14 August 2016
Qualcomm has released its earning report for the third quarter of the year and it ended up shipping more chipsets than its own expectations. The company had earlier predicted the shipments to be around 175 million to 195 million but it managed to ship a total of 201 million chipsets. And as you would expect, this means more net income and revenue for the leading chipmaker.
Qualcomm's net income grew by a staggering 22% which results in $1.44 billion as compared to $1.2 billion during the same quarter last year. As far as revenue is considered, it reported a revenue of $6 billion which is a growth of 3.6% from previous year.
There are a number of reasons behind such a strong Q3 results for Qualcomm and among them, boost in demand the flagship smartphones turns out to be the major one. As the chipmaker makes most of its money via licensing, more smartphone sales mean more money for the company. This year, Qualcomm also got back in partnership with Samsung which seems to be proving beneficial as we already know that the Galaxy S7 and Galaxy S7 edge are selling pretty well around the world.
Other than this, Qualcomm also saw a significant growth in the demand for its chipsets in the Chinese smartphone market as more Chinese OEMs ordered them. The company also happens to be modem chip supplier for Apple iPhones but there are rumors that Apple might switch to Intel for the iPhone 7.