San Jose, Calif. - Television services for digital video recorder (DVR) provider TiVo - whose technology allows television viewers to pause, record and play back programs - more than tripled its revenue in its fiscal first quarter, hitting $9.9 million, up from $3.2 million in the year-ago period.
TiVo reported a net loss in the first quarter, however, reaching $25.8 million, excluding non-recurring items related to AOL Time Warner's June 2000 investment in TiVo. As reported, TiVo's net loss climbed to $35.1 million in the first quarter, down from a $50.2 million loss in the same three months in 2001.
"This significant improvement in our financial results demonstrates continued progress in our drive to profitability," said Mike Ramsey, CEO. "Consumer demand for TiVo has never been stronger."
TiVo's first-quarter revenue included about $8.2 million in recurring subscription revenue. Gross profit was a record $4.4 million, or 45 percent of revenue.
Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) was a loss of $9.7 million in the first quarter, ended April 30. However, this is a 76 percent improvement over the $40.4 million EBITDA loss recorded in the first quarter of last year.
The company added about 42,000 new subscribers in the first three months. As of April 30, its total subscriber base exceeded 422,000. The better than expected net-subscriber growth was attributed by the company to higher consumer demand and the early launch of national retail distribution of the TiVo Series2 DVR.
TiVo expects net subscriber additions will be in the range of 40,000 to 45,000 in the second quarter. Revenue for the three months is expected to be in the range of $10.5 million to $12 million, with about $8.5 million to $9 million in subscription revenue.
The company anticipates an operating loss in the range of $15 million to $20 million in its second quarter. Adjusted EBITDA loss, based on better than expected first-quarter results, is being revised upward for the remainder of the fiscal year to a range of a $5 million to $20 million loss for the nine months.