Investment Rating - The report does not explicitly mention an investment rating for Texas Instruments (TXN) [1][2][3] Core Views - Texas Instruments (TXN) reported Q2 2024 revenue of $3.822 billion, down 16% YoY but up 4.4% QoQ, slightly above the guidance midpoint of $3.8 billion [1][2] - Gross margin for Q2 2024 was 57.85%, down 6.37 percentage points YoY but up 0.55 percentage points QoQ, driven by revenue growth, improved capacity utilization, lower production costs, and increased internal manufacturing with 300mm wafers [2][7] - Net income for Q2 2024 was $1.127 billion, down 35% YoY but up 1.99% QoQ, exceeding market expectations of $1.089 billion [2][9] - Inventory at the end of Q2 2024 was $4.1 billion, up $23 million QoQ, with inventory turnover days decreasing by 6 days to 229 days [2][10] - Capital expenditure for Q2 2024 was $1.064 billion, down 14.7% QoQ and 26.4% YoY, with total capital expenditure over the past 12 months reaching $5 billion [2][10] Revenue Breakdown - Analog business revenue in Q2 2024 was $2.928 billion, down 11% YoY but up 3.24% QoQ, accounting for 76.6% of total revenue [2][11] - Embedded processing business revenue in Q2 2024 was $615 million, down 31% YoY and 5.67% QoQ, accounting for 16.1% of total revenue [2][11] - Other business revenue in Q2 2024 was $279 million, down 22% YoY but up 61.27% QoQ, accounting for 7.3% of total revenue [2][12] End Markets - Industrial and automotive markets continued to decline QoQ in Q2 2024, while all other end markets showed growth [2][13] - Industrial market revenue declined by low single-digit percentages QoQ, while automotive market revenue declined by mid-single-digit percentages QoQ, marking the third consecutive quarter of decline [2][13] - Personal electronics market showed strong recovery, with QoQ growth in the mid-teens percentage and YoY growth close to 20% [2][13] - Enterprise systems market also recovered, with QoQ growth of around 20% [2][13] Q3 2024 Guidance - Texas Instruments provided Q3 2024 revenue guidance of $3.94 billion to $4.26 billion, with a midpoint of $4.1 billion, representing a 7.27% QoQ increase but a 9.53% YoY decline [2][14] - EPS guidance for Q3 2024 is between $1.24 and $1.48 [2][14] Management Commentary - The company remains focused on long-term value creation, investing in manufacturing and technological capabilities, a broad product portfolio, channel coverage, and a diversified market position [2][17] - The company plans to hold a capital management call on August 20 to provide more details on capacity investments and free cash flow scenarios [2][16]

Have you looked into how Texas Instruments (TXN) performed internationally during the quarter ending June 2024? Considering the widespread global presence of this chipmaker, examining the trends in international revenues is essential for assessing its financial resilience and prospects for growth.In the modern, closely-knit global economic landscape, the capacity of a business to access foreign markets is often a key determinant of its financial well-being and growth path. Investors now place great importan ...

Texas Instruments (TXN) reported second-quarter 2024 earnings of $1.22 per share, surpassing the Zacks Consensus Estimate by 5.2%. The figure exceeded the guided range of $1.05-$1.16 per share.The figure declined 35% year over year but gained 1.7% sequentially.TXN reported revenues of $3.82 billion, which beat the Zacks Consensus Estimate by 0.6%. The figure came within management’s guidance of $3.65-$3.95 billion.Revenues decreased 16% from the year-ago quarter’s level but increased 4% sequentially.The yea ...

DALLAS, July 24, 2024 /PRNewswire/ -- Texas Instruments Incorporated (TI) (Nasdaq: TXN) will webcast an off-cycle capital management call on Tuesday, August 20, at 10 a.m. Central time. During the webcast, Haviv Ilan, president and chief executive officer, will join Rafael Lizardi, senior vice president and chief financial officer, and Dave Pahl, vice president and head of Investor Relations, to provide more granularity on TI's capacity investments. The discussion will also include a framework of revenue an ...

The semiconductor industry is crucial to modern technology, producing chips that power various electronic devices. These chips are essential for computers, smartphones, automobiles, and many other products we use daily. Semiconductor companies design and manufacture these tiny but complex components. The industry is known for its cyclical nature, with periods of high demand followed by slowdowns.Semiconductor stocks represent companies involved in chip design, manufacturing, or both. These stocks can offer ...

