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Qorvo grows quarterly margin, despite revenue falling by 2.9%
**Qorvo Grows Quarterly Margin Despite 2.9% Revenue Decline – RF Semiconductor Firm Sees Strong Defense, Infrastructure Gains** Qorvo Inc (Greensboro, NC), a provider of core RF solutions for mobile, infrastructure, and defense applications, reported fiscal first-quarter 2027 revenue of $784.8m for the period ended 27 June 2026, down 2.9% sequentially from $808.3m and 4.2% year-over-year from $818.8m. Despite the top-line dip, non-GAAP gross margin expanded to 52.8% from 52.6% last quarter and 44% a year ago, driven by a “successful pivot in ACG to higher-value placements” and improved business mix, according to CEO Bob Bruggeworth. Segment performance: Advanced Cellular Group (ACG) revenue fell 7% QoQ to $476.6m and 16.6% YoY. Connectivity & Sensors Group (CSG) declined 7.5% YoY to $101.9m after divesting its MEMS sensing business, but rose 9.2% sequentially. High-Performance Analog (HPA) surged 50.1% YoY to $206.3m, with double-digit growth in defense & aerospace, infrastructure, and power markets. Net income reached $146.6m ($1.64 per diluted share), down from $156.8m last quarter but up sharply from $86.5m a year ago. Operating cash flow was $139.5m, with capital expenditure reduced to $24.1m, generating free cash flow of $115.3m. Cash and equivalents rose to $1.329bn, while long-term debt remained at $1.549bn. Net inventory increased to $592.5m but remained below year-ago levels. CFO Grant Brown noted the company is “structurally enhancing profitability” and expects continued strong performance in fiscal 2027. Full-year guidance calls for gross margin above 50% and diluted EPS above $7.00.