Quarterly report pursuant to Section 13 or 15(d)

Stockholders' Equity (Notes)

v3.10.0.1
Stockholders' Equity (Notes)
 9 Months Ended
Jun. 24, 2018
Stockholders' Equity Attributable to Parent [Abstract]  
Stockholders' Equity
Stockholders’ Equity
Changes in stockholders’ equity in the nine months ended June 24, 2018 were as follows (in millions):
 
Total Stockholders’ Equity
Balance at September 24, 2017
$
30,746

Net loss
(4,371
)
Other comprehensive loss
(61
)
Common stock issued under employee benefit plans and related tax benefits
393

Share-based compensation
699

Tax withholdings related to vesting of share-based payments
(273
)
Dividends
(2,640
)
Stock repurchases
(1,425
)
Balance at June 24, 2018
$
23,068


Accumulated Other Comprehensive Income. Changes in the components of accumulated other comprehensive income, net of income taxes, in stockholders’ equity in the nine months ended June 24, 2018 were as follows (in millions):
 
Foreign Currency Translation Adjustment
 
Noncredit Other-than-Temporary Impairment Losses and Subsequent Changes in Fair Value for Certain Available-for-Sale Debt Securities
 
Net Unrealized Gain (Loss) on Other Available-for-Sale Securities
 
Net Unrealized (Loss) Gain on Derivative Instruments
 
Other Gains
 
Total Accumulated Other Comprehensive Income
Balance at September 24, 2017
$
147

 
$
23

 
$
218

 
$
(8
)
 
$
4

 
$
384

Other comprehensive (loss) income before reclassifications
(64
)
 
—

 
2

 
(3
)
 
—

 
(65
)
Reclassifications from accumulated other comprehensive income
—

 
1

 
(7
)
 
10

 
—

 
4

Other comprehensive (loss) income
(64
)
 
1

 
(5
)
 
7

 
—

 
(61
)
Balance at June 24, 2018
$
83

 
$
24

 
$
213

 
$
(1
)
 
$
4

 
$
323


Reclassifications from accumulated other comprehensive income related to available-for-sale securities were negligible in each the three and nine months ended June 24, 2018 and $71 million and $118 million in the three and nine months ended June 25, 2017, respectively, and were recorded in investment and other income, net (Note 2).
Stock Repurchase Program. On May 9, 2018, the Company announced a stock repurchase program authorizing it to repurchase up to $10 billion of the Company’s common stock. The stock repurchase program has no expiration date. The $10 billion stock repurchase program replaced a $15 billion stock repurchase program announced on March 9, 2015, of which $1.2 billion remained authorized for repurchase under the prior program. In the nine months ended June 24, 2018 and June 25, 2017, the Company repurchased and retired 24.2 million and 16.7 million shares for $1.4 billion and $1.0 billion, respectively, before commissions. At June 24, 2018, $9.0 billion remained authorized for repurchase under the May 2018 stock repurchase program.
If the Company has not received regulatory approval by the State Administration for Market Regulation in China (SAMR) or other material developments have not occurred, the Company expects to terminate the proposed acquisition of NXP Semiconductors N.V. (NXP) by Qualcomm River Holdings B.V. (Qualcomm River Holdings), an indirect, wholly owned subsidiary of QUALCOMM Incorporated (the NXP Acquisition) after July 25, 2018 at 11:59 p.m. New York time (Note 8). In the event the NXP Acquisition is terminated, the Company intends to implement a stock repurchase program to repurchase up to $30 billion of the Company’s outstanding common stock. This new stock repurchase program, if implemented, will have no expiration date and will replace the May 2018 stock repurchase program.
Dividends. On July 12, 2018, the Company announced a cash dividend of $0.62 per share on the Company’s common stock, payable on September 26, 2018 to stockholders of record as of the close of business on September 5, 2018. In the nine months ended June 24, 2018 and June 25, 2017, dividends charged to retained earnings were as follows (in millions, except per share data):
 
2018
 
2017
 
Per Share
 
Total
 
Per Share
 
Total
First quarter
$
0.57

 
$
862

 
$
0.53

 
$
801

Second quarter
0.57

 
857

 
0.53

 
798

Third quarter
0.62

 
921

 
0.57

 
858

 
$
1.76

 
$
2,640

 
$
1.63

 
$
2,457


Employee Benefit Plans. On March 23, 2018, the Company’s stockholders approved an amendment to the Amended and Restated QUALCOMM Incorporated 2001 Employee Stock Purchase Plan to increase the share reserve by 30,000,000 shares to approximately 101,709,000.