InterDigital Inc

IDCC

Equity

ISIN US45867G1013 / Valor 3253858

NASDAQ (2024-12-26)

USD 194.52+1.27%

InterDigital Inc
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About company

InterDigital Inc is a leading company in the wireless and video technology industry, with a strong focus on research and innovation. With a history of over 50 years, the company has been instrumental in developing essential wireless technologies that have become integral to daily life. InterDigital is a key contributor to global standards in video research, driving advancements in 2D, 3D, and immersive video standards, as well as state-of-the-art video codecs and solutions. The company's engineers are at the forefront of developing advanced technologies that shape the future of wireless communication and video, with a particular emphasis on the evolution from 5G to 6G. InterDigital's inventions have a wide-reaching impact, improving products across various markets and transforming industries to enable connected ecosystems that are part of our daily lives.

Summarized from source with an LLMView SourceSector: Telecommunications

Revenue Performance

In the third quarter of 2024, InterDigital Inc. reported revenues of approximately $128.7 million. This figure exceeded the top end of their guidance, primarily driven by strong performance in their consumer electronics and IoT licensing program. However, this represents an 8% decrease compared to the third quarter of 2023, largely due to lower catch-up revenues and the expiration of the Huawei agreement at the end of 2023.

Net Income and Earnings

InterDigital Inc.'s net income for the third quarter of 2024 was $34.2 million, a 29% decrease from the $47.9 million reported in the same quarter of the previous year. The net income margin also declined from 34% to 27%. The diluted earnings per share (EPS) for this quarter was $1.14, down from $1.72 in the third quarter of 2023, marking a 34% decrease.

Adjusted EBITDA

The company's adjusted EBITDA for the third quarter of 2024 was $64.8 million, which is a 22% decrease from the $83.5 million reported in the third quarter of 2023. The adjusted EBITDA margin also fell from 60% to 50%. Non-GAAP net income was $44.9 million, down 22% from $57.7 million in the previous year, with non-GAAP EPS decreasing by 23% to $1.63.

Revenue by Program

InterDigital Inc. saw a 16% decrease in smartphone-related revenues, which amounted to $87.4 million in the third quarter of 2024. Conversely, revenues from consumer electronics, IoT, and automotive programs increased by 15% to $40.6 million. Other revenue sources contributed $0.6 million, reflecting a 41% increase compared to the previous year.

Outlook and Guidance

InterDigital Inc. raised its full-year 2024 revenue guidance to a range of $855 million to $865 million, up from the prior range of $690 million to $740 million. The company also provided an initial outlook for the fourth quarter of 2024, projecting revenues between $239 million and $249 million. This outlook is based on existing agreements, with any new agreements potentially adding to these figures.

Summarized from source with an LLMView Source

Key figures

74.7%1Y

168%3Y

251%5Y

Performance

27.3%1Y

31.6%3Y

36.6%5Y

Volatility