InterDigital(IDCC) - 2025 Q3 - Quarterly Results

Revenue Performance - Annualized recurring revenue reached an all-time high of $588 million, up 49% year-over-year[1] - Revenue for Q3 2025 was $164.7 million, representing a 28% increase compared to Q3 2024[3] - Revenue from smartphones was $136.4 million, a 56% increase year-over-year, while revenue from CE, IoT/Auto decreased by 31% to $28.2 million[3] - The company expects Q4 2025 revenue to be between $144 million and $148 million, and full-year revenue to be between $820 million and $824 million[10] Profitability Metrics - Net income increased by 97% to $67.5 million, with diluted EPS rising 69% to $1.93[4] - Non-GAAP EPS was $2.55, up 56% year-over-year, and Adjusted EBITDA was $104.9 million, up 62% year-over-year[4] - Non-GAAP net income for Q3 2025 was $78.2 million, a 74% increase from the previous year[3] - Net income for Q3 2025 was $67,503,000, a 97.6% increase from $34,190,000 in Q3 2024[24] - Adjusted EBITDA for Q3 2025 reached $104,913,000, up 62% from $64,811,000 in Q3 2024[28] - The company expects Q4 2025 net income to be between $26 million and $34 million, with full-year net income projected between $389 million and $397 million[31] Cash Flow and Assets - Cash flows from operating activities for the nine months ended September 30, 2025, totaled $481,059,000, compared to $79,494,000 for the same period in 2024[24] - Total assets increased to $2,139,500,000 as of September 30, 2025, from $1,835,529,000 at the end of 2024[26] - Total shareholders' equity rose to $1,099,976,000 as of September 30, 2025, compared to $857,215,000 at the end of 2024[26] - Cash, cash equivalents, and short-term investments increased to $1,263,138,000 as of September 30, 2025, from $958,208,000 at the end of 2024[26] Corporate Developments - The company closed four new license agreements and completed the Samsung smartphone arbitration during the quarter[2] - The company appointed a new chief licensing officer and deepened its AI expertise during the quarter[2] - The company repurchased $35,252,000 in common stock during Q3 2025, compared to $3,056,000 in Q3 2024[24] Dividends - Cash dividends declared per common share increased to $0.70 from $0.45 year-over-year[22]