TiVo saw a net loss of $15.8 million in the fourth quarter of its 2013 fiscal year ended 31 January 2013, but nonetheless saw its highest ever quarterly service and technology revenue.
Revenue hit $65.7 million in the fourth quarter, an increase of 31% year-over-year, exceeding guidance. Total subscriptions topped three million, growing 38% from one year ago.
Operator success figured highly, with MSO revenue growing 83% year-over-year in the fourth quarter. The company said that it made significant progress on US and international operator deals, including a launch with GCI for next-gen TiVo service.
"We achieved success in five key areas during the last year. First, we drove expanded deployment in our current distribution deals, increasing the total number of TiVo subscriptions by almost one million over the course of fiscal year 2013," said Tom Rogers, president and CEO of TiVo. "Second, we continued to increase our footprint both internationally and domestically, forging important new operator deals with Com Hem, Cable ONE, Midcontinent, Mediacom and GCI."
He added that the company saw significant additional upside from litigation as "we reached a favourable settlement with Verizon, bringing total damages and consideration from our intellectual property actions to more than $1 billion to date."
The company also reduced its R&D in the second half of the year from its peak in the first quarter, and "continued to define the future of television through the launch of new whole-home and multiscreen TiVo offerings," Rogers said.
The company is expecting adjusted EBITDA profitability, including litigation expense, for fiscal year 2014 as well.
Rogers continued, "We are very excited about the growing distribution of TiVo and about the deepening relationships we have with operators around the globe. This is underscored by the 83% increase in MSO revenue over last year and the 38% increase in total TiVo subscriptions. With upcoming launches of our deals we signed last year and the run rate on our current deals, we're on pace to drive a significant number of incremental subscriptions even without factoring in future deals."