Qualcomm Q3 (Fiscal Q4) 2017 Finances Beat Expectations, Net Income Down 89% YoY
Along with the recent financial reports we’ve been seeing from smartphone OEMs these past couple of weeks, Qualcomm just released their numbers for the third quarter of 2017 (their fiscal Q4) and we’re seeing a mixed bag of results here. They were able to beat analyst expectations, so the company’s stock was up by 2% when the news broke, but the current Apple lawsuit has shown to be putting pressure on them as their overall profit is down 89% compared to the same quarter last year.
As far as analysts go, they were expecting Qualcomm to report earnings per share of 81 cents. However, the company was able to outperform analyst’s expectations and actually reported earnings per share of 92 cents. This put the overall revenue of what analysts had expected to be at $5.8 billion but since they beat that expectation, Qualcomm’s overall revenue for the 3rd quarter of this year is $5.96 billion instead.
When we compare things to a year ago, this is when things start to shake down. Last year’s Q3 quarterly earnings per share was shown to be $1.07 with the company bringing in $6.2 billion in overall revenue for the quarter. We’ve reported on the legal battle they are dealing with against Apple right now, and the one that has already been wrapped up with BlackBerry. The company has said they “were negatively impacted as a result of actions taken by Apple and its contract manufacturers.”
While revenues are lower than they were at compared to the same quarter last year, those numbers weren’t that much lower. Where things really get shocking is when we look at the company’s net income for the quarter. Operating income for Qualcomm during this past quarter was $300 million when it was at $1.8 billion the year before. Net income for the company during Q3 was just $200 million when they brought in $1.6 billion during the same quarter last year.