Gemstar TV Guide International (GMST) 8-K Gemstar-tv Guide Announces First Quarter 2007 Results

 Exhibit 99.1

GEMSTAR-TV GUIDE ANNOUNCES FIRST QUARTER 2007 RESULTS

Los Angeles, California (May 3, 2007) - Gemstar-TV Guide International, Inc. (NASDAQ: GMST) announced that for the quarter ended March 31, 2007, the Company reported consolidated revenues of $156.7 million, an increase of 9% versus the prior year’s quarter.

Operating income for the first quarter of 2007 was $42.1 million, an approximate five-fold increase, compared with operating income of $7.7 million for the first quarter of 2006. The Company’s first quarter 2007 operating income was positively impacted by a 26% increase in revenues in our Guidance Technology and Solutions segment and by the reversal of $10.7 million in accrued liabilities relating to a patent rights agreement, as the result of an arbitration award.

Net income for the first quarter of 2007 increased approximately four-fold to $34.4 million, or $0.08 per share, which includes $3.6 million, or $0.01 per share from discontinued operations, compared with net income of $8.6 million, or $0.02 per share in the first quarter of 2006.

Gemstar TV Guide’s Chief Executive Officer Rich Battista said, “Continuing to build on the momentum that finished off 2006, we started 2007 with a solid first quarter. We have been active in executing on our strategic mission of providing leading-edge, cross-platform guidance solutions for consumers around the world. At the end of the first quarter, we acquired Aptiv Digital, a highly complementary business that expands our guidance products and services. In April, we launched our Online Video Guide, and just this week, we announced the debut of My TV Guide, a suite of personalized cross-platform guidance products and services. Our multi-platform strategy, combined with our unique set of assets and our important relationships with distributors around the world, position us well for continued growth as we seek to continue to build value for our shareholders.”

FIRST QUARTER 2007 SEGMENT FINANCIAL PERFORMANCE

The Company reports segment information in the same way that management internally organizes its business for assessing performance and making decisions regarding the allocation of resources to the business units. During the first quarter of 2007, the Company reorganized the presentation of its business units to its chief operating decision maker into three reportable segments. In addition, the Company reports Cross Platform Costs which includes certain company-wide expenditures. Quarterly results for 2005 and 2006 have been reclassified to conform with the 2007 presentation and are presented in an attached table.

The schedule below reflects Gemstar-TV Guide’s performance for the first quarter of 2007 and 2006 by segment. The following segment information is presented and reconciled to consolidated income from continuing operations before income taxes.  More detailed information is contained in the Company’s Form 10-Q for the quarter ended March 31, 2007, which was filed with the Securities Exchange Commission today.

GEMSTAR-TV GUIDE INTERNATIONAL, INC.

CONSOLIDATED SEGMENT PERFORMANCE ⁽¹⁾

(In dollars, thousands)

	Three Months Ended March 31,
		2007		2006
Guidance Technology and Solutions:
IPG Patent Licensing		41,269		26,979
IPG Products and Services		19,623		14,356
VCR+ Plus		12,003		15,740
Other		2,571		2,844
Revenues		75,466		59,919
Operating Expense (2)		21,123		19,443
Adjusted EBITDA (3)		54,343		40,476
Media Networks:
TV Guide Channel		33,707		35,397
TVG Network		11,440		10,426
Online Networks		1,900		2,731
Other		525		31
Revenues		47,572		48,585
Operating Expense (2)		38,391		41,284
Adjusted EBITDA (3)		9,181		7,301
Publishing:
TV Guide Magazine Revenues		33,696		35,528
Operating Expense (2)		39,761		49,418
Adjusted EBITDA (3)		(6,065	)	(13,890	)
Cross Platform Costs:
Product Development and Technology		3,933		624
Corporate Marketing		1,201		―
Corporate General and Administrative		878		17,252
Operating Expense (2)		6,012		17,876
Adjusted EBITDA(3)		(6,012	)	(17,876	)
Consolidated:
Revenues		156,734		144,032
Operating Expense (2)		105,287		128,021
Adjusted EBITDA(3)		51,447		16,011
Stock compensation		(353	)	(312	)
Depreciation and amortization		(8,958	)	(7,961	)
Operating income		42,136		7,738
Interest income, net		6,369		5,169
Other income, net		327		118
Income from continuing operations before income taxes		48,832		13,025

(1)  Segment information is presented and reconciled to consolidated income from continuing operations before income taxes in accordance with SFAS No. 131. Intersegment revenues and

       expenses have been eliminated from segment financial information as transactions between reportable segments are excluded from the measure of segment profit and loss reviewed by the chief

       operating decision maker.

