Struggling TiVo Losing Subscribers
May 27, 2009 by Mark Ellis
Filed under Business
Although TiVo is the pioneer in the field of digital-video recording, the company has posted a fiscal first-quarter loss and continues to lose subscribers. Perhaps due to the financial crisis, TiVo’s loss totaled $4.13 million, or 4 cents a share.
Image: Flickr
Just a year earlier, TiVo posted a profit of $3.62 million, but this quarter, sales have fallen 9.7 percent to $54.9 million. While the loss is certainly bad news for TiVo, the situation is not quite as bad as analysts estimated. An average of six analysts’ estimates had TiVo’s sales at $53.8 million.
In order to combat subscriber loss, TiVo has added a variety of services, including HD compatibility and film rentals from Netflix, Blockbuster, and Amazon. These services, however, have apparently done little to keep customers, as subscriber numbers have fallen 16 percent to 3.19 million.
