionality as technology and partner readiness evolve.

• Direct-to-device (D2D) is a major area of interest and likely to be a significant monetization opportunity.

Subscription business outlook and customer initiatives

• Q1 saw strong self-pay net adds, ARPU growth for three consecutive quarters, and record low churn at 1.5%.

• Initiatives like continuous service and companion plans have improved customer retention and broadened pricing power.

• Data from 360L platform is increasingly shaping programming, packaging, and marketing, driving higher customer satisfaction and engagement.

• ARPU expected to rise each quarter in 2026, with improvements across all customer tiers.