Trailing 12 Months

Q1 2021

Q1 2021

Q1 2020

Change

Dividends paid

$

940

$

3,525

$

3,125

13%

Stock repurchases

$

100

$

1,012

$

3,449

(71)%

Total cash returned

$

1,040

$

4,537

$

6,574

(31)%

TEXAS INSTRUMENTS INCORPORATED AND SUBSIDIARIES

Consolidated Statements of Income

(Millions of dollars, except share and per-share amounts)

For Three Months Ended

March 31,

2021

2020

Revenue

$

4,289

$

3,329

Cost of revenue (COR)

1,241

Gross profit

2,797

2,088

Research and development (R&D)

386

377

Selling, general and administrative (SG&A)

425

417

Acquisition charges

47

50

Operating profit

1,939

1,244

Other income (expense), net (OI&E)

46

25

Interest and debt expense

46

45

Income before income taxes

1,939

1,224

Provision for income taxes

186

50

Net income

$

1,753

$

1,174

Diluted earnings per common share

$

1.87

$

1.24

Average shares outstanding (millions):

Basic

922

931

Diluted

935

943

Cash dividends declared per common share

$

1.02

$

.90

Supplemental Information

(Quarterly, except as noted)

Our annual operating tax rate, which does not include discrete tax items, was 14% during both periods of 2021 and 2020.

Provision for income taxes is based on the following:

Operating taxes (calculated using the estimated annual effective tax rate)

$

275

$

166

Discrete tax items

(116)

Provision for income taxes (effective taxes)

$

186

$

50

A portion of net income is allocated to unvested restricted stock units (RSUs) on which we pay dividend equivalents. Diluted EPS is calculated using the following:

Net income

$

1,753

$

1,174

Income allocated to RSUs

(8)

(6)

Income allocated to common stock for diluted EPS

$

1,745

$

1,168