Skyworks Fiscal Q4 Adjusted EPS Falls 27.3% to $1.28; Guides First Combined Quarter With Qorvo to $1.80 Billion-$1.90 Billion

Skyworks Solutions reported fiscal fourth-quarter revenue of $1.05 billion, down 5.0% from a year earlier, and guided its first quarter as a combined company with Qorvo to revenue of $1.80 billion to $1.90 billion.

The results, for the quarter ended Oct. 2, cover Skyworks on a standalone basis because the Qorvo combination closed after the quarter ended, according to the earnings release the chipmaker filed with an 8-K on Tuesday.

Adjusted EPS fell 27.3% to $1.28 from $1.76. GAAP net income dropped 83.5% to $23.4 million, or $0.15 per diluted share, from $141.4 million, or $0.94, as restructuring, impairment and other charges rose to $82.1 million from $1.6 million. The quarter included $66.2 million of asset impairment charges.

"Today marks a new chapter for Skyworks," CEO and President Phil Brace said in the release. "Combining with Qorvo gives us the scale and the technology breadth to lead the next era of wireless."

The combined outlook

For the December quarter, Skyworks expects adjusted EPS of $1.25 at the midpoint of its revenue range. The company said the midpoint includes an estimated $1.07 billion from legacy Skyworks and an estimated $780 million from legacy Qorvo, and that this is the last quarter it will give that split.

Combined September-quarter revenue was $1.98 billion: $1.046 billion from Skyworks and $937 million from Qorvo, whose quarter included an extra week. The $1.85 billion guidance midpoint is 6.7% below that combined figure.

Skyworks expects Smartphone revenue to decline in the low teens percent sequentially and Diversified Growth Markets revenue to grow in the low single digits. Starting with fiscal 2027's first quarter, it will report Smartphone and Diversified Growth Markets as its revenue categories.

Synergy targets

The company said it expects an estimated $150 million of operating-expense synergies within fiscal 2027, weighted to the second half, and an annualized run-rate the company estimates at $250 million to $300 million by the end of the fiscal year. It reiterated a target of $500 million or more in annual cost synergies within 24 to 36 months of the deal's close.

Skyworks also said Moody's upgraded it to investment grade at Baa3 after the combination and Fitch revised its outlook to stable from negative while affirming a BBB+ rating.

Full year and cash

Fiscal 2026 revenue fell 3.1% to $3.96 billion. GAAP EPS was $1.14, down from $3.08, and adjusted EPS was $5.05, down 14.8% from $5.93.

Fourth-quarter operating cash flow was $33.7 million and non-GAAP free cash flow was negative $61.0 million. Skyworks spent $107.0 million on buybacks in the quarter and paid no dividend, compared with $105.6 million a year earlier, according to its cash flow statement. Debt rose to $2.47 billion from $995.8 million a year earlier, and cash, cash equivalents and marketable securities reached $2.61 billion.

By the numbers

• Q4 revenue: $1.05 billion, down 5.0%
• Q4 adjusted EPS: $1.28, down 27.3%
• Q4 GAAP EPS: $0.15, down from $0.94
• Q1 revenue guidance: $1.80 billion to $1.90 billion
• Q1 adjusted EPS guidance: $1.25 at the midpoint
• Synergy target: $500 million or more a year

Sources

1. Skyworks Solutions Form 8-K with fourth-quarter and fiscal 2026 earnings release, filed Nov. 3, 2026 (accession 0000004127-26-000052)

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