Qualcomm (QCOM) Q3 2025 earnings summary

Executive summary

• Fiscal Q3 revenue reached $10.4 billion, up 10% year-over-year, with non-GAAP EPS of $2.77 (up 19%) and GAAP EPS of $2.43 (up 29%), driven by strong QCT, Automotive, and IoT performance.

• Net income rose 25% year-over-year to $2.7 billion on a GAAP basis.

• QCT revenues were $9.0 billion, up 11% year-over-year, with Automotive and IoT revenues growing 21% and 24% respectively; Automotive achieved record quarterly revenues.

• Licensing business (QTL) revenues were $1.32 billion, up 4% year-over-year, with a 71% EBT margin.

• $3.8 billion was returned to shareholders through $2.8 billion in stock repurchases and $967 million–$1.0 billion in dividends.

Financial highlights

• Q3 non-GAAP revenues: $10.4 billion (+10% YoY); EBT: $3.54 billion (+17% YoY); non-GAAP EPS: $2.77 (+19% YoY); GAAP net income: $2.7 billion (+25% YoY).

• QCT segment: revenues $8.99 billion (+11% YoY), EBT $2.67 billion (+22% YoY), EBT margin 30% (+3 pts YoY).

• QTL segment: revenues $1.32 billion (+4% YoY), EBT $894–$942 million (+5% YoY), EBT margin 71% (+1 pt YoY).

• Automotive revenues reached a record $984 million (+21% YoY); IoT revenues $1.68 billion (+24% YoY).

• Cash, cash equivalents, and marketable securities at quarter-end: $12.3 billion.

Outlook and guidance

• Q4 revenue guidance: $10.3–$11.1 billion; non-GAAP EPS: $2.75–$2.95; GAAP EPS: $2.23–$2.43.

• QCT revenues expected at $9.0–$9.6 billion with EBT margins of 27%–30%.

• Fiscal 2025 non-GAAP EPS expected to grow 16% over fiscal 2024; annual effective tax rate guidance at ~14%.

• Commitment to return ~100% of free cash flow to shareholders for the fiscal year.

• Guidance excludes impacts from potential tax law changes, asset impairments, and certain legal matters.