SAN FRANCISCO, CALIFORNIA ( November 18, 2025 ) -

Dolby Laboratories, Inc. (NYSE:DLB) today announced the company’s financial results for the fourth quarter and fiscal year 2025.

“We finished FY25 strong, growing Dolby Atmos, Dolby Vision and imaging patents, and expanding our addressable market with momentum in Dolby OptiView and the introduction of a new imaging patent pool for content streamers,” said Kevin Yeaman, President and CEO, Dolby Laboratories. “As we head into FY26, I’m confident in our strategy to grow our business by delivering value across current and future ecosystems of creatives, content distributors and device makers.”

Fourth Quarter Fiscal 2025 Financial Highlights

Total revenue was $307 million, compared to $305 million for the fourth quarter of fiscal 2024.

GAAP net income was $49 million or $0.51 per diluted share, compared to GAAP net income of $59 million or $0.61 per diluted share for the fourth quarter of fiscal 2024. On a non-GAAP basis, fourth quarter net income was $96 million or $0.99 per diluted share, compared to $78 million or $0.81 per diluted share for the fourth quarter of fiscal 2024. Fourth quarter net income included a benefit from discrete tax items of $0.19 per diluted share on a GAAP basis and $0.28 per diluted share on a non-GAAP basis.

Dolby repurchased approximately 479,000 shares of its common stock for approximately $35 million, and ended the quarter with approximately $277 million of stock repurchase authorization available going forward.

Full Year Fiscal 2025 Financial Highlights

Total revenue was $1.35 billion, compared to $1.27 billion for the full year of fiscal 2024.

GAAP net income was $255 million, or $2.62 per diluted share, compared to GAAP net income of $262 million, or $2.69 per diluted share, for the full year of fiscal 2024. On a non-GAAP basis, full year net income was $414 million or $4.24 per diluted share, compared to $369 million or $3.79 per diluted share for the full year of fiscal 2024.

Cash flows from operations were $472 million, compared to $327 million for the full year of fiscal 2024.

A complete listing of Dolby’s non-GAAP measures are described and reconciled to the corresponding GAAP measures at the end of this release.

Recent Business Highlights

Peacock started streaming its NFL Sunday Night Football games and NBA games in Dolby Atmos.

In September we announced Dolby Vision 2, which expands the benefits of Dolby Vision beyond HDR, unlocking the full capabilities of modern displays and introducing new tools for artists.

This quarter, TCL, Samsung, Hisense, Xiaomi, and Amazon launched TVs that feature Dolby Atmos and/or Dolby Vision.

Instagram for iOS is now the first Meta app to support Dolby Vision.

Douyin, known in many parts of the world as TikTok, made Dolby Vision available to its users in China, giving them the ability to capture, share, and edit content in Dolby Vision.

This past quarter, we signed agreements with automakers Maruti Suzuki in India, Deepal in China, and VinFast in Vietnam.

The first in-car game featuring Dolby Atmos, Loner, officially launched on Li Auto vehicles.

Upcoming Investor Event

Dolby is hosting an event at CES for the financial community where we will demonstrate a wide array of our technologies. The event will be held at 8:00 a.m. PT on Wednesday, January 7, 2026. Please send an email to IR@dolby.com for more information.

Dividend

Today, Dolby announced a cash dividend of $0.36 per share of Class A and Class B common stock, payable on December 10, 2025, to stockholders of record as of the close of business on December 2, 2025.

Financial Outlook
Dolby’s financial outlook relies, in part, on estimates of royalty-based revenue that take into consideration various factors that are subject to uncertainty, including consumer demand for electronic products. In addition, actual results could differ materially from the estimates Dolby is providing below due in part to uncertainty resulting from the macroeconomic effect of certain conditions, including developments concerning trade restrictions and changes in trade or diplomatic relationships, supply chain constraints, international conflicts, geopolitical instability, and fluctuations in inflation and interest rates. The uncertainty resulting from these factors has greatly reduced visibility into Dolby’s future outlook. To the extent possible, the estimates Dolby is providing for future periods reflect certain assumptions about the potential impact of certain of these items, based upon a consideration of currently available external and internal data and information. These assumptions are subject to risks and uncertainties. For more information, see “Forward-Looking Statements” in this press release for a description of certain risks that Dolby faces, and the section captioned “Risk Factors” in its Annual Report on Form 10-K for fiscal 2025, to be filed on or around the date hereof.

Dolby is providing the following estimates for its first quarter of fiscal 2026:

Total revenue is estimated to range from $315 million to $345 million.

Licensing revenue is estimated to range from $290 million to $320 million.

Gross margins are anticipated to be approximately 88% on a GAAP basis and approximately 90% on a non-GAAP basis.

Operating expenses are anticipated to range from $235 million to $245 million on a GAAP basis and from $195 million to $205 million on a non-GAAP basis.

Effective tax rate is anticipated to be around 23% on a GAAP basis and around 21% on a non-GAAP basis.

Diluted earnings per share is anticipated to range from $0.39 to $0.54 on a GAAP basis and from $0.79 to $0.94 on a non-GAAP basis.

Dolby is providing the following estimates for the full year of fiscal 2026:

Total revenue is expected to range from $1.390 billion to $1.440 billion.

Licensing revenue is estimated to range from $1.285 billion to $1.335 billion.

Gross margins are anticipated to be approximately 88% on a GAAP basis and approximately 90% on a non-GAAP basis.

Operating expenses are anticipated to range from $930 million to $950 million on a GAAP basis and from $780 million to $800 million on a non-GAAP basis.

Dolby expects operating margins to be roughly 21% on a GAAP basis and to be roughly 34% on a non-GAAP basis.

Effective tax rate is anticipated to be around 23% on a GAAP basis and around 21% on a non-GAAP basis.

Diluted earnings per share is anticipated to range from $2.61 to $2.76 on a GAAP basis and from $4.19 to $4.34 on a non-GAAP basis.

Conference Call Information

Members of Dolby management will lead a conference call open to all interested parties to discuss fourth quarter and full year fiscal 2025 financial results for Dolby Laboratories at 2:00 p.m. PT (5:00 p.m. ET) on Tuesday, November 18, 2025. Access to the teleconference will be available at http://investor.dolby.com or by dialing 1-888-210-2212 (+1-646-960-0390 for international callers) and entering confirmation code 5587811.

A replay of the call will be available from 5:00 p.m. PT (8:00 p.m. ET) on Tuesday, November 18, 2025, until 8:59 p.m. PT (11:59 p.m. ET) on Tuesday, November 25, 2025 by dialing 1-800-770-2030 (+1-647-362-9199 for international callers) and entering the confirmation code 5587811. An archived version of the teleconference will also be available on the Dolby website, http://investor.dolby.com.

About Dolby
Dolby Laboratories (NYSE: DLB) is a world leader in immersive entertainment. From movies and TV, to music, sports, gaming, and beyond, Dolby transforms the science of sight and sound into spectacular experiences for billions of people worldwide across all their favorite devices. We partner with artists, storytellers, and the brands you love to transform entertainment and digital experiences through groundbreaking innovations like Dolby Atmos, Dolby Vision, Dolby Cinema, and Dolby OptiView.

Dolby, Dolby Atmos, Dolby Vision, Dolby Cinema, Dolby OptiView, and the double-D symbol are among the registered and unregistered trademarks of Dolby Laboratories in the United States and/or other countries. Other trademarks remain the property of their respective owners.