Company takes $166 million pretax charge due to Venezuela currency devaluation
DirecTV stock rose Tuesday after revenues climbed and beat expectations, but profit fell because of a Venezuelan currency devaulation.
DirecTV announced an increase in first quarter 2013 revenues of 8 percent to $7.58 billion, beating analysts expectations of $7.5 billion, according to Thomson Reuters I/B/E/S.
Net income attributable to DirecTV was $690 million, or $1.20 per share, compared with $731 million, or $1.07 per share, a year ago.
The company's profits were hit by a $166 million pre-tax charge because the company's subsidiary in Venezuela lost assets when the country's currency was devalued in February.
The nation's top satellite company added 604,000 net subscribers, and 583,000 in Latin America, where it is growing the fastest. Though the company fell slightly short of domestic expectations — drawing 21,000 net subscribers instead of the 25,000 excepted by analysts, it beat Latin American expectations of 519,000 net subscribers, Reuters said.
"Building on the momentum of one of the largest transitional years in our history, DirecTV delivered another strong quarter of operating and financial results," Mike White, the company's president and CEO, said in a statement.
As of 10:45 a.m. ET Tuesay, shares in the company were up 5.85 percent to $61.35.