InterDigital Raises Q3 Outlook; Signs New License Deal With Chinese Smartphone Vendor

(RTTNews) - InterDigital, Inc. (IDCC), a technology research and development company, Monday said that it has raised its guidance for the third quarter. The company now expects third-quarter earnings per share in the range of $1.39 - $1.56, higher than the earlier given $0.94 - $1.11 range. Adjusted earnings per share are now expected between $2.08 and $2.07, more than the earlier $1.52 - $1.72 range.

According to InterDigital, revenue for the three-month period is now expected between $155 million and $159 million, more than the earlier range of $136 million-$140 million. Adjusted EBITDA is currently projected between $91 million and $97 million, higher than the earlier $69 million and $75 million.

On average, 4 analysts expect the company to post earnings of $1.29 per share on revenues of $145.7 million in the third quarter. Analysts', estimates, usually exclude special items.

Separately, the company said that it signed a new license agreement with a major Chinese smartphone vendor. Commenting on the deal, Liren Chen, CEO and President, InterDigital said, "This new license agreement, which was concluded through amicable negotiation, adds another major smartphone player to our customer base and increases our projected annualized recurring revenue or ARR by approximately $26 million to a record $579 million."