Skyworks expects Q2 revenue to decrease 11.3% year-over-year!

RF module supplier Skyworks Solutions Inc. announced its second quarter 2019 financial report (ending March 29, 2019) after the U.S. stock market closed on May 2: revenue decreased by 11.3% year-on-year to US$810.4 million; non-GAAP diluted earnings per share decreased by 10.4% year-on-year to US$1.47. Yahoo Finance website shows that analysts originally expected Skyworks' second quarter revenue and non-GAAP diluted earnings per share to be US$810 million and US$1.43, respectively.

Skyworks CFO Kris Sennesae said that the revenue forecast for this quarter will be between $815 million and $835 million (the median is $825 million), and the non-GAAP diluted earnings per share will be $1.50, calculated at the midpoint of the revenue forecast range. He said that as 5G becomes more popular and seasonal product production increases, Skyworks is expected to perform better than the industry. Analysts originally expected Skyworks' third-quarter revenue and non-GAAP diluted earnings per share to be $828 million and $1.5, respectively.

Skyworks CEO Liam K. Griffin pointed out that Skyworks once again delivered another solid quarterly report card thanks to the advantages of its operating model and the momentum of its product portfolio across broad high-growth markets and the Internet of Things.

Griffin said Skyworks' innovative technologies are the foundation for the latest generation of connected applications, from data centers to the cloud, media and entertainment, to e-commerce and ride-hailing. He said these connections will become increasingly important during the transition to 5G.

According to the latest second quarter business summary, Google Pixel and Samsung Galaxy S10 smartphones both use Skyworks solutions. In addition, Skyworks has also obtained 5G Massive MIMO infrastructure orders from Ericsson and Nokia.

Skyworks (SWKS.US) rose 2.61% to $90.79 on May 2, up 35.47% so far this year. Skyworks fell 3.62% to $87.50 after hours.