Qualcomm offered a lower-than-expected September quarter income forecast on Wednesday, sending its inventory decrease in after-hours buying and selling.
The maker of cell processors and 5G wi-fi chipsets blamed a gradual restoration in China and a difficult macro surroundings for the disappointing outcomes.
For the June quarter, Qualcomm reported adjusted earnings per share of $1.87, in comparison with Wall Road’s estimate of $1.81, in keeping with FactSet. Income got here in at $8.4 billion, which was in need of analyst expectations of $8.5 billion.
The dangerous information was the steering. Qualcomm offered income forecasts for the present quarter, ending in September, from $8.1 billion to $8.9 billion — under the consensus of $8.7 billion within the mid-range.
Qualcomm shares fell 4.8% in after-hours buying and selling Wednesday after the discharge.
International demand for smartphones has been weak. Final week, analysis agency Canalys mentioned worldwide mobile phone shipments within the second quarter decreased 10% on an annual foundation.
Taiwanese semiconductor trade
TSM additionally mentioned final month that the smartphone market has deteriorated over the previous three months.
As a big provider to the cell market, it’s troublesome for Qualcomm to beat any normal weak point available in the market.
Qualcomm shares are down about 12% over the previous 12 months, in comparison with a 26% rise in
Alternate-traded fund (SOXX), which tracks the ICE Semiconductor Index.
Write to Tae Kim at email@example.com