SANTA CLARA, Calif. 2/15/2006 - Macrovision Corporation (Nasdaq: MVSN) announced today record quarterly revenues of $61.0 million and $203.2 million in the fourth quarter and full year 2005, respectively. GAAP net income for the fourth quarter of 2005 was $4.5 million compared to $15.8 million for the fourth quarter of 2004. Diluted GAAP earnings per share for the quarter were $0.09, compared with $0.31 for the comparable quarter in 2004.
Non-GAAP (pro forma) earnings (excluding items such as amortization of intangibles from acquisitions, restructuring charges, discrete tax items, impairment on investments, stock-based compensation charges, and in process research and development charges) were $18.5 million, compared to $16.1 million in the fourth quarter of 2004. Non-GAAP (pro forma) diluted earnings per share for the quarter were $0.36, compared to $0.31 in the same quarter of 2004. A reconciliation between net income on a GAAP and non-GAAP (pro forma) basis is provided in tables below.
"We are pleased to be able to report record revenues for our business even with the organizational changes we conducted in the fourth quarter. We have seen significant progress and revenue strength in our software business which has more than offset the expected declines in DVD and other Entertainment revenues on a quarter over quarter and year over year basis," said Fred Amoroso, President and CEO of Macrovision. "As you have seen in a previous press release, we are also pleased to announce today that we have reached an agreement to purchase eMeta. eMeta enables our Company to advance our strategic objectives by providing products that enable access, entitlement and subscription rights management for our customers. The purchase price was $35 million in a cash transaction and we expect to close by February 28, 2006"
"Our quarterly results were good and we are optimistic about achieving our financial targets in 2006. Our revenues were higher than they have ever been and we were able to maintain high pro forma operating margins even with all the realignment activities we conducted in the fourth quarter that could have caused business disrupton," added James Budge, Chief Financial Officer. "Our outlook for 2006 is that our revenue will range between $235 million and $245 million. Our expectation for fully diluted non-GAAP (pro forma) earnings per share ranges between $0.93 and $0.97 per share. In the first quarter of 2006, we expect revenue between $52 million and $54 million and we expect fully diluted non-GAAP (pro forma) earnings per share in the range of $0.17 to $0.19. All amounts are inclusive of the impact of the eMeta acquisition."
Macrovision will hold an investor conference call on February 15, 2006, at 5:00 p.m. ET. Investors and analysts interested in participating in the conference are welcome to call 800-366-3908 (or international +1 303-262-2051) and reference the Macrovision call.
The conference call can also be accessed via live Webcast at
www.macrovision.com or
www.fulldisclosure.com (or
www.streetevents.com for subscribers) on February 15, 2006 at 5:00 p.m. ET. The on-demand audio Webcast of Macrovision's earnings conference call can be accessed approximately 1-2 hours after the live Webcast ends.
Investors and analysts interested in listening to a recorded replay of the conference are welcome to call 800-405-2236 (or international +1 303-590-3000) and enter passcode 11051948#. Access to the replay is available through February 16, 2006.
Download this press release as a PDF including financial information.
All statements contained herein, including the quotations attributed to Mr. Amoroso and Mr. Budge, as well as oral statements that may be made by the Company or by officers, directors or employees of the Company acting on the Company's behalf, that are not statements of historical fact, including statements that use the words "will," "believes," "anticipates," "estimates," "expects," "intends" or "looking to the future" or similar words that describe the Company's or its management's future plans, objectives, or goals, are "forward-looking statements" and are made pursuant to the Safe-Harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include the Company's forecast of future revenues and earnings, the business strategies and product plans of the Company and the expected results of the headcount and expense reduction action of the Company.
About Macrovision Solutions Corporation
Macrovision Solutions Corporation is focused on providing a uniquely simple digital home entertainment experience by delivering solutions to businesses to protect, enhance and distribute digital goods to consumers across multiple channels. Macrovision's technologies are deployed by companies in the entertainment, consumer electronics, cable and satellite, and online distribution markets to solve industry-specific challenges and bring greater value and a more robust user experience to their customers. The result of deploying Macrovision's solutions is a simple end user experience for discovering, managing and enjoying digital content. Today, Macrovision provides connected middleware, media recognition, interactive programming guides, copy protection and rich media, data and metadata on music, games, movies and television programming. The company also operates an entertainment portal which can be found at http://www.allmusic.com/. Macrovision holds over 4,100 issued or pending patents and patent applications worldwide.
Macrovision is headquartered in Santa Clara, California, with numerous offices across the United States and around the world including Japan, Hong Kong, Luxembourg, and the United Kingdom. More information about Macrovision can be found at http://www.macrovision.com/.
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Forward Looking Statements
All statements contained herein that are not statements of historical fact, including statements that use the words "will" or "is expected to," or similar words that describe the Company's or its management's future plans, objectives, or goals, are "forward-looking statements" and are made pursuant to the Safe-Harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause the actual results of the Company to be materially different from the historical results and/or from any future results or outcomes expressed or implied by such forward-looking statements. Such factors are further addressed in the Company's most recent quarterly report on Form 10-Q for the period ended September 30, 2008 and such other documents as are filed with the Securities and Exchange Commission from time to time (available at http://www.sec.gov/). The Company assumes no obligation to update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release, except as required by law.
