Expects accelerated CDMA device growth in calendar year 2010
Qualcomm has reported revenues of $2.69 billion for the fourth quarter of 2009, a decrease of 19% compared to the same period last year and a decrease of 2% sequentially. Revenues for the FY09 decreased 7% to $10.42 billion.
Operating income for the quarter was down 55% to $597m, compared to the same period last year. Operating income for the FY decreased by 40% to $2.23 billion. The fourth quarter results included a $230m charge, or $0.14 diluted loss per share, related to an estimated fine expected to be levied by the Korea Fair Trade Commission.
Fiscal 2009 results included a $783m charge, or $0.45 diluted loss per share, related to a litigation settlement and patent agreement with Broadcom, including $748m, or $0.43 diluted loss per share, recorded in the second quarter of fiscal 2009 and $35m, or $0.02 diluted loss per share, recorded in the fourth quarter of fiscal 2009 resulting from the write-off of assets that were initially capitalised.
The company has posted a net income of $803m for the fourth quarter of 2009, down 9%, compared to the same period last year. Net income increased by 9% on sequential basis. Fiscal year net income was down 50% to $1.59 billion, compared to the fiscal year 2008.
Paul Jacobs, chairman and CEO of Qualcomm, said: “Our revenues for fiscal year 2009 were in line with our guidance at the outset of the year. Our operating performance remained strong, driven by continued 3G growth, execution in our chipset business and disciplined management of operating expenses.”
“We continue to forecast growth for 3G CDMA in 2009, despite industry forecasts of a decline in the total handset market. We anticipate accelerated CDMA device growth in calendar year 2010 as the global migration to 3G continues.”
The company expects revenues for the first quarter to increase by 1%-9% to $2.55- $2.75 billion. It expects diluted EPS to increase by 105%-125% to $0.41-$0.45.