The massive beat and guidance raise signal strong licensing momentum, but the GAAP revenue decline due to lower catch-up revenue creates a mixed picture. Traders should focus on ARR growth and new streaming/cloud deals as leading indicators; the raised guidance implies confidence in further licensing wins. Monitor the Q3 outlook ($154-158M revenue) for execution against the raised full-year target.
Price Chart
Executive Summary
InterDigital reported Q2 2026 Non-GAAP EPS of $4.62, crushing the $1.52 consensus (203% beat), and revenue of $260.2M, beating the $143.1M estimate by 82%. However, GAAP revenue declined 13% YoY due to lower catch-up revenue, while annualized recurring revenue (ARR) reached a record $626M (+13% YoY). The company raised full-year 2026 revenue guidance by $85M at the midpoint to $775-845M, reflecting strong licensing momentum including a new Amazon streaming deal.
Key Financial Metrics
Key Facts
- Non-GAAP EPS $4.62 vs consensus $1.52 (203% beat)
- Revenue $260.2M vs consensus $143.1M (82% beat)
- GAAP revenue declined 13% YoY to $260.2M due to lower catch-up revenue ($103.7M vs $162.3M)
- ARR hit all-time high of $626M, up 13% YoY
- Full-year 2026 revenue guidance raised to $775-845M from $675-775M (midpoint +$85M)
- New Amazon streaming and cloud services agreement drove $110M in Streaming & Cloud revenue
- GAAP diluted EPS $3.40 vs $5.35 YoY (down 36%)
- Share repurchases of $23M and dividends of $18.1M in Q2
Financial Impact
Non-GAAP EPS beat by 203%, revenue beat by 82%, guidance raised by $85M midpoint
Risk Factors
- Lumpiness of catch-up revenue makes YoY comparisons volatile
- Dependence on new licensing agreements and arbitration outcomes (e.g., Amazon deal terms pending)
- Convertible note overhang: $380M principal outstanding, with $80.3M converting in Q3 (hedged, no dilution)
- Warrants for 6.0M shares at $105.43 strike could dilute if stock stays elevated
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 1 press release from GlobeNewswire.
| Document | Accession Number |
|---|---|
| PRESS-RELEASE Data (Synthetic) | press-3336039 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 13, 2026 13d ago | Press Release | $332.88 | awaiting T+20 | — | $324.26 (−2.59%) |
Aug 26, 2026 8w ago | Institutional Cluster | $344.32 $328.03 | ▼ −4.73% | ▼ −4.96% | $324.26 (−5.83%) |
Aug 10, 2026 11w ago | Insider Cluster | $348.25 $340.94 | ▲ +2.10% | ▲ +1.18% | $324.26 (+6.89%) |
Jul 30, 2026 12w ago | 8-K | $303.33 $334.65 | ▲ +10.33% | ▲ +6.36% | $324.26 (+6.90%) |
Jul 30, 2026 12w ago | Press Release | $303.33 $334.65 | ▲ +10.33% | ▲ +6.36% | $324.26 (+6.90%) |
Jul 23, 2026 13w ago | Press Release | $256.06 $341.74 | ▲ +33.46% | ▲ +30.15% | $324.26 (+26.63%) |
Jul 10, 2026 15w ago | Press Release | $261.52 $348.25 | ▲ +33.16% | ▲ +29.98% | $324.26 (+23.99%) |
Jun 16, 2026 18w ago | Insider Cluster | $287.15 $265.49 | ▼ −7.54% | ▼ −7.74% | $324.26 (+12.92%) |
Jun 16, 2026 18w ago | Press Release | $287.15 $265.49 | ▼ −7.54% | ▼ −7.74% | $324.26 (+12.92%) |
Jun 8, 2026 20w ago | Insider Cluster | $257.11 $276.02 | ▲ +7.35% | ▲ +5.91% | $324.26 (+26.12%) |
US Market Status
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