Texas Instruments Incorporated Q3 FY2021 Earnings Call

· Earnings call transcript and AI-powered summary

Quarter Overview

  • Q3 2021 revenue was $4.6 billion, up 1% sequentially and 22% year-over-year, driven by strong demand in industrial, automotive, and personal electronics.
  • Analog revenue grew 2% sequentially and 24% year-over-year.
  • Embedded Processing declined 5% sequentially but grew 13% year-over-year.
  • “Other” segment revenue increased 19% year-over-year.
  • Customer demand behavior has shifted: instead of requesting broad expedites, customers now focus on specific products needed to complete matched sets.
  • TI reports continued strong customer interest in its long-term internal manufacturing expansion strategy, including new 300mm fabs (RFAB2 and LFAB).

End Market Performance

  • Industrial: Down mid-single-digits sequentially, up ~40% year-over-year.
  • Automotive: Grew sequentially and up >20% year-over-year; up nearly 30% compared to Q4 2019 pre-pandemic levels.
  • Personal Electronics: Up low double-digits sequentially and year-over-year (strength in mobile phones, PCs, tablets).
  • Communications Equipment: Down mid-single-digits sequentially, down upper teens year-over-year.
  • Enterprise Systems: Grew both sequentially and year-over-year.

Financial Highlights

  • Gross profit: $3.2 billion (68% margin), up 360 basis points year-over-year.

Continue Reading

Unlock the full AI-powered summary with key highlights, financial performance, and analyst Q&A.

Upgrade to Professional
Operator: Good day and welcome to the Texas Instruments Q3, 2021, Earnings Release Conference Call. Today's conference is being recorded. At this time. I would like to turn the conference over to A - Dave Pahl. Please go ahead. Dave Pahl: Good afternoon. And thank you for joining our Third Quarter 2021, Earnings Conference call. For any of you who missed the release, you can find it on our website at ti. com/ir. This call is being broadcast live over the web and can be accessed through our website. A replay will be available through the web. This call will include forward-looking statements that involve risks and uncertainties that could cause TI's results to differ materially from management's current expectations. We encourage you to review the notice regarding forward-looking statements contained in the earnings release published today, as well as TI's most recent SEC filings for a more complete description. Our Chief Financial Officer, A - Rafael Lizardi, is with me today and will provide the following updates. First, I'll start with a quick overview of the quarter. Next, I'll provide insight into third quarter revenue results, with some details of what we're seeing in respect to the customers and markets. And I'll also provide details by end market, including some sequential performance as we have the last few quarters. As sequential data begins to be less insightful, we'll move back to reporting only year-over-year per our normal practice. And lastly, Rafael will co

Continue Reading

Unlock the full earnings call transcript with speaker labels and formatted dialogue.

Upgrade to Professional