TiVo (NASDAQ:TIVO) reported its latest quarterly earnings results on Wednesday, which sent shares higher.
The company said that its Intellectual Property Licensing revenue fell about 23% compared to the year-ago quarter on the second quarter of its fiscal 2018. This figure included a $19.5 million decline in revenue from U.S. Pay TV Providers, due in large part to a $15.2 million slide in revenue from TiVo Solutions agreements.
TiVo added that its Adjusted Operating Expenses were higher due in part to a $5.6 million increase in patent litigation costs, which is linked mainly with the ongoing Comcast litigation, but it was partially offset by benefits from cost-saving initiatives.
The company added that it experienced a decrease in its Adjusted EBTIDA Margin for the quarter, due primarily to a decrease in Intellectual Property Licensing revenue, as well as the increase in patent litigation costs.
“We delivered a solid second quarter and we continue to stay ahead of our internal plan, including optimizing our costs. Additionally, the CEO transition has gone smoothly and we continue to make progress in our strategic review and have narrowed our focus in terms of the strategic alternatives we are evaluating.” said Raghu Rau, Interim President and CEO.
“The company has a strong foundation to deliver profitable growth and stockholder value and we remain focused on execution and meeting our customers’ needs.”
TIVO stock was up about 3.7% after the bell following the company’s quarterly earnings results. Shares were up about 0.8% during regular trading hours Wednesday.