[PART I - FINANCIAL INFORMATION](index=2&type=section&id=PART%20I%20-%20FINANCIAL%20INFORMATION) [Item 1. Financial Statements](index=2&type=section&id=Item%201.%20Financial%20Statements) This section presents Texas Instruments' unaudited consolidated financial statements, showing year-over-year declines in revenue and net income, with detailed accompanying notes [Consolidated Financial Statements](index=2&type=section&id=Consolidated%20Financial%20Statements) Consolidated financial statements show revenue and net income declines for both Q2 and six-month periods, with increased total assets and stable operating cash flow | Metric | Q2 2024 (Millions) | Q2 2023 (Millions) | Six Months 2024 (Millions) | Six Months 2023 (Millions) | | :--- | :--- | :--- | :--- | :--- | | **Revenue** | $3,822 | $4,531 | $7,483 | $8,910 | | **Gross Profit** | $2,211 | $2,910 | $4,306 | $5,773 | | **Operating Profit** | $1,248 | $1,972 | $2,534 | $3,906 | | **Net Income** | $1,127 | $1,722 | $2,232 | $3,430 | | **Diluted EPS** | $1.22 | $1.87 | $2.42 | $3.72 | | Account | June 30, 2024 (Millions) | Dec 31, 2023 (Millions) | | :--- | :--- | :--- | | **Total Current Assets** | $16,789 | $15,122 | | **Total Assets** | $35,048 | $32,348 | | **Total Current Liabilities** | $3,637 | $3,320 | | **Long-Term Debt** | $12,842 | $10,624 | | **Total Liabilities** | $17,834 | $15,451 | | **Total Stockholders' Equity** | $17,214 | $16,897 | | Cash Flow Activity (Six Months Ended June 30) | 2024 (Millions) | 2023 (Millions) | | :--- | :--- | :--- | | **Net Cash from Operating Activities** | $2,588 | $2,559 | | **Net Cash from Investing Activities** | $(3,329) | $(2,357) | | **Net Cash from Financing Activities** | $517 | $187 | | **Net Change in Cash** | $(224) | $389 | [Notes to Financial Statements](index=6&type=section&id=Notes%20to%20Financial%20Statements) Notes detail segment performance, geographic revenue trends, accounting policies, debt, equity, and a significant property sale gain - The company operates through two primary segments: Analog and Embedded Processing, with other activities reported under 'Other'[12](index=12&type=chunk)[13](index=13&type=chunk)[14](index=14&type=chunk) | Segment Revenue (Six Months Ended June 30) | 2024 (Millions) | 2023 (Millions) | Change | | :--- | :--- | :--- | :--- | | Analog | $5,764 | $6,567 | (12.2)% | | Embedded Processing | $1,267 | $1,726 | (26.6)% | | Other | $452 | $617 | (26.7)% | | **Total Revenue** | **$7,483** | **$8,910** | **(16.0)%** | | Revenue by Geography (Six Months Ended June 30) | 2024 (%) | 2023 (%) | | :--- | :--- | :--- | | United States | 36% | 32% | | China | 18% | 20% | | Rest of Asia | 11% | 9% | | Europe, Middle East and Africa | 25% | 28% | | Japan | 8% | 10% | | Rest of world | 2% | 1% | - In February 2024, the company issued **$3.00 billion** in senior unsecured notes and retired **$300 million** of debt in May 2024[39](index=39&type=chunk) - A **$124 million** credit was recorded under 'restructuring charges/other' in the first six months of 2024, primarily from a property sale gain[49](index=49&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=17&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes the Q2 2024 revenue decline to decreased customer demand, particularly in industrial and automotive markets, while maintaining long-term free cash flow strategy and investment - The company's strategy is centered on maximizing long-term free cash flow per share growth through a business model focused on analog and embedded processing, disciplined capital allocation, and operational efficiency[54](index=54&type=chunk)[55](index=55&type=chunk) - Q2 2024 revenue decreased **16%** year-over-year, with industrial and automotive markets continuing to decline sequentially while other end markets grew[58](index=58&type=chunk)[59](index=59&type=chunk) | Trailing 12-Month Financials (as of June 30, 2024) | Amount (Billions) | | :--- | :--- | | Cash Flow from Operations | $6.4 | | Free Cash Flow (Non-GAAP) | $1.5 | | R&D and SG&A Investment | $3.7 | | Capital Expenditures | $5.0 | | Cash Returned to Shareholders | $4.9 | - The company expects capital expenditures to remain elevated due to manufacturing and technology investments, benefiting from the U.S. CHIPS and Science Act's **25%** investment tax credit starting in Q2 2024[76](index=76&type=chunk) | Free Cash Flow Reconciliation (Trailing 12 Months Ended June 30) | 2024 (Millions) | 2023 (Millions) | Change | | :--- | :--- | :--- | :--- | | Cash flow from operations (GAAP) | $6,449 | $7,367 | (12)% | | Capital expenditures | $(4,955) | $(4,185) | - | | **Free cash flow (non-GAAP)** | **$1,494** | **$3,182** | **(53)%** | [Item 4. Controls and Procedures](index=22&type=section&id=ITEM%204.%20Controls%20and%20procedures) Management concluded that the company's disclosure controls and procedures were effective, with no material changes to internal control over financial reporting during the quarter - Based on an evaluation as of June 30, 2024, the Chief Executive Officer and Chief Financial Officer concluded that the company's disclosure controls and procedures were effective[82](index=82&type=chunk) [PART II – OTHER INFORMATION](index=23&type=section&id=PART%20II%20%E2%80%93%20OTHER%20INFORMATION) [Item 1. Legal Proceedings](index=23&type=section&id=ITEM%201.%20Legal%20proceedings) This section refers to Note 8 for legal proceedings, which are not expected to have a material adverse effect on financial statements - Information regarding legal proceedings is detailed in Note 8 to the financial statements, and the company does not expect these matters to have a material adverse effect[84](index=84&type=chunk)[47](index=47&type=chunk) [Item 1A. Risk Factors](index=23&type=section&id=ITEM%201A.%20Risk%20factors) The report incorporates by reference the risk factors detailed in the company's Form 10-K for the year ended December 31, 2023, with no new risk factors presented - Risk factors are not updated in this 10-Q and are incorporated by reference from the Form 10-K for the year ended December 31, 2023[85](index=85&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=23&type=section&id=ITEM%202.%20Unregistered%20sales%20of%20equity%20securities%20and%20use%20of%20proceeds) During Q2 2024, Texas Instruments repurchased **382,729** shares at an average price of **$189.60**, with approximately **$21.12 billion** remaining under repurchase authorizations | Period (2024) | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | April | 20,776 | $176.46 | | May | 215,795 | $187.21 | | June | 146,158 | $194.98 | | **Total Q2** | **382,729** | **$189.60** | - As of June 30, 2024, approximately **$21.12 billion** remained available for future share repurchases under existing board authorizations from 2018 and 2022, which have no expiration date[86](index=86&type=chunk)[87](index=87&type=chunk) [Item 6. Exhibits](index=24&type=section&id=ITEM%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including corporate governance documents, compensation plans, CEO/CFO certifications, and XBRL data files - The exhibits filed with this report include the CEO and CFO certifications pursuant to SEC rules (Exhibits 31a, 31b, 32a, 32b) and Interactive Data Files (XBRL)[89](index=89&type=chunk) [Notice Regarding Forward-Looking Statements](index=25&type=section&id=Notice%20regarding%20forward-looking%20statements) The report contains forward-looking statements subject to risks and uncertainties, including market demand, competition, manufacturing, cybersecurity, and global conditions, with no obligation to update - The report includes a safe harbor statement for forward-looking statements, cautioning that actual results could differ materially due to various risks[91](index=91&type=chunk) - Key risks highlighted include market demand for semiconductors (especially in industrial and automotive), ability to compete, manufacturing capacity investments, and changes in tax laws or global trade policies[91](index=91&type=chunk)

