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Earnings

Earnings: Despite Legal Problems, Qualcomm Posts Higher Q2 Profits, Revs

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Crediting demand that led to the shipping of 65 million CDMA chipsets during the quarter, Qualcomm (Nasdaq: QCOM) posted higher income for Q2 of $798 million, up 24 percent year-over-year and 10 percent sequentially. The company took in $2.33 billion in revenue, a 19 percent gain over last year and 5 percent over Q107. The San Diego-based company has been joined by other cell phone makers and wireless carriers in an attempt to overturn the June 7 ban on Qualcomm phones by U.S. International Trade Commission last month after the product’s chips were found to infringe upon a Broadcom patent.  Qualcomm is also engaged in other legal disputes with Nokia, including litigation over what Qualcomm says is Nokia’s obligation to pay royalties for the use of certain patents.

MediaFLO: R&D expenses increased 20 percent year-over-year. The costs were related to spending on development of low-cost phones, multimedia applications, high-speed wireless internet access as well as support for its Qualcomm Strategic Initiatives MediaFLO subsidiary. It had $95 million in operating expenses, primarily related to MediaFLO. Earnings release | Webcast

Jul 25, 2007 3:15 PM ET

Posted In: Money, Earnings, Companies, Qualcomm

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