March 3, 2021

Texas Instruments forecasts top estimates


Texas Instruments Inc, the largest maker of analog chips, forecast second-quarter sales and profit that may top some analysts’ estimates, helped by increased orders from makers of automotive and industrial-machine parts.

Profit in the current period will be 37 cents to 45 cents a share on revenue of $2.93 billion to $3.17 billion, the Dallas- based company said on Monday in a statement. Analysts on average had estimated profit of 38 cents and sales of $3.04 billion, according to data compiled by Bloomberg.

Texas Instruments is receiving more orders from industrial- tool and auto-components makers, helping to make up for slowing demand for personal-computer parts and communications infrastructure , Chief Financial Officer Kevin March said. The company’s customer list ranges from aerospaceequipment builders to carparts suppliers, making its results a harbinger of demand across the chip business .

“We saw strength in the industrial and automotive sectors,” March said in an interview. “Customers continue to operate with very lean levels of inventory. We built order backlog in the first quarter for the first time in a couple of quarters .”

                                            Source-Times of india