(2)  Operating expenses means operating expenses, excluding stock compensation, depreciation and amortization and impairment of intangible assets. 

(3)  Adjusted EBITDA is defined as operating income (loss), excluding stock compensation, depreciation and amortization, and impairment of intangible assets. The Company believes Adjusted

       EBITDA to be relevant and useful information as Adjusted EBITDA is the primary measure used by our chief operating decision maker to evaluate the performance of and make decisions

       about resource allocation to the industry segments.

Guidance Technology and Solutions

§   Revenues for the quarter ended March 31, 2007 were $75.5 million, up 26% versus the prior year’s quarter and represented 48% of the Company’s total revenue. IPG Patent Licensing revenues increased by $14.3 million, or 53%, in the first quarter of 2007 compared to the same period in the prior year. These increases were primarily due to (i) revenue from the recent patent license agreements with British Sky Broadcasting Group plc (fourth quarter of 2006) and Yahoo! Inc. (third quarter 2006), (ii) an increase in the digital subscribers of our U.S. cable and satellite licensees; and (iii) a $6.5 million payment from a licensee for previously unreported IPGs deployed from the second quarter of 2004 to December of 2006.

IPG Products and Services revenues increased by $5.3 million, up 37% versus the prior year’s quarter, due to higher shipments of CE products incorporating our IPG by Panasonic and an increase in the number of digital subscribers that receive the Company’s IPG. VCR Plus+ revenues decreased by 24% due to a lower number of units shipped.

§   Adjusted EBITDA in the first quarter of 2007 increased to $54.3 million, up 34% versus the prior year’s quarter. The increase was primarily due to the higher revenues noted above, offset by decreased VCR Plus + revenues.

Media Networks

§   Revenues for the quarter ended March 31, 2007 were $47.6 million, a decrease of 2% versus the prior year’s quarter and represented 30% of the Company’s total revenue. Revenue was driven by a $1.0 million increase at TVG Network, offset by declines of $1.7 million at TV Guide Channel and $0.8 million at Online Networks.

§   Adjusted EBITDA in the first quarter of 2007 increased to $9.2 million, up 26% versus the prior year’s quarter, primarily due to marketing and promotional expenses related to new program launches at TV Guide Channel, that occurred in the first quarter of 2006, but are planned for later in 2007.

Publishing

§   Revenues for TV Guide Magazine for the quarter ended March 31, 2007 were $33.7 million, a decrease of 5% versus the prior year’s quarter and represented 22% of the Company’s total revenue. This decrease was primarily due to the planned reduction in our subscriber base. This was partially mitigated by higher newsstand revenues due to lower initial placement order fees and an 18% increase in advertising revenues.

§   Adjusted EBITDA in the first quarter of 2007 was negative $(6.1) million versus a negative $(13.9) million in the prior year’s quarter due to lower operating expenses.

Cross Platform Costs

§   Adjusted EBITDA in the first quarter of 2007 was negative $(6.0) million compared with adjusted EBITDA of negative $(17.9) million in the prior year’s quarter. This was primarily due to a reversal, following a favorable arbitration ruling, of $10.7 million in accrued liabilities relating to a patent rights agreement with a former chairman and chief executive officer, which was recorded in Corporate General and Administrative expenses.

Product Development and Technology expenses increased by $3.3 million in the first quarter of 2007 compared with the same period in the prior year. Costs incurred to develop next generation guidance products and services in the first quarter of 2006 were minimal, as this group was in the process of being formed.

Corporate Marketing, a group formed in the second quarter of 2006, had expenses of $1.2 million in the first quarter of 2007. Higher expenses are expected in the second half of 2007, related to the launch of cross-platform marketing initiatives, to drive greater usage of our products and to elevate our brand.  

LIQUIDITY & CAPITAL RESOURCES

At March 31, 2007, the Company’s cash, cash equivalents and marketable securities were $506.7 million, excluding restricted cash of $32.0 million, a decrease of $6.9 million versus December 31, 2006 mainly due to the Aptiv Digital acquisition. Outstanding short- and long-term debt, made up entirely of capital lease obligations, was $12.6 million, compared with $12.7 million at December 31, 2006.

