Bloomberg News

TiVo Falls on Wider Quarterly Loss on Litigation Expenses

May 31, 2012

Tivo Inc. HD recorders sit on display at a Best Buy Co. store. Photographer: George Frey/Bloomberg

Tivo Inc. HD recorders sit on display at a Best Buy Co. store. Photographer: George Frey/Bloomberg

TiVo Inc. (TIVO:US) fell the most since May 4 after reporting a first-quarter loss as hardware costs rose and saying legal expenses in the current period would lead to a wider loss than analysts expected.

TiVo dropped 4.7 percent to $8.54 at the close in New York. Shares of the digital-video-recorder pioneer have declined 4.8 percent this year.

Litigation and marketing costs will rise in the quarter ending July 31, Alviso, California-based TiVo said yesterday in a statement. The company forecast a second-quarter net loss of $28 million to $30 million almost double the average estimate for a $15.8 million loss, according to data compiled by Bloomberg.

The company has made progress expanding its DVR presence on Comcast Corp. (CMCSA:US) cable-television systems, adding Boston after success in San Francisco, analyst Rich Tullo with Albert Fried & Co. wrote in a May 18 report. That has helped offset a delay across Charter Communications Inc. (CHTR:US) circuits, he said.

The first-quarter loss was $20.8 million, or 17 cents a share, wider than the 15-cent average loss estimated by 11 analysts. A year earlier, profit of $139 million was lifted by litigation proceeds. Sales rose 48 percent to $67.8 million, beating the $64.5 million average estimate.

To contact the reporter on this story: Andy Fixmer in Los Angeles at afixmer@bloomberg.net

To contact the editor responsible for this story: Anthony Palazzo at apalazzo@bloomberg.net


Ebola Rising
LIMITED-TIME OFFER SUBSCRIBE NOW

Companies Mentioned

  • TIVO
    (TiVo Inc)
    • $12.97 USD
    • 0.02
    • 0.15%
  • CMCSA
    (Comcast Corp)
    • $54.15 USD
    • -0.01
    • -0.02%
Market data is delayed at least 15 minutes.
 
blog comments powered by Disqus