Dolby Laboratories (DLB) Company Report

Dolby Laboratories reported Q4 FY2025 revenue of $307 million and non-GAAP EPS of $0.99 (or $0.71 excluding a discrete tax benefit), with FY2025 revenue up 6% to $1.35 billion. For FY2026, the company forecasts revenue between $1.39 billion and $1.44 billion (up 3%-7% year-over-year) and non-GAAP EPS between $4.19 and $4.34.
The company launched Dolby Vision 2 for TVs and secured significant partnerships for Dolby Atmos and Dolby Vision with Instagram, Douyin (TikTok), and several automotive brands. Dolby Atmos, Dolby Vision, and Imaging Patents are projected to grow 15%-20% per year over the next three to five years.
Dolby is expanding into consumption-based revenue models, including a new video distribution program for content streamers and Dolby OptiView, which is being used by the NFL. These new models are anticipated to contribute 10% of revenue from service provider customers in three years. The company also declared a $0.36 dividend (up 9%) and has approximately $277 million remaining for share repurchases.

Nov 18, 2025, 10:00 PM

Transcript

DLB Reports Q4 2025 Results and Provides FY 2026 Guidance

DLB

Earnings

Guidance Update

Product Launch

Dolby Laboratories reported Q4 2025 revenue of $307 million and non-GAAP EPS of $0.99 (or $0.71 excluding a discrete tax benefit), with full fiscal year 2025 revenue growing 6% to $1.35 billion and non-GAAP operating margins expanding by 180 basis points.
For fiscal year 2026, the company expects revenue between $1.39 billion and $1.44 billion (up 3%-7% year-over-year) and non-GAAP earnings per share between $4.19 and $4.34.
Dolby Atmos, Dolby Vision, and imaging patents revenue grew just over 14% in FY 2025 and is projected to grow approximately 15% in FY 2026, with a long-term target of 15%-20% annual growth over the next three to five years.
Strategic initiatives include the launch of Dolby Vision 2, new automotive agreements, expanded Dolby Vision support on Instagram and Douyin, and the introduction of new consumption-based revenue models like a patent pool for content streamers and Dolby OptiView, aiming for 10% of revenue from service provider customers in three years.

Nov 18, 2025, 10:00 PM

Transcript

Dolby Laboratories Reports Q4 and Full-Year 2025 Results, Provides FY2026 Guidance

DLB

Earnings

Guidance Update

New Projects/Investments

Dolby Laboratories reported Q4 2025 revenue of $307 million and non-GAAP EPS of $0.99 (or $0.71 excluding a discrete tax benefit), with full fiscal year 2025 revenue reaching $1.35 billion, up 6% year-over-year.
For fiscal year 2026, the company provided guidance of revenue between $1.39 billion and $1.44 billion (up 3%-7% year-over-year) and non-GAAP EPS between $4.19 and $4.34.
The company expects Dolby Atmos, Dolby Vision, and Imaging Patents revenue to grow approximately 15% in FY2026, and 15%-20% annually over the next three to five years, with this segment now approaching 50% of licensing revenue.
Key growth drivers include the announcement of Dolby Vision 2, new automotive partnerships, and the adoption of Dolby Vision by Instagram and Douyin (TikTok), which are expected to further penetrate mobile and TV markets.
Dolby is expanding its total addressable market through new consumption-based revenue models, such as the video distribution program for content streamers and Dolby OptiView for live sports streaming, with these new offerings potentially contributing 10% of revenue from service providers in three years.

Nov 18, 2025, 10:00 PM

Transcript

Dolby Laboratories Reports Fourth Quarter and Fiscal Year 2025 Financial Results and Provides Fiscal 2026 Outlook

DLB

Earnings

Guidance Update

Dividends

Dolby Laboratories reported total revenue of $307 million for the fourth quarter of fiscal 2025 and $1.35 billion for the full fiscal year 2025.
For the fourth quarter of fiscal 2025, GAAP diluted earnings per share was $0.51 and non-GAAP diluted earnings per share was $0.99. For the full fiscal year 2025, GAAP diluted earnings per share was $2.62 and non-GAAP diluted earnings per share was $4.24.
The company repurchased approximately 479,000 shares of its common stock for approximately $35 million during Q4 fiscal 2025 and declared a cash dividend of $0.36 per share payable on December 10, 2025.
For the first quarter of fiscal 2026, Dolby estimates total revenue to range from $315 million to $345 million and non-GAAP diluted earnings per share to range from $0.79 to $0.94.
For the full fiscal year 2026, total revenue is expected to range from $1.390 billion to $1.440 billion, with non-GAAP diluted earnings per share anticipated to range from $4.19 to $4.34.

