Qualcomm Gives Soft Revenue Forecast In Face Of Trade Turmoil
Revenue in the period ending in June will be $9.9 billion to $10.7 billion, the company said Wednesday in a statement.
Qualcomm Inc., the biggest maker of chips that run smartphones, gave a tepid revenue prediction for the current quarter, underscoring concerns that tariffs will hurt demand for its products.
Revenue in the period ending in June will be $9.9 billion to $10.7 billion, the company said Wednesday in a statement. The midpoint of that range was slightly below the average analyst estimate of $10.33 billion.
The outlook renews concern that the market for smartphones is suffering from a looming trade war. Qualcomm is highly vulnerable to the fallout from tariffs threatened by the US and China. The latter country is the biggest market for Qualcomm’s chips, and local phone makers account for many of its top customers.
Intel Corp. and others have given cautious outlooks — with some even warning that the economy may be headed for a recession.
“As we navigate the current macroeconomic and trade environment, we remain focused on the critical factors we can control — our leading technology road map, best-in-class product portfolio, strong customer relationships and operational efficiencies,” Chief Executive Officer Cristiano Amon said in a statement.
Qualcomm has projected that the smartphone market will grow by a percentage in the low single digits this year.
