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Qorvo beats first quarter revenue estimates on upbeat chip demand
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Qorvo beats first quarter revenue estimates on upbeat chip demand
Jul 30, 2024 2:47 PM

July 30 (Reuters) - Chipmaker Qorvo beat Wall

Street expectations for first-quarter revenue on Tuesday, as it

benefited from a rise in orders due to a recovery in the

smartphone market.

Qorvo's ( QRVO ) results indicate that the Apple ( AAPL ) supplier

has been received a boost in chip orders thanks to increased

smartphone demand, driven by the integration of new artificial

intelligence features.

Global smartphone shipments rose 6.5% in the second

quarter, led by Samsung Electronics ( SSNLF ) and Apple ( AAPL ),

according to data from IDC.

Qorvo ( QRVO ) faces stiff competition from larger chip suppliers

like Qualcomm ( QCOM ) and Broadcom ( AVGO ), which have been

benefiting from a rebound in the Chinese smartphone market.

However, the company forecast second-quarter revenue in line

with market estimates, suggesting that a complete recovery in

the smartphone market is still further down the road.

Shares of the Greensboro, North Carolina-based company rose

1.3% in extended trading.

Revenue for the first quarter came in at $886.7 million,

beating estimates of $851.9 million.

On an adjusted basis, the company earned 87 cents per

share, compared with estimates of 71 cents.

Qorvo ( QRVO ) forecast second-quarter revenue of $1.03 billion, plus

or minus $25 million, in-line with the average analysts'

estimate, according to LSEG data.

The company expects adjusted earnings per share of $1.75 and

$1.95, compared with estimates of $1.83 per share, for the

second quarter.

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