Texas Instruments (TI) reported a notable revenue increase in the first quarter of 2025, reaching $4.07 billion. This marks an 11% rise compared to the previous year and a 2% growth from the prior quarter. Net income for the quarter was $1.18 billion, with earnings per share (EPS) of $1.28, slightly surpassing initial expectations due to a 5-cent benefit not included in earlier guidance.
The company's Analog segment was the primary driver of this growth, generating $3.21 billion in revenue, which represents a 13% increase. However, revenue from Embedded Processing saw a slight decline of 1%, totaling $647 million. Over the trailing 12 months, TI's cash flow from operations amounted to $6.2 billion, with free cash flow at $1.7 billion.
Looking ahead, TI forecasts second-quarter revenue to be between $4.17 billion and $4.53 billion, with EPS anticipated to range from $1.21 to $1.47. The effective tax rate is projected between 12-13%. In the past year, TI invested $3.8 billion in research, development, and SG&A while allocating $4.7 billion for capital expenditures. A total of $6.4 billion was returned to shareholders through dividends and buybacks, highlighting their commitment to shareholder returns.