Qualcomm reported first quarter fiscal 2026 results beating expectations with adjusted EPS of $3.50 on revenue of $12.25 billion, but issued second quarter guidance significantly below Wall Street consensus. The company projected Q2 fiscal 2026 revenue of $10.2 billion to $11 billion and adjusted EPS of $2.45 to $2.65, sending shares down 11 percent in after-hours trading. CEO Cristiano Amon cited surging AI data center demand as the primary driver redirecting memory chip supplies away from smartphones, with particularly acute impact on smaller Chinese manufacturers lacking purchasing leverage. Qualcomm announced double-digit price increases effective September 1, 2026, to offset rising memory costs, with the memory shortage potentially persisting through much of fiscal 2026.
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