Preliminary brief— based on press release only. Full analysis including management tone and Q&A will be added when the transcript is available.

SWKS · Q1 2026 Earnings

Skyworks Solutions

Reported February 3, 2026

30-second summary

SENTIMENT: Mixed Skyworks beat its December guide again — $1.035B revenue and $1.54 non-GAAP EPS versus $975M–$1.025B and $1.40 midpoint — marking the fourth consecutive quarter of out-performance. But the March guide reframes the setup: mobile is now expected to decline ~20% sequentially (vs. the "low-to-mid teens" decline that was the Q4 framing for the December quarter), gross margin steps down to 44.5%–45.5%, and EPS compresses to $1.04 midpoint. Management's tone on the call was notably bullish — hand-to-mouth supply, defended sockets, broad markets +11% YoY — but the forward mobile guide and 160bps of margin give-back are the harder data points.

Headline numbers

EPS

Q1 FY2026

$1.54

Revenue

Q1 FY2026

$1.03B

Gross margin

Q1 FY2026

41.3%

Free cash flow

Q1 FY2026

$0.34B

Operating margin

Q1 FY2026

10.0%

Key financials

Q1 FY2026

Metric	Q1 FY2026	YoY	Q4 FY2025	QoQ
Revenue	$1.03B	—	$1.10B	-5.9%
EPS	$1.54	—	$1.76	-12.5%
Gross margin	41.3%	—	—	—
Operating margin	10.0%	—	24.0%	-1400bps
Free cash flow	$0.34B	—	$0.14B	+135.4%

Guidance

Company reported Q1 FY2026 revenue and EPS well above prior guidance; Q2 outlook suggests steeper seasonal Mobile declines (~20%) offset by Broad Markets stabilization, with margin compression anticipated.

Guidance is issued for both next quarter and the full year. Both may appear below.

Actuals vs prior guidance

Metric	Period	Prior guide	Actual	Δ	Result
Revenue	Q1 FY2026	$975M to $1,025M	$1,035M	+$10M above guide	Beat
Non-GAAP EPS	Q1 FY2026	$1.40	$1.54	+$0.14 above guide	Beat
Gross Margin	Q1 FY2026	46% to 47%	46.6% (Non-GAAP); 41.3% (GAAP)	at lower end of guide (Non-GAAP 46.6% vs 46-47% range)	Beat
Operating Expenses	Q1 FY2026	$230M to $240M	Actual not separately disclosed	in-line (not disclosed for comparison)	Met

New guidance

Metric	Period	Guide	YoY
Revenue	Q2 FY2026	$875M to $925M	—
Non-GAAP EPS	Q2 FY2026	$1.04 (midpoint)	—
Gross Margin	Q2 FY2026	44.5% to 45.5%	—
Mobile Revenue	Q2 FY2026	approximately 20% sequential decline	—
Broad Markets Sequential Change	Q2 FY2026	approximately flat sequentially, representing 44% of sales	—
Operating Expenses	Q2 FY2026	$230M to $240M	—

Profitability

Q1 FY2026

Segment	Q1 FY2026
Non-GAAP Gross Margin	46.6%
Non-GAAP Operating Margin	24.3%
Free Cash Flow Margin	32.7%
Operating Cash Flow	$395.5M

Management tone

Narrative arc: Q3 "mobile is healthy" → Q4 "mobile decline plus Qorvo deal" → Q1 "fourth-straight beat with sharper March trough, but bullish underlying demand."

Mobile content framing crystallized at "blended flat YoY." Brace stated explicitly: "we currently expect blended mobile content to be roughly flat year over year." Sockets were defended, content was gained where architecture changes opened opportunities, and mix dynamics may moderate some of that progress. Management was careful not to comment on specific models or launch timing. The bullish read: Brace described demand as "hand-to-mouth," with Skyworks "scrambling for every part we can build" and unit demand running "above seasonality." The cautious read: Q2's ~20% mobile decline still reframes the trough as deeper than October's narrative implied.

Broad markets meaningfully outperformed the prior framing. Broad markets was guided in October at "up slightly" sequentially and "mid to high single digits" YoY; Q1 actual came in at +4% QoQ and +11% YoY. The Q2 guide of flat QoQ at 44% of sales partly reflects mechanical mix shift as mobile shrinks, but the three structural growth pillars Brace called out — Wi-Fi 7 (with Wi-Fi 8 engagements already underway), automotive connectivity, and data center power/timing — are growing faster than the corporate average and at margins above the corporate average.

