The Net Profit Margin showed a fluctuating trend, rising from 22.09% in 2020 to 26.03% in 2024.
The average EBIT Margin during the review period was 28.26%.
In 2024, Qualcomm’s interest coverage ratio improved to 14.45 times compared to 10.39 times in 2020.
Asset turnover increased slightly from 0.66 in 2020 to 0.71 in 2024, indicating a fair level of efficiency in asset utilization relative to revenue.
Profitability
Qualcomm’s revenue has fluctuated year on year, rising by 42.64% between 2020 and 2021 and by 31.68% between 2022 and 2023, before declining by 8.77% in 2024. Profitability performance remains strong, with the return on capital employed showing notable improvement during the review period.
Liquidity
The company’s liquidity position appears sound, with the current ratio rising from 2.33:1 to 2.40:1 in the last year, indicating that it maintains sufficient assets to meet its current liabilities.
Capital Structure
Qualcomm is both equity and debt financed.
The debt-to-equity (D/E) ratio has been mixed year on year. The gearing position of the company appears to be high as it stood at 110% in the current year.
