Shares of Skyworks Solutions (SWKS) surged 7.19% in after-hours trading on Tuesday following the release of its impressive third-quarter fiscal 2025 results and optimistic fourth-quarter guidance. The semiconductor company outperformed analysts' expectations, demonstrating robust growth across its key business segments.
Skyworks reported a Q3 adjusted earnings per share (EPS) of $1.33, significantly beating the IBES estimate of $1.22. Revenue for the quarter came in at $965 million, surpassing the projected $940.8 million and marking a 7% year-over-year increase. The company's adjusted operating income of $224 million also exceeded expectations, showcasing strong operational efficiency.
Looking ahead, Skyworks provided an encouraging outlook for its fourth quarter, projecting revenue between $1.00 billion and $1.03 billion, with an adjusted EPS of $1.40 at the midpoint. This positive guidance, coupled with the company's progress in securing 5G content for premium Android smartphones and expanding its presence in the automotive sector, has boosted investor confidence. Additionally, Skyworks announced a 1% increase in its quarterly dividend to $0.71 per share, further adding to shareholder value. The company's continued momentum in Wi-Fi 7 technology and its strong positioning in both mobile and broad markets segments suggest a promising growth trajectory, contributing to the stock's after-hours rally.