Cash and cash equivalents, short-term investments and long-term marketable securities were $240.9 million as of June 30, 2002. Operating cash flow was $23.2 million for the quarter.
During the quarter the Company purchased 240,000 shares of stock at an average price of approximately $14. There was no material impact on second quarter results. The Company plans to continue with its stock buy-back program in the coming quarter.
“Given very difficult economic conditions, we are pleased with our second quarter results,” said Ian Halifax, CFO at Macrovision. “Our revenues benefited from continued strength in our DVD business, and sequential growth in our Globetrotter Software Division. Our balance sheet improved due to decreases in receivables and increased deferred revenue. However, in spite of our solid first half performance with strong operating margins and cash flows, we are concerned about continued uncertainties in the economy, and we prefer to remain cautious in our outlook. For the full year 2002, we estimate relatively flat revenues of $95M-$98M, with pro forma EPS of $0.70-$0.73; for the third quarter of 2002, we estimate revenues of $22M-$23M, with pro forma EPS of $0.13-$0.14.”
Bill Krepick, president and CEO at Macrovision added, “The second quarter was important to us for a number of reasons, notably the announcement of a video copy protection agreement with Warner Home Video, the signing of our largest SAFECAST® contract with a consumer software customer, and the progress we made with our SAFEAUDIO™ and SafeAUTHENTICATE™ products with major music labels. Although we are giving conservative guidance for 2002, we are forging ahead and investing in several areas of our business where we see growth opportunities in 2003 and 2004.”