Core Insights - Qorvo, Inc. (QRVO) reported strong first-quarter fiscal 2026 results, with adjusted earnings and revenues exceeding Zacks Consensus Estimate [1] Revenue Performance - The company experienced a revenue contraction year over year, with net sales declining to $818.8 million from $886.7 million in the prior-year quarter, primarily due to declines in the Advanced Cellular Group (ACG) and Connectivity and Sensors Group (CSG) segments [2][5] - Despite the revenue decline, the top line surpassed the Zacks Consensus Estimate of $775 million, supported by solid demand trends in defense, aerospace, power management, Wi-Fi, and smartphones [2][5] Net Income - On a GAAP basis, net income was reported at $25.6 million or 27 cents per share, a significant increase from $0.4 million or break-even earnings in the prior-year quarter, attributed to lower costs of goods sold and operating expenses, along with an income tax benefit [3] - Non-GAAP net income was $86.5 million or 92 cents per share, compared to $83.5 million or 87 cents per share in the year-ago quarter, exceeding the Zacks Consensus Estimate by 30 cents [4] Segmental Performance - High Performance Analog (HPA) revenues increased to $137.4 million from $129.5 million in the year-ago quarter, driven by strong demand in defense and aerospace applications [6] - Revenues from CSG were $110.2 million, down from $114.9 million in the prior-year quarter, while ACG net sales were $571.2 million, reflecting an 11.1% year-over-year decline due to reduced Android revenues [7] Operating Metrics - Non-GAAP gross profit decreased to $360 million from $362.7 million, with respective margins of 44% and 40.9% [8] - Non-GAAP operating expenses fell to $251.8 million from $264.5 million year over year [8] - GAAP operating income was reported at $108.2 million, compared to $98.1 million in the prior-year quarter [9] Cash Flow & Liquidity - As of June 28, 2025, the company had $1.17 billion in cash and cash equivalents and $1.55 billion in long-term debt, generating $182.9 million in net cash from operating activities and a free cash flow of $145.4 million during the quarter [10] Outlook - For the second quarter of fiscal 2026, the company expects revenues of $1.025 billion (+/- $50 million) and non-GAAP gross margin to be within 48%-50%, with non-GAAP earnings projected at about $2.00 per share (+/- 25 cents) [11]

Core Insights - Qorvo, Inc. reported strong fourth-quarter fiscal 2025 results, with adjusted earnings and revenues exceeding Zacks Consensus Estimates [1] Financial Performance - The company reported a GAAP net income of $31.4 million or 33 cents per share, up from $2.7 million or 3 cents per share in the prior-year quarter, attributed to lower operating expenses and an income tax benefit [3] - Non-GAAP net income was $133.3 million or $1.42 per share, slightly down from $135.5 million or $1.39 per share year-over-year, surpassing the Zacks Consensus Estimate by 41 cents [4] - Total revenues for fiscal 2025 were $3.72 billion, a decrease from $3.77 billion in fiscal 2024 [6] Revenue Breakdown - Net sales for the quarter declined to $869.5 million from $941 million in the prior-year quarter, impacted by a drop in Advanced Cellular Group (ACG) and Connectivity and Sensors Group (CSG) verticals, but secured major design wins in various applications [5][2] - High Performance Analog revenues increased to $187.9 million from $164.6 million year-over-year, driven by strong demand in defense and aerospace sectors [7] - Revenues from CSG were $101.3 million, down from $122.8 million in the year-ago quarter, missing estimates [8] Cash Flow and Liquidity - As of March 31, 2025, Qorvo had $1.02 billion in cash and cash equivalents and $1.55 billion in long-term debt, with net cash from operating activities of $199.2 million and free cash flow of $170.7 million for the quarter [11] Outlook - For the first quarter of fiscal 2026, the company expects revenues of $775 million (+/- $25 million) and non-GAAP gross margin between 42% and 44%, with non-GAAP earnings per share projected in the range of 50-75 cents [12]