Qualcomm (QCOM) Q1 Earnings: Taking a Look at Key Metrics Versus Estimates

Core Insights - Qualcomm reported $12.25 billion in revenue for the quarter ended December 2025, marking a year-over-year increase of 5% and an EPS of $3.50, up from $3.41 a year ago [1] - The revenue fell short of the Zacks Consensus Estimate of $12.28 billion by -0.26%, while the EPS exceeded the consensus estimate of $3.39 by +3.15% [1] Revenue Breakdown - QCT revenues were $10.61 billion, slightly below the average estimate of $10.75 billion, reflecting a year-over-year increase of +5.3% [4] - Automotive revenues within QCT were $1.1 billion, matching analyst estimates and showing a +14.6% change year-over-year [4] - IoT revenues were reported at $1.69 billion, below the average estimate of $1.76 billion, with a year-over-year increase of +9% [4] - QTL revenues reached $1.59 billion, surpassing the average estimate of $1.5 billion, representing a +3.7% year-over-year change [4] - Handset revenues were $7.82 billion, slightly below the average estimate of $7.89 billion, with a +3.3% year-over-year increase [4] - Licensing revenues were $1.79 billion, exceeding the average estimate of $1.61 billion, reflecting a +3.4% year-over-year change [4] - Equipment and services revenues were $10.47 billion, below the average estimate of $10.76 billion, with a +5.3% year-over-year increase [4] Income Metrics - Income before taxes for QTL was $1.23 billion, above the average estimate of $1.11 billion [4] - Income before taxes for QCT was $3.3 billion, slightly below the average estimate of $3.37 billion [4] Stock Performance - Qualcomm shares have returned -19.3% over the past month, contrasting with the Zacks S&P 500 composite's +0.9% change [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market in the near term [3]