(By Balachander) Qualcomm Inc. (NASDAQ: QCOM) reported quarterly earnings and revenue that topped market expectations amid healthy demand for smartphones and that the cell phone chip maker boosted its full-year outlook.
Shares jumped 5.58 percent in extended trading on Wednesday.
Non-GAAP earnings per share (EPS) were $1.26 on revenue of $6.02 billion, topping analysts' expectations of $1.13 and $5.90 billion for the first quarter.
Net earnings jumped 32 percent to $2.20 billion. The San Diego, California-based company's revenue climbed 29 percent for the three month period.
Qualcomm makes CDMA chips that power the leading smartphones and tablets and is benefiting from strong smartphone demand across a wide range of its customers, including Apple Inc. (NASDAQ: AAPL) and Samsung, who rely on Qualcomm's 3G and 4G chipsets for their iPhones, iPads, and Galaxy line of devices.
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The company said MSM chip shipments were 182 million units, up 17 percent from the year-ago quarter.
Looking ahead for the second quarter, QCOM sees non-GAAP EPS between $1.10 and $1.18, on revenue of $5.8 billion to $6.3 billion. Analysts expect EPS of $1.10 on revenue of $5.88 billion.
For the full year, the company now expects non-GAAP EPS in the range of $4.25 to $4.45 from prior expectations of $4.12 to $4.32. Revenue is now projected between $23.4 billion and $24.4 billion from $23.0 billion to $24.0 billion projected earlier. Analysts expect EPS of $4.32 on revenue of $23.63 billion.
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In the fourth quarter, Qualcomm earned $0.85 per share on a non-GAAP basis, on revenue of $4.87 billion.
The stock, which has been trading between $53.09 and $68.87 over the past year, ended Wednesday's regular trading at $63.53.