Gemstar-TV Guide International Inc. posted net income of $42 million, or $0.10 per diluted share, for the second quarter, compared with a net loss of $22.5 million ($0.06) in the prior-year period.
Income from continuing operations was $41.2 million, or $0.10 per diluted share, versus a loss of $27.9 million ($0.07) in the year-ago quarter.
Second-quarter revenue at the company fell slightly to $179.1 million from $180.6 million in the second quarter of 2003.
Operating income was $16.7 million, which included stock compensation, depreciation and amortization charges of $8.9 million. That figure was also positively impacted by $10.1 million resulting from the settlement of a long-term lease obligation for less than previously accrued amounts related to the company's eBook operations.
Gemstar-TV Guide’s second-quarter-2003 operating loss was $36.2 million, which included stock compensation, depreciation and amortization charges of $48.2 million.
“Gemstar-TV Guide had a solid second quarter with increased profitability, reflecting improved performance in our cable and satellite segment, as well as the impact of cost-cutting measures across the company,” CEO Jeff Shell said in a prepared statement.
“In this quarter, we reached an agreement with the SEC [Securities and Exchange Commission] to resolve the commission's investigation into the company and completed our transaction with EchoStar [Communications Corp.], which further bolstered our already-strong balance sheet,” he added.
Shell continued, “Most important, we continued our operational progress, taking key promotional and programming steps at TV Guide Channel, increasing momentum in our consumer-electronics business and continuing growth at TVG Network.”