AppLovin Jumps 19% and Qualcomm Falls 6% After the Bell as Snap and Zillow Miss and FIS Cuts Its Outlook

The after-hours session on Wednesday sorted the quarter's reporters into two piles. AppLovin was up 19.23 percent at 5:09 p.m. Eastern after beating on profit and guiding well above expectations; Qualcomm was down 6.18 percent after a profit outlook that fell short; Snap lost 8.61 percent on a revenue miss and Zillow 15.27 percent after missing on both lines, Capp Notes' after-hours table showed. All four had risen in the regular session, Qualcomm by 5.3 percent and AppLovin by 10.7 percent, as the Dow had its best post-midterm day in 44 years.

FIS was the day's regular-hours casualty. The payments company cut its full-year earnings outlook to $5.82 to $5.89 a share from $6.15 to $6.24 and the stock fell 23.67 percent.

What did AppLovin report for the third quarter?

Revenue of $2.185 billion, up 55 percent from a year earlier, net income of $1.439 billion, up 72 percent, and diluted earnings of $4.30 a share, against the $4.04 analysts expected, according to the results filed with the SEC. Adjusted EBITDA was $1.842 billion, an 84 percent margin, and free cash flow $1.418 billion against $1.049 billion a year ago. The number that moved the stock was the guide: fourth-quarter revenue of $2.365 billion to $2.395 billion, against a consensus near $2.25 billion, with adjusted EBITDA of $1.995 billion to $2.025 billion.

Why did Qualcomm fall despite revenue at the top of its range?

Because the phone business is shrinking and the outlook did not clear the bar. Fiscal fourth-quarter non-GAAP revenue was $10.44 billion, down 7 percent from a year earlier but at the high end of the company's guidance, with non-GAAP earnings of $2.17 a share, down 28 percent, Qualcomm's release showed. Chip revenue was $9.02 billion: handsets $5.14 billion, down 26 percent; automotive $1.99 billion, up 89 percent; IoT $1.89 billion, up 4 percent. Licensing brought in $1.30 billion.