NASDAQ$QRVO

Qorvo Inc. · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

Qorvo delivered an exceptional December quarter with accelerating 5G design wins in Mobile Products and robust design win momentum in IDP.

Qorvo announced financial results for the fiscal 2020 third quarter. Revenue was $869 million, with a GAAP diluted earnings per share of $1.36 and a non-GAAP diluted earnings per share of $1.86. The company is acquiring Decawave and Custom MMIC to expand its technology portfolio and product offerings.

  • Awarded broad-based design wins to supply highly integrated 4G/5G low-, mid-/high-, and ultra-high band solutions for second-generation 5G smartphones
  • Chosen to supply ultra-high band FEMs on multiple 5G cellular chipsets, leveraging performance advantages at higher frequencies and enabling next wave of 5G smartphones
  • Secured new 4G and 5G design wins and extended leadership in BAW-based multiplexers, including hexaplexers and recently launched micro BAW-based quadplexer
  • Expanded GaN customer engagements with ramp of high-power amplifiers at a third major OEM to support 5G massive MIMO deployments

Headline financials

Total Revenue

$869M

Previous: $832M+4.4%
EPS (adj)

$1.86

Previous: $1.85+0.5%
Free Cash Flow

$260M

No prior period
Capital Expenditures

-$129M

Previous: -$186M+30.5%
Net Income

$161M

Previous: $69.5M+132.1%
Operating Income

$153M

Previous: $81.2M+88.6%
Gross Profit

$368M

Previous: $338M+8.8%
Cash & Equivalents

$1.1B

Previous: $650M+69.0%
Total Assets

$6.52B

Previous: $5.81B+12.3%
Stock-Based Comp

$16.4M

Previous: $18.6M-12.0%

Revenue & EPS history

Qorvo · Revenue · Quarterly

$869M

Q3 2020+4.4%vs Q3 2019
Beat estimate in 16 of 16 quarters(100%)
ActualEstimate

Forward guidance

Qorvo expects for the March 2020 quarter revenue in the range of $800 million to $840 million, Non-GAAP gross margin of approximately 48.5%, and Non-GAAP diluted earnings per share of $1.55 at the midpoint of guidance

Tailwinds

  • Quarterly revenue in the range of $800 million to $840 million
  • Non-GAAP gross margin of approximately 48.5%
  • Non-GAAP diluted earnings per share of $1.55 at the midpoint of guidance

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2020

Historical avgQ3 2020

+0.0%

Avg return

Earnings day

-1.2%

Avg return

5 days after

+0.9%

Avg return

30 days after

42%

21 / 50 earnings

Positive

+21.8%

Q2 2020

Best reaction

-27.1%

Q2 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026+1.8%-3.1%+2.0%
Q3 2026-6.8%+2.1%+7.4%
Q2 2026-6.5%-8.2%-4.9%
Q4 2025+14.4%+12.9%+21.3%
Q3 2025+0.3%-4.8%-15.3%
Q2 2025-27.1%-28.3%-31.8%
Q1 2025-2.2%-11.9%-7.0%
Q4 2024-18.1%-17.7%-15.8%
Q3 2024+5.5%+7.1%+19.3%
Q2 2024-2.2%+0.8%+11.4%
Q1 2024-4.0%-3.2%-1.6%
Q4 2023+0.6%+0.8%+4.9%
Q3 2023-1.6%-5.9%-5.5%
Q2 2023-4.4%+1.8%+12.3%
Q1 2023+5.5%+3.4%-12.5%
Q4 2022-9.4%-14.4%-9.2%
Q3 2022-7.4%-7.5%-6.7%
Q2 2022-10.2%-7.4%-12.9%
Q1 2022-0.2%-0.8%-5.0%
Q4 2021+1.2%-6.0%+1.3%
Q3 2021-6.5%-4.8%-4.4%
Q2 2021+14.2%+16.4%+28.7%
Q1 2021+13.5%+17.6%+14.0%
Q4 2020+4.8%+2.4%+17.7%
Q3 2020-1.6%-5.3%-11.4%
Q2 2020+21.8%+26.9%+30.5%
Q1 2020-3.3%-4.3%-2.5%
Q4 2019+2.5%+1.0%-14.6%
Q3 2019-6.0%-5.0%-0.1%
Q2 2019+10.6%-2.3%-7.2%
Q1 2019+3.2%+4.2%-2.0%
Q4 2018+6.9%+10.9%+13.9%
Q3 2018+17.9%+6.9%+14.8%
Q2 2018-2.0%+3.5%-2.1%
Q1 2018-1.7%+1.1%+7.6%
Q4 2017-1.9%-3.9%+15.5%
Q3 2017-1.3%+0.2%+3.1%
Q2 2017-8.9%-9.1%-9.8%
Q1 2017-13.2%-13.3%-9.0%
Q4 2016+3.6%
Q3 2016+0.5%
Q2 2016+19.3%
Q1 2016-14.5%
Q4 2013-0.2%
Q2 2014-0.2%
Q1 2014-0.2%
Q4 2015+12.7%
Q4 2014-0.6%
Q3 2014-0.6%
Q3 2015+2.7%
Q2 2015
Q1 2015
Q3 2013
Q2 2013

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