GO
Loading...

Texas Instruments Profits Top Forecast, Shares Jump

CNBC.com
Monday, 23 Apr 2012 | 4:41 PM ET

Texas Instrumentsposted a 60 percent decline in its quarterly profit but revenue was slightly ahead of analysts' expectations and the chip maker said a prolonged inventory related decline in demand had come to an end. (Click here for after-hour quote.)

Texas Instruments
Source: ti.com
Texas Instruments

The semiconductor maker delivered first-quarter earnings excluding items of 32 cents per share, down from 55 cents a share in the year-earlier period.

The company, whose chips are used in products ranging from cellphones to industrial equipment, said profit fell to $265 million, or 22 cents per share, from $666 million, or 55 cents per share, in the year-ago quarter.

Quarterly revenue was $3.12 billion, an 8 percent decrease from $3.39 billion a year ago. Revenue in the quarter includes insurance proceeds of about $65 million related to interruption of TI's business operations as a result of the 2011 Japan earthquake.

TXN Earnings: Q1 EPS $0.32 vs. $0.29
Discussing Texas Instruments' earnings and whether investors should be confident, with Bobby Burleson, Top Starmine analyst and CNBC's Brian Shactman.

"As we expected, our business cycle bottomed in the first quarter, and early signs of growth began to emerge," said CEO Rich Templeton in a statement. "Orders were up 13 percent, and backlog is growing again. Particularly encouraging is the breadth of increased orders across geographical regions and markets, including the industrial sector."

Analysts had expected the company to report earnings excluding items of 29 cents per share on revenue of $3.06 billion, according to Thomson Reuters.

The company is forecasting second quarter earnings excluding items to come between 36 and 44 cents per share, and revenues between $3.22 and $3.48 billion, inline with estimates of 40 cents per share, and $3.29 billion in revenues.

  Price   Change %Change
TXN
---

Featured

Contact Technology

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    › Learn More
  • Matt Hunter is the senior technology editor at CNBC.com.

  • Cadie Thompson is a tech reporter for the Enterprise Team for CNBC.com.

  • Working from Los Angeles, Boorstin is CNBC's media and entertainment reporter and editor of CNBC.com's Media Money section.

  • Jon Fortt is an on-air editor. He covers the companies, start-ups, and trends that are driving innovation in the industry.

  • Lipton is CNBC's technology correspondent, working from CNBC's Silicon Valley bureau.

  • Mark is CNBC's Silicon Valley/San Francisco Bureau Chief covering technology and digital media.