Digital video recorder maker TiVo has reported soaring income for the first quarter of 2008 boosted by higher sales of HD devices and reduced advertising costs.
The California-based company said it earned $3.6 million, or 4 cents per share, for the three months ending April 30.
This is up from a profit of $835,000, or 1 cent per share, in the same period a year earlier.
Revenue totalled $54.9 million, down 5.5 per cent from $58.1 million for the same period last year.
Tom Rogers, President and CEO of TiVo, said the most significant activity being worked on to boost stand-alone sales of HD devices was relationships with third parties.
He said tests were begun last quarter with bundling with HDTV set sales.
This was working either directly with a consumer electronics manufacturer or retailers on the bundling of the TiVo sales and potential content partners who have particular reasons to see TiVo sales driven.
“Several of the bundling programs we ran during the quarter were promising, increasing sales for both TiVo and the consumer electronic manufacturer, while allowing us to acquire subs at lower costs.
“For example, we ran a bundle in conjunction with Amazon.com and Mitsubishi that increased not only TiVo sales but Mitsubishi’s as well.”
Rogers said an expansion of these bundling efforts was planned and he was hopeful that the early successes would translate on a broader scale.