Qualcomm announces growth in latest quarter, pulls out of NXP acquisition

Qualcomm announced its results for the three-month period, ending on June 24. Both revenue and operating income have grown on a quarterly and yearly basis, but another announcement also grabbed our attention - the San Diego company is pulling out of the NXP acquisition after failing to obtain agreement from Chinese regulators.

Qualcomm wanted to purchase the Eindhoven-based NXP back in February for $44 billion.

The San Diego chipset manufacturer got approval from 8 key regulatory bodies, but the 9th and last one - the Chinese State Administration for Market Regulation with the Ministry of Commerce still haven’t issued a resolution. This caused Qualcomm to abandon plans for purchasing its Dutch competitor.

The raw numbers for the third fiscal quarter reveal revenues of $5.6 billion, a 6% increase from Q2 and 4% jump from the same period in 2017. Operating income is $0.9 billion, 110% more than it was three months ago. It was supposed to be $1.4 billion, but due to disputes with Apple contract manufacturers, $500 million is yet to be wired to Qualcomm.

Source