Margin floor is being tested but the cause is explainable. Q1's 46.6% print at the low end of the 46–47% guide; the Q2 guide of 44.5%–45.5% punches through the 46% floor. Carter's attribution — seasonality + Android mix + expedite fees from over-shipping three quarters in a row — is mechanically sensible; the question is whether 44.5–45.5% is the trough or a step-down to a new range as the Android mix grows.

Qorvo deal commentary was substantial and on track. Brace reaffirmed the early-2027 close, completion of initial regulatory filings, scheduled shareholder vote, and >$500M of synergies. Through-cycle gross margin target of 50–55% and net leverage of approximately 1x at close were reiterated. On Gary Mobley's question about the S-4 revenue forecast, Brace declined to reaffirm specific numbers but said he remains "incredibly bullish" about the combination. Beyond the prepared remarks, management would not engage on transaction specifics.

Recurring themes management leaned on this quarter:

AI-driven RF content complexity and edge inference expansionBroad markets durability with eight consecutive quarters of growthMobile content stabilization despite competitive pressure and mix uncertaintyData center power/timing and Wi-Fi 7 structural tailwindsCorvo combination as scale and R&D multiplier for RF portfolioStrong unit demand offsetting industry component cost discussion

Risks management surfaced:

Industry discussion around component pricing and availability impact on demandCustomer memory cost headwinds potentially driving supplier pricing pressureMix dynamics offsetting content gains in mobile (model sales unpredictability)Regulatory review complexity for Corvo combination closing timelineFacility underutilization in specific technology areas (Osaka filter factory)

Answers to last quarter's watch list

Whether Q1 FY26 mobile lands at the low or mid end of "low-to-mid teens" sequential decline — Mobile "came in higher than our expectations" per Carter; not quantified as a specific QoQ number but clearly better than the low-to-mid teens framing. The negative read: management is now guiding ~20% mobile decline for March, exceeding the original low-to-mid teens framing applied to December. The trough deepened, on a one-quarter delay. Status: Resolved negatively

Forward content commentary for the next flagship cycle — Brace stated explicitly: "we currently expect blended mobile content to be roughly flat year over year." Sockets defended; content gained where architecture changes opened opportunities; potential mix headwinds noted. Status: Resolved — blended flat YoY

Qorvo deal accretion math and customer-concentration framing — Disclosed: >$500M synergies, through-cycle GM of 50–55%, net leverage ~1x at close, early-2027 close reaffirmed, regulatory filings complete, shareholder vote scheduled. Top customer ~67% of revenue, consistent with prior quarter. Status: Resolved

Gross margin floor at the 46% low end of the Q1 guide — Q1 non-GAAP gross margin printed at 46.6%, at the low end of the 46–47% guide. The Q2 guide of 44.5%–45.5% is now below that floor, attributed to seasonality + Android mix + expedite fees. The mix lever from broad markets did not prevent the step-down. Status: Resolved negatively

FY26 FCF guidance specificity — No FY26 FCF dollar figure disclosed; management reiterated only that free cash flow remains solid. Q1 FCF of $339M is a strong starting point. Status: Not resolved

Automotive step-up beyond the $65M Q4 exit rate — Automotive run-rate not separately quantified; Brace called it one of three structural growth pillars (alongside Wi-Fi and data center power/timing) and "growing faster than the corporate average." Status: Partially resolved

What to watch into next quarter

Whether Q2 mobile lands at the ~20% decline midpoint or deeper — a >20% print would mark the third consecutive quarter where forward mobile framing was too optimistic.

Gross margin in Q3 FY26 (June quarter) — whether the 44.5%–45.5% Q2 trough rebuilds toward 46%+ as volumes recover and expedite fees roll off, or whether the Android mix sustains the lower range.

Broad markets sequential growth resuming — Q2 is guided flat QoQ; a return to sequential growth in Q3 is required to extend the streak beyond eight quarters and validate the mix-shift thesis.

Qorvo deal regulatory milestones — shareholder vote outcome, regulatory clearance progression, and any change to the early-2027 close timeline.

Capital allocation during the pendency period — whether Skyworks deploys its $1.2B repo authorization meaningfully ahead of the required debt issuance for the Qorvo close.

Android mix trajectory — Carter flagged Q2 Android growing double digits QoQ then moderating; sustained Android growth would be a structural GM headwind even after the seasonal volume recovery.

First FY26 FCF dollar framing — management has not yet anchored FY26 FCF dollars; Q1's $339M sets a strong starting point.

Sources

Skyworks Solutions Q1 FY2026 Earnings Release, filed with SEC (https://www.sec.gov/Archives/edgar/data/4127/000000412726000005/q1268-kex991earningsrelease.htm)
Skyworks Solutions Q1 FY2026 Earnings Call Transcript (prepared remarks and Q&A)

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