Conference call on TI website at 3:30 p.m. Central time today
DALLAS, Jan. 23, 2024 — (PRNewswire) — Texas Instruments Incorporated (TI) (Nasdaq: TXN) today reported fourth quarter revenue of $4.08 billion, net income of $1.37 billion and earnings per share of $1.49. Earnings per share included a 3-cent benefit that was not in the company's original guidance.Regarding the company's performance and returns to shareholders, Haviv Ilan, TI's president and CEO, made the following comments:
- "Revenue decreased 10% sequentially and 13% from the same quarter a year ago. During the quarter we experienced increasing weakness across industrial and a sequential decline in automotive.
- "Our cash flow from operations of $6.4 billion for the trailing 12 months again underscored the strength of our business model, the quality of our product portfolio and the benefit of 300mm production. Free cash flow for the same period was $1.3 billion.
- "Over the past 12 months we invested $3.7 billion in R&D and SG&A, invested $5.1 billion in capital expenditures and returned $4.9 billion to owners.
- "TI's first quarter outlook is for revenue in the range of $3.45 billion to $3.75 billion and earnings per share between $0.96 and $1.16. We now expect our 2024 effective tax rate to be about 13%."
Free cash flow, a non-GAAP financial measure, is cash flow from operations less capital expenditures.
Earnings summary
(In millions, except per-share amounts) |
| Q4 2023 |
| Q4 2022 |
| Change | ||
Revenue |
| $ | 4,077 |
| $ | 4,670 |
| (13) % |
Operating profit |
| $ | 1,533 |
| $ | 2,176 |
| (30) % |
Net income |
| $ | 1,371 |
| $ | 1,962 |
| (30) % |
Earnings per share |
| $ | 1.49 |
| $ | 2.13 |
| (30) % |
Cash generation
|
|
|
|
|
| Trailing 12 Months | ||||||
(In millions) |
| Q4 2023 |
| Q4 2023 |
| Q4 2022 |
| Change | |||
Cash flow from operations |
| $ | 1,924 |
| $ | 6,420 |
| $ | 8,720 |
| (26) % |
| Capital expenditures |
| $ | 1,148 |
| $ | 5,071 |
| $ | 2,797 |
| 81 % |
| Free cash flow |
| $ | 776 |
| $ | 1,349 |
| $ | 5,923 |
| (77) % |
| Free cash flow % of revenue |
|
|
|
|
| 7.7 % |
|
| 29.6 % |
|
|
