TiVo Losses Grow As Costs Rise And Subscription Growth Retreats

TiVo

Although TiVo (NSDQ: TIVO) saw a healthy gain in revenues in Q4, the DVR company was unable to balance its growing costs and reduced subscriber additions. Nevertheless, TiVo has been riding high on some good news in the form of last week’s favorable legal decision, when two members of a three-judge federal court panel sided with the DVR company in its patent battle with EchoStar (NSDQ: SATS) and Dish Network. Although TiVo still has the upper hand in the patent issue, competition from cable companies’ DVR offerings are showing signs of cutting into the business. Revenue costs were up 45.9 percent in Q4, while it had a net loss of $10.2 million. Meanwhile, looking at the current quarter, TiVo expects a net loss of $19 million to $21 million on service and technology revenue ranging between $41 million and $43 million.

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