Qorvo, (QRVO) the provider of technology and radio-frequency solutions for mobile, aerospace, defense and other applications, reported that fiscal third-quarter net income per share advanced 28% on 26% higher revenue.
For the quarter ended Jan. 2, the Greensboro, N.C., company earned $1.74 a share compared with $1.36 a share in the year-earlier quarter (adjusted earnings came in at $3.08 a share). Revenue reached $1.09 billion from $869.1 million a year ago.
A survey of analysts by FactSet produced consensus estimates of GAAP earnings of $1.87 a share, or an adjusted $2.68, on revenue of $1.07 billion.
At last check, Qorvo shares were trading down 6.95% at $163.73. They closed the regular Wednesday trading session down 1.9% at $175.95.
The stock is trading at some 2 1/2 times its 52-week low of $67.53, set late last March. Two weeks ago, it touched a 52-week high near $192.
Gross-profit margin for the quarter widened to 49.1% from 42.4%.
"We expect robust end-market demand to continue into the March quarter, driving strong year-over-year revenue growth and operating-margin expansion," Chief Financial Officer Mark Murphy said in a statement.
For the fiscal fourth quarter, Qorvo estimates adjusted earnings at the midpoint of its guidance to come in at $2.42 a share, and it pegs the quarter's revenue at $1.03 billion to $1.06 billion. Both those figures beat analyst estimat Q4 adjusted earnings of $2.01 a share on revenue of $944.9 million.
The FactSet survey is looking for Q4 adjusted earnings of $2.01 a share on revenue of $944.9 million.
The fourth-quarter adjusted gross margin is seen 50.5% to 51%, Qorvo said.
But the paper also warned that reliance on Apple can backfire as, for example, when the Cupertino, Calif., tech giant decides to design its own chips and as strong iPhone product cycles come less frequently.