idcc-20250630

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM 10-Q


☑						QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2025


☐						TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to

Commission File Number 1-33579

INTERDIGITAL, INC.

(Exact Name of Registrant as Specified in Its Charter)


Pennsylvania						82-4936666
(State or Other Jurisdiction of Incorporation or Organization)						(I.R.S. Employer Identification No.)

200 Bellevue Parkway, Suite 300, Wilmington, DE 19809-3727

(Address of Principal Executive Offices and Zip Code)

(302) 281-3600

(Registrant’s Telephone Number, Including Area Code)

Securities registered pursuant to Section 12(b) of the Exchange Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, par value $0.01 per share	IDCC	Nasdaq Stock Market LLC

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports); and (2) has been subject to such filing requirements for the past 90 days. Yes ☑ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (Section 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☑ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.


Large accelerated filer	☑	Accelerated filer	☐
Non-accelerated filer	☐	Smaller reporting company	☐
Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No þ

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.


Common Stock, par value $0.01 per share			25,802,360
Title of Class			Outstanding at July 29, 2025

INDEX



			PAGES
Part I — Financial Information:			3
Item 1 Financial Statements (unaudited):			3
Condensed Consolidated Balance Sheets — June 3 0 , 2025 and December 31, 2024			3
Condensed Consolidated Statements of Income — Three and Six Months Ended June 3 0 , 2025 and 2024			4
Condensed Consolidated Statements of Comprehensive Income — Three and Six Months Ended June 3 0 , 2025 and 2024			5
Condensed Consolidated Statements of Shareholders' Equity — Three and Six Months Ended June 3 0 , 2025 and 2024			6
Condensed Consolidated Statements of Cash Flows — Six Months Ended June 3 0 , 2025 and 2024			7
Notes to Condensed Consolidated Financial Statements			8
Item 2 Management’s Discussion and Analysis of Financial Condition and Results of Operations			20
Item 3 Quantitative and Qualitative Disclosures About Market Risk			29
Item 4 Controls and Procedures			30
Part II — Other Information:			31
Item 1 Legal Proceedings			31
Item 1A Risk Factors			31
Item 2 Unregistered Sales of Equity Securities and Use of Proceeds			32
Item 3 Defaults Upon Senior Securities			32
Item 4 Mine Safety Disclosures			32
Item 5 Other Information			32
Item 6 Exhibits			33
Signatures			34

InterDigital® is a registered trademark of InterDigital, Inc. All other trademarks, service marks and/or trade names appearing in this Quarterly Report on Form 10-Q are the property of their respective holders.

Table of Contents

PART I — FINANCIAL INFORMATION

Item 1. FINANCIAL STATEMENTS

INTERDIGITAL, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(in thousands, except per share data)

(unaudited)


	June 30, 2025		December 31, 2024
Assets
Current assets:
Cash and cash equivalents	$	517,894	$	527,360
Short-term investments	419,091		430,848
Accounts receivable	388,707		188,302
Prepaid and other current assets	60,717		84,312
Total current assets	1,386,409		1,230,822
Property and equipment, net	26,376		18,544
Patents, net	317,963		308,630
Deferred tax assets	96,468		128,133
Other non-current assets, net	157,493		149,400
Total assets	$	1,984,709	$	1,835,529
Liabilities and Shareholders' equity
Current liabilities:
Current portion of long-term debt	$	455,750	$	456,329
Accounts payable	8,046		12,206
Accrued compensation and related expenses	28,766		42,575
Deferred revenue	178,291		178,009
Dividends payable	15,507		11,557
Other accrued expenses	22,498		25,134
Total current liabilities	708,858		725,810
Long-term debt	16,566		15,443
Long-term deferred revenue	113,631		182,119
Other long-term liabilities	58,870		54,942
Total liabilities	897,925		978,314
Commitments and contingencies
Shareholders' equity:
Preferred Stock, $0.10 par value, 14,399 shares authorized, 0 shares issued and outstanding	—		—
Common Stock, $0.01 par value, 100,000 shares authorized, 70,911 and 70,577 shares issued and 25,869 and 25,682 shares outstanding	709		705
Additional paid-in capital	805,073		808,540
Retained earnings	2,039,921		1,775,823
Accumulated other comprehensive loss	(107)		(458)
Treasury stock, 45,042 and 44,895 shares of common stock held at cost	(1,758,812)		(1,727,395)
Total shareholders' equity	1,086,784		857,215
Total liabilities and shareholders' equity	$	1,984,709	$	1,835,529

The accompanying notes are an integral part of these statements.

Table of Contents

INTERDIGITAL, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(in thousands, except per share data)

(unaudited)


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
Revenue	$	300,596	$	223,493	$	511,103	$	487,035
Operating expenses:
Research and portfolio development	53,674		50,145		101,104		99,520
Licensing	23,909		25,156		41,586		121,745
General and administrative	17,586		14,286		31,154		28,126

Total operating expenses	95,169		89,587		173,844		249,391

Income from operations	205,427		133,906		337,259		237,644

Interest expense	(9,537)		(11,483)		(19,408)		(23,405)
Other income, net	15,144		11,682		25,402		20,929
Income before income taxes	211,034		134,105		343,253		235,168
Income tax provision	(30,466)		(24,441)		(47,083)		(43,852)
Net income	$	180,568	$	109,664	$	296,170	$	191,316



Net income per common share — Basic	$	6.97	$	4.35	$	11.47	$	7.54
Weighted average number of common shares outstanding — Basic	25,917		25,207		25,829		25,359
Net income per common share — Diluted	$	5.35	$	3.93	$	8.81	$	6.80
Weighted average number of common shares outstanding — Diluted	33,725		27,910		33,615		28,125

Cash dividends declared per common share	$	0.60	$	0.40	$	1.20	$	0.80

The accompanying notes are an integral part of these statements.

Table of Contents

INTERDIGITAL, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(in thousands)

(unaudited)


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
Net income	$	180,568	$	109,664	$	296,170	$	191,316
Unrealized gain (loss) on investments, net of tax	95		(90)		351		(585)
Comprehensive income	$	180,663	$	109,574	$	296,521	$	190,731

The accompanying notes are an integral part of these statements.

Table of Contents

INTERDIGITAL, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY

(in thousands, except per share data)

(unaudited)


	Common Stock			Additional Paid-In Capital		Retained Earnings		Accumulated Other Comprehensive Loss		Treasury Stock			Total Shareholders' Equity
	Shares	Amount								Shares	Amount
Balance, December 31, 2023	69,507	$	694	$	742,981	$	1,462,070	$	(647)	43,927	$	(1,623,549)	$	581,549
Net income	—	—		—		81,652		—		—	—		81,652



Net change in unrealized loss on short-term investments	—	—		—		—		(495)		—	—		(495)
Dividends declared ($0.40 per share)	—	—		343		(10,490)		—		—	—		(10,147)

SEC Form 10-Q filed by InterDigital Inc.