Entertainment firm Dolby Laboratories beats Q2 revenue expectations

Dolby Laboratories

30/04/2026 21:27

Overview

Audio technology firm's fiscal Q2 revenue rose yr/yr, beating analyst expectations

Company repurchased about 1 mln shares for $65 mln in Q2

Revenue growth supported by expanded adoption in sports and automotive sectors

Outlook

Dolby sees Q3 revenue between $295 mln and $325 mln

Company expects full-year revenue between $1.40 bln and $1.45 bln

Dolby says macroeconomic and geopolitical uncertainty is reducing visibility into future outlook

Result Drivers

SPORTS BROADCASTING - Co cited expanded availability of major sporting events like the Super Bowl, Winter Olympics, and T20 Cricket World Cup in Dolby formats as supporting growth

AUTOMOTIVE INTEGRATION - Launch of Dolby Atmos in new BMW and Lexus vehicles contributed to results

BROADCAST LICENSING GROWTH - Broadcast market licensing revenue increased to $119 mln from $94 mln yr/yr

Company press release: ID:nPn553jSXa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$396 mln
$385.80 mln (4 Analysts)
Q2 Adjusted Net Income
Slight Beat*
$131 mln
$129.90 mln (2 Analysts)
Q2 Net Income
$95 mln
Q2 Dividend
$0.36


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the software peer group is "buy"

Wall Street's median 12-month price target for Dolby Laboratories Inc is $85.00, about 34.4% above its April 29 closing price of $63.26

The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 15 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)