Texas Instruments Inc (NASDAQ:TXN) Beats Q2 Earnings Estimates but Shares Remain Flat in After-Hours Trading

Texas Instruments Inc (NASDAQ:TXN) reported second-quarter earnings that surpassed analyst expectations, though its stock showed muted reaction in after-hours trading. The semiconductor manufacturer posted revenue of $4.45 billion, up 16.4% year-over-year, beating consensus estimates of $4.38 billion. Earnings per share (EPS) came in at $1.41, exceeding the $1.35 analysts had projected.

Key Financial Highlights

• Revenue: $4.45B (actual) vs. $4.38B (estimated) – a 1.7% beat
• EPS: $1.41 (actual) vs. $1.35 (estimated) – a 4.4% beat
• The company noted a 2-cent EPS benefit not included in prior guidance.

Market Reaction

Despite the earnings beat, TXN shares were flat in after-hours trading, following a 2.5% decline over the past week. The lack of a positive price reaction suggests investor focus may be shifting toward the company’s outlook rather than the Q2 results.

Forward Guidance vs. Estimates

Texas Instruments provided Q3 revenue guidance of approximately $4.63 billion, aligning closely with analyst expectations of $4.61 billion. The absence of a significant upward revision may explain the subdued market response.

Press Release Summary

• Net income for Q2 was $1.30 billion, up from $1.20 billion in the prior-year quarter.
• The company continues to emphasize shareholder returns, though no new buyback or dividend announcements were made in this release.
• Performance was driven by strength in Analog and Embedded Processing segments, which remain core growth drivers.

What Analysts Are Watching

• Full-year 2025 revenue estimates stand at $17.57 billion, with EPS projected at $5.62.
• Q3 revenue estimates are set at $4.61 billion, with the company’s outlook closely matching this figure.

For a deeper dive into Texas Instruments’ earnings history and future estimates, see the earnings and estimates page.

Disclaimer: This article is for informational purposes only and does not constitute investment advice.