TiVo Reports Lower Revenues, More Subscriber Losses

TiVo on Wednesday released financial results and subscriber totals for its fiscal second quarter, ended July 31st (note: the company also announced various enhancements to its Stop//Watch ratings service and a new deal with NASDAQ--see the article in this issue):

• Combined revenues totaled $51.6 million, compared to $57.6 million for the year-ago quarter.
• Service and technology revenues totaled $42.1 million, down from $48.8 million for the year-ago quarter and from $43.2 million for the prior quarter (though exceeding TiVo's previously issued guidance, which called for revenues of $40-42 million).
• Adjusted EBITDA was a loss of $6.5 million, compared to a profit $5.5 million for the year-ago quarter (note: the loss was considerably lower than TiVo's previously issued guidance, which anticipated EBITDA losses of $9-11 million).
• Net losses totaled $15.3 million, or $0.13 per share, compared to net losses of $2.7 million for the year-ago quarter (note: TiVo's previously issued guidance had called for losses of $17-19 million).
• At the end of the quarter, the company had over $240 million in cash and short-term investments, and no debt.
• TiVo subscriptions through the company's pay-TV partners (which include DirecTV and Comcast) totaled 1.02 million, compared to 1.47 million at the end of the year-ago quarter.
• TiVo-owned subscriptions totaled 1.37 million, compared to 1.58 million at the end of the year-ago quarter.
• At the end of the quarter, the company had 2.38 million subscribes, compared to 3.05 million at the end of the year-ago period.

TiVo also provided some guidance for the current quarter:

• It expects service and technology revenues to range between $40 million and $42 million.
• It expects EBITDA losses to range between $11 million and $13 million.
• It expects net losses to range between $19 million and $21 million.