Proactive Investors - A drop in profit and lower revenues are expected from San Diego, California-based chipmaker QUALCOMM, Inc. (NASDAQ:QCOM) when it reports its fourth quarter and full-year fiscal 2023 financial results on Wednesday, November 1.
A slowdown in the sale of smartphones and other devices that require chips as economic uncertainty has seen curbed consumer spending is expected to drag on Qualcomm’s quarterly and full-year performance.
For 4Q, the iPhone supplier expects adjusted earnings per share (EPS) in the range of $1.80 to $2, compared to EPS of $3.13 in the year-ago quarter.
Revenue is expected in the range of $8.1 to $8.9 billion, down from $11.4 billion for the same period last year.
The company’s 4Q guidance midpoint accounts for the continued impact of macroeconomic headwinds, weaker global handset units, and channel inventory drawdown, Qualcomm (NASDAQ:QCOM) noted.
Wall Street analysts have similar expectations, calling for EPS of $1.92, representing a 38.7% decline from the same time last year.
They forecast $8.55 billion in revenue, a 25% drop from the year-ago quarter.
For full-year fiscal 2023, the consensus expectation is for Qualcomm to report a 33.6% drop in EPS from $12.53 to $8.32 and a 19.2% decline in revenue from $44.2 billion to $35.7 billion.
Qualcomm shares traded hands at US$105.60 on Thursday afternoon. The stock is down 8.4% in the year to date.