TiVo Q4 revenues “above expectations”
February 19, 2020
TiVo has reported financial results for its fourth quarter ending December 31th 2019.
“The Company continues to execute and reported strong solid financial results in the quarter, delivering revenue and Adjusted EBITDA above the top end of our expectations,” said Dave Shull, President and Chief Executive Officer. “The Company continues to drive initiatives that will deliver long-term profitable growth. In our IP business, we added a multi-year patent license agreement with a significant social media customer. We unveiled TiVo Stream 4K, a unique product for the streaming wars, to a phenomenal set of press reviews at CES in January, receiving multiple ‘best of show’ awards. In addition, we are making progress toward completing our combination with Xperi and are excited about the prospects for the combined company.”
TiVo Fourth Quarter 2019 Financial Highlights:
- In December, Xperi Corporation and TiVo announced a definitive agreement to combine in an all-stock transaction; creating a leader in consumer entertainment experiences – both audio and video, and a world-class leader in IP licensing.
- For 2019, revenue of $668.1 million, was above the top end of previously-provided estimates range.
- The Company made progress with profitability initiatives. Q4 GAAP loss from operations was $209.5 million (income from operations of $7.6 million excluding goodwill impairment). As a result of focused execution on cost savings, Q4 Adjusted EBITDA was $61.2 million, an increase of 45 per cet from Q4 2018.
TiVo Fourth Quarter 2019 Business and Recent Operating Highlights:
- In January, TiVO announced the upcoming release of the new product – TiVo Stream 4K: a streaming solution with a launch price of $49.99 that allows consumers to discover and watch what they want, from a single platform.
- TiVo announced a collection of new content partners for its video network, TiVo+. An additional 23 new channels will join the current lineup of 26 free streaming channels currently available, bringing the total to 49.
- The Company continues to expand its Android TV-based IPTV version of TiVo User Experience 4. The Company now has nine operators who will deploy this solution, up from seven last quarter.
Intellectual Property Licensing Business
- Added a multi-year patent license agreement with a significant social media customer. This is TiVo’s second major licensee in this emerging space within the last few quarters. This reaffirms the Company’s position that, while the video market will be disrupted by these online social and video platforms, TiVo’s portfolio remains highly relevant.
- TiVo made progress in Q4 with renewals. First, they completed a long-term extension with Roku for their streaming platform; Second, TiVo completed an early extension with Panasonic for their CE business. Lastly, TiVo also renewed a licence agreement with a leading Korean broadcasting solution company, extending coverage of the local Korean service provider market.
- In addition, TiVo made progress in its OTT licensing programme last quarter and also entered into a long-term licence with a major US-based OTT service this quarter.