Slide 1: Second Quarter Fiscal 2022 Earnings
Second Quarter Fiscal 2022 Earnings April 27, 2022
Slide 2: Note Regarding Forward-Looking Statements
Note Regarding Forward-Looking Statements In addition to historical information, this document and the conference call that it accompanies contain forward-looking statements that are inherently subject to risks and uncertainties, including but not limited to statements regarding our growth opportuni
Slide 3: Q2FY22 Highlights
Q2FY22 Highlights 3
Slide 4: Second Quarter Fiscal 2022 Highlights
Second Quarter Fiscal 2022 Highlights RECORD Quarterly Consolidated Revenues Revenues YoY Revenue Growth GAAP EPS(1) Non-GAAP(2) EPS $11.2B 41% $2.57 $3.21 QCT QTL Other Record revenues of Increased EBT by Revenues of Returned Increased annualized $9.5B 111% $1.6B $1.7B dividend payout to and record
Slide 5: Q2FY22 QCT Highlights
Revenues Q2FY22 • Revenue on track to grow >50% YoY in FY22. QCT Highlights Handsets • Increased premium tier processor volume for Samsung’s Galaxy S22 smartphones to ~75%, up from ~40% in the Galaxy S21. $6.3B • Continued traction with leading smartphone OEMs such as Samsung, Xiaomi, Oppo, Vivo and
Slide 6: Financial Results and Guidance
Financial Results and Guidance As of April 27, 2022 Quarterly Results and Guidance Q2FY22 Guidance(1) Q2FY22 Results Q3FY22 Guidance(2) Revenues $10.2B - $11.0B $11.2B $10.5B - $11.3B Non-GAAP diluted EPS $2.80 - $3.00 $3.21 $2.75 - $2.95 Non-GAAP operating expenses(3), sequential quarter change Inc
Slide 7: Q2FY22 Strong Quarter Across Key Metrics
Q2FY22 Revenues EBT EPS Strong Quarter Across Key +41% +68% +69% Non-GAAP Metrics $11.2B $4.3B $3.21 $7.9B $2.5B $1.90 Q2FY21 Q2FY22 Q2FY21 Q2FY22 Q2FY21 Q2FY22 7
Slide 8: Q2FY22 Diversification Strategy Driving Strong QCT Growth
Q2FY22 QCT QTL Revenues EBT Revenues EBT Diversification Strategy +52% +111% -2% -3% Driving Strong QCT Growth $9.5B $3.3B $1.6B $1.6B $6.3B $1.2B $1.2B $1.6B Q2FY21 Q2FY22 Q2FY21 Q2FY22 Q2FY21 Q2FY22 Q2FY21 Q2FY22 8
Slide 9: Q2FY22 Growth Across All QCT Revenue Streams
Q2FY22 Handsets RF front-end Automotive IoT Growth Across All +56% +28% +41% +61% QCT Revenue Streams $6.3B $1.7B $1.2B $4.1B $0.9B $339M $1.1B $240M Q2FY21 Q2FY22 Q2FY21 Q2FY22 Q2FY21 Q2FY22 Q2FY21 Q2FY22 9
Slide 10: Financial Results
Financial Results In millions, except per share data and percentages Non-GAAP Q2FY22 Q1FY22 ∆ Q2FY21 ∆ Revenues $11,158 $10,697 +4% $7,925 +41% EBT $4,255 $4,306 -1% $2,527 +68% Diluted EPS $3.21 $3.23 -1% $1.90 +69% Segments Q2FY22 Q1FY22 ∆ Q2FY21 ∆ QCT Revenues $9,548 $8,847 +8% $6,281 +52% QCT EB
Slide 11: >$16B Digital Chassis design win pipeline
>$16B Digital Chassis design win pipeline(1) Sole provider of Connectivity, In-car Cockpit, Driver Assistance & Automated Driving Semiconductor, Software, Algorithms, Middleware & Stacks 4G 5G Multimedia Premium Multiple Natural AR Face/object Integrated 4G/5G Wi-Fi/ BT RFFE C-V2X Precise PLC Over-
Slide 12: Qualcomm completes acquisition of Arriver business from SSW partners
Qualcomm completes acquisition of Arriver business from SSW partners Following SSW Partners’ acquisition of Veoneer, Inc. Transaction Timing and Details • Oct 4, 2021: Qualcomm and SSW Partners entered into a definitive agreement to acquire Veoneer • April 1, 2022: Transaction closed; SSW acquired V
Slide 13: Financial Details for Arriver acquisition
Financial Details for Arriver acquisition Non-GAAP (Arriver) GAAP-only (Non-Arriver) • Quarterly Non-GAAP operating expense run rate of • Owned and operated by SSW Partners ~$50 million to be included in QCT segment(1) • Consolidate in Qualcomm’s results until such • Will report Arriver results one
Slide 14: Key Announcements
Key Announcements 14
Slide 15: QCT Handsets: Snapdragon 8 Gen 1 Powers 75% of the Galaxy S22 Series
Key Announcement QCT Handsets: Snapdragon 8 Gen 1 Powers 75% of the Galaxy S22 Series Snapdragon 8 Powers Samsung’s Newest Flagship Device Lineup: Galaxy S22 and Galaxy Tab S8 Series – link • Snapdragon® 8 powers Samsung’s newest flagship device lineup, Galaxy S22 series in select regions and Galaxy
Slide 16: QCT Handsets and RFFE: Modem-to-RF System Advantage
Key Announcement QCT Handsets and RFFE: Modem-to-RF System Advantage New Snapdragon X70 Modem-RF Harnesses World’s First 5G AI Processor for Industry Leading Performance and Experiences – link • Snapdragon X70 introduces the world’s first 5G AI processor in a modem-RF system, harnessing the power of
Slide 17: QCT IoT Edge Networking: First to Market Commercial Wi-Fi 7 Solution
