DIRECTV 2012 Annual Report Download - page 11

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On behalf of every one of the nearly 55,000 people
who collectively make up the DIRECTV team, it’s my
privilege to introduce this year’s annual report.
I’m pleased to share with you our accomplishments
over this past year and more importantly, our progress
against the goals and plans we established to deliver outstanding
shareholder returns in 2012 and beyond.
Last year, I set out three priorities I believe are critical to our success over
the long term: deliver on our 2012 operating and financial plans, enhance
the customers’ entertainment and service experience building enthusiastic
loyalty for life, and focus on developing our talent and teamwork.
I’m pleased to report that DIRECTV’s achievements over this past year
are entirely consistent with these goals and I could not be more proud of
our management team and employees, who through an amazing ability
to adapt and execute in an extremely challenging market environment,
delivered another year of impressive results.
Tremendous consumer demand for DIRECTV’s diversified portfolio of
businesses across the Americas fueled the largest annual net subscriber
gain in our history. We acquired nearly 3.8 million new customers and
furthered our lead as the world’s largest and most popular provider
of pay-TV video services. We capped 2012 with more than 35 million
customers in the U.S. and Latin America, bringing DIRECTV to nearly
$30 billion in annual revenues.
Our commitment to profitably grow our businesses while keeping a sharp
eye on achieving operational excellence through disciplined expense
management and productivity improvements was clearly a highlight in 2012
as operating profit before depreciation and amortization grew 8 percent to
finish the year at $7.5 billion.
Finally, by leveraging these outstanding results with the continuation of our
share repurchase program, earnings per share increased by 32 percent to
$4.58. These achievements were also reflected in a 17 percent gain in our stock
price for the year, out-pacing both the S&P 500 Index and the NASDAQ.
Both our U.S. and Latin American businesses contributed significantly
to these strong full-year results. In the U.S., revenue growth of more
than 6 percent was primarily driven by our ability to grow our average
revenue per user and attain high-quality customers in a challenging
U.S. operating environment. In fact, we exceeded expectations
and finished the year with more than 20 million customers, achieving
a major milestone.
A MESSAGE TO OUR SHAREHOLDERS ANNUAL REPORT 2012