Xperi Inc. (NYSE: XPER) COMPANY OVERVIEW Updated February 2026 1 © 2025 Xperi. All rights reserved. © 2026 Xperi. All rights reserved. Safe Harbor This Presentation contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this Presentation that do not relate to matters of historical fact should be considered forward- looking statements, including, without limitation, statements regarding: expectations regarding our future r ...

Xperi (NYSE:XPER) Q4 2025 Earnings call February 25, 2026 05:00 PM ET Company ParticipantsHamed Khorsand - Principal and Director of ResearchJon Kirchner - CEORobert Anderson - CFOSam Levinson - Managing DirectorConference Call ParticipantsJason Kreyer - Senior Research AnalystMatthew Galinko - SVP and Senior Equity Research AnalystOperatorGood day, everyone. Thank you for standing by. Welcome to the Xperi Fourth Quarter 2025 Earnings Conference Call. During today's presentation, all parties will be in a li ...

Xperi (NYSE:XPER) Q4 2025 Earnings call February 25, 2026 05:00 PM ET Speaker4Good day, everyone. Thank you for standing by. Welcome to the Xperi Fourth Quarter 2025 Earnings Conference Call. During today's presentation, all parties will be in a listen-only mode. Following the presentation, the call will be open for questions. I would now like to turn the call over to Sam Levinson from Arbor Advisory Group. Sam, please go ahead.Speaker6Thank you, Operator. Good afternoon. Thank you for joining us as Xperi r ...

Core Viewpoint - Datavault AI Inc. has successfully completed the acquisition of API Media Innovation Inc., enhancing its capabilities in the live outdoor event market through advanced media infrastructure and event technology solutions [1]. Group 1: Company Overview - Datavault AI Inc. is a leader in data monetization, credentialing, digital engagement, and real-world asset tokenization technologies [1]. - API Media Innovation Inc. has a long-standing history of providing innovative audio and visual technologies to the media, sports, and entertainment sectors [1]. Group 2: Acquisition Details - The acquisition of API Media is aimed at extending Datavault AI's offerings in the live outdoor event market [1]. - API Media is headquartered in New Jersey and has decades of experience in the industry [1].

Core Insights - The forum focused on the theme of "Computational Audiovisual," highlighting its profound impact on film transformation, media content production, digital security, and infrastructure development [1] Group 1: Forum Overview - The Information Technology Media Technology Professional Committee reviewed its achievements over the past year and emphasized the significance of the forum [3] Group 2: Key Presentations - The Senior Product Manager of Huaxia Liade Film Technology Co., Ltd. discussed how LED film screen technology is reshaping cinema space value and enhancing visual experiences, leading to transformative changes in operational models and industry ecology [5] - The Cultural Media Product Director of Tencent Cloud Computing analyzed new opportunities and systemic transformation paths in media convergence from the perspective of the AI-native era [7] - A Senior Architect from Beijing Volcano Engine Technology Co., Ltd. presented practical applications of large model technology in audiovisual content creation, showcasing the potential of AI in content generation, editing, and distribution [9] - The Director of Beijing Yuanke Ark Technology Co., Ltd. shared practical cases of intelligent virtual-physical integration production systems, demonstrating innovations in virtual reality and immersive interaction [11] - The Operations Director of Beijing Changting Technology Co., Ltd. focused on building a security system in a converged media cloud environment, sharing practical experiences and new ideas for constructing a digital security defense line [13] - A Senior Manager from Schneider Electric Information Technology (China) Co., Ltd. discussed green and low-carbon development, emphasizing the importance of sustainable computing infrastructure through wind-liquid fusion AIDC practices [15] Group 3: Industry Trends - The forum showcased the technological evolution trends in "Computational + Audiovisual," including immersive visual experiences, intelligent content production, integrated communication systems, systematic security defenses, and green computing infrastructure, providing new ideas and momentum for the high-quality development of the media industry [17]

Core Insights - Shutterstock Inc. reported third-quarter earnings that exceeded expectations, driven by strong growth in its Data, Distribution, and Services division [1] - Adjusted earnings per share were $0.99, surpassing analyst estimates of $0.63, while revenue increased 4% year over year to $260.1 million, exceeding forecasts of $255.6 million [1] Financial Performance - The Content segment experienced a decline of 5% year over year to $194.4 million, whereas the Data, Distribution, and Services business surged 40% to $65.7 million, accounting for 25% of total revenue [2] - Adjusted EBITDA rose 13% to $79.4 million, with the margin expanding to 30.5% from 27.9% a year ago [2] - Free cash flow increased significantly to $75.2 million from $45.7 million in the same period last year, and the company maintained adjusted EBITDA margins above 30% for a second consecutive quarter [2] Subscriber Metrics - The subscriber base stood at 1.06 million at quarter-end, a slight decrease from 1.105 million a year earlier [3] - The company is integrating AI image, video, and audio generation tools into its unlimited content offerings to enhance its creative ecosystem [3]