The Company reported first quarter 2007 positive operating cash flows of $8.2 million compared with $28.5 million in the first quarter of 2006. Income from continuing operations before income taxes in the first quarter of 2007 increased by $35.8 million, however, operating cash flow decreased, as the first quarter of 2006 included the receipt of $52.4 million in income tax refunds. 

CONFERENCE CALL

Gemstar-TV Guide management will host a conference call with the financial community today, Thursday, May 3, 2007 at 2:00 p.m. PDT (5:00 p.m. EDT). Rich Battista, Chief Executive Officer, and Bedi A. Singh, Chief Financial Officer, will review the first quarter results, including a discussion of our business results presented in accordance with our new reportable segments. A question and answer session will follow.

The conference call will be available on conference call lines and will be Web cast. Investors and analysts may connect to the call by dialing (866) 314-5232(domestic) or (617) 213-8502��(international). The conference ID number is "55377135". To listen via Web cast, link to the Company's Website http://ir.gemstartvguide.com.

Investors unable to listen to the call live may access an audio replay, which will be hosted for one week following the conclusion of the call. To access the replay, call (888) 286-8010 (domestic) or (617) 801-6888 (international). The conference ID number is "53134204". An audio archive will also be hosted on the Company’s investor relations Website at http://ir.gemstartvguide.com. Replays will be available approximately two hours following the conclusion of the call.

About Gemstar-TV Guide

Gemstar-TV Guide International, Inc. (the “Company”) (NASDAQ: GMST) is a leading global media, entertainment, and technology company that develops, licenses, markets and distributes products and services that maximize the video guidance and entertainment experience for consumers. The Company's businesses include: television, publishing, and new media properties; interactive program guide services and products; and intellectual property licensing. Additional information about the Company can be found at www.gemstartvguide.com.

This news release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. Any such forward-looking statements are not guarantees of future performance or results and involve risks and uncertainties that may cause actual performance or results to differ materially from those in the forward-looking statements, including risks and uncertainties related to the timely availability and market acceptance of products and services incorporating the Company's technologies and content; our investments in new and existing businesses; the impact of competitive products and services; and the other risks detailed from time to time in the Company's SEC reports, including the most recent reports on Forms 10-K, 10-Q and 8-K, each as it may be amended from time to time. The Company assumes no obligation to update these forward-looking statements.

# # #

Financial Tables Follow

Contacts:
(Analysts)	(Media)
Robert L. Carl	Eileen Murphy
VP, Investor Relations	SVP, Corporate Communications
Gemstar-TV Guide International, Inc.     323-817-4600	Gemstar-TV Guide International, Inc. 212-852-7336

GEMSTAR-TV GUIDE INTERNATIONAL, INC.

CONSOLIDATED BALANCE SHEETS

(In thousands, except per share data)

	March 31, 2007			December 31, 2006
	(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$	427,098		$	464,637
Restricted cash		32,009			31,814
Marketable securities		79,613			48,938
Receivables, net		72,329			73,786
Deferred tax assets, net		18,842			13,491
Current income taxes receivable		46,092			49,588
Other current assets		20,066			18,329
Total current assets		696,049			700,583
Property and equipment, net		67,034			68,182
Indefinite-lived intangible assets		62,145			61,921
Finite-lived intangible assets, net		88,568			92,340
Goodwill		261,907			260,503
Income taxes receivable		25,473			22,731
Deferred tax assets, long-term,net		—			3,141
Other assets		27,102			14,336
	$	1,228,278		$	1,223,737
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	18,948		$	32,392
Accrued liabilities		73,673			104,259
Current portion of capital lease obligations		617			605
Current portion of deferred revenue		132,718			128,516
Total current liabilities		225,956			265,772
Deferred tax liabilities, net		17,686			—
Long-term capital lease obligations, less current portion		11,952			12,111
Deferred revenue, less current portion		356,890			368,950
Other liabilities		71,090			123,779
Commitments and contingencies
Stockholders’ equity:
Preferred stock, par value $0.01 per share		—			—
Common stock, par value $0.01 per share		4,337			4,337
Additional paid-in capital		8,456,090			8,456,117
Accumulated deficit		(7,859,639	)		(7,950,421	)
Accumulated other comprehensive income, net of tax		902			665
Treasury stock, at cost		(56,986	)		(57,573	)
Total stockholders’ equity		544,704			453,125
	$	1,228,278		$	1,223,737

See accompanying Notes to Condensed Consolidated Financial Statements in Form 10Q.

GEMSTAR-TV GUIDE INTERNATIONAL, INC.

