Two interesting comments from the Conference Call:
1. RPX is taking a $4M hit against net income in 4Q 2011, relating to a contingent expense from a 2008 patent acquisition. This will make for GAAP income of 7-8 cents per share. Non-GAAP income (which excludes the $4MM hit) is projected at 13-14c vs analyst consensus at 13c. Revenue guidance in line with top line estimates.
2. RPX is creating a patent insurance business that will go into effect in 2012. This is interesting, I like management's creativity and willingness to take risk to increase value.
This company is a very interesting long term hold, let's hope the short term disaster is over.