Early Access

10-QPeriod: Q3 FY2023

NXP Semiconductors N.V. Quarterly Report for Q3 Ended Jul 2, 2023

Filed July 25, 2023For Securities:NXPI

Summary

NXP Semiconductors N.V. reported its financial results for the second quarter and first half of 2023. Revenue remained stable year-over-year, with a slight decrease of 0.4% for both the quarter and year-to-date periods, reaching $3,299 million and $6,420 million, respectively. This stability was achieved despite a decline in shipment volumes, which was offset by higher average selling prices, driven by increased input costs. The company saw strong performance in its Automotive and Communication Infrastructure & Other segments, while Industrial & IoT and Mobile segments experienced declines. Net income attributable to stockholders for the quarter was $698 million, a slight increase from $670 million in the prior year quarter, resulting in diluted earnings per share of $2.67, up from $2.53. Operationally, NXP generated robust cash flow from operations, amounting to $1,388 million for the first six months of 2023. The company maintained a strong liquidity position with $3,863 million in cash and cash equivalents and an available credit facility of $2,500 million. NXP continued its capital return program by paying dividends and repurchasing shares, while also investing in capital expenditures and intangible assets. The company's balance sheet shows a stable debt position, with total debt at $11,170 million as of July 2, 2023.

Financial Statements
Beta
Revenue$3.30B
Cost of Revenue$1.42B
Gross Profit$1.88B
R&D Expenses$589.00M
SG&A Expenses$274.00M
Operating Expenses$944.00M
Operating Income$937.00M
Interest Expense$109.00M
Net Income$698.00M
EPS (Basic)$2.69
EPS (Diluted)$2.67
Shares Outstanding (Basic)259.16M
Shares Outstanding (Diluted)261.30M

Key Highlights

  • 1Revenue for Q2 2023 was $3,299 million, a slight decrease of 0.4% year-over-year, with higher average selling prices offsetting lower shipment volumes.
  • 2Net income attributable to stockholders increased to $698 million in Q2 2023 from $670 million in Q2 2022, with diluted EPS rising to $2.67 from $2.53.
  • 3Automotive revenue grew by 8.9% year-over-year to $1,866 million in Q2 2023, and is up 13.0% year-to-date, demonstrating strength in this key segment.
  • 4Industrial & IoT revenue declined by 18.9% year-over-year in Q2 2023, and Mobile revenue decreased by 26.8%, indicating headwinds in these markets.
  • 5Operating cash flow for the first six months of 2023 was strong at $1,388 million, demonstrating the company's ability to generate cash.
  • 6The company ended the quarter with $3,863 million in cash and cash equivalents, with total liquidity of $6,363 million including its revolving credit facility.
  • 7NXP returned $763 million to shareholders through dividends and share repurchases in the first six months of 2023.

Frequently Asked Questions