Qualcomm Reports Net Loss in Its Fiscal Q4

Qualcomm's revenue increased 10% year-on-year to $10.2 billion in its fiscal fourth quarter of 2025. However, profits took a hit from US President Donald Trump’s One Big Beautiful Bill. The company took a one-time, non-cash tax-related charge of $5.7 billion related to the passing of the bill earlier this year. It recorded a net loss of $3.1 billion compared with a $2.9 billion profit in the comparable period of fiscal 2024.

Revenue in Qualcomm’s handsets business rose 14% to $6.9 billion, which CEO Cristiano Amon said was driven by strong customer demand for its flagship Snapdragon 8 Elite Gen 5 system-on-chip on premium Android handsets. He noted the automotive sector set a quarterly record of $1 billion, up 17%, while IoT revenue rose 7% to $1.8 billion. Overall QCT (handset, IoT, and automotive) revenue of $9.8 billion was up 13%. QTL (technology licensing) generated $1.4 billion in revenue, 7% higher year-on-year.

Qualcomm predicts fiscal 1Q26 revenue of $11.8 billion to $12.6 billion, above an average analyst estimate of $11.6 billion shown by London Stock Exchange data. CFO Akash Palkhiwala said Qualcomm expects its non-GAAP tax rate to remain in the 13% to 14% range and lower cash tax payments relative to prior expectations. The company forecast fiscal Q1 QTC revenue of between $10.3 billion and $10.9 billion and QTL $1.4 billion to $1.6 billion.