TiVo Q3 “making progress across all areas”
November 3, 2017
TiVo has reported financial results for the third quarter ended September 30th 2017.
“TiVo executed well, making progress across all areas of our business and delivered solid financial results in the third quarter,” said Tom Carson, President and CEO of TiVo. Carson added, “We just launched our innovative voice search and the New TiVo Experience, our new visually rich user interface, across our US retail platform. Our next generation operator product is now live with Millicom in Colombia, one of the largest Pay-TV and mobile operators in Latin America. We extended our licensing deal with AT&T, the largest US Pay-TV operator, and expanded our licensing relationship with Liberty Global, Europe’s largest Pay-TV operator. We also continued our progress in the CE and OTT spaces with our Sony licence renewal. Finally, given our substantial operating cash flows, we declared a fourth quarter cash dividend of $0.18 per common share to be paid in December, meaning TiVo will have returned $0.72 per share to its shareholders in 2017.”
Third Quarter Results
The Company reported third quarter revenue of $197.9 million (€169.9m), an increase of 29 per cent compared to $153.1 million in the third quarter of 2016. As expected, revenues were higher than in the comparable period of the prior year due to the acquisition of TiVo Solutions in the third quarter of 2016. Third quarter 2017 Net loss was $17 million, compared to a Net income of $49.9 million for the third quarter of 2016. The third quarter 2016 net income included an $83.4 million tax benefit.
2017 Business Outlook
For fiscal year 2017, the Company maintains its expected revenue range of $810 million to $830 million, which includes approximately $35 million of hardware revenues at the mid-point of expectations. Additionally, the Company expects the full year GAAP Operating loss to be $8 million to $2 million, which is an improvement from the prior range due to lower equity-based compensation costs and transaction, transition & integration costs.
TIVO BUSINESS AND OPERATING HIGHLIGHTS:
Product:
- Approximately 23 million subscriber households around the world use TiVo’s advanced television experiences.
- TiVo launched voice search across live TV, DVR, video-on-demand and popular online streaming services in its latest U.S. retail consumer offering.
- Millicom has deployed the New TiVo Experience Platform in Colombia with other Latin American countries to follow.
- Sharp selected TiVo’s G-Guide to power Sharp’s AQUOS Smart TVs in Japan, allowing users of this product to enjoy the industry’s most advanced programming guide for Smart TVs.
- J:COM, one of Japan’s largest cable television operators, signed a multi-year renewal for TiVo’s G-Guide.
- TiVo is partnering with Discovery Networks to power their end-to-end audience-based marketing inventory planning and execution with TiVo’s own Audience Works for Marketing.
IP Licensing:
- AT&T, the largest U.S. Pay-TV provider, extended its IP licence by three years through 2025, highlighting the long-term value of our innovation and technology to US Pay-TV providers. TiVo’s two largest US Pay-TV deals extend well into the 2020s.
- Liberty Global, Europe’s largest Pay-TV provider, expanded its license to cover all of their international markets.
- Sony signed a multi-year IP licence renewal across all of its relevant entertainment products.
- J:COM, one of Japan’s largest cable television operators, signed an IP licence multi-year renewal.