Qorvo Beats Expectations with Strong Fiscal 2019 Second Quarter

Qorvo has announced strong financial results for the fiscal 2019 second quarter, which ended on September 29, 2018, with both revenue and EPS well above guidance.

Key Highlights this Quarter

  • Increased Mobile Products revenue 37% sequentially to $667 million, in support of flagship smartphone product ramps
  • Selected by Samsung to supply 3.5 GHz 5G FEM, supporting multiple 5G mobile device demos
  • Sampled industry-first dual-band 3.5 GHz and 4.9 GHz 5G FEM to leading China-based smartphone manufacturer
  • Commenced shipments of RF Fusion Phase 6 for Vivo's NEX flagship smartphone, delivering complete main path coverage in two placements
  • Delivered IDP revenue of $218 million, up 15% year-over-year, led by strength in base station applications
  • Commenced shipments of dual-band Wi-Fi iFEM powering recently launched digital video assistant for leading social media platform
  • Increased GaN-based revenue 27% year-over-year, driven by broad market demand, including 5G infrastructure
  • Supplied 5.9 GHz FEM, optimized for Qualcomm's 9150 cellular vehicle-to-everything (C-V2X) chipset, supporting multiple automotive OEMs in worldwide field trials
  • Selected by Continental, a leading tier-one automotive supplier, to deliver multiple solutions enabling always-on automotive connectivity to worldwide cellular networks
  • Secured design wins from leader in wearable and location technology to supply 2.4 GHz FEMs for multiple consumer wearable devices
  • Awarded design win by CommScope to supply 28 GHz high power amplifiers for 32-element phased array 5G deployments

On a GAAP basis, revenue for Qorvo's fiscal 2019 second quarter was $884 million, gross margin was 40.0%, operating income was $90 million and diluted earnings per share were $0.25. On a non-GAAP basis, revenue for Qorvo's fiscal 2019 second quarter was $884 million, gross margin was 47.7%, operating income was $253 million and diluted earnings per share were $1.75.

Qorvo currently believes the demand environment in its end markets supports the following non-GAAP expectations for the December 2018 quarter:

  • Quarterly revenue in the range of $880 million to $900 million
  • Gross margin of approximately 50%
  • Diluted earnings per share of $1.95 at the midpoint of guidance

Click here to see Qorvo's Financials and Stock price.

Qorvo

  • Country: United States
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