Business
Adeia Announces First Quarter 2023 Financial Results
New deal wins drive strong financial performance Paid down $94 million of debt since separation SAN JOSE, Calif., May 08, 2023 (GLOBE NEWSWIRE) -- Adeia Inc.
About this update from Adeia Inc.
[{"type":"text","content":"New deal wins drive strong financial performance Paid down $94 million of debt since separation SAN JOSE, Calif., May 08, 2023 (GLOBE NEWSWIRE) -- Adeia Inc. (Nasdaq: ADEA) (the “Company” or “Adeia”) today announced financial results for the first quarter ended March 31, 2023. “The results of the first quarter demonstrate the strength of our business model, continued deal momentum and progress on our long-term growth strategy. During the quarter we signed eight deals, including two significant semiconductor agreements with Kioxia and Western Digital that further validate the significance of our hybrid bonding intellectual property portfolio. In addition to our deal flow, our ability to generate strong cash flows enabled us to pay down $94 million of debt since the separation of our product business,” said Paul E. Davis, chief executive officer of Adeia. “Looking forward to the rest of the year, we remain confident in our ability to continue to renew license agreements and sign new deals, grow our patent portfolios through ongoing investment in our innovation engine, and execute our capital allocation strategy.” First Quarter Financial Highlights Revenue was $117.3 million, an increase of 14% from $103.3 million in the prior quarterGAAP diluted earnings per share (EPS) of $0.26 and non-GAAP diluted EPS of $0.48Net income was $29.0 million and adjusted EBITDA was $85.8 millionCash flows from operations were $63.4 millionPaid down $83.6 million of debt Business Highlights Both Kioxia and Western Digital signed long-term agreements to license Adeia’s semiconductor patent portfolio, including our hybrid bonding patentsVerizon signed a multi-year extension of its license to Adeia’s media patent portfolioAltice signed an early renewal extending its license which supports its Optimum services, including its cable TV and over-the-top (OTT) streaming servicesSigned three Pay-TV renewals with customers in South Korea and Japan Capital Allocation During the quarter, the Company made $83.6 million in principal payments towards its term loan, bringing the outstanding balance to $665.6 million as of March 31, 2023. On March 29, 2023, the Company distributed $5.3 million to stockholders of record on March 15, 2023, for a quarterly cash dividend of $0.05 per share of common stock. On May 4, 2023, the Board of Directors declared a dividend of $0....