Daily Business Report — July 24, 2014
Qualcomm CEO Steve Mollenkopf says the company will invest $150 million in Chinese companies that further the development of mobile technologies.
Qualcomm Posts Record Earnings,
Invests $150M in Chinese Startups
San Diego-based Qualcomm Inc. the world’s leading developer of advanced wireless technologies, reported record earnings for its third fiscal quarter and announced it would invest $150 million in Chinese startup companies.
The company said Wednesday its revenue totaled $6.81 billion in the quarter ended June 29, up 9 percent year-over-year, while net income reached $2.24 billion, up 42 percent from the same quarter last year.
The earnings were equal to $1.31 per share, up 46 percent from the year-ago quarter.
Shipments of its Snapdragon chips reached 225 million units, up 31 percent year-over year, and an increase of 20 percent from the previous quarter.
“We are pleased to report another record quarter with revenues, earnings per share and chip shipments reaching all-time highs, driven by broad-based demand for our industry-leading 3G/4G chipset solutions,” said Steve Mollenkopf CEO of Qualcomm.
“Looking forward, although we have lowered our near-term financial outlook for the licensing business, we are pleased to be raising our fiscal year earnings per share guidance on better than expected performance in our semiconductor business.”
Qualcomm said it will invest $150 million in Chinese companies that further the development of mobile technologies. It said Cambridge Wowo, a mobile education start-up, and Boohee, a mobile healthcare company, were recently funded.
Qualcomm Ventures, the venture investment arm of Qualcomm, will advise and direct the company’s strategic investments in China.
The company acknowledged that it faces “significant challenges” in China, both in collecting royalties and because of an investigation into its business practices by the China National Development and Reform Commission.
— Times of San Diego
Water Authority to Mull Mandatory Water Restrictions
The San Diego County Water Authority Board of Directors on Friday is scheduled to consider a staff recommendation to make voluntary water use restrictions mandatory. The suggested change was prompted by deepening drought conditions and new directives by the state government.
According to the Water Authority, stronger conservation measures would help San Diego County keep as much water as possible in storage for next year and comply with emergency water conservation mandates approved last week by the state Water Resources Control Board.
“Regional investments and a demonstrated commitment to conservation have buffered San Diego County from the worst effects of the drought so far, but we believe the right thing to do now is to move to mandatory water conservation measures,” said Maureen Stapleton, the agency’s general manager. “We don’t know how long this drought will last — and the unusually hot and dry conditions have made it more challenging to save water with voluntary efforts.”
— City News Service
Small Business Owners Alternative
to Renting: Owning a Building
Small business owners who are tired of paying rent and have a lease renewal on the horizon, should know there’s an alternative to renting — building ownership via an SBA loan program call SBA-504. “Instead of writing a check to a landlord every month, business owners can be paying themselves,” said Kurt Chilcott, president/CEO of CDC Small Business Finance, which deals in SBA commercial real estate lending and SBA-504 loans.
The top three reasons to own a commercial building:
1. Equity — every payment made is an investment in a business owner’s future. They can leverage the accumulated wealth for further business growth or new options when the time comes to retire.
2. Stabilize occupancy costs — rent increases no longer apply; the monthly payment is always the same. SBA-504 loans offer a fixed rate for 20 or 10 years.
3. Preserve cash — in many cases, the monthly payment to own is less than the rent. Small business owners can use the retained working capital to buy inventory, hire new employees, purchase needed equipment or invest in other strategies to grow or improve the business.
Carlsbad-based MachineTek, which manufactures components for the aerospace and defense industries, recently used a $2.4 million SBA-504 loan to buy its facility. The company expects to save $2,000 a month by owning the building versus leasing it, according to CDC Small Business Finance.
Small business owners can find out if they qualify for a loan by calling (800) 611-5170.
Companies Donate Time and Materials
To Build Boys & Girls Clubs STEM Lab
Employees of McCarthy Building Companies Inc. teamed with a group of consultants and subcontractors recently to give the Boys & Girls Clubs of Greater San Diego a new STEM (Science Technology Engineering Mathematics) Lab and outdoor garden area at its Ron Roberts Family Branch in Linda Vista, located at 2230 E. Jewett St.
