DTS, Inc. Second Quarter Revenues Rise, Net Income Doubles
August 10, 2016 at 3:59 AM (PT)
DTS, INC., the audio company and owner of HD RADIO, saw revenues increase 14% to $48.7 million in second quarter 2016. Net income on a GAAP basis doubled to $4.7 million (36 cents/share); on a non-GAAP basis, net income doubled to $12.1 million (67 cents/share).
Chairman/CEO JON KIRCHNER said, "We had a strong second quarter driven by solid performance in automotive and continued momentum across the mobile markets. We also renewed several contracts in the home category and saw additional penetration of DTS:X in the AVR market. As a result of this strong performance, we are raising the low end of our full year 2016 revenue outlook and increasing our earnings outlook to reflect our confidence in the second half of 2016.
"Importantly, our business continues to generate improving operating margins and strong cash flow, and we are focused on optimizing our balance sheet and cash flow to generate value for shareholders. As a result, our Board of Directors has approved the addition of a quarterly cash dividend to our capital allocation strategy. Under this program, the initial quarterly dividend has been set at $0.02 per share. This is an important milestone and reiterates our commitment to growing the business through continued investments in our technology portfolio, and responsibly returning capital to shareholders through dividends and opportunistic share repurchases. These actions reflect our confidence in the future of DTS and our ability to create long-term value."