InterDigital reported double-digit growth in revenue and profitability for the third quarter, saying new licensing agreements helped results exceed its guidance. The wireless, video and AI technology company also raised the midpoint of its full-year revenue outlook and increased its quarterly dividend.
- Third-quarter growth: Revenue rose 17% year over year to $193 million. Net income increased 19%, while adjusted EBITDA rose 25%; the company did not provide the corresponding dollar amounts in the announcement.
- Record recurring revenue: Annualized recurring revenue reached an all-time high of $629 million.
- Higher full-year outlook: InterDigital raised the midpoint of its fiscal 2026 revenue guidance. The increase is based on revenue already under contract, rather than anticipated business that has not yet been secured. The announcement did not give the revised guidance range.
- PC licensing agreement: InterDigital reached an agreement with a major PC manufacturer, with final terms to be set through binding arbitration. The deal brings its licenses to four of the world’s five largest PC makers.
- Other licensing progress: The company signed an Internet of Things license agreement with electric-vehicle charging company KEBA and said it advanced its video services program.
- Higher dividend: InterDigital raised its quarterly cash dividend to 75 cents per share from 70 cents.
The guidance increase reflects revenue covered by existing contracts, while the PC agreement’s final terms remain subject to arbitration. InterDigital said it continues to pursue additional business for the fourth quarter.