NXP reports Revenue and Earnings Up in Q4
NXP Semiconductors N.V. reported financial results for the fourth quarter and the full-year 2015, ended December 31, 2015, as well as provided guidance for the first quarter of 2016. "The end of 2015 brought to a close a year filled with significant accomplishments and a few challenges for NXP. During the fourth quarter we successfully completed the previously announced merger with Freescale Semiconductor. NXP is now the clear market leader in automotive, microcontroller and security semiconductor solutions. Notwithstanding our success, we faced an uncertain macro demand environment during the second-half of 2015. Despite this, we continued to outperform the overall industry. Looking forward, our task is to continue to outgrow the market despite the uncertain environment," said Richard Clemmer, NXP Chief Executive Officer.
On a full-year basis, NXP delivered revenue of $6.1 billion, up 8 percent from 2014, including the benefit of approximately one month of revenue contribution from Freescale. Revenue from our strategic HPMS segment was $4.72 billion, up 12 percent year-on-year, with nearly all of the operating segments delivering positive growth for the year. Standard Product segment revenue was $1.24 billion, down 3 percent versus the prior year. Full-year non-GAAP operating profit and non-GAAP earnings were both up strongly versus 2014. Non-GAAP operating income was $1.68 billion, up 19 percent versus the prior year, and non-GAAP earnings per share were $5.60, up nearly 18 percent versus 2014, and non-GAAP free cash flow was $996 million.
â€œLooking at our results for the fourth quarter 2015, revenue was $1.61 billion, up 4 percent year-on-year, and up nearly 6 percent versus the prior quarter. HPMS segment revenue was $1.31 billion, up 12 percent from the same period a year ago, as well as sequentially. Standard Product segment revenue was $271 million, down 18 percent from same period a year ago and down 17 percent sequentially. In spite of weaker revenue trends, non-GAAP diluted earnings per share were $1.25, reflective of better gross margin and solid expense control resulting in improved profit fall-through. Additionally we generated $180 million non-GAAP free cash flow.
â€œIn summary, we believe NXP is ideally positioned in the right markets, with the right customers and highly competitive portfolio of solutions. I would like to personally thank all of our employees for their tireless efforts in bringing the merger to a successful conclusion. I would further like to thank our customers for the positive inputs and confidence in the vision of the combined company. We believe the merger will result in significant value creation both in terms of giving us an even more competitive cost structure as well broadening the product portfolio we can offer our customers,â€ concluded Clemmer.