Key Announcement QCT IoT Edge Networking: First to Market Commercial Wi-Fi 7 Solution Qualcomm Extends Connectivity Leadership with World's First and Fastest Wi-Fi 7 Commercial Solution – link World’s first Wi-Fi 7: World’s fastest and lowest High Band latency Wi-Fi experiences: Simultaneous Multi-L
Slide 18: QCT Automotive: Multi-Year Agreement Across 14 Stellantis Brands
Key Announcement QCT Automotive: Multi-Year Agreement to be Deployed Across 14 Iconic Stellantis Brands Stellantis and Qualcomm Collaborate to Power New Vehicle Platforms with Snapdragon® Digital Chassis™ Solutions – link Multi-Year Agreement to be Deployed Across 14 Iconic Stellantis Brands, Delive
Slide 19: QCT Automotive: Creating a Scalable Platform for Automated Driving
Key Announcement QCT Automotive: Creating a Scalable Platform for Automated Driving Qualcomm, BMW Group and Arriver to Form Long-lasting Strategic Cooperation for Joint Development of Automated Driving Software Solutions – link • Qualcomm Technologies, BMW Group and Arriver join forces to co-develop
Slide 20: QCT IoT Consumer: $100M Snapdragon Metaverse Fund
Key Announcement QCT IoT Consumer: Empowering Developers and Companies as they Push the Boundaries of What’s Possible Qualcomm Launches $100M Snapdragon™ Metaverse Fund – link Your ticket to the metaverse • The Snapdragon Metaverse Fund is designed to be a launchpad for extended reality (XR) develop
Slide 21: Key Announcements
Key Announcements • Qualcomm and Ferrari Announce Strategic Technology Collaboration – link • Qualcomm Expands Snapdragon Compute Ecosystem for the Next-Generation of Enterprise- • Snapdragon 8 Powers Samsung’s Newest Flagship Device Lineup: the Galaxy S22 and Galaxy Grade PCs – link Tab S8 Series –
Slide 22: Key Announcements
Key Announcements • Qualcomm Announces Winners of Qualcomm® Design in India Challenge 2021 – link • Qualcomm Launches $100M Snapdragon Metaverse Fund – link • Qualcomm and Square Enix Announce Collaboration on Snapdragon Spaces – link • Qualcomm and Trimble Introduce Meter-Level Location Accuracy fo
Slide 23: Financial Strength & Reconciliations
Financial Strength & Reconciliations 23
Slide 24: Financial Strength
Financial Strength March 27, 2022 March 28, 2021 Total cash, cash equivalents and marketable securities $11.5B $11.6B Total assets $44.3B $37.2B Stockholders' equity $13.3B $7.4B Debt(1) $15.7B $15.7B 24 1.) Includes short-term and long-term debt.
Slide 25: Note Regarding Use of Non-GAAP Financial Measures
Note Regarding Use of Non-GAAP Financial Measures The Non-GAAP financial measures presented herein or in the accompanying conference call should be considered in addition to, not as a substitute for or superior to, financial measures calculated in accordance with GAAP. In addition, “Non-GAAP” is not
Slide 26: Reconciliations of GAAP to Non-GAAP Financial Measures
Reconciliations of GAAP to Non-GAAP Financial Measures Second Quarter Fiscal 2022 Results Less Share- GAAP Based Less Other Non-GAAP (in millions, except per share data) Results Less QSI Compensation Items(1) Results Revenues $11,164 $6 $— $— $11,158 EBT $3,423 ($269) ($497) ($66) $4,255 Net income
Slide 27: First Quarter Fiscal 2022 Results
First Quarter Fiscal 2022 Results Less Share- GAAP Based Less Other Non-GAAP (in millions, except per share data) Results Less QSI Compensation Items(1) Results Revenues $10,705 $8 $— $— $10,697 EBT $3,865 $122 ($499) ($64) $4,306 Net income (loss) $3,399 $109 ($309) ($87) $3,686 Diluted EPS $2.98 $
Slide 28: Business Outlook
Business Outlook Q2FY22 Q3FY22 Guidance(1)(2) Guidance(2)(3) Revenues $10.2B - $11.0B $10.5B - $11.3B GAAP diluted EPS $2.39 - $2.59 $2.35 - $2.55 Less diluted EPS attributable to QSI $— $— Less diluted EPS attributable to share-based compensation ($0.36) ($0.33) Less diluted EPS attributable to oth
Slide 29: Operating Expenses Effective Tax Rates
Operating Expenses Q2FY22 Sequential % Q1FY22 Q2FY22 Increase Q2FY22 Q3FY22 (in millions, except percentages) Results Results (Decrease) Guidance(1) Guidance(2) Increase 5% - 7% Increase 7% - 9% GAAP combined R&D and SG&A expenses $2,538 $2,658 5% sequentially sequentially Less QSI 3 4 — N/P N/P Les
Slide 30: Arriver Quarterly Operating Expenses
Arriver Quarterly Operating Expenses Quarterly Operating Expense Run Rate Q4FY22 (in millions) Guidance(1) Guidance(1) GAAP Arriver combined R&D and SG&A expenses(2) N/P N/P Less QSI $— $— Less share-based compensation(3) ~5 ~5 Less other items(2) N/P N/P Non-GAAP Arriver operating expenses ~$50 ~$1