Snapdragon chips demand helps Qualcomm top estimates

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(Reuters) – Smartphone chipmaker Qualcomm Inc reported a better-than-expected profit and revenue for the fourth quarter, boosted by demand for its Snapdragon mobile chips.

Revenue from its Qualcomm CDMA Technologies (QCT) unit, which includes its chip business that supplies both Android smartphone makers and Apple, rose 13 percent to $4.65 billion.

“We continue to see strong growth trends for global 3G/4G device shipments,” Chief Executive Steve Mollenkopf said.

In contrast, revenue from Qualcomm’s licensing business fell 36 percent to $1.21 billion in the quarter ended Sept. 24.

Net income attributable to the company fell to $168 million, or 11 cents per share, from $1.60 billion, or $1.07 per share, a year earlier. (bit.ly/2z5MwMB)

The latest quarter included a charge of $778 million, or 52 cents per share, for the fine imposed by the Taiwan Fair Trade Commission for anti-trust violations of its chip technology.

Excluding items, Qualcomm earned 92 cents per share, beating analysts estimates of 81 cents, according to Thomson Reuters I/B/E/S.

Revenue fell 4.5 percent to $5.91 billion, but came in ahead of analysts estimate of $5.80 billion.

Qualcomm shares, down 18 percent this year, were little changed in trading after the bell on Wednesday.