WILMINGTON, Del., Dec. 10, 2018 (GLOBE NEWSWIRE) -- InterDigital, Inc. (NASDAQ:IDCC), a mobile technology research and development company, today issued revenue guidance for fourth quarter 2018 and announced that its Board of Directors has declared a regular quarterly cash dividend and authorized an increase to the company’s existing share repurchase authorization.
Revenue Guidance
The company expects total fourth quarter 2018 revenue to be between $70 million and $76 million. This range includes approximately $1 million of non-recurring revenue.
Under the accounting rules in effect prior to the company’s adoption of ASC 606, the company’s expected fourth quarter 2018 total revenue range would have been between $92 million and $96 million, again including approximately $1 million of non-recurring revenue. The company is providing this information under the previous revenue recognition rules solely in the interest of comparability during the transition year to ASC 606, and it should be considered in addition to, and not as a substitute for, nor superior to or in isolation from, the financial guidance prepared in accordance with ASC 606.
This revenue guidance does not include the potential impact of any new patent license, technology solutions or patent sale agreements that may be signed, or any arbitration or dispute resolutions that may occur, during the balance of fourth quarter 2018.
Increase to Share Repurchase Authorization
In addition, InterDigital’s Board of Directors has authorized a $100 million increase to the company’s existing stock repurchase program. The Board authorized a $300 million stock repurchase program in June 2014, which was increased to $400 million in June 2015 and to $500 million in September 2017. The latest increase brings the total authorization to $600 million. In 2018, the company has repurchased 1.2 million shares for $91.9 million. Following the latest increase, the remaining amount available under the authorization is approximately $187 million.
Regular Dividend
Finally, the company today announced that its Board of Directors has declared a regular quarterly cash dividend of $0.35 per share on its common stock, payable on January 23, 2019 to shareholders of record at the close of business on January 9, 2019.
About InterDigital®
InterDigital develops mobile technologies that are at the core of devices, networks, and services worldwide. We solve many of the industry's most critical and complex technical challenges, inventing solutions for more efficient broadband networks and a richer multimedia experience years ahead of market deployment. InterDigital has licenses and strategic relationships with many of the world's leading wireless companies. Founded in 1972, InterDigital is listed on NASDAQ and is included in the S&P MidCap 400® index.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. Such statements include information regarding the company’s current expectations with respect to fourth quarter 2018 revenue and its plans to repurchase common stock. Words such as "expects," "projects," "forecast," “anticipates,” and variations of such words or similar expressions are intended to identify such forward-looking statements.
Forward-looking statements are subject to risks and uncertainties. Actual outcomes could differ materially from those expressed in or anticipated by such forward-looking statements due to a variety of factors, including, but not limited to: (i) the entry into additional patent license, patent sales or technology solutions agreements; (ii) the accuracy of market sales projections of the company's licensees, changes in our estimates of fourth quarter 2018 sales by our per-unit licensees, delays in payments from our licensees and related matters; (iii) amounts of royalties payable following routine audits, if any, and the timely receipt of such amounts during fourth quarter 2018; (iv) the timing and outcome of the company's litigation and arbitration proceedings and the payment of any related awards; (v) new developments in the company’s litigation or arbitration proceedings; and (vi) an increase in the company’s cash needs or a decrease in available cash. We undertake no duty to update publicly any forward-looking statement, whether as a result of new information, future events or otherwise except as may be required by applicable law, regulation or other competent legal authority.
InterDigital is a registered trademark of InterDigital, Inc.
For more information, visit: www.interdigital.com.
InterDigital Contact:
Patrick Van de Wille
Email: patrick.vandewille@interdigital.com
+1 (858) 210-4814