Apr 26, 2021

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Apr 04, 2021

NXP Q1 2021 Earnings Report

NXP reported first quarter revenue of $2.6 billion, up 27 percent year-on-year. Positive product mix and increased revenue helped deliver excellent operating profit in excess of guidance.

Key Takeaways

NXP Semiconductors reported strong first-quarter results with revenue of $2.6 billion, a 27% increase year-over-year. The company exceeded its guidance due to positive product mix and increased revenue, leading to excellent operating profit. NXP is optimistic about continued robust growth throughout 2021, driven by long-term demand trends in its end markets.

First-quarter revenue was $2.6 billion, up 27.0 percent year-on-year.

First-quarter GAAP gross margin was 52.8 percent, and GAAP operating margin was 19.2 percent.

First-quarter non-GAAP gross margin was 54.2 percent, and non-GAAP operating margin was 30.9 percent.

In the first quarter of 2021 NXP returned $1.0 billion to shareholders through previously announced share repurchases and dividend payments.

Total Revenue

$2.57B

Previous year: $2.02B

+27.0%

EPS

$2.31

Previous year: $1.4

+65.0%

Gross Profit

$1.36B

Previous year: $997M

+35.9%

Cash and Equivalents

$1.84B

Previous year: $1.08B

+70.7%

Free Cash Flow

$582M

Previous year: $369M

+57.7%

Total Assets

$19.4B

Previous year: $19.5B

-0.6%

NXP

NXP Revenue by Segment

Forward Guidance

NXP provided guidance for the second quarter of 2021, with revenue expected to be in the range of $2.50 billion to $2.64 billion. GAAP gross profit is projected to be between $1.346 billion and $1.439 billion, while GAAP operating income is expected to be between $506 million and $579 million.

Positive Outlook

Total Revenue: $2,500 to $2,640 million, indicating a 38% to 45% year-over-year increase.
Gross Profit: $1,346 to $1,439 million
Gross Margin: 53.8% to 54.5%
Operating Income: $506 to $579 million
Operating Margin: 20.2% to 21.9%

Challenges Ahead

Financial Income (expense): $(90) million
GAAP Gross Profit is expected to include Purchase Price Accounting (“PPA”) effects, $(18) million; Stock Based Compensation, $(12) million; Other Incidentals, $(5) million
GAAP Operating Income (loss) is expected to include PPA effects, $(159) million; Stock Based Compensation, $(92) million; Restructuring and Other Incidentals, $(11) million
GAAP Financial Income (expense) is expected to include Other financial expense $(3) million
Net cash paid for income taxes related to on-going operations is expected to be approximately $(55) million

Revenue & Expenses

Visualization of income flow from segment revenue to net income

Company Overview

Full financial data and analysis

View NXP