The 10-second takeaway
For the quarter ended June 28 (Q3), Skyworks Solutions met expectations on revenues and beat slightly on earnings per share.
Compared to the prior-year quarter, revenue expanded. Non-GAAP earnings per share grew significantly. GAAP earnings per share expanded significantly.
Margins grew across the board.
Skyworks Solutions notched revenue of $436.1 million. The 18 analysts polled by S&P Capital IQ expected to see sales of $436.0 million on the same basis. GAAP reported sales were 12% higher than the prior-year quarter's $389.0 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.54. The 18 earnings estimates compiled by S&P Capital IQ predicted $0.53 per share. Non-GAAP EPS of $0.54 for Q3 were 20% higher than the prior-year quarter's $0.45 per share. GAAP EPS of $0.34 for Q3 were 31% higher than the prior-year quarter's $0.26 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 43.2%, 70 basis points better than the prior-year quarter. Operating margin was 19.3%, 440 basis points better than the prior-year quarter. Net margin was 15.1%, 240 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $471.7 million. On the bottom line, the average EPS estimate is $0.61.
Next year's average estimate for revenue is $1.79 billion. The average EPS estimate is $2.17.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 716 members out of 752 rating the stock outperform, and 36 members rating it underperform. Among 164 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 156 give Skyworks Solutions a green thumbs-up, and eight give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Skyworks Solutions is outperform, with an average price target of $30.18.
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