SiriusXM is sharpening its in-car challenge to AM/FM, posting a return to profitability in 2025 while it continues rolling out lower-priced, ad-supported tiers designed to lure more share of automobile listening away from traditional broadcast radio.
The company posted net income of $805 million for the year, reversing a $2.1 billion loss in 2024, even as total subscribers declined across its platforms. SiriusXM ended 2025 with 32.9 million subscribers, down 299,000 year over year. Self-pay subscribers fell by 301,000 to 31.3 million, while Pandora and off-platform monthly active users dropped by 2.2 million to 41.1 million.
Despite those declines, CEO Jennifer Witz continued framed the company’s strategy as a direct play for in-car share.
“Our competitive positioning, I think, is incredibly strong as complementary to the music streaming services, especially because we have a unique position in the car,” Witz said. “And remember, the vast majority of listening in the car is still to AM/FM. And we are opening up new packages, including music-only at $9.99 and low-cost ads at $7 that go squarely off against that AM/FM listening. We think we have more opportunities to take share there.”
Total revenue declined 2% to $8.6 billion, with SiriusXM revenue down 2% to $6.4 billion and Pandora flat at $2.1 billion. Fourth-quarter revenue slipped $5 million to $2.2 billion, while net income fell to $99 million from $287 million a year earlier.
Operationally, the company posted a sharp turnaround. Operating income reached $1.5 billion for the year, compared with a $1.5 billion operating loss in 2024, as impairment and restructuring costs fell to $436 million from $3.5 billion. SiriusXM also generated $1.26 billion in free cash flow, exceeding its guidance by more than $100 million.
Podcasting remained a growth area, with full-year revenue up 41%. Fourth-quarter advertising revenue rose 3% to $491 million, supported by higher sell-through, higher CPMs, and increased programmatic demand.
“We did see really strong growth in podcasting in Q4 and last year in total,” Witz said. “Higher podcast audio RPM driven by really record sell-through, higher CPMs, and a significant uptick in programmatic, as well as growth in our Creator Connect product.”
Looking ahead, SiriusXM guided to largely flat revenue and EBITDA in 2026, with free cash flow expected to rise to approximately $1.35 billion as the company continues to focus on cost control, debt reduction, and expanding its in-car footprint through new pricing and packaging.
