Qualcomm, the company that makes chips for smartphones, has announced its financial results and revealed that the firm generated revenue of $10.71 billion, which is 30 percent more from the first fiscal quarter of 2021.

The net income for the company comes down to $3.40 billion, which is 38 percent more than the $2.46 billion that Qualcomm had reported last year. The numbers indicate increased demand for chips and how increased sales from smartphone manufacturers helped Qualcomm grow its business.

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QCT, the chip business of Qualcomm, reported $8.85 billion in sales, which is up 35 percent from the same quarter last year. However, the company’s growth slowed from 63 percent that was reported during the same quarter last year.

The company breaks down the chip division into four categories and each of them reported growth during the quarter. The primary source of revenue for Qualcomm is the 42 percent rise in demand for handset chip sales which stand at $5.98 billion.

Ever since Cristiano Amon took the role of Chief Executive Officer last year, he has prioritized diversifying into different markets, which seems to have worked in the company’s favor. Its sales of car chips or Qualcomm’s automotive business rose 21 percent to $256 million. On the other hand, the IoT division, which focuses on low-power chips, increased sales by 41 percent to $1.48 billion.

The company’s division for wireless connectivity chips, called RF front-end, witnessed an increase of 7 percent to $1.13 billion and in terms of growth, it grew 76 percent during the fiscal year 2021. QTL, the licensing division of Qualcomm, increased 10 percent year-on-year to $1.81 billion in terms of revenue.

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