TXN Q2 2017 Earnings Report — Texas Instruments Incorporated Revenue & Financial Results | Market Cap Arena

Texas Instruments IncorporatedTXN

Q2 2017 Earnings

Reported August 3, 2017

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	Q2 2017	Q1 2017	Q2 2016	QoQ Change	YoY Change
Revenue	$3.7B	$3.4B	—	8.6%	—
Op. Income	$1.5B	$1.3B	—	18.2%	—
Gross Margin	64.3%	63.0%	—	1.3pp	—
Net Margin	28.6%	29.3%	—	-0.7pp	—
EPS (Diluted)	$1.03	$0.97	—	6.2%	—
Free Cash Flow	$766M	$668M	—	14.7%	—

Revenue Flow

Item	Amount
REVENUE	$3.7B
Cost of Revenue	$1.3B
GROSS PROFIT	$2.4B
R&D Expenses	$378M
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$434M
Other Expenses	$82M
Operating Expenses	$894M
Cost & Expenses	$2.2B
OPERATING INCOME	$1.5B
Interest Income	$0
Interest Expense	$20M
Other Income/Expenses	$6M
INCOME BEFORE TAX	$1.5B
Income Tax Expense	$430M
Net Income from Continuing Ops	$1.1B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$1.1B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$1.0B
D&A	$225M
EBIT	$1.5B
EBITDA	$1.7B
EPS	$1
EPS Diluted	$1

Income Statement

Item	Amount
REVENUE	$3.7B
Cost of Revenue	$1.3B
GROSS PROFIT	$2.4B
R&D Expenses	$378M
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$434M
Other Expenses	$82M
Operating Expenses	$894M
Cost & Expenses	$2.2B
OPERATING INCOME	$1.5B
Interest Income	$0
Interest Expense	$20M
Other Income/Expenses	$6M
INCOME BEFORE TAX	$1.5B
Income Tax Expense	$430M
Net Income from Continuing Ops	$1.1B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$1.1B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$1.0B
D&A	$225M
EBIT	$1.5B
EBITDA	$1.7B
EPS	$1
EPS Diluted	$1

Cash Flow Statement

Item	Amount
Net Income	$1.1B
Depreciation & Amortization	$225M
Stock-Based Compensation	$75M
Deferred Income Tax	-$54M
Other Non-Cash Items	$10M
Change in Working Capital	-$395M
OPERATING CASH FLOW	$917M
Capital Expenditure	-$151M
Acquisitions (Net)	$151M
Purchases of Investments	-$1.1B
Sales/Maturities of Investments	$1.3B
Other Investing Activities	-$143M
NET CASH FROM INVESTING	-$8M
Net Debt Issuance	$230M
Common Stock Repurchased	-$650M
Common Dividends Paid	-$498M
Other Financing Activities	-$8M
NET CASH FROM FINANCING	-$842M
FREE CASH FLOW	$766M
Net Change in Cash	$67M

Balance Sheet

Item	Amount
Cash & Equivalents	$1.1B
Short-Term Investments	$1.8B
Net Receivables	$1.5B
Inventory	$1.9B
Other Current Assets	$0
TOTAL CURRENT ASSETS	$7.5B
PP&E (Net)	$2.5B
Goodwill	$4.4B
Intangible Assets	$1.2B
Long-Term Investments	$250M
Tax Assets	$412M
Other Non-Current Assets	$170M
TOTAL NON-CURRENT ASSETS	$8.9B
TOTAL ASSETS	$16.4B
Account Payables	$450M
Short-Term Debt	$499M
Deferred Revenue	$86M
Other Current Liabilities	-$86M
TOTAL CURRENT LIABILITIES	$1.9B
Long-Term Debt	$3.1B
Deferred Revenue NC	$0
Deferred Tax Liabilities	$33M
Other Non-Current Liabilities	$736M
TOTAL NON-CURRENT LIABILITIES	$3.9B
TOTAL LIABILITIES	$5.7B
Common Stock	$1.7B
Additional Paid-In Capital	$1.7B
Retained Earnings	$34.1B
Treasury Stock	-$26.3B
Accum. Other Comp. Income	-$520M
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$10.7B
Minority Interest	$0
TOTAL EQUITY	$10.7B
TOTAL LIABILITIES & EQUITY	$16.4B
Total Debt	$3.6B
Net Debt	$2.4B