WILMINGTON, DE — InterDigital, Inc. (Nasdaq: IDCC) posted a strong second quarter on the back of a landmark arbitration ruling involving Samsung and a newly secured licensing deal with HP, prompting the company to raise its full-year revenue forecast by $110 million.
Revenue reached $300.6 million in Q2, up 34% from the same period last year. Net income rose to $180.6 million, or $5.35 per diluted share, representing a 65% jump in earnings and a 36% increase in EPS year-over-year. On a non-GAAP basis, EPS climbed to an all-time high of $6.52, while adjusted EBITDA reached $236.7 million.
Driving the results was a finalized agreement with Samsung—valued at more than $1 billion over eight years—which CEO Liren Chen called “the largest license InterDigital has ever signed.” In combination with the new HP agreement, the deals have pushed annualized recurring revenue to a record $553 million, up 44% from the previous year.
With these developments, InterDigital raised its 2025 revenue guidance midpoint to $820 million, signaling continued strength in its IP-as-a-service model. Since 2021, the company has secured more than $4 billion in total contract value across its licensing portfolio.
The company also confirmed that its 3.50% Senior Convertible Notes due in 2027 are now eligible for conversion during the third quarter. The current conversion rate stands at 12.9041 shares per $1,000 principal amount. InterDigital retains the option to settle conversions in cash, stock, or a combination of both.
To manage dilution risk, the company had previously entered into call spread transactions at the time of issuance, effectively increasing the economic conversion price from $77.49 to $106.06 per share.
InterDigital’s licensing momentum, underscored by the Samsung and HP agreements, reflects accelerating demand for its wireless and video technology patents. With recurring revenue at an all-time high and a growing contract pipeline, the company is positioning itself as a key player in the intellectual property monetization space.
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