- NXP Semiconductor’s adjusted earnings per share (EPS) for the second quarter were $2.72, beating the estimate of $2.68, but lower than last year’s $3.20.
- The actual EPS was $1.75, down from $2.54 year over year (y/y).
- Revenue hit $2.93 billion, a 6.4% decrease y/y, closely meeting the estimate of $2.9 billion.
- Automotive revenue remained steady at $1.73 billion, matching estimates and last year’s figures.
- Industrial & IoT revenue declined by 11% y/y, totaling $546 million, exceeding the estimate of $535 million.
- Mobile revenue decreased by 4.1% y/y to $331 million, surpassing the estimate of $324.1 million.
- Communications Infrastructure & Other revenue fell by 27% y/y to $320 million, above the estimated $315.5 million.
- The adjusted gross margin was 56.5%, down from 58.6% y/y, but slightly higher than the estimated 56.3%.
- Adjusted operating income was $935 million, a 13% decrease y/y, but above the estimate of $924.7 million.
- Adjusted operating margin stood at 32%, down from 34.3% y/y, but above the estimate of 31.9%.
- Research and development (R&D) expenses totaled $573.0 million, a 3.5% decrease y/y, higher than the estimated $559.6 million.
- Inventory levels rose by 9.9% y/y, reaching $2.36 billion, slightly above the estimated $2.34 billion.
- Adjusted free cash flow increased by 21% y/y to $696 million, though below the estimated $754 million.
- NXP’s third-quarter forecast for adjusted EPS ranges from $2.89 to $3.30, with the estimate at $3.06.
- Expected third-quarter revenue is between $3.05 billion and $3.25 billion, with an estimate of $3.07 billion.
- The third-quarter EPS is projected to be between $2.22 and $2.62, with an estimate of $2.42.
- NXP notes an emerging cyclical improvement in core markets and company growth drivers influencing the forecast.
- Shares fell by 2.7% in post-market trading to $222.20.
- Investor sentiment includes 29 buys, 6 holds, and 0 sells for the shares.
A look at Nxp Semiconductors Nv Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 4 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
According to Smartkarma Smart Scores, NXP Semiconductors NV has a promising long-term outlook. The company scored well in Growth, Resilience, and Momentum, with scores of 4 in each category. This indicates that NXP Semiconductors NV is expected to experience solid growth, demonstrate resilience in challenging market conditions, and maintain positive momentum in the future. While the company’s Value score is lower at 2, its Dividend score of 3 suggests a moderate level of dividend performance. Overall, NXP Semiconductors NV, a global semiconductor company, appears well-positioned for future success based on these scores.
NXP Semiconductors NV operates as a global semiconductor company, designing semiconductors and software for various industries such as mobile communications, consumer electronics, security applications, in-car entertainment, and networking. The company offers its products for automotive, identification, wireless infrastructure, lighting, mobile, and computing applications. With favorable scores in Growth, Resilience, and Momentum, NXP Semiconductors NV is likely to continue its positive trajectory and strengthen its position in the semiconductor market over the long term.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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