Highlights

  • Third quarter 2026 revenue was $3,786 million, compared with $3,173 million for the third quarter of 2025.
  • Net income attributable to stockholders was $884 million, or $3.48 per diluted share, compared with $631 million, or $2.48.
  • Third quarter cash flow from operations was $1,256 million, and capital returned to shareholders totaled $359 million.
  • On October 12, 2026, the Board approved a new share repurchase program of up to $5 billion.

NXP Semiconductors N.V. (NASDAQ:NXPI) shares were trading at USD 246.04 on October 28, 2026, down 2.94%, with a relative volume at time of 3.73. The semiconductor company completed the sale of its MEMS Sensors business in February, signed a European Investment Bank facility on September 1 and filed third quarter 2026 results on October 27 with its Board's new repurchase approval.

NXP is incorporated in the Netherlands and lists principal executive offices in Eindhoven, the Netherlands, and Austin, Texas. The company has one reportable segment and reports revenue across four end markets: Automotive, Industrial & IoT, Mobile, and Communication Infrastructure & Other. Its fiscal year ends December 31, and its third quarter ended September 27, 2026. Its common shares trade on the Nasdaq Global Select Market.

Third Quarter Results

Revenue for the three months ended September 27, 2026 was $3,786 million, compared with $3,173 million for the three months ended September 28, 2025, an increase of $613 million, or 19.3%. Revenue for the nine months was $10,463 million, compared with $8,934 million.

By end market, Automotive revenue was $2,070 million, Industrial & IoT was $802 million, Communication Infrastructure & Other was $503 million and Mobile was $411 million. Mobile revenue decreased $19 million, or 4.4%, from the year-ago quarter, which the company attributed to declines in processors.

GAAP gross profit was $2,189 million, or 57.8% of revenue, compared with $1,787 million, or 56.3%. Operating income was $1,228 million, compared with $893 million. Net income was $899 million, and net income attributable to stockholders was $884 million, or $3.48 per diluted share, compared with $631 million, or $2.48. Research and development expense was $615 million, compared with $575 million.

The company reported non-GAAP gross margin of 58.6% and non-GAAP operating margin of 37.1%. Non-GAAP free cash flow was $1,206 million.

Cash Flow, Debt and Capital Return

Cash and cash equivalents were $3,943 million at September 27, 2026, compared with $3,267 million at December 31, 2025. Total debt was $10,978 million, a decrease of $1,244 million compared with December 31, 2025. Net debt, a non-GAAP measure, was $7,035 million.

Operating activities provided $2,909 million of cash in the first nine months of 2026. During the third quarter, the company paid $256 million in cash dividends and repurchased $103 million of its common shares. Dividends of $1.014 per ordinary share were paid on January 7, April 9 and July 9, 2026, and again on October 8, 2026.

At September 27, 2026, approximately $1.3 billion remained under the 2024 Share Repurchase Program. On October 12, 2026, the Board approved repurchases of up to $5 billion under a 2026 program.

Developments

On February 2, 2026, the company completed the sale of its MEMS Sensors business to STMicroelectronics International N.V., receiving $878 million in cash, with a potential additional $50 million contingent on post-closing technical milestones. The sale produced a gain of $627 million in other income.

On September 1, 2026, NXP B.V. entered a facility agreement with the European Investment Bank for a $250 million unsecured senior loan facility, undrawn at September 27, 2026, to finance an expansion of its assembly and test facility in Kuala Lumpur, Malaysia.

Outlook

The 10-Q does not provide numerical guidance. On the call, management said it expects fourth quarter revenue of $3.85 billion, plus or minus $100 million, and non-GAAP gross margin of 59%, plus or minus 50 basis points. Management also said it expects mobile revenue to decline in the mid-teens percent range year over year in the fourth quarter and plans to accelerate buyback activity in the fourth quarter and 2027.