Qorvo is investing to grow our business at our largest customer... while the flagship and premium tiers are holding up well, the mix in the mid and entry tiers has shifted towards entry tier 5G at the expense of mid-tier 5G.
— Robert Bruggeworth
03Detailed Report
QRVO
Qorvo Inc
Period
Q2 2025
CurrencyUSD
Report TypeQuarterly Earnings
GeneratedMay 13, 2026
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Executive Summary
In Q2 2025, Qorvo Inc (NASDAQ: QRVO) generated revenue of $1.048 billion, reflecting a significant 18% increase quarter-over-quarter, although down slightly from the previous year. Key segments driving growth were automotive and consumer markets, amidst challenges in the Android smartphone sector. Management emphasized a strategic pivot to support growth in high-tier products while reducing exposure to lower-margin segments. Despite a reported net loss of $17.4 million and an unfavorable shift towards entry-tier devices, Qorvo remains optimistic about long-term revenue growth driven by investments in advanced technologies.
Qorvo's adjusted gross margin for the quarter was approximately 47%, underscoring effective cost management and operational efficiencies. Looking ahead, management projects revenue to stabilize in the next quarter with a target of $900 million, while navigating ongoing market challenges in the Android ecosystem. Investors should closely monitor Qorvo's execution on cost-cutting measures and continued diversification into higher-margin products, particularly in the defense and aerospace segments.
Key Performance Indicators
Revenue
Decreasing
1.05B
QoQ: 18.03% | YoY: -2.55%
Gross Profit
Increasing
445.31M
42.55% margin
QoQ: 34.01% | YoY: 14.81%
Operating Income
Increasing
9.68M
QoQ: 110.05% | YoY: 123.27%
Net Income
Increasing
-17.44M
QoQ: -4 311.35% | YoY: 86.26%
EPS
Increasing
-0.18
QoQ: -4 286.05% | YoY: 86.26%
Revenue Trend
Margin Analysis
Financial Highlights
Financial Performance Highlights
- Quarterly Revenue: $1.048 billion, (+18% QoQ) yet (-2.5% YoY)
- Gross Profit: $445.3 million with a Gross Margin Ratio of 47%.
- Operating Income: $9.7 million (margin: 0.9%), improved from prior quarters due to lower operational expenses.
- Net Income: -$17.4 million, resulting in an EPS of -$0.18.
Trends and Yearly Comparisons:
- Revenue growth driven by automotive and power management solutions, contrasting a decline in entry-tier smartphone revenues.
- Gained 34% sequentially in automotive applications, signaling potential growth areas.
- Continued focus on entry-tier smartphone products is causing share loss, but management projects recovery in flagship and premium tiers as markets improve.
- Future guidance includes an expectation of approximately $900 million in revenue for the next quarter, reflecting ongoing operational adjustments and market conditions.
Income Statement
Metric
Value
YoY Change
QoQ Change
Revenue
1.05B
-2.55%
18.03%
Gross Profit
445.31M
14.81%
34.01%
Operating Income
9.68M
123.27%
110.05%
Net Income
-17.44M
86.26%
-4 311.35%
EPS
-0.18
86.26%
-4 286.05%
Key Financial Ratios
Gross Profit Margin
Good
42.60%
Gross profit margin is healthy and competitive within industry standards
Operating Profit Margin
Weak
0.93%
Operating margin is below industry norms, profitability concerns
Net Profit Margin
Weak
-0.02%
Net profit margin is below industry norms, profitability concerns
Return on Assets
Weak
0.00%
Return on assets suggests inefficient capital allocation
Return on Equity
Weak
-0.01%
Return on equity suggests inefficient capital allocation
Current Ratio
Healthy
1.90
Current ratio shows adequate liquidity to meet short-term obligations
Debt to Equity
Moderate
0.58
Debt-to-equity indicates balanced capital structure with manageable debt
P/E Ratio
Negative
-140.96x
Negative earnings make P/E ratio not meaningful
Price to Book
Fair Value
2.88x
Price-to-book ratio reasonable for profitable companies
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