By Sruthi Ramakrishnan
Nov 26 Digital video recorder maker TiVo Inc
reported better-than-expected quarterly results, helped
by strong growth in cable television subscriptions.
TiVo's shares rose 3 percent in extended trading.
The company said it added 295,000 net subscribers in the
third quarter in its cable and satellite television business,
which provides digital video recording service through service
providers' set-top boxes.
Cable subscribers are turning to TiVo in larger numbers as
the device also allows them to access online video services such
as Netflix Inc, Hulu and Google Inc's YouTube.
"We are coming in and helping cable operators to jump over
the satellite and phone world with a more advanced television
offering which melds the two pieces of their business video and
broadband," Chief Executive Tom Rogers told Reuters in an
TiVo's cable customers include Comcast Corp,
Virgin Media Inc, DirecTV, Ono, RCN and
The company forecast fourth-quarter service and technology
revenue of $83 million to $85 million and net profit of $2
million to $5 million.
Net income fell to $12.5 million, or 10 cents per share in
the third quarter, from $59 million, or 44 cents per share, in
the year-earlier quarter, which included $78.4 million in
Revenue increased to $117.3 million from $82 million.
Analysts on average had expected earnings of 6 cents per
share on revenue of $81.3 million, according to Thomson Reuters
The company's shares were trading at $13.34 in extended
trading. They closed at $13.24 on the Nasdaq on Tuesday.