Skyworks Reports 2017 Q4 Earnings

Looks good at first glance. Trading down about 4% in AH trading. From the press release:

For fiscal year 2017, revenue was a record $3.7 billion, up 11 percent year-over-year, with GAAP diluted earnings per share of $5.41 and cash flow from operations of $1.5 billion. Non-GAAP diluted earnings per share for fiscal year 2017 was also a record $6.45, up 16 percent year-over-year.

“Skyworks is capitalizing on global demand for connectivity across Mobile and Internet of Things ecosystems as demonstrated by our record fourth quarter and fiscal 2017 performance,” said Liam K. Griffin, president and chief executive officer of Skyworks. “The connected economy is gaining significant momentum and enhancing the way we live, work, play and educate. At the same time, the broad range of usage cases and expanding scope of newly connected platforms are crowding radio spectrum and stressing network capacity. These dynamics portend a digital traffic jam while creating a tremendous opportunity. Given our strategic investments, technology breadth and differentiated system solutions, Skyworks is well positioned to empower revolutionary 5G applications, enabling up to 100x increases in speed and near-zero latency with expanding network capacity. Our ambitious vision of ‘connecting everyone and everything, all the time’ has never been more relevant and exciting.”

See the entire release at http://investors.skyworksinc.com/releasedetail.cfm?ReleaseID…

Some numbers:


Revenues (millions)		Q1		Q2		Q3		Q4			
2013				453.7		425.2		436.1		477.0		
2014				505.2		481.0		587.0		718.2		
2015				805.5		762.1		810.0		880.8
2016				926.8		775.1		751.7		835.4
2017				914.3		851.7		900.8		984.6

EPS (non-GAAP)		        Q1		Q2		Q3		Q4			
2013				0.55		0.48		0.54		0.64		
2014				0.67		0.62		0.83		1.12	
2015				1.26		1.15		1.34		1.52
2016				1.60		1.25		1.24		1.47
2017				1.61		1.45		1.57		1.82

2017 Q4 Earnings (Current):

Revenue Growth (millions)
2016 Q4 TTM Revenue = 3289.0
2017 Q4 TTM Revenue = 3651.4
YOY TTM Revenue Growth = 11%, previous quarter 5%

EPS Growth (non-GAAP)
2016 Q4 TTM Earnings = 5.56
2017 Q4 TTM Earnings = 6.45
YOY TTM EPS Growth = 16%, previous quarter 8.7%

Non-GAAP P/E (Check Current Price) = 116.33/6.45 = 18.04

1YPEG = 1.13

Matt
Long SWKS
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14 Likes

Looks good. I have a smaller position in SWKS but would add if I had the extra funds. I see it well positioned as a longer term winner.

dave

Also in SWKS news is the following:

https://www.investors.com/research/ibd-industry-themes/chip-…

The teardown indicated content gains for Broadcom and Skyworks compared to iPhone 8.

Although I want to continue seeing them diversify from the iPhone so it’s not such a large percent of revenues, but I can’t really complain about having more sales to Apple, either.

2 Likes

In line guidance, is underwhelming on the surface. I think they are probably low balling their prospects. The one question I have is how are the margins holding up. If they are solid, I will be happy with the situation. If the volume has ballooned and the margin shrunk, then I would be concerned.

Best,

bulwnkl

Long SWKS

1 Like

I know others have done better, but my SWKS portfolio is up 24% YTD.

TracyK