Skyworks Solutions Reports Decreased Profit but Beats EPS Estimates

Skyworks Solutions Inc. disclosed a profit decline in Q4 compared to last year; however, it managed to surpass earnings expectations, leading to a mixed market outlook.

Date: 13-11-2024

AI Rating: 5

The report indicates that Skyworks Solutions Inc. experienced a decrease in net income for the fourth quarter, totaling $60.5 million compared to $244.8 million in the same period last year. This drop reflects significant challenges the company has faced. However, it is noteworthy that despite this decline, Skyworks beat analysts' expectations for earnings per share (EPS), delivering $0.37 compared to the forecasted $1.52 per share.

The reported adjusted earnings presented a more favorable view with $249.9 million, or $1.55 per share, excluding specific items. This adjusted EPS exceeds expectations, suggesting the company has strength in its core operations despite the falling net income.

Regarding revenue, the company saw a significant decline of 15.9%, with revenue falling to $1.024 billion from $1.218 billion year-over-year. This decline in revenue aligns with the decreased net income and may concern investors regarding the company's growth prospects.

The guidance provided for the next quarter indicates an expectation of recovery with an EPS forecast of $1.57 and a revenue range between $1.05 billion to $1.08 billion. This guidance implies an outlook that slightly exceeds the current quarter's performance, thus offering a somewhat optimistic perspective for investors.

Stocks: SWKS