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Mar 31, 2021

Texas Instruments Q1 2021 Earnings Report

Reported first quarter revenue, net income, and earnings per share, with revenue increasing sequentially and from the same quarter a year ago.

Key Takeaways

Texas Instruments reported a strong first quarter with revenue of $4.29 billion, a 29% increase from the previous year, driven by high demand in the industrial, automotive, and personal electronics sectors. Net income reached $1.75 billion, and earnings per share stood at $1.87, including a 2-cent net benefit from items outside the original guidance.

Revenue increased 5% sequentially and 29% year-over-year due to strong demand in industrial, automotive, and personal electronics.

Analog revenue grew 5% sequentially and 33% year-over-year, while Embedded Processing revenue increased 7% sequentially and 17% year-over-year.

Cash flow from operations for the trailing 12 months was $7.1 billion, and free cash flow was $6.3 billion, representing 41% of revenue.

Returned $4.5 billion to owners in the past 12 months through dividends and stock repurchases, with dividends representing 56% of free cash flow.

Total Revenue
$4.29B
Previous year: $3.33B
+28.8%
EPS
$1.87
Previous year: $1.24
+50.8%
FCF as % of revenue
41.1%
Previous year: 39.9%
+3.0%
Gross Profit
$2.8B
Previous year: $2.09B
+34.0%
Cash and Equivalents
$2.44B
Previous year: $2.52B
-3.0%
Free Cash Flow
$1.54B
Previous year: $690M
+123.5%
Total Assets
$19.6B
Previous year: $17.3B
+13.6%

Texas Instruments

Texas Instruments

Texas Instruments Revenue by Segment

Forward Guidance

TI's second quarter outlook is for revenue in the range of $4.13 billion to $4.47 billion and earnings per share between $1.68 and $1.92. The company continues to expect its 2021 annual operating tax rate to be about 14%.

Revenue & Expenses

Visualization of income flow from segment revenue to net income