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Mar 31, 2020

Texas Instruments Q1 2020 Earnings Report

Texas Instruments reported a decrease in revenue and earnings per share compared to the same quarter a year ago, impacted by lower demand in Analog and Embedded Processing segments.

Key Takeaways

Texas Instruments reported first quarter revenue of $3.33 billion, net income of $1.17 billion and earnings per share of $1.24. EPS included a 10-cent benefit for items not in the company's original guidance. Revenue decreased 7% from the same quarter a year ago, with Analog revenue declining 2% and Embedded Processing declining 18%.

First quarter revenue was $3.33 billion, a decrease of 7% year-over-year.

Net income for the quarter was $1.17 billion, with earnings per share of $1.24.

Analog revenue decreased by 2% and Embedded Processing revenue decreased by 18% compared to the same quarter a year ago.

The company returned $6.6 billion to owners in the past 12 months through stock repurchases and dividends.

Total Revenue
$3.33B
Previous year: $3.59B
-7.4%
EPS
$1.24
Previous year: $1.22
+1.6%
Free Cash Flow % of Revenue
39.9%
Previous year: 38.4%
+3.9%
Annual Operating Tax Rate
14%
Gross Profit
$2.09B
Previous year: $2.26B
-7.7%
Cash and Equivalents
$2.52B
Previous year: $3.72B
-32.3%
Free Cash Flow
$690M
Previous year: $856M
-19.4%
Total Assets
$17.3B
Previous year: $17.4B
-0.9%

Texas Instruments

Texas Instruments

Texas Instruments Revenue by Segment

Forward Guidance

TI’s second quarter outlook is for revenue in the range of $2.61 billion to $3.19 billion, and earnings per share between $0.64 and $1.04, which includes an estimated $10 million discrete tax benefit. We expect our annual operating tax rate to be about 14% in 2020.

Revenue & Expenses

Visualization of income flow from segment revenue to net income