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Skyworks (SWKS) Beats Earnings, Climbs 3% on Strong Performance

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Skyworks Solutions (SWKS - Free Report) just released its latest quarterly results, posting earnings of $1.64 per share and revenues of $894.3 million.

Currently, SWKS is a Zacks Rank #3 (Hold), but that could change based on today’s results. Investors should note that our consensus estimate for SWKS’s earnings has seen positive movement in the last month, ticking up three cents to $1.59 per share for the quarter. The company has seen mixed revisions for the current fiscal year, but projections have still increased 20 cents in the last month, bringing the figure to $7.11 per share. 

Shares of the company have risen 2.4% over the past month and were up 0.4% during regular trading hours today.

However, the stock is currently up about 3% to $105.30 per share in after-hours trading shortly after its earnings report was released.

SWKS:

Beat earnings estimates. The company reported non-GAAP diluted earnings of $1.64 per share, topping the Zacks Consensus Estimate of $1.59 per share and up 4.5% year-over-year.

Beat revenue estimates. The company saw revenue figures of $894.3 million, surpassing our consensus estimate of $887.71 million but down 0.7% year-over-year.

“Skyworks exceeded June quarter expectations driven by our broadening market reach, solid execution and resilient business model,” said Liam K. Griffin, president and chief executive officer of Skyworks. “We are gaining first-mover advantage across Internet of Things and rapidly emerging 5G applications with our Sky5™ platform. Leveraging our scale and decades of system-level expertise, we are positioned to capitalize on increasing demand for powerful and complex connectivity engines as the global data economy accelerates.”

The company set the following financial guidance for Q4 FY18:

“Skyworks is on track to deliver another record year of top and bottom line results,” said Kris Sennesael, senior vice president and chief financial officer of Skyworks. “Specifically, for the fourth fiscal quarter of 2018, we expect revenue to be up 11 to 13 percent sequentially as design win momentum transitions to volume production. At the $1 billion midpoint of this revenue range, we anticipate continued margin expansion and 16 percent sequential growth in non-GAAP diluted earnings per share to $1.91. Further, given our confidence in Skyworks’ strategic outlook, today we are announcing a substantial raise to our quarterly dividend.”

Here’s a graph that looks at SWKS’s recent earnings performance:

Skyworks Solutions, Inc. Price, Consensus and EPS Surprise

Skyworks Solutions, Inc. Price, Consensus and EPS Surprise | Skyworks Solutions, Inc. Quote

Based in Woburn, Massachusetts, Skyworks Solutions designs, manufactures, and markets a broad range of analog and mixed signal semiconductors that enable wireless connectivity. The company’s products include power amplifiers (PAs), front-end modules (FEMs), radio frequency (RF) sub-systems, and cellular systems.

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