The parent company of HD Radio, DTS AutoStage and TiVo on Thursday saw its stock decline by $1 a share as investors reacted to the release of Q2 2023 results reflecting tepid revenue growth, far lower adjusted EBITDA, and a wider year-over-year operating loss.
For Xperi Corp., the second quarter saw revenue inch ahead to $126.9 million, from $126.2 million.
However, Xperi’s quarterly operating loss ballooned to $35.2 million, from $22.3 million. Adjusted EBITDA shrunk to $5.2 million, from $12.1 million.
The net loss attributable to Xperi widened to $38.4 million (-$0.90 per share), from $30.13 million (-$0.72).
On Wall Street, “XPER” shareholders reacted by selling shares in the company, pushing the stock to $11.40.
On Sept. 26, 2022, a $26 per share closing price was enjoyed by “XPER.” But, as October began, that spike quickly faded, with Xperi trading under $13 since.
In the eyes of CEO Jon Kirchner, the quarter reflects “significant strategic progress and solid financial results” — even with the wider net loss.
There is a bright spot with respect to one key radio industry product. Connected Car revenue was up 13%, primarily due to high HD unit volume, as car manufacturers increased production following several years of supply chain issues. “As our customer programs advance, we also saw a doubling of the combined revenue for our AutoSense and AutoStage solutions,” CFO Robert Anderson said during the company’s earnings call.
