Qualcomm announces record revenues

Qualcomm has revealed record revenue for the second financial quarter of 2011 at $3.88 billion (2.34 billion) an increase of 46 per cent year-on-year over results from this time last year.

The results are above predicted figures released by the company in January of $3.45 billion to $3.75 billion.

An increased demand in smartphone and tablet devices in the current market is cited as reason for its success, as more and more manufacturers turn to Qualcomm hardware to power their products.

Chip sales alone came in at $1.96 billion, whilst licensing revenue for the company's hardware also played a significant factor, with increases in this sector of nearly $700 million including a $410 million license settlement with Panasonic.

When you consider most new devices launched onto the market at the moment are either powered by Qualcomm or ARM hardware, it's no surprise they're doing so well. In particular the overall market trend towards 3G smartphones, requiring more advanced hardware, has been linked to the increased demand for Qualcomm products and the resulting high revenue.

Qualcomm's income also rose by 38 per cent over last year to $1.07 billion (647 million), along with profits being up 29 per cent at $999 million (604 million).

The company said it expected these successes to continue. Dr Paul E. Jacobs, chairman and chief executive (CEO) of Qualcomm, said: "We are pleased to report record quarterly revenues, and we are raising our revenue and earnings guidance for the year as the demand for smartphones across an array of geographies and tiers continues to grow."