Qualcomm Posts a Solid Quarter

Wireless technology company Qualcomm Inc. on Wednesday posted a 37% jump in fiscal fourth-quarter earnings as revenue rose on strong demand in the market for mobile phones.

Qualcomm said it earned $538 million, or 32 cents a share, in the quarter ended Sept. 25, compared with $393 million, or 23 cents, a year earlier. Revenue for the quarter rose 40% to $1.56 billion from $1.12 billion.

Qualcomm dominates the market for technology and chips in phones used in the U.S., and it sells chips and licenses for a mobile phone technology that is beginning to take off in Europe and other parts of the world.

Its shares, which reached a high for the year of $46.28 last month, have been boosted in recent months as it is viewed by many as the best way to bet on high-speed wireless services that operators around the world are developing.

Shares of Qualcomm rose 89 cents Wednesday to $40.38 after falling since Friday, when it was revealed that six of Qualcomm’s rivals had lodged anti-competition complaints against the company with European regulators.

Qualcomm said it expected fiscal first-quarter earnings of 30 cents to 32 cents a share, including charges from stock-based compensation, on revenue of $1.67 billion to $1.77 billion.

It forecast fiscal 2006 earnings of $1.19 to $1.23 a share on revenue of $6.7 billion to $7.1 billion and said it expected 2006 handset average selling prices to fall to $210 from $215 in fiscal 2005.