Texas Instruments increased third-quarter revenue by 28 percent from a year earlier to 6.055 billion dollars. Analog products supplied the largest part of sales and grew faster than embedded processing. Operating profit rose alongside revenue. The chipmaker also reported twelve-month cash-flow figures and forecast fourth-quarter sales of 5.8–6.3 billion dollars, with its cash-flow measure including US manufacturing incentives.
Economics & Markets··Midday
Quarterly revenue reaches six billion dollars
US chipmaker Texas Instruments reported third-quarter revenue of 6.055 billion dollars and net income of 2.425 billion dollars on October 21. Diluted earnings per share were 2.62 dollars. The company’s revenue and profit increased from the corresponding quarter a year earlier.[1], [2]
Revenue increased 11 percent from the preceding quarter and 28 percent from a year earlier. Analog revenue rose 32 percent to 4.911 billion dollars. Embedded Processing revenue grew 21 percent to 858 million dollars, while Other revenue declined 6 percent to 286 million dollars.[1]
Operating profit rises alongside sales
Operating profit increased from 1.663 billion dollars to 2.874 billion dollars. Gross profit rose from 2.723 billion dollars to 3.887 billion dollars. Research and development expenses increased from 518 million dollars to 530 million dollars. Selling, general and administrative expenses rose from 457 million dollars to 476 million dollars.[1]
Cash-flow figures include US production incentives
Over the trailing twelve months, operating cash flow was 9.9 billion dollars and free cash flow was 8.4 billion dollars. Texas Instruments calculates free cash flow by subtracting capital expenditures and adding receipts from US CHIPS Act manufacturing incentives. Capital spending was 2.6 billion dollars over the same period, while dividends and share repurchases returned 5.8 billion dollars to shareholders.[1]
