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WILMINGTON, Del., Oct. 02, 2019 (GLOBE NEWSWIRE) -- InterDigital, Inc. (NASDAQ:IDCC), a mobile and video technology research and development company, today provided revenue guidance for third quarter 2019.
The company expects total third quarter 2019 revenue to be between $71 million and $74 million, which includes less than $1 million in non-recurring revenue.
The company expects its third quarter 2019 operating expenses to be roughly $10 million higher than second quarter 2019, with sequential increases of nearly $4 million in each of litigation and recurring expenses associated with the acquisition of the Technicolor R&I team. The remaining increase was driven by non-recurring integration costs.
The company expects to record approximately $11 million in total interest expense and accretion of debt discounts, representing a $1 million increase over second quarter levels. This increase was driven by the company’s June 2019 issuance of new 2024 convertible debt and partly offset by the partial repurchase of its 2020 convertible debt.
The company expects to record a one-time net gain of $5-7 million, resulting from the third quarter sale of the Hillcrest product business, which is expected to be partly offset by a partial impairment of a long-term investment.
About InterDigital ®
InterDigital develops mobile and video technologies that are at the core of devices, networks, and services worldwide. We solve many of the industry's most critical and complex technical challenges, inventing solutions for more efficient broadband networks, better video delivery, and richer multimedia experiences years ahead of market deployment. InterDigital has licenses and strategic relationships with many of the world's leading technology companies. Founded in 1972, InterDigital is listed on NASDAQ and is included in the S&P MidCap 400® index.
This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. Such statements include information regarding the company’s current expectations with respect to third quarter 2019 revenue. Words such as "expects," "projects," "forecast," “anticipates,” and variations of such words or similar expressions are intended to identify such forward-looking statements.
Forward-looking statements are subject to risks and uncertainties. Actual outcomes could differ materially from those expressed in or anticipated by such forward-looking statements due to a variety of factors, including, but not limited to: (i) the entry into additional patent license, patent sales or technology solutions agreements; (ii) the accuracy of market sales projections of the company's licensees, changes in our estimates of third quarter 2019 sales by our per-unit licensees, delays in payments from our licensees and related matters; (iii) amounts of royalties payable following routine audits, if any, and the timely receipt of such amounts during third quarter 2019; (iv) the timing, expenses, and outcome of the company's litigation and arbitration proceedings and the timely receipt of any related awards; (v) new developments in the company’s litigation or arbitration proceedings and (vi) our expenses from the acquisition of the Technicolor R&I Team. We undertake no duty to update publicly any forward-looking statement, whether as a result of new information, future events or otherwise except as may be required by applicable law, regulation or other competent legal authority.
InterDigital is a registered trademark of InterDigital, Inc.
For more information, visit: www.interdigital.com.
Patrick Van de Wille
+1 (858) 210-4814