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NXP(NXPI) - 2025 Q1 - Quarterly Results
NXPINXP(NXPI)2025-04-28 20:16
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Financial Performance - NXP reported Q1 2025 revenue of 2.84billion,down92.84 billion, down 9% year-on-year, aligning with the midpoint of guidance[2][5]. - NXP Semiconductors reported revenue of 2.835 billion for the three months ended March 30, 2025, a decrease of 8.8% compared to 3.111billioninthepreviousquarterandadecreaseof9.33.111 billion in the previous quarter and a decrease of 9.3% from 3.126 billion in the same quarter last year[22]. - The automotive segment generated 1.67billioninrevenue,down71.67 billion in revenue, down 7% year-on-year[7]. - Non-GAAP diluted EPS for Q1 2025 was 2.64, a decrease of 19% compared to Q1 2024[5][6]. - NXP reported a net income of 497millionforthethreemonthsendedMarch30,2025,adecreaseof29497 million for the three months ended March 30, 2025, a decrease of 29% compared to 705 million for the same period in 2024[24]. - The company reported a GAAP net income of 497millionforthethreemonthsendedMarch30,2025,comparedto497 million for the three months ended March 30, 2025, compared to 505 million in the previous quarter and 644millioninthesamequarterlastyear[30].−Non−GAAPnetincomeattributabletostockholderswas644 million in the same quarter last year[30]. - Non-GAAP net income attributable to stockholders was 673 million, compared to 817millioninthesamequarterlastyear,reflectingadeclineof17.6817 million in the same quarter last year, reflecting a decline of 17.6%[25]. - NXP's diluted GAAP net income per share was 1.92, down from 2.47inthesamequarterlastyear[26].MarginsandProfitability−GAAPgrossmarginwas55.02.47 in the same quarter last year[26]. Margins and Profitability - GAAP gross margin was 55.0%, while non-GAAP gross margin was 56.1%[5][6]. - Gross profit for the same period was 1.560 billion, resulting in a gross margin of approximately 55.1%, down from 54% in the previous quarter and 57% in the same quarter last year[22]. - Operating income for the quarter was 723million,reflectinganoperatingmarginof25.5723 million, reflecting an operating margin of 25.5%, compared to 675 million and 21.7% in the previous quarter[22]. - The company reported a non-GAAP operating income of 904million,withanon−GAAPoperatingmarginof31.9904 million, with a non-GAAP operating margin of 31.9%[25]. - The adjusted EBITDA (Non-GAAP) for the latest quarter was 1,073 million, down from 1,240millioninthepreviousquarterand1,240 million in the previous quarter and 1,252 million a year ago[30]. - The trailing twelve-month adjusted EBITDA (Non-GAAP) totaled 4,885million,adecreasefrom4,885 million, a decrease from 5,064 million in the previous period and 5,395millionayearago[30].CashFlowandCapitalManagement−Cashflowfromoperationswas5,395 million a year ago[30]. Cash Flow and Capital Management - Cash flow from operations was 565 million, resulting in non-GAAP free cash flow of 427million,withcapitalreturnof427 million, with capital return of 561 million[5][8]. - Non-GAAP free cash flow for the three months ended March 30, 2025, was 427million,anincreasefrom427 million, an increase from 292 million in the previous quarter but a decrease from 627millioninthesamequarterlastyear[31].−Thetrailingtwelve−monthnon−GAAPfreecashflowwas627 million in the same quarter last year[31]. - The trailing twelve-month non-GAAP free cash flow was 1,889 million, down from 2,089millioninthepreviousperiodand2,089 million in the previous period and 2,933 million a year ago[31]. - The company's non-GAAP free cash flow as a percentage of revenue was 15% for the latest quarter, down from 17% in the previous quarter and 22% a year ago[31]. - Net cash provided by operating activities was 565millionforthelatestquarter,comparedto565 million for the latest quarter, compared to 391 million in the previous quarter and 851millionayearago[31].AssetsandLiabilities−Totalcurrentassetsincreasedto851 million a year ago[31]. Assets and Liabilities - Total current assets increased to 8.025 billion as of March 30, 2025, up from 7.305billionattheendofthepreviousquarter[23].−Cashandcashequivalentsroseto7.305 billion at the end of the previous quarter[23]. - Cash and cash equivalents rose to 3.988 billion, compared to 3.292billionattheendofthepreviousquarter[23].−Totalliabilitiesincreasedto3.292 billion at the end of the previous quarter[23]. - Total liabilities increased to 15.503 billion, up from 14.854billionattheendofthepreviousquarter[23].−NXP′stotalequitystoodat14.854 billion at the end of the previous quarter[23]. - NXP's total equity stood at 9.677 billion, an increase from 9.531billionattheendofthepreviousquarter[23].StrategicInitiatives−NXPannouncedtheacquisitionofKinaraInc.for9.531 billion at the end of the previous quarter[23]. Strategic Initiatives - NXP announced the acquisition of Kinara Inc. for 307 million to enhance edge intelligence solutions[8]. - The company secured a €1 billion loan from the European Investment Bank to support R&D investments[8]. - NXP introduced the S32K5 family of automotive microcontrollers, the first 16nm FinFET MCU with embedded MRAM[8]. - The company plans to execute additional share repurchases totaling 90millionpost−Q12025[5].FutureOutlookandRisks−NXP′sguidanceforQ22025projectstotalrevenuebetween90 million post-Q1 2025[5]. Future Outlook and Risks - NXP's guidance for Q2 2025 projects total revenue between 2.8 billion and $3.0 billion, reflecting a year-on-year decline of 4% to 10%[10][12]. - NXP's forward-looking statements highlight potential risks including market demand fluctuations and supply chain disruptions due to geopolitical tensions[20]. Conference Call - The company plans to host a conference call on April 29, 2025, to discuss the first quarter 2025 results in detail[17].