DALLAS - Texas Instruments (NASDAQ:TXN) (TI), a prominent semiconductor company, has reported a notable decline in its fourth-quarter revenue for the fiscal year 2023. The Dallas-based company's revenue fell by 12.7% year-on-year, totaling $4.08 billion, which did not meet the anticipated $4.13 billion. Despite the revenue shortfall, TI managed to slightly surpass earnings per share (EPS) expectations, posting $1.49 per share.
The company, with a market capitalization of roughly $158.3 billion, also experienced a decrease in gross margin, which came in at 59.6%. Looking ahead, Texas Instruments provided guidance for the first quarter of the fiscal year 2024, estimating revenues at about $3.6 billion. This forecast falls below the analysts' projections of $4.05 billion.
On a positive note, TI expects to see an uptick in its free cash flow, projecting it to reach $776 million. However, this silver lining was not enough to buoy investor sentiment in the immediate aftermath of the earnings report. Following the disclosure of these financial results, the company's stock price experienced a downturn, dropping by 3.7% to close at $168 per share.
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