Qualcomm, Inc. (QCOM) released its FQ1 2018 earnings report after closing bell tonight. Qualcomm  earnings came in at 98 cents per share on a non-GAAP basis, while revenues amounted to $6.1 billion. Analysts had been expecting earnings of 91 cents per share on $5.92 billion. In the year-ago quarter, Qualcomm earnings amounted to $1.19 per share on $6 billion in revenue.

Qualcomm earnings swing to a loss in connection with tax reform

On a GAAP basis, the chip maker reported losses of $4.03 per share, compared to the earnings of 46 cents per share it reported in FQ1 2017. The non-GAAP Qualcomm earnings results exclude the Strategic Initiatives segment and other items. The charge related to tax reform amounted to $4.03 per share, which was made up of a $5.3 billion one-time tax on repatriated cash. Other tax reform-related items include $562 million from the re-measurement of deferred tax assets and liabilities.

Qualcomm CDMA Technologies revenues rose to $4.65 billion from $4.1 billion in the year-ago quarter. The chip maker shipped 237 million MSM chips, up from the 217 million MSM chips it shipped in the same quarter a year ago. Technology Licensing revenues fell to $1.3 billion from $1.8 billion in the year-ago quarter.

“Our fiscal first quarter results reflect continued strong performance in our semiconductor business, as well as continued strength in 3G/4G handset ASPs,” Chief Executive Steve Mollenkopf said in a statement on Qualcomm earnings. “We recently detailed our roadmap for value creation, outlining the significant growth potential for Qualcomm as we enter the 5G world and our products and technologies expand into attractive new markets.”

QCOM provides guidance

Management expects QCOM earnings for FQ2 2018 to be between 41 cents and 51 cents per share on a GAAP basis and between 65 cents and 75 cents per share on a non-GAAP basis. In FQ2 2017, the chip maker reported GAAP earnings of 50 cents per share and non-GAAP earnings of $1.34 per share. The chip maker expects revenues to be between $4.8 billion and $5.6 billion for the quarter.