Financial Performance - Revenue for Q3 Fiscal 2025 was $965 million, representing a 7% year-over-year increase[3] - GAAP diluted earnings per share (EPS) was $0.70, while non-GAAP diluted EPS was $1.33[4] - Year-to-date operating cash flow reached $1.1 billion, with free cash flow of $962 million[4] - The company anticipates Q4 revenue between $1.00 billion and $1.03 billion, with non-GAAP diluted EPS projected at $1.40[7] - Operating income for Q3 was $111 million on a GAAP basis and $224 million on a non-GAAP basis[3] - GAAP net income for Q3 2025 was $105.0 million, down from $120.9 million in Q3 2024, a decrease of 12.3%[19] - Non-GAAP net income for Q3 2025 was $200.4 million, compared to $195.1 million in Q3 2024, showing a 2.7% increase[19] - Non-GAAP diluted earnings per share for Q3 2025 was $1.33, up from $1.21 in Q3 2024, a growth of 9.9%[19] Operating Metrics - Total operating expenses for Q3 were $290.4 million, up from $233.7 million in the same quarter last year[18] - GAAP gross profit for Q3 2025 was $401.0 million, up from $364.1 million in Q3 2024, representing a 10.5% increase[19] - Non-GAAP gross profit for Q3 2025 was $454.2 million, compared to $416.1 million in Q3 2024, reflecting a 9.1% growth[19] - GAAP operating income decreased to $110.6 million in Q3 2025 from $130.4 million in Q3 2024, a decline of 15.0%[19] - Non-GAAP operating income for Q3 2025 was $224.4 million, slightly up from $219.0 million in Q3 2024, indicating a 2.0% increase[19] - GAAP gross margin improved to 41.6% in Q3 2025 from 40.2% in Q3 2024, while non-GAAP gross margin increased to 47.1% from 46.0%[19] Cash Flow and Capital Management - GAAP net cash provided by operating activities for Q3 2025 was $314.1 million, compared to $273.5 million in Q3 2024, an increase of 14.9%[19] - Non-GAAP free cash flow for Q3 2025 was $252.7 million, slightly higher than $249.1 million in Q3 2024, a 1.4% increase[19] - Cash flows from operating activities for the nine months ended June 27, 2025, totaled $1,100.8 million, compared to $1,348.6 million for the same period in 2024, reflecting a decline of approximately 18.4%[33] - Capital expenditures for the three months ended June 27, 2025, were $61.4 million, compared to $24.4 million for the same period in 2024, indicating an increase of approximately 151.6%[33] - The company repurchased $330.2 million of common stock during the three months ended June 27, 2025, compared to $77.3 million in the same period of 2024, an increase of approximately 327.5%[33] Assets and Equity - Total assets decreased from $8,283.3 million as of September 27, 2024, to $7,714.6 million as of June 27, 2025, representing a decline of approximately 6.9%[31] - Stockholders' equity decreased from $6,336.7 million to $5,652.5 million, a decline of approximately 10.8%[31] - Cash and cash equivalents at the end of the period were $1,185.9 million, down from $1,263.4 million at the end of the same period in 2024, a decrease of about 6.1%[33] - Accounts receivable decreased from $508.8 million to $396.2 million, a decline of approximately 22.1%[31] Inventory and Compensation - Inventory decreased from $784.8 million as of September 27, 2024, to $706.5 million as of June 27, 2025, a reduction of about 9.9%[31] - The company reported share-based compensation of $55.2 million for the three months ended June 27, 2025, compared to $42.7 million for the same period in 2024, an increase of approximately 29.0%[33] Business Developments - Mobile segment shows solid order patterns with projected sequential growth of mid-single digits[7] - New automotive programs secured with global OEMs including BYD, Ford, Geely, and Nissan[7] - Introduced the industry's first single-chip ultra-low jitter clocks for AI data center applications[7] - Quarterly dividend increased by 1% to $0.71 per share, payable on September 16, 2025[8]

