Financial Data and Key Metrics Changes - The company reported revenue of $300 million for Q2 2025, significantly exceeding the guidance of $170 million, driven by the Samsung arbitration award and HP license agreement [14][19] - Annualized recurring revenue (ARR) reached an all-time high of $553 million, a 44% increase year over year [6][15] - Adjusted EBITDA for the quarter was $237 million, resulting in an adjusted EBITDA margin of 79%, up from 71% in Q2 last year [19] - Non-GAAP EPS reached an all-time high of $6.52, well above the guidance range of $2.67 to $2.90 [19] Business Line Data and Key Metrics Changes - The smartphone program's ARR increased 58% year over year to $465 million, with nearly 80% of the global market under license [16][19] - Revenue from the consumer electronics (CE) and IoT program increased 175% in Q2 to approximately $65 million, aided by the HP agreement [9][19] - The total contract value of licenses signed since 2021 exceeded $4 billion, indicating strong momentum in the IP as a service business model [9] Market Data and Key Metrics Changes - The company has secured licensing agreements with major Chinese OEMs, including Oppo and Vivo, contributing to the increase in smartphone market share under license [8][16] - The new Samsung agreement does not cover digital TV and display monitors, which are part of a separate license announced earlier [7] Company Strategy and Development Direction - The company aims to achieve over $1 billion in ARR across all programs by 2030, with significant growth expected in both smartphone and CE/IoT segments [17] - The development of 6G technology is a key focus, with potential monetization opportunities in new verticals such as industrial IoT, smart cities, healthcare, and automotive [10][11] - The company emphasizes the importance of its talent strategy, focusing on mentorship and leadership development to attract and retain top talent [11] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future growth opportunities in the wireless market, particularly with the advancements in 6G technology [35] - The company is closely monitoring potential legislative changes regarding IP tariffs but does not foresee immediate impacts on its contracts [25][26] - The updated full-year 2025 guidance reflects strong performance and continued business momentum, with revenue expected between $790 million and $850 million [20] Other Important Information - The company returned $42 million to shareholders in Q2 through buybacks and dividends, with a total return of capital nearing $90 million year to date [19] - The company has a robust cash flow, with free cash flow for 2025 expected to exceed $400 million, nearly double the 2024 levels [21] Q&A Session Summary Question: Tax rate outlook with new revenue contributions - Management indicated that the tax rate was slightly lower and is expected to remain in the mid to high teens, evaluating the impacts of new tax legislation [22][23] Question: Potential legislation on IP tariffs - Management is monitoring the situation closely and maintains open dialogue with policymakers, but no specific details are available [25][26] Question: Updated guidance assumptions regarding catch-up payments - The updated guidance considers various potential outcomes, including catch-up payments from existing contracts [27][28] Question: Long-term wireless market opportunities - Management is optimistic about future growth in wireless, particularly with 6G development and adjacent verticals [35] Question: Impact of Disney litigation on other negotiations - Management does not see the Disney litigation affecting dialogues with other potential customers and remains open to business discussions [40][42]

Core Viewpoint - InterDigital (IDCC) reported quarterly earnings of $6.52 per share, significantly exceeding the Zacks Consensus Estimate of $3.36 per share, and showing an increase from $4.57 per share a year ago, resulting in an earnings surprise of +94.05% [1] Financial Performance - The company achieved revenues of $300.6 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 56.06%, compared to $223.49 million in the same quarter last year [2] - Over the last four quarters, InterDigital has exceeded consensus EPS estimates three times and topped revenue estimates four times [2] Stock Performance - InterDigital shares have increased approximately 26.6% since the beginning of the year, outperforming the S&P 500's gain of 8.2% [3] Future Outlook - The company's earnings outlook will be crucial for determining the sustainability of its stock price movement, with current consensus EPS estimates at $2.15 for the coming quarter and $11.72 for the current fiscal year [4][7] - The estimate revisions trend for InterDigital was favorable ahead of the earnings release, resulting in a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] Industry Context - The Wireless Equipment industry, to which InterDigital belongs, is currently ranked in the bottom 37% of over 250 Zacks industries, suggesting that the industry outlook could materially impact stock performance [8]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-Q QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 1-33579 INTERDIGITAL, INC. (Exact Name of Registrant as Specified in Its Charter) Pennsylvania 82-4936666 (State or Other Jurisdiction of Incorporat ...

INTERDIGITAL ANNOUNCES FINANCIAL RESULTS FOR SECOND QUARTER 2025 Samsung arbitration decision and new HP license agreement drive Q2 results, exceeding outlook Annualized recurring revenue , at all-time high of $553 million, up 44% YoY Company raises full year 2025 revenue guidance by $110 million 1 WILMINGTON, Del. July 31, 2025 - InterDigital, Inc. (Nasdaq: IDCC), a mobile, video, and AI technology research and development company, today announced results for the quarter ended June 30, 2025. "Our agreement ...

Samsung arbitration decision and new HP license agreement drive Q2 results, exceeding outlook Annualized recurring revenue, at all-time high of $553 million, up 44% YoY Company raises full year 2025 revenue guidance by $110 million WILMINGTON, Del., July 31, 2025 (GLOBE NEWSWIRE) -- InterDigital, Inc. (Nasdaq: IDCC), a mobile, video, and AI technology research and development company, today announced results for the quarter ended June 30, 2025. "Our agreement with Samsung is the largest license InterDigital ...

