01—Abstract
Summary
Summary of the 8-K filed October 21, 2026. Cited figures are marked; the original filing is the authoritative source.
Texas Instruments Incorporated (TXN) reported strong third-quarter 2026 results, demonstrating significant year-over-year growth across key financial metrics.
Revenue surged by 28% to $6.06 billiona, driven by robust demand in the industrial, automotive, and data center sectors. Net income and earnings per share (EPS) also saw substantial increases of 78% and 77%, respectively, reaching $2.43 billion and $2.62 per share. The company highlighted its strong business model and operational efficiency, reflected in a remarkable 43% increase in cash flow from operations to $9.9 billion for the trailing twelve months.
The company also provided an optimistic outlook for the fourth quarter, with projected revenue between $5.80 billionb and $6.30 billion and EPS expected to range from $2.45 to $2.79. Texas Instruments continued its commitment to shareholder returns, although total cash returned to owners saw a slight decrease of 11% year-over-year to $5.81 billion for the trailing twelve months, primarily due to a significant reduction in stock repurchases. The detailed segment breakdown shows that the Analog segment was the primary growth driver, with revenue up 32% year-over-year.
02—Key points
Key Highlights
- Third-quarter revenue increased 28% year-over-year to $6.06 billion, driven by strong performance in industrial, automotive, and data center markets.
- Net income grew 78% to $2.43 billion, and diluted EPS increased 77% to $2.62 for the quarter.
- Trailing 12-month cash flow from operations reached $9.9 billion, a 43% increase year-over-year.
- Trailing 12-month free cash flow was $8.4 billion, a significant 249% increase year-over-year.
- The Analog segment was the strongest performer, with revenue up 32% year-over-year.
- The company provided a positive Q4 2026 outlook, expecting revenue between $5.80 billion and $6.30 billion.
- Total cash returned to shareholders for the trailing 12 months was $5.81 billion, a 11% decrease, with stock repurchases down 61%.
03—Questions
Frequently Asked Questions
What were the main drivers of Texas Instruments' revenue growth in Q3 2026?
Texas Instruments' revenue growth in Q3 2026 was primarily driven by continued broad demand in the industrial, automotive, and data center markets. Revenue increased 11% sequentially and a significant 28% from the same quarter a year ago.
How did Texas Instruments perform in terms of cash generation?
The company demonstrated strong cash generation. For the trailing twelve months ending September 30, 2026, cash flow from operations was $9.9 billion, a 43% increase year-over-year. Free cash flow for the same period was $8.4 billion, representing a substantial 249% increase.
What is Texas Instruments' outlook for the fourth quarter of 2026?
Texas Instruments provided an outlook for the fourth quarter of 2026, expecting revenue to be in the range of $5.80 billion to $6.30 billion and earnings per share between $2.45 and $2.79.
How has Texas Instruments' shareholder return strategy changed compared to the previous year?
For the trailing twelve months, total cash returned to owners decreased by 11% to $5.81 billion. This was largely due to a significant reduction in stock repurchases, which were down 61% to $636 million, while dividends paid saw a modest 5% increase to $5.17 billion.
04—Continue