QUALCOMM Incorporated Reports Unaudited Consolidated Earnings Results for the First Quarter Ended December 28, 2014; Provides Earnings Guidance for the Second Quarter of Fiscal Year 2015; Revises Earnings Guidance for the Fiscal Year 2015; Reports Long-Lived Asset and Goodwill Impairment Charges for the First Quarter Ended December 28, 2014
January 28, 2015 at 09:10 pm
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QUALCOMM Incorporated reported unaudited consolidated earnings results for the first quarter ended December 28, 2014. For the quarter, the company reported total revenues of $7,099 million against $6,622 million a year ago. Operating income was $2,064 million against $1,493 million a year ago. Income from continuing operations before income taxes was $2,298 million against $1,757 million a year ago. Income from continuing operations was $1,971 million or $1.17 per diluted share against $1,444 million or $0.84 per diluted share a year ago. Net income attributable to the company was $1,972 million or $1.17 per diluted share against $1,875 million or $1.09 per diluted share a year ago. Net cash provided by operating activities was $2,364 million against $2,781 million a year ago. Capital expenditures were $253 million against $210 million a year ago. Non-GAAP operating income was $2.5 billion compared to $1.8 billion for the same period a year ago. Non-GAAP net income was $2.3 billion compared to $2.2 billion for the same period a year ago. Non-GAAP diluted earnings per share were $1.34 compared to $1.26 for the same period a year ago.
For the second quarter of fiscal year 2015, the company expects revenues of $6.5 billion to $7.1 billion. Non-GAAP diluted earnings per share are expected to be $1.28 to $1.40. GAAP diluted EPS is expected to be $1.08 to $1.20.
For the full fiscal year of 2015, the company expects revenues of $26.0 billion to $28.0 billion against $26.8 billion to $28.8 billion expected previously. Non-GAAP diluted earnings per share are expected to be $4.75 to $5.05 against $5.05 to $5.35 expected previously. GAAP diluted EPS is expected to be $4.04 to $4.34 against $4.33 to $4.63 expected previously. The company estimates that fiscal 2015 non-GAAP tax rate will be approximately 18%, slightly higher than original estimates on business mix. The company estimated fiscal 2015 operating margins will now be in the range of 16% to 18%, which reflects a reduction of about 200 basis points at the midpoint.
For the first quarter ended December 28, 2014, the company reported long-lived asset and goodwill impairment charges of $75 million against $460 million a year ago.
Qualcomm, Inc. specializes in the design, development, and marketing of CMDA systems and software. The CDMA technique consists of using a broad spectrum to broadcast code transmissions on numerous mobile communication frequencies. Net sales break down by activity as follows:
- sale of communication systems (83.8%): CDMA systems (integrated circuits, software and systems for wireless voice and data transmission, as well as multimedia functions), and wireless communication and Internet access systems (products intended for data transmission, satellite communications, decrypting activities, etc.);
- sale of licenses (16.2%): intended for manufacturers using CDMA technologies.
Net sales are distributed geographically as follows: the United States (3.3%), China and Hong Kong (63.6%), Vietnam (13.7%), South Korea (7.2%) and other (12.2%).
QUALCOMM Incorporated Reports Unaudited Consolidated Earnings Results for the First Quarter Ended December 28, 2014; Provides Earnings Guidance for the Second Quarter of Fiscal Year 2015; Revises Earnings Guidance for the Fiscal Year 2015; Reports Long-Lived Asset and Goodwill Impairment Charges for the First Quarter Ended December 28, 2014