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Qualcomm (QCOM) Q2 2023 earnings results beat revenue expectations

Qualcomm has lowered expectations for Q3 2023 in the face of diminished chip sales.

Ozzie Mejia

May 3, 2023 1:25 PM

Qualcomm

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Qualcomm, the chip manufacturer that has its hand in many PC and mobile hardware devices, has released its earnings report for Q2 2023. The company's earnings have beaten Wall Street revenue estimates, though it is forecasting a tougher road ahead for the next quarter.

Qualcomm (QCOM) reported in with $9.28 billion revenue earnings, which is more than $100 million greater than Wall Street's $9.1 billion estimate. The $2.15/share EPS is in line with Wall Street's expectations and slightly lower than the $2.18/share whisper number. The outlook for the future doesn't look bright, however, with Qualcomm issuing a revenue forecast of $8.1-8.9 billion with a $1.70-1.90/share forecasted EPS for Q3 2023. As noted by CNBC, this is based on this recent quarter's handset chip sales, which declined 17 percent year-over-year.

"As we navigate this challenging environment, we remain focused on the critical factors we can control to emerge stronger from this downturn – our leading technology roadmap, best-in-class product portfolio, strong customer relationships and operational efficiencies," President and CEO of Qualcomm Incorporated Cristiano Amon said in the Qualcomm Q2 2023 earnings report. "Our top priority remains to execute our diversification strategy and invest in areas that drive long-term value."

The stock market on Wednesday closed with Qualcomm (QCOM) down $3.28/share and continues to fall in after-hours trading as of the time of this post.

Qualcomm chips and technology can be found in a variety of places in the tech sector from the ARM-powered Project Volterra dev kit to the Razer Edge. While handset chip earnings are down overall from the last year, it still represents the bulk of Qualcomm's overall sales, since they're mainly what powers Android smartphones. Qualcomm is also increasingly moving into the automotive business, offering a greater number of chips and software for cars.

We'll continue to monitor what comes out of Qualcomm. Be sure to follow the Qualcomm topic page for the latest updates.

Ozzie Mejia

Senior Editor

Ozzie has been playing video games since picking up his first NES controller at age 5. He has been into games ever since, only briefly stepping away during his college years. But he was pulled back in after spending years in QA circles for both THQ and Activision, mostly spending time helping to push forward the Guitar Hero series at its peak. Ozzie has become a big fan of platformers, puzzle games, shooters, and RPGs, just to name a few genres, but he’s also a huge sucker for anything with a good, compelling narrative behind it. Because what are video games if you can't enjoy a good story with a fresh Cherry Coke?