Summary
This 10-Q/A filing from Texas Instruments Incorporated (TXN) for the period ending September 30, 2001, is an amendment to a previously filed report, specifically correcting a line item related to prepaid expenses and other current assets for the nine-month period. While the filing itself is an amendment, it provides a snapshot of the company's cash flow activities. For the nine months ended September 30, 2001, TXN experienced a net loss before cumulative effect of accounting changes of $85 million, a significant shift from the $2.422 billion profit reported in the same period of 2000. This downturn is reflected in the operating cash flows, which decreased to $1.039 billion from $1.583 billion year-over-year. The company continues to invest heavily in property, plant, and equipment, with additions of $1.554 billion, though this is a decrease from the prior year's $1.789 billion. Despite the challenging operating environment indicated by the loss, TXN's investing activities show strategic management of its investment portfolio, with net cash used in investing activities at $1.007 billion compared to $1.320 billion in the prior year. The company also actively managed its financing activities, including significant share repurchases amounting to $310 million in the nine months ended September 30, 2001. However, the company's cash position has declined, with cash and cash equivalents falling to $387 million from $938 million a year prior, reflecting the net decrease in cash of $358 million during the period.
Key Highlights
- 1Texas Instruments Incorporated (TXN) filed an amendment (10-Q/A) to correct a financial reporting error concerning prepaid expenses for the nine months ended September 30, 2001.
- 2The company reported a net loss before accounting changes of $85 million for the nine months ended September 30, 2001, a stark contrast to a $2.422 billion profit in the same period of 2000.
- 3Net cash provided by operating activities decreased significantly to $1.039 billion for the nine months ended September 30, 2001, down from $1.583 billion in the prior year.
- 4Capital expenditures on property, plant, and equipment remain substantial at $1.554 billion for the nine months ended September 30, 2001, though lower than the $1.789 billion in the prior year.
- 5TXN actively managed its investment portfolio, with net cash used in investing activities at $1.007 billion for the nine months ended September 30, 2001.
- 6The company engaged in substantial share repurchases, using $310 million for common stock repurchases during the nine months ended September 30, 2001.
- 7Total cash and cash equivalents declined to $387 million as of September 30, 2001, from $938 million at the same time in the previous year, indicating a cash burn of $358 million during the period.