The project entailed demolition of the old space and tenant improvement remodeling of two rooms encompassing 1,372 square feet, previously used as multi-purpose space, plus a small room that has been converted to a Robotics Lab. The new STEM Lab features flooring, walls, built-in desks, and cabinetry in a neutral palette of earth tones, with a lime green accent wall that complements the green lab stools. Cummingham Group served as the interior space planner and designer.
McCarthy, Cunningham Group and the project subcontractors donated all time and materials, valued at $187,410.
UMEC handled plumbing, with McCarthy and ValleyCrest Landscape digging outdoor trenches; Pecoraro, painting; Arrowwoods, casework; DOW Diversified, Lab casework; DFS Flooring, carpet and VCT resilient-type flooring; McCarthy, doors; ISEC, Inc., furniture; UMEC, HVAC; and McCarthy and ValleyCrest Landscape handled design and installation of landscape and irrigation.
Applications Open for Kyoto Prize Journalism Fellowship
Point Loma Nazarene University is now accepting applications for the 2014 Kyoto Prize Fall Journalism Fellowship, a program that provides a learning opportunity for journalists seeking to further their knowledge and depth of reporting in technology, science and the arts. The selected journalist will travel to Kyoto, Japan to attend the 30th annual Kyoto Prize Award Ceremony, lectures and workshops Nov. 10-12.
During the program, the journalist will have opportunities to meet and interview the 2014 laureates of the Kyoto Prize, Japan’s highest private award for global achievement. The fellowship experience is intended to enhance the journalist’s ability to report on fields influenced by the latest laureates, to gain an historical context of the laureates’ contributions and to better understand the global impact of continued innovation in each field. The application deadline is Friday, Sept. 5.
The fellowship covers transportation, accommodations, and per-diem expenses. A selection committee comprised of journalistic and academic professionals will announce the 2014 Fall Journalism Fellow on Sept. 19.
Click here to get an application form.
SDX Holds July 31 Mixer
SDX, formerly the San Diego Ad Club, will host a “Mixer Extraordinaire” from 6 to 9 p.m., Thursday, July 31, at the Hard Rock Hotel’s Float lounge, 207 5th Ave., Downtown San Diego. The event will include a meet-and-greet with recently-elected board members and a branding rollout for the professional networking group, which changed names earlier this year. Cost to attend is $10 for members, $25 for non-members. To RSVP, visit www.sandiegoadclub.com.
SDSU’s Tom Abdenour Presented
National Training Award
San Diego State University head athletic trainer Tom Abdenour has received the 2014 Most Distinguished Athletic Trainer award from the National Athletic Trainers’ Association. Abdenour was presented the award during NATA’s 65th Clinical Symposia and Athletic Trainer Expo in Indianapolis. The award recognizes members who have strived and demonstrated excellence in their leadership, volunteer service, advocacy and distinguished professional activities as an athletic trainer. Abdenour was inducted into NATA’s Hall of Fame in 2007 and also won the 2005 NATA Tim Kerin Award for excellence in athletic training. In addition, he was previously named the NBA’s Athletic Trainer of the Year in 1990, represented the United States Olympic Committee on the medical staff for the 2000 Olympic Games in Australia and is an active member of the California Athletic Trainer’s Association.
Batman Takes Center State at Comic-Con
“Batman” will take center stage today as the 45th annual Comic-Con International celebration of the popular arts opens in downtown San Diego.
Several events are on tap for the popular franchise that started 75 years ago as a dark comic strip, became a children’s television show and later spawned a hugely successful series of films on the big screen.
“It’s a lot of fun,” Citali Marshburn said while waiting to get into the “Teen Wolf” panel with her friend, Drew Jarrett. “You get to talk to people that like the same shows as you, not your regular every day of the week friends, and it’s a fun experience.”
Her friend Jarrett had some advice for first-time attendees.
“Attention all newbies: wear comfortable shoes! And if you can, pack your own snacks,” Jarrett said. “And water.”
At 3:30 p.m., DC Comics will host a panel called “Batman 75: Legends of the Dark Knight.” Comic creators who helped shape the character are scheduled to participate.
At 6 p.m., television series stars Adam West, Burt Ward and Julie Newmar will gather for a panel in Hall H, the San Diego Convention Center’s 6,500-seat arena. The three will promote a boxed set of the series’ episodes that Warner Bros. Home Entertainment is set to release in November.
— City News Service