TiVo (NSDQ: TIVO) looks like it wrung decent numbers out of a mixed quarter Revenue for the quarter was up 4.1 percent to $65.2 million, compared to $62.65 million in the year ago quarter. However excluding hardware, the service and technology portion of revenue fell to $53.5 million from $56.5 million. Analysts had been looking for $55.3 million, so this number is on the light side. Positively, it does say it had $10.6 million in adjusted EBITDA and $2.9 million in net income, which it attributed to higher hardware margins and a pull back in marketing costs. The pullback in SAC is actually quite pronounced: "Our continued efforts to focus on efficient marketing spend and to work with third parties who make their own marketing expenditures on behalf of TiVo is underscored by the decline of our quarterly subscription acquisition costs (SAC) to $135, a considerable decrease when compared to SAC of $758 during the same period last year even considering that the prior year's SAC included the impact of the $11.2 million inventory reserve."
Looking forward, the company expects Q3 service and technology of revenue of $49-$51 million (a sequential decline) and a net loss of $7-$9 million.
By Joseph Weisenthal