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(In thousands, except per share data)

	ThreeMonthsEnded March 31,
	2007		2006
Revenues	$	156,734	$	144,032
Expenses:
Costs of revenues		48,084		59,443
Selling, general and administrative		57,556		68,890
Depreciation and amortization		8,958		7,961
Operating income		42,136		7,738
Other income:
Interest income, net		6,369		5,169
Other income, net		327		118
Income from continuing operations before income taxes		48,832		13,025
Income tax expense		18,069		4,459
Income from continuing operations		30,763		8,566
Discontinued operations:
Income from discontinued operations before income taxes		5,858		—
Income tax expense		2,217		—
Income from discontinued operations		3,641		—
Net income	$	34,404	$	8,566
Basic and diluted per share:
Income from continuing operations	$	0.07	$	0.02
Income from discontinued operations		0.01		—
Net income	$	0.08	$	0.02
Weighted average shares outstanding:
Basic		427,902		426,173
Diluted		428,225		426,213

See accompanying Notes to Consolidated Financial Statements in Form 10-Q.

GEMSTAR-TV GUIDE INTERNATIONAL, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(In thousands)

	Three Months Ended March 31,
	2007			2006
Cash flows from operating activities:
Net income	$	34,404		$	8,566
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		8,958			7,961
Deferred income taxes		15,476			1,143
Other		592			1,219
Changes in operating assets and liabilities:
Receivables		6,264			8,864
Income taxes, net		754			52,591
Other assets		(7,164	)		1,082
Accounts payable, accrued liabilities and other liabilities		(43,190	)		(29,229	)
Deferred revenue		(7,858	)		(23,661	)
Net cash provided by operating activities		8,236			28,536
Cash flows from investing activities:
Acquisition of Aptiv, net of acquired cash of $4,929		(10,962	)		-
Other acquisitions and investments		(1,181	)		(1,788	)
Purchases of marketable securities		(55,950	)		(9,330	)
Maturities of marketable securities		25,323			9,246
Proceeds from sale of assets		-			8
Additions to property and equipment		(3,237	)		(2,732	)
Net cash used in investing activities		(46,007	)		(4,596	)
Cash flows from financing activities:
Repayment of capital lease obligations		(147	)		(135	)
Proceeds from exercise of stock options		209			40
Net cash provided by (used in) financing activities		62			(95	)
Effect of exchange rate changes on cash and cash equivalents		170			(8	)
Net (decrease) increase in cash and cash equivalents		(37,539	)		23,837
Cash and cash equivalents at beginning of period		464,637			465,131
Cash and cash equivalents at end of period	$	427,098		$	488,968

For additional information please see Notes to Consolidated Financial Statements in Form-10Q.

ADDITIONAL SEGMENT OPERATING STATISTICS

Media Networks:

	March 31, 2007	Dec. 31, 2006	March 31, 2006
Subscriber Data (in thousands) (1)
TV Guide Channel	80,776	79,717	77,954
TVG Network	20,400	19,400	18,100
Online Networks unique users (2) (3)	4,733	4,042	3,203
tvguide.com unique users (2)	4,246	3,620	3,203

 (1)  Subscriber data as of the above date represents:     · Nielsen households for the domestic TV Guide Channel     · Households for TVG Network, based primarily on information provided by distributors

(2)  Average monthly unique users for the three month period, as measured by Nielsen/NetRatings.

(3) Online Media Networks comprises the unduplicated unique users of tvguide.com and our other Web sites, subsequent to the date we acquired them.

Publishing:

	March 31,	Dec. 31,	March 31,
	2007	2006	2006
TV Guide magazine circulation (in thousands) (1)
Newsstand (2)	226	255	307
Subscriptions	2,886	2,850	3,747
Sponsored	173	175	17
	3,285	3,280	4,071

(1) Average weekly circulation for three months ended.

(2) Current period numbers include an estimate for returns. Prior period numbers are updated to reflect actual returns.

GEMSTAR-TV GUIDE ANNOUNCES FIRST QUARTER 2007 RESULTS

GEMSTAR-TV GUIDE INTERNATIONAL, INC.

