Following the announcement of its Q4 financial data, Dolby Laboratories, Inc. (NYSE: DLB) had a remarkable after-hours stock spike of 14.23% to $81.00 on the US stock charts. Following a little decline of about 1% during the normal trading session, this increase occurred.
DLB shared that its revenue climbed from $291 million during the same period last year, to $305 million this quarter. Furthermore, GAAP net income expanded to $59 million, or $0.61 per diluted share, from $9 million, or $0.09 per share, during the same period last year.
Important Strategic Alliances and Purchases
The completion of its acquisition of GE Licensing, which is anticipated to increase profitability, was one of the company’s major milestones during the quarter. Additionally, DLB purchased THEO Technologies, enhancing the Dolby.io platform’s capacity for interactive experiences and real-time streaming.
In the automotive sector, Dolby expanded its footprint by adding two new partners, WEY and Smart, bringing its total number of automotive OEM partners to over 20—a doubling from the previous year. These partnerships underscore Dolby Atmos’ growing influence in the automotive industry.
Expanding Consumer Electronics Presence
Dolby’s cutting-edge audio and visual technologies saw broader adoption in consumer electronics. Meta incorporated Dolby Atmos into its MetaQuest headset lineup, while Apple’s iPhone 16 introduced support for Dolby Atmos and Dolby Vision recording.
Xiaomi launched new 4K QLED TVs with Dolby Vision, and Australia adopted Dolby AC-4 for its broadcast set-top-box standards. Additionally, Lenovo’s ThinkPad and ThinkBook series integrated Dolby Atmos and Dolby Vision, further extending Dolby’s market reach.
Dividends and Stock Repurchase
Dolby declared Class A and Class B investors will receive a $0.33 cash dividend per share on December 10, 2024. Additionally, the business bought back around 251,000 shares of its stock, freeing up $402 million for additional buybacks.
These changes demonstrate Dolby’s dedication to growth and innovation in a variety of sectors, setting the business up for a successful fiscal year 2025.
