Revenue: Q2 fiscal 2024 non-GAAP revenues amounted to $9.4 billion.
Earnings Per Share (EPS): Non-GAAP EPS for Q2 fiscal 2024 was $2.44, exceeding the high end of guidance.
Chipset Business Revenue: $8 billion in revenue, driven by demand for premium tier Android smartphones and momentum in automotive.
Licensing Business Revenue: Reported at $1.3 billion.
Automotive Revenue: Increased by 35% year-over-year, marking another record quarter.
Future Guidance
Revenue Forecast for Q3 Fiscal 2024: Estimated to be between $8.8 billion and $9.6 billion.
Non-GAAP EPS Guidance for Q3 Fiscal 2024: Projected to be in the range of $2.15 to $2.35.
Licensing Revenue Forecast (QTL): Expected to be between $1.2 billion and $1.4 billion with EBT margins between 69% to 73%.
QCT Revenue Forecast: Anticipated to be between $7.5 billion and $8.1 billion with EBT margins of 25% to 27%.
Operating Expenses: Predicted to be approximately $2.2 billion for the next quarter.
Trends, Market Conditions, Sentiment
Premium Android Demand: Strong demand observed globally, especially in China, for flagship Android devices powered by Snapdragon 8 Gen 3.
Automotive Growth: Qualcomm’s Snapdragon Digital Chassis’s design win pipeline has increased to approximately $45 billion, indicating robust growth prospects in automotive revenue.
On-Device AI Expansion: Qualcomm is enabling ecosystem development for on-device GenAI applications across multiple platforms, signaling a focus on AI as a significant growth area.
5G and Modem-RF System: Snapdragon X80 is setting new benchmarks in the industry, hinting at sustained leadership in modem technology.
IoT and PC Expansion: Announcements of new solutions for industrial IoT and optimism about the launch of next-generation AI PCs signify diversification beyond mobile.
Market Conditions: Recovery in the IoT sector is gradual, with Consumer IoT rebounding faster than Industrial and Networking IoT. PC devices driven by Snapdragon platforms are expected to become materially significant by fiscal ‘25.
Notable Quotes
Cristiano Amon: “In fiscal Q2, we delivered non-GAAP revenues of $9.4 billion…reflecting strong premium tier demand.”
Akash Palkhiwala: “We are pleased to announce another quarter of strong non-GAAP results with revenues of $9.4 billion and EPS of $2.44.”
Cristiano Amon on AI: “As AI expands rapidly from the cloud to devices, we are extremely well positioned to capitalize on this growth opportunity.”
Cristiano Amon on Automotive: “In automotive, the Snapdragon Digital Chassis is the industry’s leading technology solution…with our design win pipeline… to approximately $45 billion.”
