In This Story
InterDigital Inc. (IDCC-2.65%) has filed its annual report on Form 10-K for the fiscal year ended December 31, 2024 filing.
The filing reports total revenues of $868.5 million for 2024, a 58% increase from $549.6 million in 2023. This increase was primarily driven by catch-up revenues from new agreements, including those with Samsung and OPPO.
Recurring revenues remained relatively flat at $408.4 million in 2024 compared to 2023. The company attributes the stability in recurring revenues to increased revenues from consumer electronics, IoT, and automotive sectors, offsetting the expiration of certain smartphone agreements.
Operating expenses increased by 31% to $429.0 million in 2024, primarily due to higher revenue share costs, intellectual property enforcement costs, and performance-based compensation.
The company reported a net income of $358.6 million for 2024, compared to $211.1 million in 2023. The increase in net income is attributed to higher revenues and effective cost management.
InterDigital's cash, cash equivalents, and short-term investments totaled $982.4 million as of December 31, 2024. The company also reported $1.4 billion in contracted fixed-price agreements, which includes conservative estimates of expected minimum cash receipts from ongoing arbitrations.
The company continues to focus on its strategy of investing in advanced research to grow and enhance its patent portfolio, maintaining collaborative relationships with industry players, and expanding its patent-based revenue.
InterDigital entered into a binding arbitration with Lenovo to determine the terms of a new patent license agreement effective from January 1, 2024. The arbitration follows a UK court decision that awarded InterDigital a lump sum for a license to its cellular patent portfolio.
The company is involved in various legal proceedings to enforce its intellectual property rights, including ongoing arbitrations and court proceedings with Samsung and Lenovo.
InterDigital increased its quarterly cash dividend by $0.05 per share in both 2023 and 2024, with an additional increase announced for 2025.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the InterDigital Inc. annual 10-K report dated February 6, 2025. To report an error, please email earnings@qz.com.