Skyworks Solutions, an innovator of high-performance analog semiconductors connecting people, places, and things, reported their first fiscal quarter results for the period ending Jan. 1, 2021. Revenue for the first fiscal quarter of 2021 was $1.510 billion, up 58% sequentially, substantially exceeding consensus estimates. On a GAAP basis, operating income for the first fiscal quarter was $571 million with diluted earnings per share of $3.05. On a non-GAAP basis, operating income was $622 million with non-GAAP diluted earnings per share of $3.36.
Liam K. Griffin, President and CEO of Skyworks, stated that Skyworks delivered all-time record quarterly results, leveraging our expansive technology reach. Demand for their proven solutions continues to accelerate across a growing set of customers and end markets, powering the world’s most impactful use cases, from 5G mobile platforms to IoT, wireless infrastructure, autonomous transport, and machine-to-machine installations. Importantly, the multi-year wireless transition is now underway, creating a burgeoning set of new opportunities. With deep customer engagements, underpinned by decades of technology investments and scale, Skyworks is uniquely positioned to lead.
First Fiscal Quarter Business Highlights
- Accelerated ramp of Sky5® portfolio, supporting the next wave of 5G launches at Samsung, Oppo, Vivo, Xiaomi and other Tier-1 players
- Partnered with ASUS to launch world’s first ultra-fast Wi-Fi 6E extended band router
- Launched Wi-Fi 6 engines for CenturyLink’s latest GPON media gateway
- Shipped Wi-Fi 6 solutions for access points at leading network OEMs, including Cisco, NETGEAR, TP-Link and Aruba
- Captured design wins at Google / Fitbit for their newest health smartwatch
- Delivered low-latency wireless audio solutions, enabling leading gaming headsets at Turtle Beach and SteelSeries
- Ramped Itron’s multi-standard ISM connectivity solutions for smart cities
- Commenced volume shipments of 5G amplifiers and receive modules supporting European base station OEMs
- Partnered with MediaTek for emerging 5G reference designs targeting automotive and other IoT applications
- Leveraged V2X solutions with Volkswagen and Toyota for their enhanced safety systems
Second Fiscal Quarter 2021 Outlook
They provide earnings guidance on a non-GAAP basis because certain information necessary to reconcile such guidance to GAAP is difficult to estimate and dependent on future events outside of our control.
“We expect the continued and rapid adoption of multiple wireless protocols to drive strong year-over-year growth for Skyworks,” said Kris Sennesael, senior vice president and chief financial officer of Skyworks. “Specifically, in the second fiscal quarter of 2021, we anticipate revenue to be between $1.125 billion and $1.175 billion with non-GAAP diluted earnings per share of $2.34 at the midpoint of our revenue range, representing revenue growth of 50% and non-GAAP diluted earnings per share growth of 75%, compared to the second fiscal quarter of 2020.
“Additionally, our board of directors has approved a new $2 billion stock repurchase program, reflecting their confidence in our business model driven by sustained above-market growth and strong cash flow generation.”
Dividend Payment
Skyworks’ board of directors has declared a cash dividend of $0.50 per share of the Company’s common stock, payable on Mar. 9, 2021, to stockholders of record at the close of business on Feb. 16, 2021.
