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Qualcomm profit falls less than expected, sees better H2

2016-01-27 23:01:00| Telecompaper Headlines

(Telecompaper) Qualcomm reported a smaller-than-expected drop in profit for its fiscal first quarter to December, citing strong 3G/4G device shipments and its cost-cutting efforts. Revenues were still down 19 percent year-on-year to USD 5.8 billion, while net profit dropped 24 percent to USD 1.5 billion. EPS declined 15 percent to USD 0.99, a smaller drop than the 23-32 percent forecast earlier by the company. For fiscal Q2, Qualcomm forecast a further drop in sales, of 17-29 percent on an annual basis to USD 4.9-5.7 billion. EPS is expected to improve 10-25 percent from a year earlier to USD 0.90-1.00, helped by its share repurchases. The company said design traction for its new Snapdragon 820 processor remains strong, and it expects improving trends in the chipset business in the second half of fiscal 2016.

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