Research Desk Line-up: Corning Post Earnings Coverage

LONDON, UK / ACCESSWIRE / August 4, 2017 / Pro-Trader Daily has just published a free post-earnings coverage on Dolby Laboratories, Inc. (NYSE: DLB) ("Dolby"), which can be viewed by registering at http://protraderdaily.com/optin/?symbol=DLB, following the Company's posting of its third quarter fiscal 2017 results on July 25, 2017. The creator and licensor of audio, video, and voice technologies outperformed top- and bottom-line expectations. Our daily stock reports are accessible for free, and with those to look forward today you also will be signing up for a complimentary member's account at:

http://protraderdaily.com/register/

Get more of our free earnings reports coverage from other constituents of the Diversified Electronics industry. Pro-TD has currently selected Corning Incorporated (NYSE: GLW) for due-diligence and potential coverage as the Company announced on July 26, 2017, its financial results for Q2 2017. Register for a free membership today, and be among the early birds that get access to our report on Corning when we publish it.

At Pro-TD, we make it our mission to bring you news that matter about the stock you follow. Today, our research desk covers a blog story on DLB; also brushing on GLW. With the links below you can directly download the report of your stock of interest free of charge at:

http://protraderdaily.com/optin/?symbol=DLB

http://protraderdaily.com/optin/?symbol=GLW

Earnings Reviewed

For Q3 FY17, Dolby reported total revenue of $305.7 million, up 10% compared to $277.6 million for Q3 FY16, with the growth primarily coming in licensing. The Company's revenue numbers topped analysts' expectations of $297 million.

During Q3 FY17, Dolby's gross margin was 89.5% on a GAAP basis and 90.2% on a non-GAAP basis. The Company's operating expenses in the reported quarter on a GAAP basis were $177.6 million compared to $177.2 million in the previous quarter. For Q3 FY17, Dolby's operating income was $95.9 million on a GAAP basis, or 31.4% of revenue, and it was $114.3 million on a non-GAAP basis, or 37.4% of revenue.

Dolby's Q3 FY17 GAAP net income was $76.0 million, or $0.73 per diluted share, compared to $63.6 million, or $0.62 per diluted share, for Q3 FY16. On a non-GAAP basis, the Company's reported quarterly net income was $89.2 million, or $0.86 per diluted share, compared to $78.3 million, or $0.76 per diluted share, in the prior year's corresponding quarter. Dolby's earnings exceeded Wall Street's estimates of $0.65 per share.

Segment Details

During Q3 FY17, Dolby's Licensing segment's revenue totaled $278.11 million compared to revenue of $253.03 million in Q3 FFY16. The segment's Broadcast category represented about 37% of total licensing in the reported quarter, up 3% on a y-o-y basis, due to higher volume in set-top boxes. PC represented about 17% of total licensing in Q3 FY17 down 1% on a y-o-y basis. Mobile devices were approximately 20% of licensing revenue in the reported quarter, 18% higher on a y-o-y basis helped by higher recoveries. Consumer electronics represented about 14% of total licensing in Q3 FY17, up 15% on a y-o-y basis, driven by higher revenue in DMAs and sound bars.

Dolby's Product and Services segment's revenue was $27.6 million in Q3 FY17 compared to $25.8 million in Q2 FY17 and $24.5 million in Q3 FY16, driven by higher demand from exhibitors for the Company's digital cinema products. Product's gross margin on a GAAP basis was 33.9% in the reported quarter compared to 32.5% in previous quarter. Product's gross margin was 40.6% on a non-GAAP basis in Q3 FY17 compared to 39.6% in Q2 FY17.

Cash Matters

During Q3 FY17, Dolby generated over $130 million in cash from operations and ended the quarter with over $1 billion in cash and investments. The Company repurchased about 485,000 shares of its common stock in the reported quarter and ended the quarter with approximately $175 million of stock repurchase authorizations still available

On the day of its earnings release, Dolby announced a cash dividend of $0.14 per share of Class A and Class B common stock, payable on August 15, 2017, to stockholders of record as of the close of business on August 07, 2017.

Financial Outlook

For Q4 FY17, Dolby is forecasting total revenue to range from $230 million to $250 million. The Company expects gross margin percentages to be between 87% and 88% on a GAAP basis, and between 88% and 89% on a non-GAAP basis. Dolby is projecting diluted earnings per share to be in the range of $0.22 and $0.28 on a GAAP basis and between $0.36 and $0.42 on a non-GAAP basis for the upcoming quarter.

For FY17, Dolby is estimating midpoint of total revenue guidance to remain at approximately $1.08 billion. The Company expects operating expenses to be approximately $706 million on a GAAP basis and approximately $635 million on a non-GAAP basis.

Stock Performance

On Thursday, August 03, 2017, the stock closed the trading session at $51.41, slightly up 0.18% from its previous closing price of $51.32. A total volume of 703.92 thousand shares have exchanged hands, which was higher than the 3-month average volume of 318.07 thousand shares. Dolby Labs' stock price advanced 4.15% in the last one month, 7.22% in the past six months, and 5.46% in the previous twelve months. Furthermore, since the start of the year, shares of the Company have surged 13.76%. The stock is trading at a PE ratio of 26.22 and has a dividend yield of 1.09%. The stock currently has a market cap of $5.30 billion.

Pro-Trader Daily:

Pro-Trader Daily (Pro-TD) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and Canadian stocks. PRO-TD has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles, and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.

PRO-TD has not been compensated; directly or indirectly; for producing or publishing this document.

PRESS RELEASE PROCEDURES:

The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third party research service company (the "Reviewer") represented by a credentialed financial analyst [for further information on analyst credentials, please email contact@protraderdaily.com. Rohit Tuli, a CFA® charter holder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by PRO-TD. PRO-TD is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.

NO WARRANTY

PRO-TD, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. PRO-TD, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, PRO-TD, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.

NOT AN OFFERING

This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither PRO-TD nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://protraderdaily.com/disclaimer/.

CONTACT

For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:

Email: contact@protraderdaily.com

Phone number: (917) 341.4653

Office Address: Mainzer Landstrasse 50 Frankfurt am Main, Germany 60325

CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.

SOURCE: Pro-Trader Daily