HISTORICAL CONSOLIDATED SEGMENT PERFORMANCE ⁽¹⁾

(In dollars, thousands)

	---------------------2005--------------------												----------------------2006----------------------												2007
	Q1			Q2			Q3			Q4			Q1			Q2			Q3			Q4			Q1
Guidance Technology and Solutions
IPG Patent Licensing		20,944			23,322			21,375			23,969			26,979			28,078			31,273			33,232			41,269
IPG Products and Services		11,938			8,925			10,717			11,647			14,356			13,970			14,736			14,167			19,623
VCR+ Plus		14,112			9,267			9,758			9,238			15,740			6,171			9,157			5,169			12,003
Other		4,925			4,538			3,772			2,515			2,844			2,390			1,953			2,579			2,571
Revenues		51,919			46,052			45,622			47,369			59,919			50,609			57,119			55,147			75,466
Operating Expense (2)		21,859			20,416			20,091			22,176			19,443			17,819			21,474			25,344			21,123
Adjusted EBITDA (3)		30,060			25,636			25,531			25,193			40,476			32,790			35,645			29,803			54,343
Media Networks
TV Guide Channel		32,805			31,729			28,616			30,914			35,397			31,230		��	30,389			32,233			33,707
TVG Network		8,409			14,544			14,768			13,831			10,426			14,673			15,711			16,365			11,440
Online Networks		1,933			1,509			2,341			2,223			2,731			2,281			2,219			3,015			1,900
Other		21			14			13			34			31			89			131			128			525
Revenues		43,168			47,796			45,738			47,002			48,585			48,273			48,450			51,741			47,572
Operating Expense (2)		39,607			31,384			33,597			38,324			41,284			38,705			38,030			39,262			38,391
Adjusted EBITDA (3)		3,561			16,412			12,141			8,678			7,301			9,568			10,420			12,479			9,181
Publishing
TV Guide Magazine Revenues		68,981			64,432			61,116			34,997			35,528			34,407			43,378			38,098			33,696
Operating Expense (2)		77,224			82,456			84,681			77,272			49,418			43,997			50,711			49,125			39,761
Adjusted EBITDA (3)		(8,243	)		(18,024	)		(23,565	)		(42,275	)		(13,890	)		(9,590	)		(7,333	)		(11,027	)		(6,065	)
Cross Platform Costs
Product Development and Technology		-			-			-			309			624			1,915			5,045			4,069			3,933
Corporate Marketing		-			-			-			-			-			109			775			1,295			1,201
Corporate General and Administrative		15,429			14,206			12,887			18,624			17,252			6,452			10,984			(13,953	)		878
Operating Expense (2)		15,429			14,206			12,887			18,933			17,876			8,476			16,804			(8,589	)		6,012
Adjusted EBITDA(3)		(15,429	)		(14,206	)		(12,887	)		(18,933	)		(17,876	)		(8,476	)		(16,804	)		8,589			(6,012	)
Consolidated
Revenues		164,068			158,280			152,476			129,368			144,032			133,289			148,947			144,986			156,734
Operating Expense (2)		154,119			148,462			151,256			156,705			128,021			108,997			127,019			105,142			105,287
Adjusted EBITDA(3)		9,949			9,818			1,220			(27,337	)		16,011			24,292			21,928			39,844			51,447
Stock compensation		(25	)		(30	)		(39	)		(38	)		(312	)		(524	)		(627	)		(564	)		(353	)
Depreciation and amortization		(6,924	)		(7,045	)		(7,060	)		(8,155	)		(7,961	)		(8,606	)		(8,420	)		(8,194	)		(8,958	)
Operating income (loss)		3,000			2,743			(5,879	)		(35,530	)		7,738			15,162			12,881			31,086			42,136
Interest income, net		3,214			3,602			4,164			4,564			5,169			6,609			6,788			8,036			6,369
Other income (expense), net		261			(231	)		(354	)		661			118			133			86			420			327
Income (loss) from continuing operations before income taxes		6,475			6,114			(2,069	)		(30,305	)		13,025			21,904			19,755			39,542			48,832

(1)  Segment information is presented and reconciled to consolidated income (loss) from continuing operations before income taxes in accordance with SFAS No. 131. Intersegment revenues and expenses have been eliminated from segment financial information as transactions between reportable segments are excluded from the measure of segment profit and loss reviewed by the chief operating decision maker.

(2)  Operating expenses means operating expenses, excluding stock compensation, depreciation and amortization and impairment of intangible assets. 

(3)  Adjusted EBITDA is defined as operating income (loss), excluding stock compensation, depreciation and amortization, and impairment of intangible assets. The Company believes Adjusted EBITDA to be relevant and useful information as Adjusted EBITDA is the primary measure used by our chief operating decision maker to evaluate the performance of and make decisions about resource allocation to the industry segments.