J.P. Morgan Reports Solid F3Q On Dolby

According to J.P. Morgan, Dolby Laboratories DLB beat 3Q expectations, and raised FY11 guidance, however, management announced that Dolby Digital was designed out of the latest Windows 8 specification. J.P. Morgan said that DLB beat F3Q expectation, reporting PF EPS of $0.65 on revenue of $219.0 million (JPM prior est $0.59 EPS/$208.1mm, Street $0.61/$216.2mm), down 5% y/y and 12% q/q. “The company exited F3Q with $1.18 billion of cash/equivalents, generated $133mm cash flow from operations and announced another $250mm buyback.” Dolby Laboratories closed yesterday at $37.67.