Qualcomm reports record quarter, raises outlook
Shares in Qualcomm were trading up more than 4 percent this morning after the company yesterday reported record revenues for its fiscal first quarter and raised its fiscal 2011 revenue outlook by a whopping $1.2 billion.
Speaking from Davos, Switzerland, the site of the World Economic Forum's annual meeting, CEO Paul Jacobs told analysts on a conference call that Qualcomm completed the best quarter in its history. Smartphones were a big part of the success, but Jacobs wouldn't say anything about the CDMA-based iPhone 4 that Verizon Wireless will start selling next month, other than to say the company was happy to see the announcement because it was the subject of such intense speculation.
Fiscal first-quarter revenues were a record high of $3.35 billion, up 25 percent year-over-year. Non-GAAP earnings per share also were a record 82 cents per share, up 32 percent year-over-year. Qualcomm shipped 118 million MSM chips during the quarter.
The company estimates that its licensees shipped 165 million to 169 million new CDMA devices in the September 2010 quarter, also a record number. The average selling price of CDMA devices is estimated at $201 to $207 per unit, up 12 percent sequentially, driven by a greater mix of devices in developed regions and favorable foreign exchange.
Qualcomm estimates that between 750 million and 800 million CDMA devices will ship in 2011, an increase of about 15 percent to 23 percent over the midpoint of its calendar 2010 estimate.
The company says its Snapdragon family of chipsets is well positioned to target the range of devices to be launched this year, including tablets.
Jacobs is in Davos today with other industry leaders to discuss how the public and private sectors should work together to combat chronic disease.