01—Abstract
Summary
Summary of the 8-K filed January 30, 2024. Cited figures are marked; the original filing is the authoritative source.
Skyworks Solutions, Inc. reported first fiscal quarter 2024 results for the three-month period ended December 29, 2023, in a press release attached as Exhibit 99.1.
Net revenue was $1.2015 billiona, down from $1.3293 billion in the prior-year quarter. GAAP operating income was $258.3 million versus $367.0 million, and GAAP diluted EPS was $1.44 versus $1.93. Non-GAAP operating income was $365.7 million and non-GAAP diluted EPS was $1.97, compared with $2.59 a year earlier.
The company reported record operating cash flow of $774.9 millionb and record non-GAAP free cash flow of $752.7 million, with capital expenditures of $22.2 million. Debt fell to $993.2 million from $1,292.3 million at September 29, 2023, after $300.0 million of debt payments, and cash, cash equivalents and marketable securities rose to $1,047.6 million. For the second fiscal quarter of 2024, management expects revenue of $1.02 billion to $1.07 billion and non-GAAP diluted EPS of $1.52 at the midpoint of that range.
The CFO said the mobile business is expected to be seasonally down sequentially, while broad markets are anticipated to show modest growth off the December quarter. The CEO cited signs that the Android smartphone market is recovering and pointed to edge-connected IoT, automotive electrification, advanced safety systems and AI-enabled cloud and data center workloads as areas of long-term positioning.
The board also declared a cash dividend of $0.68c per share, payable March 12, 2024, to stockholders of record as of February 20, 2024. Dividends paid in the quarter totaled $108.9 million.
02—Key points
Key Highlights
- Net revenue of $1.2015 billion versus $1.3293 billion in the year-earlier quarter
- GAAP diluted EPS of $1.44 versus $1.93; non-GAAP diluted EPS of $1.97 versus $2.59
- Record operating cash flow of $774.9 million and record non-GAAP free cash flow of $752.7 million
- Debt reduced to $993.2 million from $1,292.3 million at September 29, 2023, following $300.0 million in debt payments
- Q2 FY2024 revenue outlook of $1.02 billion to $1.07 billion, with non-GAAP diluted EPS of $1.52 at the midpoint
- Quarterly cash dividend of $0.68 per share declared, payable March 12, 2024
- Design win activity cited in infrastructure, Wi-Fi, smart energy and automotive markets
03—Questions
Frequently Asked Questions
How did Skyworks perform in the first fiscal quarter of 2024?
Net revenue was $1.2015 billion, GAAP operating income was $258.3 million and GAAP net income was $231.3 million. Non-GAAP operating income was $365.7 million and non-GAAP diluted EPS was $1.97.
What is the revenue outlook for the second fiscal quarter of 2024?
Management expects revenue of $1.02 billion to $1.07 billion, with non-GAAP diluted EPS of $1.52 at the midpoint. The mobile business is expected to be seasonally down, while broad markets are anticipated to grow modestly.
How strong was cash generation in the quarter?
Net cash provided by operating activities was $774.9 million and non-GAAP free cash flow was $752.7 million after $22.2 million of capital expenditures. The company described these as record levels.
How did the balance sheet change during the quarter?
Debt declined to $993.2 million from $1,292.3 million after $300.0 million of debt payments. Cash, cash equivalents and marketable securities increased to $1,047.6 million from $738.5 million.
What dividend did Skyworks declare?
The board declared a cash dividend of $0.68 per share, payable March 12, 2024, to stockholders of record at the close of business on February 20, 2024. Dividends paid in the quarter totaled $108.9 million.
04—Continue