NXP Semiconductors Reports 4Q, Full-Year 2024 Results

NXP Semiconductors N.V. reported financial results for the fourth quarter and full year, which ended Dec. 31, 2024.

“NXP delivered full-year 2024 revenue of $12.61 billion, a decrease of 5% year-on-year. In the fourth quarter, revenue was $3.11 billion, a decrease of 9% year-on-year, modestly above the mid-point of our guidance range. In review, NXP delivered resilient results throughout 2024, reflecting solid execution, consistent gross margin, and healthy free cash flow generation despite a challenging market environment. We rigorously focus on managing what is in our control, to navigate a soft landing while executing our growth strategy,” said Kurt Sievers, NXP president and CEO.

Key Highlights for the Fourth Quarter and Full-Year 2024

• Fourth quarter revenue was $3.11 billion, down 9% year-on-year. Full-year revenue was $12.61 billion, down 5% year-on-year.
• Fourth quarter GAAP gross margin was 53.9%, GAAP operating margin was 21.7% and GAAP diluted net income per share was $1.93. Full-year GAAP gross margin was 56.4%, GAAP operating margin was 27.1% and GAAP diluted net income per share was $9.73.
• Fourth quarter non-GAAP gross margin was 57.5%, non-GAAP operating margin was 34.2%, and non-GAAP diluted net income per share was $3.18. Full-year non-GAAP gross margin was 58.1%, non-GAAP operating margin was 34.6%, and non-GAAP diluted net income per share was $13.09.
• Fourth quarter cash flow from operations was $391 million, with net capex investments of $99 million, resulting in non-GAAP free cash flow of $292 million. Full-year cash flow from operations was $2,782 million, with net capex investments of $693 million, resulting in non-GAAP free cash flow of $2,089 million.

• On Dec. 17, 2024, NXP announced it had entered into an definitive agreement to acquire Aviva Links, a provider of Automotive SerDes Alliance (ASA) compliant in-vehicle connectivity solutions in an all-cash transaction valued at $242.5 million. The acquisition of Aviva Links expands NXP’s market-leading in-vehicle networking (IVN) portfolio with the industry’s most advanced ASA-compliant portfolio, supporting SerDes point-to-point (ASA-ML) and Ethernet-based connectivity (ASA-MLE) with data rates up to 16 Gbps.

• On Jan. 7, 2025, NXP announced it had entered into a definitive agreement to acquire TT Tech Auto, a leader in safety-critical systems and middleware for software-defined vehicles (SDVs). The all-cash transaction is valued at $625 million, and accelerates the NXP CoreRide platform, enabling automakers to reduce complexity, maximize system performance and shorten time to market. TT Tech Auto’s MotionWise middleware platform has a proven industry track record and is designed to manage the interconnected systems in SDVs.