April 25 Chipmaker Texas Instruments Inc
reported a higher-than-expected 13.1 percent increase in
quarterly revenue on Tuesday, helped by demand from its
automotive and industrial customers.
The company, which counts Apple Inc among its
largest customers, forecast second-quarter profit of 89
cents-$1.01 per share and revenue of $3.40 billion-$3.70
Analysts on average were expecting a profit of 91 cents per
share and revenue of $3.50 billion, according to Thomson Reuters
The Dallas-based company, considered a bellwether for the
semiconductor industry, manufactures analog chips that are used
to calculate changes in sound and temperature, while its
embedded chip unit manufactures processors used in Internet of
Things and personal devices.
It also makes sensors that are used in advanced driving
systems in vehicles, as well as chips that are used in
infotainment systems and powertrains.
Automotive products have contributed a larger share of the
company's revenue in the last few years. The segment generated
about 18 percent of the company's revenue in 2016, up from 13
percent in 2014.
Net income increased to $997 million, or 97 cents per share
in the quarter, from $711 million, or 69 cents per share, in the
On an adjusted basis, the company earned 85 cents per share,
beating analysts' average estimate of 83 cents per share,
according to Thomson Reuters I/B/E/S.
The company's revenue rose to $3.40 billion in the first
quarter ended March 31, from $3.01 billion a year earlier.
Analysts on average had expected revenue of $3.30 billion.
Texas Instruments' shares were little changed in aftermarket
trading on Tuesday.
Through Tuesday's close, the company's shares have risen
about 12.9 percent since the start of the year, marginally
outperforming the 12.3 percent rise in the broader Philadelphia
(Reporting by Narottam Medhora in Bengaluru; Editing by Martina