Xperi Q4 Revenue Falls 5% to $117M, EBITDA Margin Rises; Media Platform Set to Double
Xperi's Q4 revenue fell 5% to $117M while adjusted EBITDA rose to $22M (19% margin), driven by $60M cost cuts and near-neutral $4M cash flow. TiVo One MAUs soared 250% to 5.3M, Connected Car footprint grew 40% to 14M vehicles, and Media Platform revenue is set to double in 2026.
1. Q4 Financial Performance
Xperi reported consolidated Q4 revenue of $117 million, a 5% year-over-year decline, while adjusted EBITDA improved to $22 million, or 19% of revenue. Cost reductions of $60 million lifted non-GAAP operating expense, and operating cash flow nearly broke even at $4 million, with $97 million in cash on hand.
2. Segment Highlights and Growth Drivers
Media Platform revenue rose 15% in Q4, driven by advertising innovations and TiVo One MAUs hitting 5.3 million, up 250% in 2025. Connected Car expanded its footprint 40% to over 14 million vehicles and secured a Mercedes-Benz DTS AutoStage video deal launching mid-2026. Consumer Electronics and Pay TV segments declined 21% and 7%, respectively, due to supply and legacy product trends.
3. 2026 Outlook and Strategic Inflection
Management described an inflection point toward ad- and data-driven monetization, forecasting Media Platform revenue to double in 2026 and ARPU to exceed $10 by year-end. Continued cost discipline and new partnerships are expected to sustain margin gains while legacy pay TV and consumer electronics businesses stabilize.