Qorvo Inc (NASDAQ:QRVO) shares were in the green Tuesday despite a guidance update from the American semiconductor company that reflects the Department of Commerce's restrictions on sales to the Chinese company Huawei.
The stock was trading up by 2.28 percent at $62.67 at the time of publication.
Huawei accounted for about 15 percent of Qorvo's revenue in the fiscal year ended March 30, Qorvo said Tuesday.
Qorvo's first-quarter guidance now assumes no sales to Huawei and revenue that's roughly flat sequentially.
The quarterly revenue guidance was adjusted downward from a range of $780 million to $800 million to a range of $730 million to $750 million. The gross margin guidance was taken from a range of 45-45.5 percent to approximately 45.5 percent.
The diluted earnings per share projection was taken from $1.30 at the midpoint of guidance to $1.15.
Qorvo said it is not providing any additional update to its fiscal 2020 guidance at this time due to the ongoing uncertainty of the situation.
Related Links:
Wall Street Weighs In On Qorvo's Impressive Quarter
KeyBanc Downgrades Qorvo On Failure To Qualify For New iPhone
Photo by M.O. Stevens/Wikimedia.
© 2025 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
