- Share this article on Facebook
- Share this article on Twitter
- Share this article on Email
- Show additional share options
- Share this article on Print
- Share this article on Comment
- Share this article on Whatsapp
- Share this article on Linkedin
- Share this article on Reddit
- Share this article on Pinit
- Share this article on Tumblr
TiVo surprised Wall Street on Wednesday by reporting its second straight quarterly profit, though its guidance was below expectations and the stock sank in after-hours trading, wiping out a big gain from the regular session.
TiVo also said Wednesday that it has inked a partnership with Time Warner’s Entertainment Weekly. The arrangement allows for broadband-connected TiVos to automatically record the magazine’s “What to Watch” TV recommendations.
The deal adds EW.com to the growing list of TiVo’s Internet video partners, including the New York Times, Amazon, YouTube and dozens more.
In its fiscal second quarter, TiVo posted $2.9 million in net income. It was only the third time TiVo notched a quarterly profit since the company went public in 1999.
Revenue rose 4% to $65.2 million, but services and technology revenue, which strips out money-losing hardware sales, fell 5% to $53.5 million as TiVo continued to lose customers to cable and satellite TV competitors.
TiVo lost 178,000 subscribers in the quarter, more than the 145,000 it lost in the same quarter last year, and had 3.6 million total subs, down from 4.2 million a year ago.
The troublesome guidance was for just $49 million-$51 million in the current quarter, well shy of the $57 million analysts were predicting, on top of a bigger-than-expected loss forecasted by TiVo management.
TiVo shares, which gained 5.7% and led The Hollywood Reporter Showbiz 50 stock index Wednesday, fell as much as 7% in after-hours trading.
During a conference call with analysts, CEO Tom Rogers predicted a “substantial award” from EchoStar in their long- running patent dispute. The next stage of the legal wrangling is set for Sept. 4, when a judge could determine whether EchoStar is in contempt of a court order to shut down its DVRs. (partialdiff)
Sign up for THR news straight to your inbox every day