Xperi Inc.

Good day, everyone. Thank you for standing by. Welcome to the Xperia third quarter 2022 earnings conference call. During today's presentation, all parties will be in a listen-only mode. Following the presentation, the call will be open for questions. I would now like to turn the call over to Jill Koval for Xperia. Jill, please go ahead.

Good afternoon, and thank you for joining us as Xperia reports its third quarter 2022 financial results. With me on the call today are John Kirchner, Chief Executive Officer, and Robert Anderson, Chief Financial Officer. In addition to today's earnings release, there is an earnings presentation, which you can access along with the webcast on our investor relations website at investor.xperia.com. Before we begin, I would like to provide a few reminders. First, I would like to note that our third quarter earnings results are being presented on a carve-out basis to reflect Xperia Inc.' 's financial results for the quarter prior to our separation on October 1, 2022, from Xperia Holding Corporation, which is now known as Audia Inc. Second, today's discussion contains forward-looking statements that are predictions, projections, or other statements about future events which are based on management's current expectations and beliefs, and therefore subject to risks, uncertainties, and changes in circumstances. For more information on the risks and uncertainties that could cause our actual results to differ materially from what we discussed today, please refer to the risk factor section in our SEC filings, including a registration statement on Form 10. Please note that the company does not intend to update or alter these forward-looking statements to reflect events or circumstances arising after this call. Third, we refer to certain non-GAAP financial measures which exclude one-time or ongoing non-cash acquired intangible amortization charges, costs related to actual or planned business combinations, including transaction fees, integration costs, severance, facility closures and retention bonuses, separation costs, stock-based compensation, impairment of goodwill, the impact of certain unrealized foreign currency adjustments, and related tax effects. We have provided reconciliations of these non-GAAP measures to the most directly comparable GAAP measures in the earnings release and on the investor relations section of our website. The recording of this conference call will also be available on our website. I will now turn the call over to Experian CEO John Kirchner.

Thank you, Jill, and thank you, everyone, for joining us on our third quarter earnings call and our first call as a newly independent company. We've accomplished a lot over the past two years, and I couldn't be more excited to take this next step of our journey as a standalone publicly traded company. On behalf of the Board of Directors and the entire management team, I want to extend a sincere thank you to all our employees and partners around the world for helping make the separation a success. We appreciate your extraordinary contributions, and we look forward to the opportunities in front of us. We continue to be on track for the year, despite the challenging global macro environment. I'm encouraged by our financial results for the third quarter as they demonstrate the strength of our business model, market position, and the quality of our execution. Total revenue for the third quarter was $121.6 million, representing a 3% increase from the year-ago period. We expect our full year 2022 financial results to be in line with the guidance previously provided at our investor day in September. We are extremely pleased with key customer wins during the quarter, demonstrating increased traction and momentum on strategic growth initiatives within our media platform, IPTV, and connected car businesses. We also drove strong operational execution on multiple critical projects, including our separation from Adia, as well as the integration of the viewed acquisition that closed in July. Within our four markets, several product lines are growing significantly, while others are more mature. We think about these areas as growth and core, respectively. At our investor day in September, we outlined our independent media platform growth strategy across three key markets. One is Smart TV. Analysts estimate that nearly 40% of the Smart TV market would benefit from a truly independent platform like ours. While our offering is new, a recent win with Vestel validates our value proposition that it is compelling and differentiated, enabling Smart TV OEMs to brand the experience, retain customer ownership, and participate in usage-based economics over the life of the product. During the quarter, we continued our momentum and strong execution in this market with the launch of TiVo OS at IFA, one of the world's largest consumer electronics trade shows. In addition to announcing Vestel as our first OEM partner to offer powered by TiVo smart TVs in 2023, we more recently entered into an agreement with KTC. KTC is one of the top six smart TV ODMs in the world, serving multiple brands, and OEMs. This partnership will accelerate the adoption of TiVo OS by providing Smart TV OEMs cost-effective, turnkey access to production-ready designs that are powered by TiVo. These proof points demonstrate the significant opportunity we have to become a leading independent Smart TV platform. We recently posted the TiVo Video Trends Report on our website which affirms the tremendous opportunity for an independent media platform. The second market is IPTV within our pay TV business. I'm pleased to announce that during the third quarter, we surpassed 1 million IPTV subscribers, which represents continuing momentum and sequential growth. Importantly, IPTV subscriber rates are meaningfully higher than our traditional classic guide subscription rates, contributing a growth element to our pay TV business. The third market is connected car with our DTS AutoStage solution. We continue to see broad industry initiatives and investments into the future of the connected car. During the quarter, in the infotainment area, we saw four automotive brands launch DTS AutoStage, Hyundai, Genesis, Kia, and a leading EV manufacturer. Also in connected car, in the safety area, we had design wins for DTS AutoSense programs, with a large European OEM and a top three Japanese OEM. Together, these wins continue to set the stage for meaningful long-term automotive revenue growth. Turning to our core business, consumer electronics had a strong financial performance in the third quarter, with a 58% year-over-year revenue increase to $34 million. We broadened the IMAX enhanced ecosystem with new releases from Sony Pictures and Disney+, and from new agreements with Rakuten TV and TCL. We demonstrated DTS as the benchmark for the highest quality sound as DTS PlayFi launched on TVs and home theater speakers from Vestel and Philips. Additionally, we continue to see broad industry recognition of our innovative product portfolio. This quarter, DxOMark, the industry standard in smartphone camera reviews, gave honors IMAX Enhanced Certified Magic 4, a camera score of 147, beating out every other smartphone, including the latest iPhone 14 Pro. Artivo OS and DTS PlayFi Wireless Multi-Channel Audio Solution both received Best in Show honors for their respective categories at IFA. And at IBC, the Global Media Conference and Trade Event in Amsterdam, TiVo User Cold Start won the Best Interactive TV Technology at the CSI Awards, one of the most prestigious and competitive technology awards in the industry. Lastly, turning to Perceive, we believe machine learning at the edge continues to represent a large disruptive opportunity for Xperia, and we expect the first Perceive-based Ergo products to enter the market in 2023. With that, I'll turn the call over to Robert to discuss our financials. Robert?