TiVo posts loss, lands deal with Virgin Media
ALVISO, Calif. (AP) – Last week, TiVo posted a loss in the latest quarter as sales dropped 12 percent. The company was coming off a big profit a year ago that was caused by a payout from a legal victory.
The company lost $6.7 million, or 6 cents per share, in the three months ended Oct. 31, its fiscal third quarter. That matched the estimate of analysts surveyed by Thomson Reuters.
It compares with a profit of $100.6 million, or 98 cents per share, in the same period last year. That figure includes more than $100 million in proceeds and interest income as a result of litigation with EchoStar, a satellite broadcaster that TiVo accused of infringing on patented technology allowing viewers to record one problem while watching another.
TiVo's sales of $56.9 million were better than the $48 million analysts were expecting.
TiVo said it anticipates a net loss of $13 million to $15 million and service and technology revenue of $43 million to $45 million in the current quarter.
Also last week, TiVo announced a deal with Google that will allow Google to draw on viewing data from TiVo subscribers to help sell TV ads through its auction system.
TiVo also announced a deal with Virgin Media Inc., in which Virgin Media will be the exclusive distributor of TiVo's services and technology in the U.K., and in which TiVo will become the exclusive provider of so-called "middleware" and other software for Virgin Media's next generation of set-top boxes.
Kaufman Bros. analyst Todd Mitchell called the Virgin deal "both strategically and financially significant."
Last week, SeaChange International announced that it had begun to rollout its dynamic VOD advertising technology for Virgin Media. SeaChange’s AdPulse On Demand software is being deployed over the national SeaChange Axiom On Demand footprint.