What is the primary purpose of this 8-K filing?

The primary purpose of this 8-K filing is to report Qualcomm's financial results for its first fiscal quarter ended December 28, 2003. It specifically includes a press release that provides financial performance data on a non-GAAP basis, excluding the QUALCOMM Strategic Initiatives (QSI) segment.

How does the company define its core operating businesses?

The company defines its core operating businesses as QUALCOMM CDMA Technologies (QCT), QUALCOMM Technology Licensing (QTL), and QUALCOMM Wireless and Internet (QWI). These are the segments whose ongoing operational performance is being highlighted in the non-GAAP financial presentations.

What is the significance of the non-GAAP cash flow presentation?

The non-GAAP cash flow presentation includes marketable securities and excludes the QSI segment. This is intended to provide management and investors with a better understanding of the company's liquidity. Management views certain marketable securities as liquid assets that can fund operations and believes this presentation helps analyze changes in total liquid assets more effectively than the GAAP cash flow statement, which treats purchases and sales of marketable securities as operational inflows and outflows.

QCOM 8-K SEC Disclosure

Q: Why is Qualcomm presenting financial results that exclude the QSI segment?

Qualcomm is presenting these results to offer investors and analysts a clearer perspective on the performance of its ongoing core operating businesses, which include QUALCOMM CDMA Technologies (QCT), QUALCOMM Technology Licensing (QTL), and QUALCOMM Wireless and Internet (QWI). Management believes that excluding the QSI segment, which consists of strategic investments with varying exit strategies, provides a more accurate measure of operational and liquidity performance by removing the impact of investment value fluctuations.

Summary

Qualcomm Incorporated (QCOM) filed an 8-K report on January 21, 2004, to disclose its first fiscal quarter financial results for the period ended December 28, 2003. The primary focus of this filing is the accompanying press release (Exhibit 99.1), which presents the company's financial performance excluding the QUALCOMM Strategic Initiatives (QSI) segment. This non-GAAP presentation is intended to provide investors and analysts with a clearer view of the ongoing core operating businesses, namely QUALCOMM CDMA Technologies (QCT), QUALCOMM Technology Licensing (QTL), and QUALCOMM Wireless and Internet (QWI). Management believes that excluding QSI results, which are related to strategic investments with varying exit strategies, offers a more representative measure of operational and liquidity performance by removing fluctuations in investment values. The report also details a non-GAAP presentation of cash flow information, including marketable securities and excluding QSI, to better reflect the company's liquidity and how management analyzes changes in its liquid assets. Reconciliations between the GAAP figures and these non-GAAP presentations are provided in the press release.

Key Highlights

1Qualcomm filed an 8-K on January 21, 2004, to report Q1 fiscal 2004 financial results.
2The report includes a press release with non-GAAP financial information excluding the QUALCOMM Strategic Initiatives (QSI) segment.
3The non-GAAP presentation aims to provide a more representative view of core operations (QCT, QTL, QWI).
4Management believes excluding QSI results better reflects operational and liquidity performance by removing investment value fluctuations.
5The filing also presents a non-GAAP view of cash flow, including marketable securities and excluding QSI, for liquidity analysis.
6These non-GAAP measures are presented as supplementary information and should be considered alongside GAAP results.
7William E. Keitel, Chief Financial Officer, signed the report.

QUALCOMM INC/DE 8-K Report (Jan 21, 2004)

Summary

Key Highlights

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