Summary
Qualcomm Inc./DE (QCOM) reported strong revenue and profit growth for the third quarter and first nine months of fiscal year 2025. Total revenues reached $10.4 billion for the quarter, a 10% increase year-over-year, and $33.0 billion for the nine-month period, up 15%. Net income saw a substantial rise of 25% year-over-year to $2.7 billion for the quarter, and the nine-month net income grew to $8.7 billion. This performance was driven by robust growth in the QCT segment, particularly in handsets, automotive, and IoT, which saw revenues increase by 11% and 39% respectively for the quarter and nine-month period. The QTL segment also contributed with a 4% revenue increase in the quarter. The company announced a pending acquisition of Alphawave IP Group plc for approximately $2.4 billion to bolster its data center expansion, and continues to execute on its capital return program with significant share repurchases and dividends.
Financial Highlights
48 data points| Revenue | $10.37B |
| Cost of Revenue | $4.61B |
| Gross Profit | $5.76B |
| R&D Expenses | $2.23B |
| SG&A Expenses | $771.00M |
| Operating Expenses | $7.60B |
| Operating Income | $2.76B |
| Interest Expense | $168.00M |
| Net Income | $2.67B |
| EPS (Basic) | $2.44 |
| EPS (Diluted) | $2.43 |
| Shares Outstanding (Basic) | 1.09B |
| Shares Outstanding (Diluted) | 1.10B |
Key Highlights
- 1Total revenues increased 10% year-over-year to $10.4 billion for Q3 FY2025 and grew 15% to $33.0 billion for the first nine months of FY2025.
- 2Net income surged 25% year-over-year to $2.7 billion for Q3 FY2025, with nine-month net income reaching $8.7 billion.
- 3The QCT segment showed strong performance with revenues up 11% year-over-year in Q3 FY2025, driven by handsets, automotive, and IoT growth.
- 4The QTL segment revenue increased by 4% year-over-year in Q3 FY2025, attributed to higher estimated sales of 3G/4G/5G-based multimode products.
- 5Qualcomm announced a pending acquisition of Alphawave IP Group plc for approximately $2.4 billion to accelerate its expansion into data centers.
- 6The company repurchased $6.3 billion of common stock in the first nine months of FY2025, reflecting continued commitment to capital return.
- 7The recent US tax reform legislation (OBBB) is expected to favorably impact cash flows from operations starting in fiscal year 2026 due to the permanent reinstatement of deducting R&D expenditures.