TiVo — Q3 2015 Earnings Presentation
11 slides from TiVo's earnings presentation, Nov 25, 2014
Slide 1: Q3'15 Financial Highlights & Capital Deployment Update
Q3’15 Financial Highlights & Capital Deployment Update Exhibit 99.2
Slide 2: Disclaimer
2 TiVo Inc. - Q3’15 Investor Call - November 25, 2014 Disclaimer Caution Regarding Forward Looking Statements. This presentation contains forward looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995, which are based on current expectations and assumptions th
Slide 3: Significant revenue and subscription growth
3 TiVo Inc. - Q3’15 Investor Call - November 25, 2014 Significant revenue and subscription growth YoY sub growth +32% S&T revenues growing +8% Continued Year-over-Year Growth 1.5 2.5 3.5 4.5 5.5 Q 3 1 0 Q 3 1 1 Q 3 1 2 Q 3 1 3 Q 3 1 4 Q 3 1 5 Total Subs (MM) $30 $50 $70 $90 Q 3 1 0 Q 3 1 1 Q 3 1
Slide 4: Key Driver: MSO Subscription Growth
4 TiVo Inc. - Q3’15 Investor Call - November 25, 2014 $0 $2 $4 $6 $8 $10 $12 Q310 Q311 Q312 Q313 Q314 Q315 MSO Service Revenue (MM) 0 1 2 3 4 5 Q310 Q311 Q312 Q313 Q314 Q315 Total MSO Subs (MM) MSO Service revenue growth +37% YoY Doesn’t yet include ComHem and ONO service revenue ONO expected
Slide 5: Profitability Improvement
5 TiVo Inc. - Q3’15 Investor Call - November 25, 2014 ($10) ($5) $0 $5 $10 $15 $20 $25 $30 Q310 Q311 Q312 Q313 Q314 Q315 Adjusted EBITDA excl. litigation expenses and proceeds (past damage awards) (MM)(1)(2) (15%) (10%) (5%) 0% 5% 10% 15% 20% 25% Q310 Q311 Q312 Q313 Q314 Q315 Adjusted EBITDA excl. l
Slide 6: Capital Deployment Highlights
6 TiVo Inc. - Q3’15 Investor Call - November 25, 2014 $350 million repurchase program over next 2.5 years (~20% of fully diluted shares outstanding)* Repurchases using proceeds of new convertible note to offset expected conversion of shares underlying the March 2016 convert - 9.6 million shares unde
Slide 7: Convertible Debt Impact on Financials
7 TiVo Inc. - Q3’15 Investor Call - November 25, 2014 Details of new convertible debt offering: - Deal Size: $230 million - Conversion price: Up 30% @ $17.82 - Strike price on warrant transaction related to notes: Up 75% @ $24 - Coupon: 2% - Term: 7 years Impact on Financials: - Increased annual GAA
Slide 8: Significant Capital Returns
8 TiVo Inc. - Q3’15 Investor Call - November 25, 2014 100 105 110 115 120 125 $0 $20 $40 $60 $80 $100 $120 $140 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 Increasing Share Repurchases ($MM) vs. Declining Basic Shares Outstanding (M) Significant Capital Returns $343M of open market repu
Slide 9: Significant potential for share count reduction
9 TiVo Inc. - Q3’15 Investor Call - November 25, 2014 Significant potential for share count reduction Notes: Does not include future vesting of stock options, restricted shares & ESPP Above $24 share price, 9.6M shares from new convertible would be added to share count using treasury stock metho
Slide 10: Appendix
Appendix
Slide 11: GAAP to Non-GAAP Reconciliations
11 TiVo Inc. - Q3’15 Investor Call - November 25, 2014 GAAP to Non-GAAP Reconciliations FY2010 FY2011 FY2012 FY2013 FY2014 Q3 Q3 Q3 Q3 Q3 Q3 Net Income ($6.4) ($20.6) ($24.5) $59.0 $12.5 $6.3 Add back: Depreciation and Amortization 2.2 2.3 2.2 2.5 2.5 3.5 Interest income & expense, other (0.3) (0.3)