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Dolby Laboratories (DLB) Reports Q3 Earnings: What Key Metrics Have to Say

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Dolby Laboratories (DLB - Free Report) reported $305 million in revenue for the quarter ended June 2026, representing a year-over-year decline of 3.3%. EPS of $0.69 for the same period compares to $0.78 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $313.76 million, representing a surprise of -2.79%. The company delivered an EPS surprise of +2.99%, with the consensus EPS estimate being $0.67.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Dolby Laboratories performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
  • Revenue- Licensing: $282.35 million versus the three-analyst average estimate of $284.77 million. The reported number represents a year-over-year change of -2.6%.
  • Revenue- Products and services: $22.64 million compared to the $28.99 million average estimate based on three analysts. The reported number represents a change of -11.7% year over year.
  • Revenue- Licensing- Market- PC: $28.34 million versus $31.15 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -15.6% change.
  • Revenue- Licensing- Market- Other: $64.91 million compared to the $59.8 million average estimate based on two analysts. The reported number represents a change of +7% year over year.
  • Revenue- Licensing- Market- CE: $31.51 million versus $29.04 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +12.2% change.
  • Revenue- Licensing- Market- Broadcast: $106.58 million versus the two-analyst average estimate of $101.98 million. The reported number represents a year-over-year change of -4.2%.
  • Revenue- Licensing- Market- Mobile: $51.01 million compared to the $58.68 million average estimate based on two analysts. The reported number represents a change of -9.4% year over year.
  • Gross Margin- Licensing: $259.63 million compared to the $263.1 million average estimate based on three analysts.
  • Gross margin- Products and services: $5.04 million versus the three-analyst average estimate of $6.91 million.

View all Key Company Metrics for Dolby Laboratories here>>>

Shares of Dolby Laboratories have returned -0.1% over the past month versus the Zacks S&P 500 composite's -1.5% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.

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