Automotive chipmaker NXP shares rise after fourth-quarter results beat estimates By Investing.com
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Investing.com — Shares in NXP Semiconductors rose in premarket trading on Monday after the automotive chipmaker reported fourth-quarter results that topped Wall Street estimates and current-quarter income guidance that was in-line with expectations.
Netherlands-based NXP (NASDAQ:) posted adjusted diluted earnings per share (EPS) of $3.71 and revenue of $3.42 billion in the three months ended on Dec. 31. Analysts polled by investing.com had called for $3.65 and $3.4B, respectively.
The beat was driven by a stronger performance in its key automotive chip business, which saw revenue grow 5% in the fourth quarter from the year-ago period to $1.90B. Revenue at its industrial and Internet of Things, or IoT, was up 9%.
For the first quarter, the company guided for adjusted EPS of between $2.97 to $3.38, roughly meeting estimates at the midpoint. But revenue was seen at a midpoint of $3.13B, below expectations of $3.18B, due in part to projected weakness in electric vehicle demand.
In a note to clients, analysts at UBS said that while NXP showed “resilience” in its results they “would not expect much changes for consensus” in the company’s annual financial outlook.
Yasin Ebrahim contributed to this report.
