Summary
This 8-K filing from QUALCOMM INC/DE (QCOM) on January 28, 2009, announces their financial results for the first fiscal quarter ended December 28, 2008. The primary focus of the filing is the release of a press statement (Exhibit 99.1) detailing these results, which are presented on a pro forma basis. Qualcomm's management utilizes these pro forma figures to evaluate and benchmark operational performance, particularly for its core businesses: Qualcomm CDMA Technologies, Qualcomm Technology Licensing, and Qualcomm Wireless & Internet segments. Investors should note that the pro forma financial information excludes the Qualcomm Strategic Initiatives (QSI) segment, certain share-based compensation, specific tax items, and acquired in-process R&D. The company views these exclusions as separate from ongoing operational performance. The filing also highlights the use of free cash flow as a key metric, defined as net cash from operations less capital expenditures, which management believes is valuable for assessing operational performance, company valuation, and industry comparisons.
Key Highlights
- 1QUALCOMM INC/DE (QCOM) reported its first fiscal quarter results for the period ended December 28, 2008.
- 2The company is presenting its financial results on a pro forma basis, which management uses for operational assessment.
- 3Pro forma results exclude the Qualcomm Strategic Initiatives (QSI) segment, deemed non-operational.
- 4Certain share-based compensation expenses are excluded from pro forma calculations, as they are not considered cash expenses.
- 5Acquired in-process R&D is excluded from pro forma results to focus on core business operations.
- 6Free cash flow (operating cash flow less capital expenditures) is highlighted as a key metric for evaluating financial strength and growth potential.
- 7The filing emphasizes that pro forma information is a non-GAAP measure and should be considered alongside, not as a substitute for, GAAP results.