Core Insights - Skyworks Solutions (SWKS) reported fourth-quarter fiscal 2025 non-GAAP earnings of $1.76 per share, exceeding the Zacks Consensus Estimate by 21.4% and reflecting a year-over-year increase of 13.5% [1] - Revenues reached $1.1 billion, marking a 7.3% year-over-year growth and surpassing the consensus estimate by 8.38% [1] - Despite a 2.8% increase in pre-market trading, Skyworks shares have declined 18.8% year to date, underperforming the broader Zacks Computer and Technology sector's return of 29.5% [1] Revenue Breakdown - Mobile revenues accounted for nearly 65% of total revenues, with a sequential increase of 21% and a year-over-year growth of 7%, driven by strong sell-through at the company's largest customer [2] - The largest customer contributed approximately 67% of revenues in the reported quarter [2] - Broad Markets, which includes edge IoT, automotive, industrial, infrastructure, and cloud, grew 3% sequentially and 7% year over year, supported by growth in edge IoT, automotive, and data center sectors [3] Operating Performance - The non-GAAP gross margin for the fourth quarter remained stable year-over-year at 46.5% [4] - Research & development expenses increased by 430 basis points year-over-year to 20.3% of revenues [4] - Selling, general, and administrative expenses rose by 290 basis points to 10.2% in the reported quarter [4] - Non-GAAP operating margin contracted by 270 basis points year-over-year to 24% [4] Financial Position - As of October 3, 2025, cash and cash equivalents along with marketable securities totaled $1.39 billion, up from $1.34 billion as of June 27 [5] - Long-term debt stood at $995.8 million, showing a slight sequential increase [5] - Cash generated from operating activities was $200 million in the quarter, down from $314.1 million in the prior quarter [5] - Free cash flow was reported at $144 million, with a free cash flow margin of 13.1% [5] Future Guidance - For the first quarter of fiscal 2026, the company anticipates revenues between $975 million and $1.025 billion [6] - A low- to mid-single-digit sequential decline in Mobile revenues is expected, while Broad Markets is projected to grow mid- to high-single-digit year-over-year, accounting for 39% of revenues [6] - Gross margin is anticipated to be approximately 47%, with a variance of +/- 50 basis points [6] - Operating expenses are expected to range between $230 million and $240 million [8]