Core Insights - Skyworks Solutions (SWKS) is expected to report third-quarter fiscal 2025 results on August 5, 2025, with a projected non-GAAP diluted EPS of $1.24, reflecting a 2.48% increase year-over-year [1][10] - Revenue expectations for the quarter are between $920 million and $960 million, with the Zacks Consensus Estimate at $939.54 million, indicating a 3.76% year-over-year increase [2][10] Performance Influencers - The anticipated performance in Q3 is likely to benefit from a diversified portfolio and growth in edge IoT and automotive sectors [3] - Strong demand for edge IoT technologies, including Wi-Fi 6e and Wi-Fi 7 systems, is expected to drive a multiyear upgrade cycle due to faster data transfer speeds and lower latency [4] - The rising adoption of generative AI and 5G technologies is projected to sustain demand for high-performance RF solutions, positioning Skyworks favorably in AI applications, next-generation smartphones, and autonomous vehicles [5] - Long-term growth opportunities are seen in the automotive sector, driven by the increasing complexity of radio requirements in software-defined vehicles and connected cars [6] Challenges - Mobile revenue is anticipated to decline by low single digits sequentially due to historical seasonality, alongside macroeconomic conditions and ongoing inventory digestion in certain markets [7][10]

Core Viewpoint - Bragar Eagel & Squire, P.C. is investigating potential claims against Skyworks Solutions, Inc. due to a class action complaint alleging breaches of fiduciary duties by the board of directors during the period from August 8, 2023, to February 5, 2025 [1][2]. Financial Performance - On February 5, 2025, Skyworks announced its financial results for Q1 of fiscal year 2025, providing lower-than-expected revenue guidance for Q2, attributing this to an intensified competitive landscape [3]. - Following the announcement, Skyworks' stock price plummeted from $87.08 per share to $65.60 per share, marking a decline of over 24% in just one day [3]. Legal Context - The class action complaint filed on March 3, 2025, claims that the defendants misled investors regarding Skyworks' expected revenue for fiscal year 2025, expressing confidence in the company's growth potential and mobile business expansion [2]. - The law firm is encouraging long-term stockholders who suffered losses to contact them for discussions regarding their legal rights [1][4].

Corporate Overview June 2025 Safe Harbor Statement Please note that the attached presentation includes forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements include projections and information relating to future events, prospects, expectations and results of Skyworks (e.g., certain projections and business trends, as well as plans for dividend payments). We caution you that actual results may differ materially and adversely from those ...

Core Viewpoint - Skyworks has significantly increased its presence in the chip spot market over the past two years, driven by rising demand in various sectors, including drones, and has seen a notable increase in prices for certain models [3][16]. Group 1: Company Overview - Skyworks is a non-typical analog chip manufacturer specializing in radio frequency (RF) chips, particularly in the RF front-end (RFFE) segment, which plays a crucial role in wireless communication modules [5][6]. - The global RF front-end market is dominated by major players, with Skyworks holding a 15% market share, alongside Broadcom, Qualcomm, Qorvo, and Murata, which collectively account for about 80% of the market [7][10]. Group 2: Market Position and Performance - Skyworks leads the power amplifier (PA) market with a 43% share, while also holding a 22.6% share in the RF switch market and 10% in the SAW filter market [10][11]. - The RF front-end components, particularly filters and power amplifiers, are projected to grow significantly, with expected market sizes of $2.1 billion and $1.4 billion by 2026, respectively [12]. Group 3: Business Segments and Revenue - Skyworks' revenue is primarily derived from two business segments: mobile business (60-67% of revenue) and broad markets (including IoT, automotive, and industrial applications) [14]. - The company has seen its revenue grow from approximately $800 million in 2009 to over $5 billion in recent years, with a peak of $5.486 billion in fiscal year 2022 [18][20]. Group 4: Challenges and Risks - Skyworks faces challenges due to its heavy reliance on mobile business, particularly on Apple, which contributes significantly to its revenue. A recent shift in Apple's sourcing strategy is expected to reduce Skyworks' demand by 20-25% [21][23]. - The company has experienced a shift in revenue sources, with the U.S. market's share increasing from over 50% in 2018 to 77% in 2024, while its reliance on the Chinese market has decreased [25]. Group 5: Future Outlook - Skyworks is actively diversifying its business to reduce dependence on the smartphone market, with broad markets revenue increasing from about 30% in fiscal year 2021 to over 35% in fiscal year 2024 [26]. - Despite facing challenges, Skyworks maintains a strong cash flow, with free cash flow exceeding $1.6 billion for two consecutive years, supporting ongoing R&D and product development [31].

