ALVISO, Calif. (AP) â¿¿ TiVo Inc. whittled its losses in the second quarter as more subscribers signed up for the digital video recorders that turned the company into a household name.
The results announced Wednesday were highlighted by a gain of 230,000 subscribers during the three months ended in July. That left TiVo with 2.7 million subscribers, a 41 percent increase from the same time last year.
TiVo is still struggling to mine its subscriber growth for profits.
The company received an average of $8.42 per month from subscribers in the second quarter, up from $8.31 per month at the same time last year.TiVo lost $27.7 million, or 23 cents per share, in the second quarter. That compared to a loss of $19.6 million, or 17 cents per share, at the same time last year. Analysts surveyed by FactSet had predicted TiVo would lose 24 cents per share. Revenue climbed 7 percent from last year to $65.6 million. Wall Street focuses on TiVo's revenue from its services and technology. That figured totaled $54.1 million, about $400,000 below analyst forecasts. The company, which is based in the Silicon Valley city of Alviso, Calif., expects to sustain a loss of $27 million to $29 million in the current quarter ending in October. That translates into a loss of 23 cents or 24 cents per share. The average analyst estimate calls for a loss of 17 cents per share. Management expects the company's revenue from service and technology to range from $57 million to $59 million. Analysts had forecast $57 million. TiVo shares gained 44 cents, or nearly 5 percent, to $9.80 in Wednesday's extended trading. TiVo is hoping to get a big financial lift from a various lawsuits alleging infringement on its pioneering DVR technology. Last year, the company settled a complaint against satellite-TV providers Dish Network Corp. and EchoStar Corp. for $500 million. At the beginning of this year, TiVo resolved a lawsuit telecommunications company AT&T Inc. for $215 million. The payments from those truces will be staggered over several years.