{"id":16733,"date":"2025-10-23T02:23:15","date_gmt":"2025-10-23T02:23:15","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-tx\/16733\/"},"modified":"2025-10-23T02:23:15","modified_gmt":"2025-10-23T02:23:15","slug":"texas-instruments-signals-that-chip-recovery-is-slowing","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-tx\/16733\/","title":{"rendered":"Texas Instruments signals that chip recovery is slowing"},"content":{"rendered":"

Dallas-based Texas Instruments Inc.<\/a>, the biggest maker of analog chips, gave a lackluster forecast for the current period, adding to concerns that a semiconductor industry recovery is sputtering.<\/p>\n

Revenue will be $4.22 billion to $4.58 billion in the fourth quarter, the company said in a statement Tuesday. Analysts had estimated $4.5 billion on average. Profit in the period will be roughly $1.26 a share, the company said, versus a projection of $1.39.<\/p>\n

The outlook suggests that customers are slowing orders as they navigate mounting trade tensions and a shaky economy. Texas Instruments had been enjoying a rebound in demand following a two-year slump, and now the comeback is looking less certain.<\/p>\n

\u201cThe overall semiconductor market recovery is continuing, though at a slower pace than prior upturns \u2014 likely related to the broader macroeconomic dynamics and overall uncertainty,\u201d Chief Executive Officer Haviv Ilan said on a conference call with analysts.<\/p>\n

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Industrial customers in particular are taking a \u201cwait and see\u201d approach to their factory expansion plans, he said, as governments consider tariffs and other actions. <\/p>\n

Texas Instruments stock, which has already lagged behind a broader semiconductor rally this year, slid about 8% in extended trading. <\/p>\n

In the third quarter, sales grew 14% to $4.74 billion, yielding a profit of $1.48 a share. Analysts had estimated revenue of $4.65 billion and earnings of $1.49.<\/p>\n

Three months ago, a lackluster projection from the Dallas-based company caused the stock to suffer its worst one-day decline in 17 years.<\/p>\n

At the time, the chipmaker said that some Chinese customers were likely building up inventory to guard against a rise in costs caused by tariffs. Texas Instruments gets about 20% of its sales in China, where it\u2019s facing increasing competition from local customers.<\/p>\n

In the third quarter, the market in China returned to normal patterns, Ilan said on the call. There was none of the \u201cpull forward\u201d demand that the company had experienced, he said. <\/p>\n

Texas Instruments is the biggest seller of analog chips, which convert real-world phenomena like sound and pressure into electronic signals. It has the broadest lineup of products and longest customer list in the semiconductor business, making the company\u2019s reports an important indicator of demand across the economy.<\/p>\n

The chipmaker has spent heavily on new production to try to make itself more resilient and provide options in a world with growing trade barriers. The company has four plants outside of the U.S., including one in China. It\u2019s also building new factories near its home base in the Dallas area and in Utah.<\/p>\n

That spending on plants and equipment has cut into cash flow and profitability. The company has promised to switch back to a heavy focus on shareholder returns once that build-out is complete.<\/p>\n

Texas Instruments has reached optimal levels of inventory and has now started to slow down work at its factories to make sure it doesn\u2019t create too big a stockpile, executives said. That will act as a drag on profitability in the short term, they said. <\/p>\n

– Ian King for Bloomberg<\/p>\n

\"Match<\/a>Tinder mandates face verification for new users to fight spam, fraud<\/a><\/p>\n

The security measure will roll out nationwide in the coming months.<\/p>\n

\"AT&T's<\/a>AT&T adds more mobile, internet subscribers on promotions<\/a><\/p>\n

AT&T has gained ground with a new \u201ccustomer guarantee\u201d introduced in January.<\/p>\n","protected":false},"excerpt":{"rendered":"Dallas-based Texas Instruments Inc., the biggest maker of analog chips, gave a lackluster forecast for the current period,…\n","protected":false},"author":2,"featured_media":16734,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9],"tags":[102,104,103,3621,13263],"class_list":{"0":"post-16733","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-dallas","8":"tag-dallas","9":"tag-dallas-headlines","10":"tag-dallas-news","11":"tag-technology","12":"tag-texas-instruments"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/posts\/16733","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/comments?post=16733"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/posts\/16733\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/media\/16734"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/media?parent=16733"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/categories?post=16733"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/tags?post=16733"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}