Qualcomm expects smartphone sales to decline

The world’s leading manufacturer of processors and other components for mobile electronics, the American company Qualcomm, predicts a decline in sales of smartphones in the global market. About this company informed in its industry outlook, which is contained in the report for the fourth quarter of fiscal year 2022 and the entire fiscal year.

In the fourth quarter, Qualcomm’s revenue grew by 22%, to $11.4 billion, and net income grew by 3%, to $2.8 billion. For the entire fiscal 2022, which the company ended on September 25, total revenue increased by 32%, to $44.2 billion, and net income – by 43%, to $12.9 billion. The company noted that its performance rose despite the worsening macroeconomic and geopolitical situation this year.

Nevertheless, Qualcomm’s shares fell 6.7% after the publication of financial statements – investors were disappointed by the company’s forecast of an impending decline in smartphone sales in the coming months. “Given the current uncertainty in the macroeconomic environment, we have revised down our forecast for the supply of 3G/4G/5G handsets,” the company said. If earlier it expected sales in the region of $12-14 billion in the first quarter of fiscal year 2023, now it is $9-10 billion.

Evgeniy Khvostik