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Dolby Laboratories Just Won the TV Wars: Dolby Vision 2 Gets Major OEM Backing!

Dolby Laboratories reported its fourth quarter and full fiscal year 2025 results, revealing a 6% increase in annual revenue, reaching $1.35 billion, which aligns with the company’s previously communicated guidance. Operating margins also expanded by 1.8 percentage points. Revenue for the fourth quarter came in at $307 million, surpassing the midpoint of guidance, with non-GAAP earnings per share (EPS) at $0.99. This was bolstered by a $0.28 discrete tax benefit, resulting in a non-GAAP EPS of $0.71, which exceeded expectations primarily due to higher revenue and improved gross margins. One of the key highlights of the quarter was the continued traction of Dolby Atmos and Dolby Vision, with strong engagement from content creators, distributors, and device manufacturers. The company introduced Dolby Vision 2, enhancing picture quality and features such as ambient light detection and motion control, receiving positive industry reception.