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]

Financial Data and Key Metrics Changes - Revenue for Q4 2024 was $122 million, up 2% from the prior year after adjusting for divestitures [6][21] - Adjusted EBITDA for the quarter was $23 million, representing 19% of revenue, compared to $13 million in the prior year [7][27] - For the full year, adjusted EBITDA margin was 15%, more than doubling year over year [8][27] - The company ended the year with $131 million in cash and equivalents, providing solid operating liquidity [8][27] Business Line Data and Key Metrics Changes - Pay TV revenue was down 8%, with strong growth in IPTV (up 35%) offset by declines in core Pay TV [21][24] - Consumer Electronics revenue was up 2% when excluding divestitures, driven by strength in game console unit volumes [22][24] - Connected Car revenue was up 9% as reported and up 42% when excluding divested businesses, due to minimum guarantee deals [22][24] - Media Platform revenue was down 15% due to a decline in linear ad campaigns and middleware revenue [23][25] Market Data and Key Metrics Changes - The company achieved a footprint of over 10 million vehicles for DTS Auto Stage, exceeding the original goal of 7 million [14] - HD Radio technology is now implemented in over 110 million vehicles, with penetration approaching 60% of new vehicles in North America [15] - IPTV subscriber households reached 2.6 million, exceeding the year-end goal of 2.4 million [16] Company Strategy and Development Direction - The company is focused on three growth solutions: Connected TV Advertising, in-car entertainment, and TiVo Video over Broadband [9] - Goals include achieving a monetizable footprint of at least 7 million active devices in homes and over 3.2 million IPTV households [10] - The strategy emphasizes expanding partnerships with TV manufacturers and enhancing the user experience through the TiVo One ad platform [12][13] 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 [6][8] - The outlook for 2025 includes expectations for revenue growth from media platforms, connected cars, and IPTV, offset by declines in core business [19][30] - Management acknowledged ongoing macroeconomic uncertainties but indicated a more balanced view compared to previous quarters [50][51] Other Important Information - The company completed refinancing of $50 million of outstanding debt through a new three-year facility [8][27] - Non-GAAP tax expense for the quarter was $1 million, lower than planned due to a valuation allowance reversal [27] - The company repurchased $20 million worth of common stock during the year [27] 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 do both, expanding share of production with current partners while pursuing new partnerships [32] Question: What are the expectations for ARPU and trends in North America versus Europe? - Management expects ARPU to ramp through the year, with a combination of European and North American devices contributing to growth [34] Question: What is the status of TiVo OS smart TV shipments that were delayed? - Management indicated that shipments have ramped up, with several partners expected to increase shipments in the spring [40] Question: What are the critical variables for success in the media platform business? - Key factors include continued footprint growth and active user engagement, which will drive monetization [42] Question: How has the market changed since the last earnings call? - Management noted that while uncertainties remain, they have moderated expectations and set achievable guidance [50] Question: Will 2025 be a free cash flow positive year? - Management guided for slightly positive operating cash flow, with potential for free cash flow positivity depending on performance [55] Question: What are the steps to roll out TiVo1? - The rollout involves updating existing devices and working with partners to ensure software updates are implemented [59] Question: What is the competitive environment in the media platform space? - The competitive landscape remains strong, with significant barriers to entry for new entrants, but the company is well-positioned [63]