Group 1 - The company "Chip Superman" has a 1,600 square meter intelligent warehouse for chips, with over 1,000 stock models and around 100 brands, totaling 50 million chips with a stock value exceeding 100 million [1] - The company operates an independent laboratory in Shenzhen, ensuring quality control (QC) for each material [1] - The company has served a total of 19,200 users and can complete transactions in as fast as half a day [4] Group 2 - The company is actively seeking to purchase specific chip models, including TI's INA139NA/3K (50K units) and ON's NCP1096PAG (9K units) among others [2] - The company is also offering discounted sales on surplus materials, including TI's UCC28083DR (15K units) and NXP's PESD5V0S1BSF,315 (540K units) [3] - The company provides a platform for users to find unsold inventory and better pricing options through its mini-program and website [5][6]

Core Viewpoint - Skyworks Solutions Inc. is experiencing a decline in stock value, down 16% in 2025, primarily due to its heavy reliance on Apple Inc. for revenue and a slowdown in smartphone upgrades [1][2]. Financial Performance - Analysts project a 22% decrease in earnings per share (EPS) over the next 12 months, with a forward P/E ratio of approximately 20x, indicating the stock may be overvalued with a PEG ratio of 1.8x [3]. - Despite the current downturn, there has been an 8% rally in the stock over the last three months, suggesting potential investor optimism [3]. Market Opportunities - The shift of AI capabilities to edge devices presents a significant growth opportunity for Skyworks, as its products are essential for connectivity in various devices, including smartphones and IoT products [4][6]. - A potential decrease in interest rates by the Federal Reserve could stimulate a refresh cycle for smartphones, benefiting Skyworks due to its contracts with major smartphone manufacturers [7]. Growth Projections - Analysts foresee EPS growth increasing from $9.75 to $11.25, a rise of about 15%, with some predicting a 22% growth over the next three to five years [8]. - If these projections materialize, the stock could rebound to around $110, resulting in a forward P/E of roughly 11x and a PEG ratio of about 0.5, indicating undervaluation relative to growth [9]. Dividend and Capital Return - Skyworks offers a dividend yield of 3.75%, with an annual dividend of $2.80 and a history of increasing dividends for 11 consecutive years [10][11]. - The company has returned over $3 billion in capital to shareholders through dividends and share repurchases over the last five years, reflecting strong free cash flow margins of around 25% [10][11].

Core Viewpoint - The current spot market for chips has cooled down compared to last month, with many previously hot models experiencing a decline in demand and prices. However, there remains active demand for storage and analog chips from various brands, presenting market opportunities [3]. Group 1: Upcoming Product Changes - The eMMC chip KLM4G1FETE-B041 is set to be discontinued, with its price rising from approximately 15 yuan to around 30 yuan since May. The last order date is June 30, 2025, and the final shipment date is March 31, 2026 [6][4]. Group 2: Price Trends of Key Components - The LTM4644IY / LTM4644IYPBF voltage regulator has seen a significant drop in demand, with prices falling from 450 yuan in April to about 360 yuan currently [11][10]. - The STM32F103C8T6 MCU remains popular but has experienced a price decline from around 5.5 yuan in April to between 4 and 4.5 yuan this month [14][15]. - The MP9943GQ-Z chip has seen increased demand, with prices rising to approximately 3.5 yuan, surpassing last year's levels [20][19]. - The DDR4 chip H9HCNNNBKMMLXR-NEE has seen a price increase from around 30 yuan to approximately 45 yuan, attributed to reduced production from suppliers [24][23]. - The SE5004L-R RF amplifier has experienced a price surge from about 15 yuan to around 50 yuan, with some quotes exceeding 60 yuan due to high demand and limited supply [26][25]. - The ADL5561ACPZ-R7 amplifier has seen a price decrease from over 60 yuan at the beginning of the year to around 50 yuan [28][27].

Group 1 - Skyworks (NASDAQ: SWKS) is recognized as one of the best dividend growth stocks, attracting investors seeking safety during uncertain times [1] - The author has over two decades of experience in the market, particularly in the technology sector, focusing on risk mitigation through various market events [1] Group 2 - The article emphasizes the importance of momentum in investment strategies, particularly in the context of the current market landscape [1]

Core Insights - Skyworks Solutions (SWKS) has faced a decline in significant business from its largest customer, Apple (AAPL), over the past few years [1] Group 1 - The erosion of major wins for Skyworks Solutions is highlighted, particularly in relation to its dealings with Apple [1] - Analysts have noted the impact of Broadcom on Skyworks Solutions, indicating competitive pressures in the market [1]