Qualcomm's fiscal fourth-quarter results outperformed expectations, marking a fifth consecutive quarter of unprecedented growth in automotive revenue. Adjusted earnings per share rose to $2.69, reflecting an increase from $2.02 the previous year, surpassing the consensus estimate of $2.57 from Capital IQ.
Non-GAAP revenue surged by 18% year-over-year, reaching $10.24 billion for the quarter ending on September 29, outperforming Wall Street's forecast of $9.93 billion. The company's shares experienced a 7% increase in after-hours trading on Wednesday. Within the Qualcomm CDMA technologies division, which encompasses the semiconductor business, revenue grew by 18%, totaling $8.68 billion.
This growth was significantly driven by a remarkable 68% surge in automotive revenue, which hit $899 million. Handset sales also saw a 12% increase, reaching $6.1 billion, and the Internet of Things department experienced a 22% rise to $1.68 billion. Additionally, sales in the technology licensing unit jumped by 21%, amounting to $1.52 billion.
Looking ahead, Qualcomm projects first-quarter adjusted EPS between $2.85 and $3.05, with anticipated revenue ranging from $10.5 billion to $11.3 billion. Analysts analyzed by Capital IQ expect normalized EPS of $2.87 and revenues of $10.61 billion. In a strategic move, Qualcomm's board approved a significant $15 billion stock repurchase program, complementing the previous authorization that still had $1 billion available at the end of fiscal 2024. Current Price: 185.17, Price Change: +12.18, Percent Change: +7.04..