Qualcomm 2Q Sales Rise on Automotive, Internet of Things Growth

Published: 2026-04-29 16:42:16 ET QCOM

Published on 04/29/2026 at 04:42 pm EDT

By Kelly Cloonan

Qualcomm logged higher revenue in its latest quarter, boosted by growth in its automotive and internet of things segments, as it contends with pressure from a shortage of memory supply.

The semiconductor company also gave a forecast for the current quarter that came in below Wall Street's expectations.

The stock fell 2.7%, to $151.88, in after-hours trading.

The company posted a fiscal second-quarter profit of $7.37 billion, or $6.88 a share, compared with $2.81 billion, or $2.52 a share, a year earlier. The recent quarter's figure includes a $5.7 billion income tax benefit, or $5.33 per share, from the release of a valuation allowance, the company said.

Adjusted earnings per share were $2.65, compared with estimates of $2.56 a share according to analysts polled by FactSet.

Revenue rose 3% to $10.6 billion, compared with analyst estimates of $10.59 billion.

The growth was driven by higher sales in the company's automotive and internet of things segments. However, sales in the company's handset segment fell 13%.

Chief Executive Cristiano Amon said the company is navigating a challenging memory environment, and is in the midst of industry-wide transformation amid the rise of AI agents.

The company is also on track to begin initial shipments later this calendar year for a leading hyperscaler, Amon said.

For the current quarter, the company expects adjusted earnings per share of $2.10 to $2.30 and revenue of $9.2 billion to $10 billion. Analysts expect adjusted earnings of $2.42 per share on revenue of $10.19 billion.

Write to Kelly Cloonan at [email protected]

(END) Dow Jones Newswires

04-29-26 1641ET