Qualcomm Reports $12.2 Billion Q1 Revenue Amid Memory Chip Shortage

Qualcomm has announced a revenue of $12.2 billion for its fiscal Q1, reflecting a 5 percent increase compared to the same period last year. However, the company’s forecast for the upcoming quarter falls short of analyst expectations, largely due to a global shortage of memory chips. For Q2, Qualcomm anticipates revenue between $10.2 billion and $11 billion, which is lower than the analyst projection of $11.2 billion, according to data compiled by Bloomberg.

In addressing the challenges posed by the memory supply constraints, CEO Cristiano Amon emphasized that the company is encouraged by the strong consumer demand for premium and high-tier smartphones. He stated, “We remain on track to achieve our fiscal 2029 revenue goals,” despite the near-term impact on handset outlook.

Qualcomm reported a net income of $3 billion, which represents a 6 percent decline from the previous year. Handset revenue increased by 3 percent to $7.8 billion, while the automotive sector experienced a notable 15 percent increase, reaching $1 billion. The Internet of Things (IoT) division also showed positive growth, reporting revenue of $1.7 billion, an increase of 9 percent.

Overall, the Qualcomm Technology (QCT) division saw sales rise by 10 percent to $10 billion. Additionally, the Licensing (QTL) unit posted revenue of $1.5 billion, up 5 percent from the prior year. Amon highlighted the growing momentum across personal, industrial, and physical AI technologies, as evidenced by recent product announcements at CES and increasing customer engagement.

As Qualcomm navigates the ongoing challenges in the semiconductor market, its focus on innovation and consumer demand remains central to its strategy. The company’s ability to adapt to these market conditions will be crucial in maintaining its growth trajectory in the coming quarters.