By Katherine Hamilton

Qualcomm is scheduled to report its first-quarter financial results after the market closes on Wednesday. Here is what to know.

REVENUE: The semiconductor company is expected to report $12.13 billion in sales, up from $11.67 billion in the year-ago quarter, according to FactSet.

NET INCOME: The San Diego-based company is expected to post a profit of $3.07 billion, compared with $3.18 billion the year before, according to FactSet.

EARNINGS PER SHARE: Earnings are expected to come in at $2.85 a share, up from $2.83 a share the prior year.

The stock has fallen 15% during the past three months and recently traded around $146.61.

WHAT TO WATCH

- Qualcomm's longtime customer Apple could be posing some problems for the chipmaker. Apple is dealing with a weak smartphone market and manufacturing more components in-house, which could create headwinds for Qualcomm in the coming years, Mizuho analysts said. iPhone sales are expected to decline by about 8% in 2026 as consumers are more price-sensitive, the Mizuho analysts said.

- Qualcomm is expected to report muted sales growth over the next two years due to the market share shift away from Apple, RBC Capital analysts said. It still has an opportunity for strong growth in its Auto, XR and Internet of Things businesses. The company's December acquisition of Alphawave helps expand Qualcomm's data center business, but the RBC Capital analysts think it will still take some time to gain meaningful revenue from that segment.

- In its fourth quarter, Qualcomm swung to a loss due to a $5.7 billion charge related to new tax policies in the One Big Beautiful Bill Act. The company said it expected lower cash tax payments going forward, thanks to the new policy.

Write to Katherine Hamilton at katherine.hamilton@wsj.com

(END) Dow Jones Newswires

February 03, 2026 13:19 ET (18:19 GMT)

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