智通财经7月30日电，InterDigital宣布其与三星电子的仲裁程序已结束，双方已签署一项新的专利许可 协议。据了解，三星此前获得的InterDigital蜂窝无线与视频技术专利组合许可已于2022年12月31日到 期。2023年1月，双方宣布将通过有约束力的仲裁程序来确定新协议的最终条款。 InterDigital与三星结束仲裁并签署新的专利许可协议 ...

Core Points - InterDigital, Inc. has concluded its arbitration with Samsung Electronics and entered into a new patent license agreement [1][2] - The previous license agreement between InterDigital and Samsung expired on December 31, 2022, leading to the arbitration process initiated in January 2023 [2] Company Overview - InterDigital is a global research and development company focused on wireless, video, artificial intelligence (AI), and related technologies [3] - The company designs and develops foundational technologies that enable connected and immersive experiences across various communications and entertainment products and services [3] - InterDigital licenses its innovations to a wide range of companies, including those in wireless communications, consumer electronics, IoT devices, and cloud-based services [3] - Founded in 1972, InterDigital is listed on Nasdaq and is recognized as a leader in wireless technology and video processing [3]

Industry Overview - The Zacks Wireless Equipment industry is experiencing healthy demand trends due to rapid 5G deployment and upgrades to cloud and fiber network infrastructure [1] - The industry includes companies providing networking solutions, wireless telecom products, and related services for voice and data communications [3] - Key products include integrated circuit devices, system software, two-way radios, satellite telecommunications, and security products [3] Future Trends - Network convergence is a significant trend, with operators combining voice, video, and data communications into a single network, which is expected to reduce service delivery costs and enhance broadband competition [4] - The industry is focused on supporting high user volumes and minimizing performance degradation through scalable solutions [4] Profitability Challenges - Short-term profitability is at risk due to high costs associated with first-generation 5G products, geopolitical tensions, and supply chain disruptions [5] - Elevated customer inventory levels and macroeconomic challenges are additional headwinds affecting profitability [5] Growth Drivers - The demand for advanced wireless products and services is driven by the need for network optimization and the rapid pace of 5G deployment [6] - The expansion of fiber optic networks and the growth of cloud networking solutions are acting as tailwinds for the industry [6] Market Performance - The Zacks Wireless Equipment industry has outperformed the S&P 500 and the broader Zacks Computer and Technology sector, with a growth of 34.9% over the past year compared to 17.2% and 22.8% respectively [10] - The industry currently has a Zacks Industry Rank of 96, placing it in the top 39% of over 250 Zacks industries, indicating positive prospects [8] Valuation Metrics - The industry is trading at a trailing 12-month EV/EBITDA of 25.07X, higher than the S&P 500's 17.85X and the sector's 18.23X [13] Notable Companies - **Ubiquiti Inc. (UI)**: Gained 160.3% over the past year, with strong growth opportunities in both emerging and developed economies [16][20] - **InterDigital Inc. (IDCC)**: Achieved an 87.6% increase in stock price, with a long-term earnings growth expectation of 15% [19][20] - **Clearfield, Inc. (CLFD)**: Gained 12.1% over the past year, benefiting from strong demand in fiber optic products and regional service provider verticals [23]

For Corning, the consensus EPS estimate for the current year has increased 0.8% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy). Looking more specifically, InterDigital belongs to the Wireless Equipment industry, a group that includes 11 individual stocks and currently sits at #163 in the Zacks Industry Rank. Stocks in this group have gained about 8.6% so far this year, so IDCC is performing better this group in terms of year-to-date returns. Investors interested in Computer ...

Core Insights - The sports media landscape is shifting towards streaming, with viewers increasingly abandoning traditional broadcast and cable services [1][8] - A significant portion of sports viewers (57%) face technical challenges when streaming, including buffering and poor video quality [3][5] - The report emphasizes the need for improved streaming infrastructure and advanced video codecs to enhance the viewing experience [4][5] Streaming Trends - More than half (40%) of sports viewers exclusively watch sports via streaming services, indicating a trend of cord-cutting [6] - The percentage of US internet households paying for traditional pay TV has decreased from 62% in Q1 2020 to 42% in Q1 2025 [7] - Sports fans spend an average of $88 per month on streaming services, compared to $64 for non-sports viewers [7] Demographic Insights - Younger viewers (under 35) are more likely to watch sports on social media platforms (40%) compared to older viewers (13% for those aged 55+) [7] - A higher percentage of female sports fans (49%) stream sports exclusively compared to male fans (42%) [7] - Poor video quality is particularly problematic for younger viewers, with 31% of those aged 18-24 reporting issues like freezing and buffering [7] Technical Challenges - The report identifies poor video quality as a major issue, with 18% of sports viewers reporting this problem [7] - Advanced video codecs like HEVC and H.266 (VVC) are suggested as solutions to improve streaming quality and reduce latency [4][5] - The need for a seamless streaming experience is critical for maintaining viewer engagement and satisfaction [8]