Qualcomm (QCOM) Q4 2025 earnings summary

Executive summary

• Fiscal Q4 revenue reached $11.3B, up 10% YoY, and Non-GAAP EPS was $3.00, both above guidance.

• Fiscal 2025 non-GAAP revenues totaled $44.1B, up 13% YoY; GAAP revenues were $44.3B, up 14% YoY.

• QCT segment revenues were $9.8B in Q4, up 13% YoY, with record annual revenues and strong growth in Automotive and IoT.

• Automotive revenues surpassed $1B in Q4, up 17% YoY; IoT revenues increased 7% YoY to $1.8B.

• Major product launches included Snapdragon 8 Elite Gen 5, X2 Elite for PCs, and expansion into AI data center and edge AI.

Financial highlights

• Fiscal 2025 non-GAAP EPS was $12.03, up 18% YoY; GAAP EPS was $5.01, down 44% due to a $5.7B non-cash tax charge.

• QCT EBT margin was 29% in Q4 and 30% for fiscal 2025; QTL EBT margin was 72%.

• Record free cash flow of $12.8B, with nearly all returned to shareholders via buybacks and dividends.

• Fiscal 2025 non-GAAP net income was $13.3B, up 15% YoY; GAAP net income was $5.54B, down 45% YoY due to the tax charge.

• Operating income for fiscal 2025 was $12.36B (GAAP) and $15.45B (non-GAAP).

Outlook and guidance

• Q1 FY26 revenue guidance: $11.8B–$12.6B; Non-GAAP EPS: $3.30–$3.50.

• QCT revenues expected at $10.3B–$10.9B with EBT margins of 30%–32%.

• Non-GAAP operating expenses projected at $2.45B for the quarter.

• Effective tax rate expected at 13%–14% due to new U.S. tax legislation.

• On track to achieve FY29 long-term revenue targets for Automotive ($8B) and IoT ($14B).