InterDigital Inc's Q3 revenue beats on new license agreements

InterDigital

30/10/2025 12:37

Overview

InterDigital Q3 revenue grows 28% yr/yr, beating analyst expectations

Adjusted EPS for Q3 beats consensus, reflecting strong operational performance

Company's growth driven by new license agreements and increased recurring revenue

Outlook

InterDigital forecasts Q4 2025 revenue between $144 mln and $148 mln

Company expects full-year 2025 revenue of $820 mln to $824 mln

InterDigital projects Q4 2025 diluted EPS between $0.72 and $0.95

Result Drivers

NEW LICENSE AGREEMENTS - Revenue and EPS growth driven by new license agreements, boosting financial performance

RECURRING REVENUE - Annualized recurring revenue reached an all-time high of $588 mln, up 49% YoY

SAMSUNG ARBITRATION - Completion of Samsung smartphone arbitration

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$164.70 mln
$153.36 mln (5 Analysts)
Q3 Adjusted EPS
Beat
$2.55
$1.53 (4 Analysts)
Q3 EPS
$1.93
Q3 Net Income
$67.50 mln
Q3 Adjusted EBITDA
$104.90 mln
Q3 Adjusted EBITDA Margin
64%
Q3 Operating Expenses
$88.90 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", no "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the communications & networking peer group is "buy"

Wall Street's median 12-month price target for InterDigital Inc is $350.00, about 9.4% below its October 29 closing price of $382.87

The stock recently traded at 49 times the next 12-month earnings vs. a P/E of 29 three months ago

Press Release: ID:nGNX3H3kKK

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(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.)