NXP Semiconductors reported a strong fourth quarter with revenue growth and sequential improvement across all end markets, driven by strategic acquisitions and an improving demand environment. The company maintained operational discipline while advancing strategic priorities in software-defined vehicles and physical AI, positioning for profitable growth and margin expansion.
Fourth quarter revenue was $3.34 billion, up 7 percent year-on-year, surpassing guidance.
positiveNon-GAAP operating margin was 34.6%, showing strong profitability.
positiveNon-GAAP diluted Net Income per Share was $3.35, an 8% increase year-on-year.
positiveNon-GAAP free cash flow was $793 million, representing 23.8% of revenue for the quarter.
positiveCompleted acquisitions of Aviva Links and Kinara to strengthen portfolio in intelligent systems.
positiveAnnounced i.MX 952 applications processor targeting AI-powered vision and HMIs.
positiveFull-year revenue was $12.27 billion, down 3 percent year-on-year.
negativeGAAP diluted Net Income per Share was $1.79 for Q4, down 28% year-on-year.
negativeInventories, net increased to $2,577 million from $2,452 million in the prior quarter.
attentionFull-year GAAP operating margin was 24.8%, down from 27.1% in the prior year.
attentionMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
| Segment | Current | Prior Yr | YoY | % Total |
|---|---|---|---|---|
Automotive | N/A | — | — | — |
Industrial & IoT | N/A | — | — | — |
Mobile | N/A | — | — | — |
Comm. Infra. & Other | N/A | — | — | — |
| Total Revenue | $0.00M | — | — | 100.0% |
Segment performance shows business unit health and growth drivers.
Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.
NXP delivered quarterly revenue of $3.34 billion, surpassing the midpoint of our guidance and reflecting sequential improvement across all end markets.
Throughout 2025, we executed effectively despite a challenging first half, maintaining operational discipline while advancing our strategic priorities in software defined vehicles and physical AI.
Through strategic acquisitions we strengthened our portfolio to drive leadership in intelligent systems at the edge for automotive, industrial and IoT.
Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.
Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.