TiVo Inc. (NASDAQ: TIVO) said late on Monday that its fiscal first-quarter loss narrowed thanks to higher revenue and fairly reasonable growth in subscribers’ base.
The Company has been consistently posting quarterly losses since the second half of 2009. Patents related litigations have badly dented its bottom line. In the recently concluded quarter, the Company booked $10.9 million towards litigation expenses compared to $5.4 million litigation related charges it took in the same quarter of last year. Still, these proceedings have also helped the Company to settle disputes with several companies which include Verizon Communications, Dish Network Corp, AT&T Inc, EchoStar Corp.
Furthermore, TiVo’s increased focus on distributing set top boxes via operators and TVs as opposed to depending on retail sales in also helping to boost the top line growth. The Company is also developing technology which would make its software compatible with other devices.
Meanwhile, TiVo’s subscribers’ base is increasing. The Company on Thursday reported growth in the subscribers’ base for the seventh successive quarter. In the recently concluded quarter, TiVo added 2, 55,000 net subscribers compared to 206,000 net subscribers additions, in the same quarter of last fiscal.
Commenting over the growth in subscribers’ base, TiVo Inc’s Chief Executive, Tom Rogers said in a statement, “We saw one of the best quarters ever in terms of subscription growth, driven by a number of our existing operator deals in the U.S. and abroad that are fully up and running.”
For the fiscal first quarter ended April 30, TiVo reported a net loss of $10.3 million or 9 cents a share down from a loss of $20.8 million or 17 cents a share, in the same quarter of last year.
Net revenue soared 22% to $82.6 million. Revenue from service and technology segment rose 13% to $61.8 million.
Earlier in February the Company provided a guidance for a loss of between $16 million and $19 million and revenue from software and technology in the range of $60 million to $62 million.
Gross margin improved to 60% from 51.1% while operating expenses increased 8.1%.
For the current quarter, TiVo expects a net loss of $13 million to $16 million and revenue from service and technology to come in the range of $68 million to $70 million. Analysts surveyed by Thomson Reuters were expecting a net loss of $12.6 million and revenue of $68 million from service and technology.
Recent Comments