Dolby Laboratories has announced robust financial results for the third quarter of fiscal 2025, underscoring its continued leadership in immersive entertainment technology. The company reported solid performance driven by expanding engagement with creators, distributors, and device manufacturers, demonstrating its integral role in delivering cutting-edge audio and visual experiences across a myriad of platforms.
The financial highlights for the third quarter were particularly strong, with total revenue climbing to $316 million, a notable increase from $289 million in the corresponding period of fiscal 2024. GAAP net income rose to $46 million, or $0.48 per diluted share, up from $38 million, or $0.40 per diluted share year-over-year. On a non-GAAP basis, net income reached $76 million, or $0.78 per diluted share, compared to $69 million, or $0.71 per diluted share, in the prior year.
In a strategic move to return value to shareholders, Dolby repurchased approximately 526,000 shares of its common stock for about $40 million during the quarter. The company also declared a cash dividend of $0.33 per share for Class A and Class B common stock, payable on August 20, 2025, further reflecting its financial stability and commitment to investor returns.
Dolby’s reach continues to expand into diverse markets through significant partnerships and product integrations. Automotive giants like Audi announced support for Dolby Atmos in several of their models, while Indian automakers Tata and Mahindra launched new SUVs featuring Dolby Atmos. This push into the automotive sector highlights the growing demand for premium immersive audio experiences beyond traditional home entertainment.
The mobile and consumer electronics landscape also saw substantial adoption of Dolby technologies. Motorola introduced its first smartphone with Dolby Vision Capture, and new Xiaomi devices launched with both Dolby Vision and Dolby Atmos. Leading brands such as Samsung, Haier, TCL, LG, Marshall, and JBL released new TVs and speakers incorporating Dolby technology, solidifying its presence in the broader consumer market.
Beyond devices, Dolby’s impact on content delivery is evident in major broadcasting and streaming partnerships. Prestigious sporting events like the FIFA Club World Cup, Stanley Cup Finals, French Open, and Indian Premier League playoffs were all broadcast in Dolby, enriching the viewing experience for millions. Furthermore, HBO Max, a significant streaming platform, is expanding its Dolby Atmos and Dolby Vision streaming services to new international markets, bringing immersive entertainment to even more global audiences.
Looking ahead, Dolby provided an optimistic financial outlook for the fourth quarter and the full fiscal year 2025. The company anticipates fourth-quarter total revenue to range from $288 million to $318 million, with full-year revenue projected between $1.33 billion and $1.36 billion. These forecasts underline Dolby’s confidence in sustained growth and market penetration for its innovative audio and video technologies amidst evolving global economic conditions.
Dolby Laboratories, renowned as a world leader in immersive entertainment, remains at the forefront of transforming sight and sound into spectacular experiences. Through groundbreaking innovations like Dolby Atmos, Dolby Vision, and Dolby Cinema, the company consistently partners with artists, storytellers, and brands to elevate digital experiences for billions worldwide across their preferred devices, continually setting new standards for quality and engagement.
