GREENSBORO — Qorvo Inc. beat analyst expectations for earnings due to increased revenue across expanding product categories in the company’s fiscal 2019 second quarter.
The Greensboro-based company announced earnings per share of $1.75 for the quarter, 8 percent higher than analyst predictions. Analysts were expecting earnings of $1.62 per share.
Qorvo provides innovative radio frequency solutions as the industry moves to more highly integrated solutions, enabling wider bandwidths, increased data rates and enhanced system performance.
Qorvo
“These trends are creating new design challenges for our customers, requiring more RF content and placing a premium on performance, product and technology breadth, systems level expertise and integration,” said CEO Robert Bruggeworth in the company’s earnings call.
Overall revenue for the company’s fiscal 2019 second quarter totaled to $884 million up 7.2 percent from $821 million in the fiscal 2018 second quarter.
Qorvo reported it increased its mobile products revenue 37 percent to $667 million, in support of flagship smartphone product ramps.
The company continues to be a leading innovator in radio frequency solutions for products such as LTE Advanced Pro and 5G. The demand for an improved user experience is fueling large macro trends for the deployment of these products.
The company expects a strong December quarter with higher volumes and ongoing cost control, and it factors in a more measured view on demand from China-based handset manufacturers.
The company believes the demand environment for the December quarter will bring in a quarterly revenue in the range of $880 million to $900 million, a gross margin of approximately 50 percent and an EPS of $1.95.
The company’s stock increased to $78.18 during Thursday morning trading but has since seen a sharp decline Friday morning. The stock price is at $74.94 Friday afternoon.
This story is from the North Carolina Business News Wire, a service of the UNC-Chapel Hill School of Media and Journalism
