Qorvo has announced financial results for the fiscal 2021 third quarter, which ended on January 2, 2021. Bob Bruggeworth, president and chief executive officer of Qorvo, said, “Qorvo delivered an exceptional quarter helping our customers keep the world connected through the deployment of 5G, the roll-out of Wi-Fi 6 and 6E, and emerging technologies like precision location ultra-wideband. We are sustaining technology leadership in these markets and innovating in new ones including biotechnologies. In January, the National Institutes of Health selected Qorvo for its program to add COVID-19 testing capacity.”
Key Highlights:
- Expanded shipments of complete main path solutions (LB, MHB, and UHB) across leading 5G basebands and secured wins to supply next-generation complete main path solutions in 2021 Android smartphones.
- Commenced shipments of first MHB dual-connectivity modules (DCMs) to the leading Android OEM, leveraging Qorvo’s high-performance BAW filtering in the diversity path for receive and transmit.
- Launched next-generation BAW process increasing bandwidth and reducing insertion loss in UHB and Wi-Fi 6E applications.
- Began production shipments of Wi-Fi 6E solutions to top-tier Android customers, supporting increased capacity and lower latency in a range of smartphones and other mobile devices.
- Increased UWB customer engagements in smartphones and a broadening range of consumer applications, including tracker tags, smart speakers, smart TVs, and other smart home appliances.
- Selected by the National Institutes of Health (NIH) for its Rapid Acceleration of Diagnostics initiative (RADxSM) to add COVID-19 antigen testing capacity, utilizing Qorvo’s Omnia test platform, enabled by Qorvo’s high-frequency BAW.
- Secured design wins with multiple base station OEMs to support U.S. 5G C-band deployments and received Best Comprehensive Performance Award from ZTE for support of their 2020 5G roll-out.
- Achieved strong growth in the defense business, driven by domestic airborne radar and communications applications and GaN products for international radar programs.
- Commenced shipments of 5 GHz Wi-Fi 6 BAW filters and sampled 6 GHz Wi-Fi 6E FEMs for routers and gateways, maximizing throughput and range for high bandwidth applications.
- Selected to supply 5G/LTE, C-V2X and Wi-Fi automotive-qualified products to multiple OEMs including Audi, BMW, and Volvo.
- Selected to supply the leading television manufacturer with low power multi-protocol SOC and custom software enabling solar-charging remote controls.
On a GAAP basis, revenue for Qorvo’s fiscal 2021 third quarter was $1.1 billion, gross margin was 49.1%, operating income was $299 million and diluted earnings per share was $1.74. On a non-GAAP basis, gross margin was 54.4%, operating income was $401 million and diluted earnings per share was $3.08.
Qorvo currently believes the demand environment in its end markets supports the following expectations for the March 2021 quarter:
- Quarterly revenue of $1.025 billion to $1.055 billion.
- Non-GAAP gross margin of 50.5% to 51%.
- Non-GAAP diluted earnings per share of $2.42 at the midpoint of guidance.
