Entertainment technology company Dolby Laboratories, Inc. reported its quarterly numbers. Lower product sales and last of consumer purchase has dropped the earnings of the company. Adjusted earnings per share grew a penny and topped analysts’ expectations. The company has also provided a positive outlook for its earnings for the future. Top line of the company stood at $73.16 million or $0.67 per share for the first quarter, lower than $86.39 million or $0.76 per share in the prior-year quarter.
Commenting on the results CEO Kevin Yeaman spoke about future revenue potentials. “In the first quarter, we grew licensing revenue year over year on the strength of our broadcast and mobile markets. We continue to enhance the entertainment experience in online content with the addition of services such as HBO Go, which recently announced the adoption of Dolby Digital Plus,”
Adjusted net income excluding all items stood at $83.1 million or $0.76 per share, compared to $85.0 million or $0.75 per share in the year-ago quarter. Total revenues for the quarter decreased to $233.38 million from $242.71 million in the same quarter last year, and missed twelve Wall Street analysts’ consensus estimate of $234.41 million. We maintain a neutral outlook on the stock at the moment as decline in consumer sales and lack of innovation from the company could be detrimental to the long term growth of the company.