IDCC Earnings Prediction
The chart below shows how IDCC performed 10 days before and after its earnings report, based on data from the past quarters. Typically, IDCC sees a -4.48% change in stock price 10 days leading up to the earnings, and a +4.48% change 10 days following the report. On the earnings day itself, the stock moves by +5.99%. This data can give you a slight idea of what to expect for the next quarter's release.
IDCC Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
252.80M
139.58%
96.46%
Gross Margin
--
--
--
Operating Margin
64.69%
169.54%
105.30%
Net Margin
52.65%
42.14%
98.16%
EPS
4.09
190.07%
258.77%
No Data Available
IDCC Earnings Analysis
InterDigital Inc Corporation (IDCC.O) Earnings Conference Call
Positive
Revenue Surge Exceeds Expectations: Revenue increased 140% year over year to $253 million in Q4 2024, exceeding guidance of $239 million to $249 million.
Record Annual Revenue Growth: Full year revenue for 2024 reached $869 million, a 58% increase year over year, marking the highest annual revenue in the company's history.
Q4 2024 Adjusted EBITDA Performance: Adjusted EBITDA for Q4 2024 was $198 million, resulting in an adjusted EBITDA margin of 78%, surpassing the top end of the outlook of $180 million to $190 million.
New Licensing Agreements Growth: Closed 14 new licensing agreements throughout 2024, contributing to a total of over $3.3 billion in license agreements since the start of 2021.
Strong Cash Flow Performance: Cash flow from operations for 2024 was robust at $272 million, with free cash flow of $213 million, allowing for $110 million returned to shareholders through buybacks and dividends.
Negative
Q4 Non-GAAP EPS Miss: Non GAAP EPS for Q4 came in below guidance at $5.15 due to greater dilution from converts and lower than expected non GAAP adjustments.
Recurring Revenue Decline: The company anticipates a decline in recurring revenue in Q1 2025 due to $91 million in expirations, which could impact overall revenue growth.
Pending Arbitration Uncertainty: The binding arbitration with Samsung is still pending, creating uncertainty around future revenue from this major client.
Legal Challenges Ahead: Despite a strong overall performance, the company is facing potential legal challenges with Disney, which could distract from business operations and impact future revenue.
2025 Revenue Guidance Decline: The guidance for 2025 revenue is lower than 2024, with expectations set between $660 million to $760 million, indicating a slowdown in growth momentum.
IDCC FAQs
How does IDCC typically perform around its earnings report dates?
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IDCC Earning Call Sentiment
Earnings call transcript: InterDigital Q4 2024 beats forecasts, stock surges
IDCC.O
-0.81%Positive
InterDigital's strong financial performance, including a 140% increase in Q4 revenue and a significant EBITDA margin, along with an increased dividend and share buybacks, indicate robust financial health. Despite regulatory and geopolitical challenges, the company's strategic partnerships and raised guidance suggest optimism. The market cap suggests moderate sensitivity to news, and the positive financial outlook is likely to outweigh uncertainties, leading to a positive stock price movement in the short term.
