San Diego-based Qualcomm Inc., the world’s leading developer of advanced wireless technologies, reported record earnings for its third fiscal quarter and announced it would invest $150 million in Chinese startup companies.
The company said Wednesday its revenue totaled $6.81 billion in the quarter ended June 29, up 9 percent year-over-year, while net income reached $2.24 billion, up 42 percent from the same quarter last year.
The earnings were equal to $1.31 per share, up 46 percent from the year-ago quarter.
Shipments of its Snapdragon chips reached 225 million units, up 31 percent year-over year, and an increase of 20 percent from the previous quarter.
“We are pleased to report another record quarter with revenues, earnings per share and chip shipments reaching all-time highs, driven by broad-based demand for our industry-leading 3G/4G chipset solutions,” said Steve Mollenkopf, CEO of Qualcomm.
“Looking forward, although we have lowered our near-term financial outlook for the licensing business, we are pleased to be raising our fiscal year earnings per share guidance on better than expected performance in our semiconductor business.”
Qualcomm said it will invest $150 million in Chinese companies that further the development of mobile technologies. It said Cambridge Wowo, a mobile education start-up, and Boohee, a mobile healthcare company, were recently funded.
Qualcomm Ventures, the venture investment arm of Qualcomm, will advise and direct the company’s strategic investments in China.
The company acknowledged that it faces “significant challenges” in China, both in collecting royalties and because of an investigation into its business practices by the China National Development and Reform Commission.
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