Dolby Laboratories

Ladies and gentlemen, thank you for standing by. Welcome to the Dolby Laboratories conference call discussing Q3 fiscal year 2026 financial results. During the presentation, all participants will be in a listen only mode. Afterwards, you will be invited to participate in a question and answer session. If you would like to ask a question, please press star one to raise your hand. To withdraw your question, press star one again. As a reminder, this call is being recorded Thursday, July 30th, 2026. I would now like to turn the conference over to Mr. Peter Goldmacher, Vice President of Investor Relations. Peter, please go ahead.

Good afternoon. Welcome to Dolby Laboratories' third quarter fiscal year 2026 earnings conference call. Joining me today are Kevin Yeaman, Dolby Laboratories' CEO, and Robert Park, CFO. Thank you for joining us. Thank you very much. Thanks, Peter, and thanks to everyone joining us on the call today.

Thank you for joining us. Dolby has maintained its leadership position for over 60 years by innovating and raising the bar on the entertainment experience. We do this by working with creatives, content distributors, and device makers, giving us a unique perspective on the collective needs, challenges, and opportunities of the entertainment ecosystem, which enables us to deliver experiences that come to life in the highest possible quality. This quarter, I would like to start with our focus on expanding our total addressable market beyond device licensing. We are working with a growing number of content partners that are looking to differentiate on experience and drive deeper engagement with their audiences. And we are making good progress on our target for 10% of revenue from these partners by the end of FY28. Let's start with the Video Distribution Program, the patent pool that licenses imaging patents to content streamers. Thank you for joining us. In less than one year since inception, 45 licensors have already attracted some of the biggest names in streaming as licensees to the pool, including ByteDance, Kwai Shao, Meta, Roku, Tencent, and Alibaba. We remain excited by the early momentum from this pool and we expect it to continue. Moving on to Dolby OptiView, we closed a number of key deals in the quarter, including a multi-year agreement with Roberts Communication Network, the largest provider of horse racing content in the U.S., for ultra-low latency video streaming. Also in the quarter, Google announced that Dolby OptiView Ads, our ad insertion engine, was the first product certified through their Ad Manager Technology Partner Program. This certification recognizes the performance and monetization improvements that Dolby OptiView Ads delivers when integrated with Google Ad Manager. While this partnership is early days, we are looking forward to working with Google to win new customers. Last quarter, Thank you for watching. We believe that the Dolby OptiView platform, which brings together these capabilities with ad monetization, low latency streaming, and cross-platform playback, is a unique system that will lead the future of the live sports experience. We are excited by the progress we are making in expanding our addressable market to include content platforms where we earn revenue based on usage. Moving on, Dolby Vision and Dolby Atmos continue to bring the most immersive experiences to life. and all three World Cup host countries were able to enjoy the World Cup in Dolby through partners including Peacock and Comcast in the U.S., Bell in Canada and TV Azteca in Mexico. Fans in some of the most passionate football countries like Brazil, Colombia, Germany and Spain were also able to enjoy the World Cup in Dolby. On TVs, Dolby Vision 2 is now in market with some Hisense TVs, and by the end of this calendar year, TCL and Philips will also be shipping televisions with Dolby Vision 2. Moving on to auto, we have announced agreements with over 40 auto OEMs since the program started. A few of our new OEM wins this quarter include Volkswagen in China launching its first Dolby Atmos vehicle, and Buick announcing pre-sales for the Electra E7, a plug-in hybrid SUV with Dolby Atmos, also in China. Also this quarter, Google announced support for Dolby Atmos through Android Auto with launch partners including BMW, Genesis, Mahindra, Mercedes, Renault and Skoda. With Dolby Atmos supported across Apple CarPlay and now Android, it has never been easier for users to stream Dolby Atmos to their car. It also makes it easier for dealers to demo and sell the Dolby Atmos experience in the car. We're excited about the continued momentum in in-car entertainment, which continues to be a top focus for the industry. Moving on to user-generated content and social media, high-quality user-generated content is an important factor in driving engagement, and we have strong adoption of Dolby Vision on many of the world's largest social media platforms, like Instagram, Facebook, and Joy-In. In addition to driving demand for Dolby on mobile phones, we are starting to make our way into new device categories like smart glasses and video cameras. Rayneo, the leading provider of augmented reality glasses, launched the Rayneo GT Max, the world's first AR smart glasses equipped with Dolby Vision. And Insta360, the market share leader in action and panoramic cameras, launched the Luna Ultra, which supports Dolby Vision Capture. We are pleased by the momentum behind user-generated content in Dolby and expect it to continue to grow as a priority for device OEMs. Wrapping up, we remain confident in our opportunity to drive growth beyond device licensing with progress on both the video distribution program and Dolby OptiView. And we continue to bring more Dolby experiences to more people around the world with the growing adoption of Dolby Atmos and Dolby Vision across a wide range of devices and use cases. All of this gives us confidence in our ability to drive long-term growth. With that, I'd like to turn the call over to Robert to cover the financials.