Qualcomm revises quarterly earnings estimate
3G CDMA major Qualcomm has enhanced its earnings forecast for the current quarter. The San-Diego-based company has noticed increased sales of chips for third-generation cell phones in the global market, with this increase, they have made adjustments in their quarterly earnings expectations.
Qualcomm is expecting its earnings in the first quarter ending on December 25 to be in the range of 32 – 33 cents as against a previous estimate of 30-32 cents. In the corresponding period previous year, the company had recorded a per share earning of 30 cents.
On a much broader basis which earmarks exclusion of results from the investment unit of the company, Qualcomm is expecting real earnings of 38 cents to 39 cents a share, up from a prior estimate of 36 cents to 38 cents. Market research agencies like Thomson Financial expect the company to earn 37 cents a share in the quarter.
The company is also bullish on overall revenue projections for the quarter as it feels the target between $1.67 billion to $1.77 billion will be comfortably met. The revision of quarterly earnings estimate by Qualcomm, however, did not enthuse the stock markets as its shares slipped by 79 cents, or 1.8 percent, to close at $44.21 at NASDAQ on Thursday.