Smartphone chipmaker Qorvo beats Q2 revenue, adjusted EPS expectations

Qorvo

03/11/2025 21:08

Overview

Qorvo fiscal Q2 revenue grows 1.1% yr/yr, beating analyst expectations

Adjusted EPS for fiscal Q2 beats consensus, reflecting operational improvements

Company expects yr/yr revenue growth and margin expansion in December quarter

Outlook

Company expects December quarter revenue of $985 mln, plus or minus $50 mln

Company anticipates non-GAAP gross margin between 47% and 49%

Qorvo projects non-GAAP EPS of $1.85, plus or minus 20 cents

Result Drivers

SMARTPHONE RAMP - ACG supported major smartphone ramp for largest customer, contributing to revenue growth

INFRASTRUCTURE GROWTH - HPA segment growth driven by D&A and infrastructure businesses, supported by power management ICs for smartwatch

RESTRUCTURING FOR PROFITABILITY - CSG segment restructuring aimed at improving profitability and focusing on automotive, industrial, enterprise markets

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 REVENUE
Beat
$1.05 bln
$1.03 bln (19 Analysts)
Q2 ADJUSTED EPS
Beat
$2.22
$2.07 (20 Analysts)
Q2 EPS
$1.28
Q2 ADJUSTED GROSS MARGIN
49.70%


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 20 "hold" and 2 "sell" or "strong sell"

The average consensus recommendation for the semiconductors peer group is "buy."

Wall Street's median 12-month price target for Qorvo Inc is $101.18, about 6.2% above its October 31 closing price of $94.92

The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 13 three months ago

Press Release: ID:nGNX4c4lH2

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)