Amid news of layoffs and an uncertain future for its proposed acquisition of NXP Semiconductors NPV, Qualcomm Inc. released its earnings report for the second quarter of its fiscal year 2018.

Qualcomm (Nasdaq: QCOM) reported net income of $363 million on revenue of $5.26 billion during the quarter, which ended March 25.

The $5.26 billion in revenue was above the midpoint of Qualcomm’s guidance for the recently ended quarter.

The San Diego tech giant made its financial results public after the markets closed on April 25. Its stock rose 3 percent on the report's release.

“Our fiscal second quarter results reflect better than expected performance in our semiconductor business and lower operating expenses,” CEO Steve Mollenkopf said in a press statement on the earnings announcement. “Looking forward, we remain committed to driving improved performance in fiscal 2019, consistent with our prior guidance.”

Qualcomm reported diluted earnings per share of 80 cents, beating expectations. On average, 17 analysts surveyed by Thomson Reuters estimated it would earn 70 cents per share. While not GAAP numbers (that is, presented according to generally accepted accounting principles) because one-time occurrences are excluded, securities analysts follow these numbers closely.

While revenue was up 5 percent compared to a year prior, profits were down 52 percent. In the second quarter of its fiscal year 2017, the company reported $749 million in net income on $5.02 billion in revenue.

Qualcomm said its income for the quarter ended March 25 included $310 million in charges related to its $1 billion cost-cutting plan announced in January.

Earlier this month the company said it would cut 1,500 jobs at its California offices in June as part of that plan, including more than 1,200 in San Diego.

The cost-cutting plan was intended meant to appease investors as Broadcom Ltd. (Nasdaq: AVGO) continued its hostile $117 billion takeover bid. Broadcom was barred from further pursuit of such an acquisition in March, but investors remained unsettled, withholding 117 million and 257 million votes from Mollenkopf and non-executive chairman Jeffrey Henderson, respectively. Shareholders withheld roughly 4 million from each in the prior year.

At that meeting, former CEO and chairman Paul Jacobs, son of Qualcomm cofounder Irwin Jacobs, said his goodbyes to shareholders following reports he was seeking financing to take the company private. His interest spurred his removal from the company’s board of directors. It’s unclear what level of progress Paul Jacobs has made amassing the money he would need to buy the company from stockholders.

In a statement on the earnings report, Mollenkopf said the company was “making good progress on executing our $1 billion cost plan” and was focused on closing its pending NXP acquisition.

However, the $44 billion bid has been caught up in the rising trade tensions between the U.S. and China. Qualcomm and NXP agreed to withdraw and refile the notice of acquisition regarding the companies’ planned merger at the request of Ministry of Commerce in China (MOFCOM) on April 19. The agreement includes an extension of the purchase agreement from April 25 to July 25. The deal has been percolating since October 2016.

Investors have been pulling for the deal to go through because it would allow the San Diego chipmaker to become more active in the automotive electronics industry, the internet of things and security, thereby diversifying its revenue.

Another issue hanging over the company is ongoing litigation with Apple and its contract manufacturers, which are Qualcomm licensees, over its licensing fees. The company recorded no revenue for royalties due on sales of Apple’s or the other licensees’ products. In the same quarter the year prior, Qualcomm’s licensing division recorded about $970 million in revenues from those royalties.

In Qualcomm’s first quarter of its fiscal year 2018, which ended Dec. 24, Qualcomm reported a net loss of $5.95 billion on revenue of $6.07 billion. The loss was largely because of one-time items, including a $6 billion charge related to the Tax Cuts and Jobs Act and a $1.2 billion charge for a fine levied against it by the European Commission, which alleged the firm committed anticompetitive behavior by entering an exclusive supplier deal with Apple Inc. Qualcomm has said it will appeal.

Reach reporter Sarah de Crescenzo at sarahd@sdbj.com.