TiVo Reports Loss, Finds Audit Error

Digital video recorder maker TiVo Inc. reported a smaller net loss for its second quarter as revenue grew sharply and said it would restate some results from fiscal 2002.

The company also raised its revenue guidance for fiscal 2003 and lowered its operating-loss estimate for the year.

San Jose-based TiVo reported a net loss of $3 million, or 6 cents a share, for the second quarter, compared with a year-earlier net loss of $34.5 million, or 82 cents. Analysts were expecting an 18-cent loss.

The company added 42,000 subscribers in the quarter, bringing the total to 464,000. Revenue jumped to $23.9 million from $4.1 million a year earlier.

TiVo, which switched independent auditors in May from Arthur Andersen to KPMG, also said a re-audit of its fiscal year 2000 results found accounting errors in non-operating and non-cash items for the fourth quarter ended Jan. 31. The adjustments will not affect its reported cash, revenue or operating losses, the company said.