Nov 18, 2025, 9:15 PM

8-K

Dolby Laboratories Reports Strong Q4 and Full Year Fiscal 2025 Results, Issues FY2026 Outlook

DLB

Earnings

Dividends

Share Buyback

Dolby Laboratories reported total revenue of $307 million for the fourth quarter of fiscal 2025 and $1.35 billion for the full fiscal year 2025, an increase from the prior year.
For Q4 FY2025, GAAP diluted earnings per share (EPS) was $0.51 and non-GAAP diluted EPS was $0.99. For the full fiscal year 2025, GAAP diluted EPS was $2.62 and non-GAAP diluted EPS was $4.24.
The company announced a cash dividend of $0.36 per share payable on December 10, 2025, and repurchased approximately 479,000 shares for $35 million during Q4 FY2025.
For the first quarter of fiscal 2026, Dolby estimates total revenue to range from $315 million to $345 million and non-GAAP diluted EPS from $0.79 to $0.94.

Nov 18, 2025, 9:15 PM

Press Release

Dolby Reports Q3 2025 Results and Maintains Full-Year Guidance

DLB

Earnings

Guidance Update

Share Buyback

For the third quarter of fiscal year 2025, Dolby Laboratories reported revenue of $316 million, an increase of 9% year-over-year, and non-GAAP earnings per diluted share of $0.78, with both metrics coming in above the midpoint and high end of their respective guidance ranges.
Despite an uncertain macro environment, the company maintained its full-year fiscal 2025 guidance, expecting revenue between $1.33 billion and $1.36 billion, and non-GAAP earnings per share between $3.88 and $4.03.
Dolby continues to expand its presence across various end markets, with Dolby Atmos now available in new Audi models and partnerships with Tata and Mahindra in the Indian automotive market, while Dolby Vision capture was rolled out in new Motorola, Xiaomi, and Oppo smartphones.
The company generated $68 million in operating cash flow during Q3 2025, repurchased $40 million worth of common stock, and declared a $0.33 dividend, which is up 10% from the prior year.

Aug 1, 2025, 6:41 PM

Dolby Laboratories Inc.: Federal Court Rejects Roku's Global Patent Royalty Lawsuit

DLB

Legal Proceedings

The Federal Court in Massachusetts rejected Roku Inc.'s lawsuit against Access Advance LLC, Dolby Laboratories Inc., and Sun Patent Trust on July 28, 2025.
Roku's complaint aimed to compel the court to set a global FRAND royalty rate for the HEVC Advance patent pool, which encompasses over 27,500 patents across 117 countries.
The court determined it lacked jurisdiction to establish a global FRAND royalty rate, stating that U.S. patents represent only a fraction of the broader portfolio and that such a ruling would be merely advisory.
This decision signals that litigation is not a substitute for good-faith license negotiations and that U.S. courts cannot unilaterally impose global FRAND royalty rates for third-party patents.

Jul 28, 2025, 9:43 PM

Press Release

Dolby Laboratories Presents Growth Strategy at William Blair Conference

DLB

Revenue Acceleration/Inflection

New Projects/Investments

Dolby provided an overview of its evolving business model, highlighting its transition from a flat performance period to renewed growth through margin expansion and strategic product investments.
The discussion emphasized the breakout between foundational audio technologies and high-growth products like Dolby Atmos, Dolby Vision, and imaging patents, which have grown at a 20% compounded annual rate and now contribute significantly to licensing revenue.
New initiatives were detailed, including a SaaS model under the OptiView brand aimed at enhancing real-time, low-latency streaming for interactive digital experiences in sports betting and other live events.
The conference also addressed external factors, noting that stabilizing device shipments and moderate tariff headwinds are expected to influence future growth trajectories.

Jun 4, 2025, 2:21 PM

Dolby Laboratories Q2 2025 Financial Results & Guidance Update

DLB

Earnings

Guidance Update

Share Buyback

Dividends

Q2 financials: Revenue reached $370 million, with GAAP net income of $92 million and non‐GAAP net income of $131 million ($1.34 per share).
Guidance update: Revised full-year revenue guidance of $1.31 billion to $1.38 billion and Q3 revenue expected between $290 million and $320 million amid macroeconomic uncertainty.
Announced a cash dividend of $0.33 per share, payable on May 21, 2025, to stockholders of record as of May 13, 2025.
Completed a $35 million share repurchase (~429,000 shares) and maintained $352 million of stock repurchase authorization for future use.
Strategic momentum: Sustained strength in the Auto and Mobile segments with key partnerships (including with Porsche and Cadillac) driving Dolby Atmos and Dolby Vision deployments.

May 1, 2025, 9:01 PM

Transcript Press Release 8-K

Dolby Labs Approves Charter Amendment and Director Elections

DLB

Board Change

Proxy Vote Outcomes

Auditor Change

Charter Amendment Adopted: Dolby Laboratories, Inc. amended its Certificate of Incorporation to provide for the exculpation of directors and officers, effectively limiting their personal liability; the amendment became effective upon filing on February 5, 2025.
Annual Meeting Decisions: At the 2025 Annual Meeting held on February 4, 2025, stockholders approved the director elections, advisory vote on executive compensation frequency, and ratified KPMG LLP as the independent auditor for the fiscal year ending September 26, 2025.