Overview

• Qualcomm reported Q2 revenue of $10.98 billion, surpassing analyst expectations of $10.66 billion, driven by a 12% rise in handset chip sales.
• The company forecast Q3 revenue at a midpoint of $10.3 billion, slightly below the $10.35 billion consensus, leading to a 6% drop in its stock price.
• Automotive and Internet of Things (IoT) segments showed strong year-over-year growth of 59% and 27%, respectively, reflecting Qualcomm's diversification efforts.
• CEO Cristiano Amon emphasized navigating macroeconomic challenges and trade uncertainties while maintaining focus on technology innovation and operational efficiency.
• Apple's move toward in-house modem chips continues to pose a competitive threat to Qualcomm's core smartphone business, which accounted for 46% of its revenue from China last fiscal year.