GREENSBORO, N.C., Jan. 31, 2024 (GLOBE NEWSWIRE) -- Qorvo® (Nasdaq:QRVO), a leading global provider of connectivity and power solutions, today announced financial results for the Company’s fiscal 2024 third quarter ended December 30, 2023.
Strategic Highlights
- Grew quarterly revenue 44% year-over-year and exceeded high-point of revenue guidance by $49 million
- Recognized by top four China-based Android 5G OEMs with 2023 awards for innovation, quality, supply, technology and strategic partnership
- Signed definitive agreement to acquire Anokiwave, a leading supplier of high-performance silicon integrated circuits for intelligent active array antennas for D&A, SATCOM and 5G applications
On a GAAP basis, revenue for Qorvo’s fiscal 2024 third quarter was $1.074 billion, gross margin was 36.1%, operating loss was $42 million, and loss per share was $1.31. On a non-GAAP basis, gross margin was 43.8%, operating income was $237 million, and diluted earnings per share was $2.10.
Bob Bruggeworth, president and chief executive officer of Qorvo, said, “Strong execution by the Qorvo team resulted in robust December quarterly financial performance. During the quarter we continued to bring channel inventories down, and Qorvo shipments are now more closely aligned to end market demand. We are seeing incremental improvement in end market demand in the Android ecosystem, and we expect to achieve year-over-year revenue growth in all of Qorvo’s operating segments in the March quarter.”
Financial Commentary and Outlook
Grant Brown, chief financial officer of Qorvo, said, “Qorvo exceeded the mid-point of December quarterly guidance for revenue, gross margin and EPS, reflecting strong content on customer programs and improving channel inventories. During the quarter, Qorvo generated record cash flow from operations of $493 million and free cash flow of $467 million. Looking forward, we are capitalizing on global macro trends and multiyear technology upgrade cycles, and we expect this to support durable long-term growth.”
Qorvo’s current outlook for the March 2024 quarter is:
- Quarterly revenue of approximately $925 million, plus or minus $25 million
- Non-GAAP gross margin of approximately 42%
- Non-GAAP diluted earnings per share of approximately $1.20 at the midpoint of revenue
See “Forward-looking non-GAAP financial measures” below. Qorvo’s actual quarterly results may differ from these expectations and projections, and such differences may be material.
Selected Financial Information
The following tables set forth selected GAAP and non-GAAP financial information for Qorvo for the periods indicated. See the more detailed financial information for Qorvo, including reconciliations of GAAP and non-GAAP financial information, attached.
| SELECTED GAAP RESULTS | ||||||||||||||||||||
| (In millions, except for percentages and EPS) | ||||||||||||||||||||
| (Unaudited) | ||||||||||||||||||||
| Q3 Fiscal 2024 | Q2 Fiscal 2024 | Q3 Fiscal 2023 |
Sequential
Change |
Year-over-Year
Change | ||||||||||||||||
| Revenue | $ | 1,073.9 | $ | 1,103.5 | $ | 743.3 | $ | (29.6 | ) | $ | 330.6 | |||||||||
| Gross profit | $ | 387.9 | $ | 489.7 | $ | 268.1 | $ | (101.8 | ) | $ | 119.8 | |||||||||
| Gross margin | 36.1 | % | 44.4 | % | 36.1 | % | (8.3 | ) ppt | — | ppt | ||||||||||
| Operating expenses | $ | 429.4 | $ | 338.3 | $ | 259.3 | $ | 91.1 | $ | 170.1 | ||||||||||
| Operating (loss) income | $ | (41.6 | ) | $ | 151.4 | $ | 8.7 | $ | (193.0 | ) | $ | (50.3 | ) | |||||||
| Net (loss) income | $ | (126.9 | ) | $ | 97.5 | $ | (15.9 | ) | $ | (224.4 | ) | $ | (111.0 | ) | ||||||
| Weighted-average diluted shares | 97.2 | 98.6 | 100.9 | (1.4 | ) | (3.7 | ) | |||||||||||||
| Diluted EPS | $ | (1.31 | ) | $ | 0.99 | $ | (0.16 | ) | $ | (2.30 | ) | $ | (1.15 | ) | ||||||
| SELECTED NON-GAAP RESULTS (1) | ||||||||||||||||||||
| (In millions, except for percentages and EPS) | ||||||||||||||||||||
| (Unaudited) | ||||||||||||||||||||
| Q3 Fiscal 2024 | Q2 Fiscal 2024 | Q3 Fiscal 2023 |
Sequential
Change |
Year-over-Year
Change | ||||||||||||||||
| Revenue | $ | 1,073.9 | $ | 1,103.5 | $ | 743.3 | $ | (29.6 | ) | $ | 330.6 | |||||||||
| Gross profit | $ | 470.5 | $ | 525.2 | $ | 304.2 | $ | (54.7 | ) | $ | 166.3 | |||||||||
| Gross margin | 43.8 | % | 47.6 | % | 40.9 | % | (3.8 | ) ppt | 2.9 | ppt | ||||||||||
| Operating expenses | $ | 234.0 | $ | 245.8 | $ | 205.7 | $ | (11.8 | ) | $ | 28.3 | |||||||||
| Operating income | $ | 236.5 | $ | 279.4 | $ | 98.6 | $ | (42.9 | ) | $ | 137.9 | |||||||||
| Net income | $ | 205.9 | 235.5 | $ | 76.5 | $ | (29.6 | ) | $ | 129.4 | ||||||||||
| Weighted-average diluted shares | 97.8 | 98.6 | 101.6 | (0.8 | ) | (3.8 | ) | |||||||||||||
| Diluted EPS | $ | 2.10 | $ | 2.39 | $ | 0.75 | $ | (0.29 | ) | $ | 1.35 | |||||||||
