Rambus Projects Q3 Revenue Below Analysts' View - Quick Facts

(RTTNews) - Rambus Inc. (RMBS) announced, for the third quarter of 2016, it expects revenue to be between $75 million and $80 million. The company noted that achieving revenue in this range will require that it signs new customer agreements for mobile payments software and solutions licensing among other matters. Analysts polled by Thomson Reuters expect the company to report revenue of $84 million for the third-quarter. Analysts' estimates typically exclude special items. Shares of Rambus Inc. were down 4.45% after hours.

Non-GAAP net income in the second quarter of 2016 was $16.7 million, 4% higher than the second quarter of 2015. Non-GAAP net income per share was $0.15 compared to $0.13. On average, four analysts polled by Thomson Reuters expected the company to report profit per share of $0.13 for the quarter.

Net income for the second quarter of 2016 was $3.9 million compared to $6.9 million in the second quarter of 2015. Net income per share was $0.03 compared to $0.06.

Revenue for the second quarter of 2016 was $76.5 million, up 5% year-over-year primarily due to higher revenue from security technology development projects, including revenue from the acquisition of SCS, offset by lower royalty revenue from various customers. Analysts expected revenue of $74.44 million for the quarter.

Separately, Rambus announced that Dish TV India has selected the CryptoMedia Security Platform for use in its pay TV satellite system. The platform, which includes a hardware root-of-trust embedded in the set-top box chipset, ensures secure distribution of premium content for cable and satellite operators while eliminating the need for a smart card and enhancing usability of the set-top box.