Overview
InterDigital Q3 revenue grows 28% yr/yr, beating analyst expectations
Adjusted EPS for Q3 beats consensus, reflecting strong operational performance
Company's growth driven by new license agreements and increased recurring revenue
Outlook
InterDigital forecasts Q4 2025 revenue between $144 mln and $148 mln
Company expects full-year 2025 revenue of $820 mln to $824 mln
InterDigital projects Q4 2025 diluted EPS between $0.72 and $0.95
Result Drivers
NEW LICENSE AGREEMENTS - Revenue and EPS growth driven by new license agreements, boosting financial performance
RECURRING REVENUE - Annualized recurring revenue reached an all-time high of $588 mln, up 49% YoY
SAMSUNG ARBITRATION - Completion of Samsung smartphone arbitration
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Beat | $164.70 mln | $153.36 mln (5 Analysts) |
Q3 Adjusted EPS | Beat | $2.55 | $1.53 (4 Analysts) |
Q3 EPS | $1.93 | ||
Q3 Net Income | $67.50 mln | ||
Q3 Adjusted EBITDA | $104.90 mln | ||
Q3 Adjusted EBITDA Margin | 64% | ||
Q3 Operating Expenses | $88.90 mln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", no "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the communications & networking peer group is "buy"
Wall Street's median 12-month price target for InterDigital Inc is $350.00, about 9.4% below its October 29 closing price of $382.87
The stock recently traded at 49 times the next 12-month earnings vs. a P/E of 29 three months ago
Press Release: ID:nGNX3H3kKK
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)