EINDHOVEN, The Netherlands, April 27, 2020 (GLOBE NEWSWIRE) -- NXP Semiconductors N.V. (NASDAQ: NXPI) today reported financial results for the first quarter 2020, ended March 29, 2020.
“Consistent with our preannouncement on April 7, 2020, NXP delivered first quarter revenue of $2.02 billion, a 3 percent decline from the year ago period,” said Richard Clemmer, NXP Chief Executive Officer. “During this period of widespread societal disruption, our focus continues to be the long-term health and safety of all our NXP team members, and on assuring the utmost support for our customers and partners. I am extremely proud of the adaptability and engagement of all our teams during this challenging period. From a business perspective, we currently find ourselves navigating a challenging and very fluid environment. We are working diligently with our direct and distribution partners to determine accurate projections of customer demand, especially within the global automotive and industrial markets. Notwithstanding the current challenges, NXP continues to have the financial strength, the product portfolio and customer engagements to emerge strongly from the current unpredictable environment.”
Key Highlights
- First-quarter revenue was $2.0 billion, down 3 percent year-on-year;
- First-quarter GAAP gross margin was 49.3 percent, and GAAP operating margin was 3.4 percent;
- First-quarter non-GAAP gross margin was 51.8 percent, and non-GAAP operating margin was 24.8 percent;
- First-quarter cash flow from operations was $0.51 billion, with net capex investments of $143 million, resulting in non-GAAP free cash flow of $0.37 billion;
- On March 5, 2020, the NXP Board of Directors approved the payment of an interim dividend for the first quarter 2020 of $0.375 per ordinary share;
- In the first quarter of 2020 NXP returned $0.46 billion to shareholders through previously announced share repurchases and dividend payments;
- On February 3, 2020, NXP announced the completion of the sale of the Company's Voice and Audio Solutions (VAS) assets pursuant to the definitive agreement dated August 16, 2019 for a net gain of $110 million.
Summary of Reported First Quarter 2020 ($ millions, unaudited ) (1)
| Q1 2020 | Q4 2019 | Q1 2019 | Q - Q | Y - Y | |||||||||
| Total Revenue | $ | 2,021 | $ | 2,301 | $ | 2,094 | -12 | % | -3 | % | |||
| GAAP Gross Profit | $ | 997 | $ | 1,209 | $ | 1,072 | -18 | % | -7 | % | |||
| Gross Profit Adjustments (i) | $ | (50 | ) | $ | (39 | ) | $ | (32 | ) | ||||
| Non-GAAP Gross Profit | $ | 1,047 | $ | 1,248 | $ | 1,104 | -16 | % | -5 | % | |||
| GAAP Gross Margin | 49.3 | % | 52.5 | % | 51.2 | % | |||||||
| Non-GAAP Gross Margin | 51.8 | % | 54.2 | % | 52.7 | % | |||||||
| GAAP Operating Income / (Loss) | $ | 68 | $ | 197 | $ | 54 | -65 | % | 26 | % | |||
| Operating Income Adjustments (i) | $ | (434 | ) | $ | (490 | ) | $ | (505 | ) | ||||
| Non-GAAP Operating Income | $ | 502 | $ | 687 | $ | 559 | -27 | % | -10 | % | |||
| GAAP Operating Margin | 3.4 | % | 8.6 | % | 2.6 | % | |||||||
| Non-GAAP Operating Margin | 24.8 | % | 29.9 | % | 26.7 | % | |||||||
