Xperi (XPER) Q4 2025 earnings summary

Executive summary

• Achieved strong growth in TiVo One Ad Platform, reaching 5.3 million monthly active users, up over 250% year-over-year, and expanded DTS AutoStage to 14 million vehicles, up 40% year-over-year, with new OEM launches and global broadcaster additions.

• IPTV subscriber base grew 25% year-over-year to 3.25 million households, offsetting declines in legacy pay TV products.

• Secured new advertising partnerships and reseller agreements in Europe and the US for TiVo One, and signed Mercedes-Benz as the first OEM to launch all four connected car solutions.

• Expanded IMAX Enhanced program and renewed key technology agreements in consumer electronics, including new deals with Yamaha, Onkyo, and Sound United.

• Achieved 2025 exit growth goals for TiVo One users, ARPU, TV partners, IPTV footprint, and AutoStage vehicles.

Financial highlights

• Q4 2025 consolidated revenue was $116.5 million, down 5% year-over-year; full-year 2025 revenue was $448.1 million, a 9% decrease year-over-year, mainly due to declines in pay TV and consumer electronics.

• Q4 GAAP net loss was $17.1 million; non-GAAP net income was $11.3 million; Q4 non-GAAP diluted EPS was $0.24, down from $0.39 in Q4 2024.

• Adjusted EBITDA for Q4 was $22 million (19% margin); full-year adjusted EBITDA reached $77 million (17% margin), at the high end of guidance.

• Non-GAAP operating expense reduced by 13% in 2025 due to workforce reductions.

• Operating cash flow was nearly neutral for the year, a significant improvement from $55 million usage in 2024; free cash flow for FY2025 was $(21.5) million, improved from $(72.1) million in FY2024.

Outlook and guidance

• FY2026 revenue expected between $440 million and $470 million, with media platform revenue projected to double and ARPU for TiVo One expected to exceed $10 by year-end 2026.

• Adjusted EBITDA margin outlook for 2026 is 17%-19%; operating cash flow expected between $15 million and $25 million.

• Media platform MAU target set above 7 million for 2026; connected car monetization to begin midyear, initially focused on data.

• Capital expenditures expected between $15 million and $20 million for 2026.

• Company expects to achieve positive free cash flow in 2026.