Audio Video News

One fact of life is that when people stay home, they tend to watch more TV. That generally gloomy reality hasn't put a dent in TiVo, Inc.'s bottom line. In fact, it's helped immensely. The San Jose, CA–based maker of personal video recorders (PVRs) has reported a 29% jump in revenue for its fiscal third quarter, ended October 31.

The company added 51,000 new subscribers during the period, bringing its total subscribership to approximately 280,000. The increase in subscribers is a 65% gain compared to the same period in 2000.

TiVo's revenue for the nine-month period ended October 31 was $12.5 million, a huge increase from the $2.5 million reported for the same period last year. Net losses decreased as revenue increased; losses for the nine-month period in 2001 were $119.1 million, compared to $135.1 million in the same nine months last year. TiVo's net loss for the third quarter was $34.5 million, approximately the same as its second quarter.

A classic example of turning a negative into a positive, the good news for TiVo investors is that the $34.5 million loss was only about half of the $72.7 million loss reported for the same three months in 2000. Bottom line: Tivo's Adjusted Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) for the third quarter was a loss of $12.2 million, according to Cahners Business Information.