Qualcomm beats Street with $6.12B in revenue; EPS spot on at $1.17

Shares tumbled slightly, but Qualcomm beat estimates and upped its fiscal year guidance once again.
Written by Rachel King, Contributor on

Hoping to keep the positive momentum going from last quarter, Qualcomm did just that after the bell on Wednesday.

The semiconductor giant reported second fiscal quarter earnings of $1.87 billion, or $1.06 a share (statement). Non-GAAP earnings were $1.17 a share on a revenue of $6.12 billion -- up 27 percent annually.

Qualcomm was expected to report fiscal second quarter earnings of $1.17 a share on revenue of $6.08 billion.

However, shares were still down by roughly five percent in after-hours trading.

As for products, Qualcomm shipped 173 million MSM units, which is up by 14 percent annually but down five percent from the last quarter.

Looking back at the December quarter, Qualcomm reported total device sales worth approximately $61.1 billion with an estimated 279 million to 283 million 3G/4G device shipments shipped, retailing for roughly $214 to $220 per unit.   

CEO Paul Jacobs reflected on device sales in prepared remarks:

We delivered another strong quarter as the worldwide adoption of smartphones continues. Looking forward, we are seeing strong traction with our new Qualcomm Snapdragon 600 and 800 processors, and we continue to expect healthy growth in 3G and 3G/4G multimode devices around the world. We are pleased to be raising our calendar 2013 3G/4G device shipment estimates and our revenue and earnings guidance for fiscal 2013.

For the fiscal third quarter, Qualcomm is promising a revenue range of $5.8 billion to $6.3 billion with non-GAAP earnings of 97 cents to $1.05 per share.

Wall Street wants earnings of $1.04 a share on revenue of $5.88 billion.

Note that last quarter, Qualcomm raised its outlook, surpassing expectations to a forecasted revenue of $23.4 billion to $24.4 billion and non-GAAP earnings of $4.25 a share to $4.45 a share for FY 2013.

Qualcomm upped the annual guidance once again to a revenue range of $24-25 billion with earnings between $4.40 and $4.55 per share.

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