Texas Instruments Incorporated (NASDAQ:TXN) Q2 2024 Earnings Conference Call July 23, 2024 4:30 PM ET Company Participants Dave Pahl - Head of IR Haviv Ilan - CEO Rafael Lizardi - CFO Conference Call Participants Timothy Arcuri - UBS Stacy Rasgon - Bernstein Research Vivek Arya - Bank of America Securities Ross Seymore - Deutsche Bank Chris Danely - Citibank Toshiya Hari - Goldman Sachs Harlan Sur - JP Morgan Joe Moore - Morgan Stanley Dave Pahl Welcome to the Texas Instruments Second Quarter 2024 Earnings ...

For the quarter ended June 2024, Texas Instruments (TXN) reported revenue of $3.82 billion, down 15.7% over the same period last year. EPS came in at $1.22, compared to $1.87 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $3.8 billion, representing a surprise of +0.60%. The company delivered an EPS surprise of +5.17%, with the consensus EPS estimate being $1.16.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and ho ...

Texas Instruments (TXN) came out with quarterly earnings of $1.22 per share, beating the Zacks Consensus Estimate of $1.16 per share. This compares to earnings of $1.87 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 5.17%. A quarter ago, it was expected that this chipmaker would post earnings of $1.06 per share when it actually produced earnings of $1.20, delivering a surprise of 13.21%.Over the last four quarters, the compan ...

WEST PALM BEACH, Fla., July 23, 2024 /PRNewswire/ -- Elliott Investment Management L.P. (together with its affiliates "Elliott") today released the following statement attributed to Managing Partner Jesse Cohn and Partner Jason Genrich regarding Texas Instruments (NASDAQ: TXN) (the "Company"):We commend Texas Instruments on the positive shareholder engagement and capital allocation initiatives announced by CEO Haviv Ilan on today's earnings call. We are looking forward to the special Capital Management even ...