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Tivo posts record net profit on patent settlement

2013-08-28 09:01:00| Telecompaper Headlines

(Telecompaper) Tivo reported a record net profit of USD 268.9 million for its fiscal second quarter ended 31 July, thanks to legal settlements with Cisco and Motorola over patent disputes. In the year-earlier period, Tivo had a net loss of USD 27.7 million, and the company had forecast a loss of USD 13-16 million for the period. Adjusted EBITDA was USD 115.4 million, versus a loss of USD 15.8 million a year ago. Service and technology revenues totaled USD 77.0 million, up from USD 54.1 million and better than the USD 68-70 million forecast. Subscriptions increased 33 percent year-on-year to 3.6 million, driven by growth at cable operators. Tivo said its latest deployment is its first with an IPTV provider, Com Hem in Sweden. Other recent or planned roll-outs include Atlantic Broadband, Cable One, GCI, Midcontinent and Mediacom. It also expects a sales boost later in the year from the recently launched Roamio set-top box, which it says offers better margins that the previous Premiere range. Cash from the legal settlements gave the company over USD 1 billion at the end of the period, and licensing deals resulting from the settlements are expected to provide further cash flow support going forward. For fiscal Q3, Tivo forecast service and technology revenues of USD 80-82 million, adjusted EBITDA of USD 20-22 million and net profit of USD 6-8 million.

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Category:Telecommunications

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