Summary
QUALCOMM INC/DE (QCOM) reported strong financial results for the quarter and six months ended March 30, 2025. Total revenues grew 17% year-over-year to $10.98 billion for the quarter and 17% to $22.65 billion for the first six months. Net income also saw significant increases, up 21% to $2.81 billion for the quarter and 18% to $5.99 billion for the six-month period. This growth was primarily driven by a substantial increase in Equipment and Services revenue, particularly within the QCT segment, which saw a 18% jump in quarterly revenue due to higher handset, automotive, and IoT sales. The company also highlighted its ongoing commitment to returning capital to shareholders, increasing its quarterly dividend and continuing its stock repurchase program. Despite a strong performance, the company faces ongoing risks, including increasing competition, customer vertical integration, and geopolitical tensions, notably concerning its significant business in China. The report also details progress in resolving legal matters, including the ParkerVision and Arm litigation, with recent favorable rulings or developments. Looking ahead, QUALCOMM anticipates continued growth driven by the expansion of 5G technology into automotive and IoT sectors. However, the company acknowledges potential headwinds from evolving global trade policies, the cyclical nature of the semiconductor industry, and the strategic shift of key customers, such as Apple, towards internal modem development. The company maintains a strong liquidity position with substantial cash, cash equivalents, and marketable securities, and expects its resources to meet its capital requirements for at least the next 12 months.
Financial Highlights
47 data points| Revenue | $10.98B |
| Cost of Revenue | $4.94B |
| Gross Profit | $6.04B |
| R&D Expenses | $2.22B |
| SG&A Expenses | $706.00M |
| Operating Expenses | $7.86B |
| Operating Income | $3.12B |
| Interest Expense | $163.00M |
| Net Income | $2.81B |
| EPS (Basic) | $2.55 |
| EPS (Diluted) | $2.52 |
| Shares Outstanding (Basic) | 1.10B |
| Shares Outstanding (Diluted) | 1.11B |
Key Highlights
- 1Total revenues increased by 17% year-over-year to $10.98 billion for the fiscal second quarter of 2025.
- 2Net income grew by 21% year-over-year to $2.81 billion for the fiscal second quarter of 2025.
- 3QCT segment revenue increased by 18% year-over-year, driven by strong performance in handsets, automotive, and IoT.
- 4The company announced an increase in its quarterly dividend per share from $0.85 to $0.89.
- 5QUALCOMM continues its significant stock repurchase program, with $12.5 billion remaining authorized.
- 6The company is managing ongoing legal proceedings, with recent developments in the Arm and ParkerVision cases.
- 7Despite revenue growth, the company faces risks including customer vertical integration, global trade tensions, and semiconductor industry cyclicality.