Financial Data and Key Metrics Changes - Total revenue for Q1 2025 was $114 million, a decrease of 4% from $119 million in the previous year, and a 2% decrease when adjusting for divestitures [20] - Adjusted EBITDA was $16 million, representing a margin of 14%, which is over 200% increase compared to $5 million in the prior year [8][22] - Non-GAAP earnings per share improved to $0.16 from a loss of $0.05 per share in the previous year [22] Business Line Data and Key Metrics Changes - Pay TV revenue was $50 million, down 12%, with strong growth in IPTV (up 25%) offset by declines in core pay TV business [20] - Consumer Electronics revenue decreased by 5% to $23 million, primarily due to lower production volumes [20] - Connected Car revenue rose 37% to $33 million, driven by licensing agreements for HD Radio [20] - Media Platform revenue was $8 million, down 30% due to lower middleware revenue and timing shifts in advertising commitments [21] Market Data and Key Metrics Changes - IPTV subscriber households increased to over 2.75 million, a 36% year-over-year growth [16] - The Connected Car segment finished the quarter with a footprint of 11 million vehicles across over 130 countries [16] Company Strategy and Development Direction - The company is focused on three growth solutions: Connected TV advertising, in-cabin entertainment, and TiVo video over broadband [8] - The TiVo One ad platform aims to maximize engagement and monetization on streaming devices [10] - The company is expanding its partnerships with TV manufacturers and expects to add 1-2 new partners this year [36] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving full-year growth goals despite macroeconomic uncertainties [6] - The company maintains its financial outlook for the year, indicating modest impacts from tariffs [25][42] - Management expects to see positive cash flow in the second half of the year [32] Other Important Information - The company completed a financing arrangement with PNC Bank for a $55 million line of credit [23] - Operating cash usage was $22 million, primarily due to the paydown of accrued liabilities [24] Q&A Session Summary Question: Regarding IPTV and user base growth - Management indicated that improvements in subscribership revenue will be seen throughout the year, with ongoing efforts to assist deployments [26] Question: Capacity to handle increased IPTV customers - Management confirmed that they are staging deployments and have the capacity to manage the increase over time [30] Question: Positive cash flow expectations - Management stated that while Q1 is typically the weakest quarter, they expect positive cash flow for the remainder of the year, particularly in the second half [32] Question: Additional OEMs in the pipeline for TV companies - Management expects to add at least one to two new TV partners this year beyond the existing eight [36] Question: Active user targets and tariff impacts - Management remains on track to reach 5 million monthly active users by year-end and anticipates reaching 7 million by the end of next year, with tariffs having a modest impact [38]

Financial Data and Key Metrics Changes - Revenue for Q4 2024 was $122 million, down 11% from $137 million in the previous year, but up 2% when adjusted for divestitures [30] - Adjusted EBITDA for the quarter was $23 million, representing a 19% margin compared to $13 million in the prior year [10][37] - For the full year 2024, adjusted EBITDA was $74 million, yielding a margin of 15%, more than doubling from the previous year [38] Business Line Data and Key Metrics Changes - Pay TV revenue decreased by 8%, while IPTV revenue increased by 35%, offsetting declines in core pay TV [30] - Consumer Electronics revenue was up 2% when excluding divestitures, driven by strong unit volumes for game consoles [30] - Connected Car revenue increased by 9% as reported and 42% when excluding divested businesses, attributed to minimum guarantee deals [31] - Media Platform revenue decreased by 15% due to a decline in linear ad campaigns and prior year minimum guarantee deals [32] Market Data and Key Metrics Changes - The company ended 2024 with 2.6 million IPTV subscriber households, exceeding the year-end goal of 2.4 million [21] - The connected car business achieved a footprint of over 10 million vehicles, surpassing the original goal of 7 million [19] - HD Radio technology is now implemented in over 110 million vehicles, with penetration approaching 60% of new vehicles in North America [20] Company Strategy and Development Direction - The company is focused on three growth solutions: Connected TV advertising, in-cabin entertainment, and TiVo Video over Broadband [12] - Goals include achieving a monetizable footprint of at least 7 million active devices in homes and over 15 million cars for DTS AutoStage [14] - The strategy emphasizes expanding partnerships with TV manufacturers and enhancing monetization through the TiVo One platform [18][24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the business transformation and its impact on profitability despite a challenging market environment [8] - The outlook for 2025 anticipates revenue in the range of $480 million to $500 million, with a focus on media platform growth and slight declines in pay TV revenue [42][44] - Management acknowledged ongoing macroeconomic uncertainties but noted improved clarity in market conditions compared to previous quarters [73] Other Important Information - The company completed a refinancing of $50 million of outstanding debt and ended the year with $131 million in cash and equivalents [11][38] - Non-GAAP tax expense for the quarter was $1 million, lower than planned due to a valuation allowance reversal [37] Q&A Session Summary Question: How does the company plan to balance adding new OEM partners versus growing volume with existing partners? - Management intends to pursue both strategies, focusing on expanding production share with current partners while also exploring new partnerships [48] Question: What are the expectations for ARPU and trends in North America versus Europe? - The company anticipates a combination of growth in ARPU as the year progresses, leveraging both North American and European markets [52] Question: What is the status of delayed TiVo OS smart TVs? - Management reported that shipments have ramped up, with several partners expected to increase shipments in the spring [59] Question: What are the critical variables for success in the media platform business? - Key metrics include active user growth and monetization, which are expected to improve as the year progresses [61][64] Question: How has the market changed since the last earnings call? - Management noted that while uncertainties remain, there is more clarity in market conditions, allowing for a more moderated guidance range [73] Question: Will 2025 be a free cash flow positive year? - The company guided for slightly positive operating cash flow, with potential for free cash flow positivity depending on performance [80] Question: What are the steps to rollout TiVo One? - The rollout involves updating existing devices and working with partners to ensure software updates are implemented effectively [87] Question: What is the competitive environment in the media platform space? - The competitive landscape remains strong, with significant barriers to entry for new players, but the company is confident in its position and strategy [90][92]