NXP Semiconductors NV
Q3 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: −1.04%.
Did NXPI Beat Earnings? Q3 2025 Results
NXP Semiconductors delivered a mixed <a href="https://247wallst.com/investing/2025/10/27/live-earnings-will-nxp-semiconductor-soar-after-q3-results/">third-quarter earnings result</a>, posting revenue of $3.17 billion that edged past the $3.16 billion consensus by 0.55%, while non-GAAP diluted EPS of $3.11 fell just short of the $3.12 estimate by 0.27%. Revenue slipped 2.4% year-over-year, reflecting continued pressure from a prolonged semiconductor cycle downturn, though broad-based sequential improvement across all regions and end markets signaled early recovery momentum under incoming President and CEO Rafael Sotomayor. The Automotive segment, NXP's largest at $1.84 billion, held flat year-over-year, while Mobile surged 30% sequentially to $430 million, providing meaningful lift. Non-GAAP gross margin contracted to 57.0% from 58.2% a year earlier, weighing on profitability. On the strategic front, NXP agreed to sell its MEMS sensors business to STMicroelectronics for up to $950 million. Looking ahead, management guided Q4 revenue of $3.20 billion to $3.40 billion, with non-GAAP EPS of $3.07 to $3.49, pointing to 3-9% year-over-year growth as cyclical tailwinds and company-specific drivers gain traction.
- Broad-based sequential improvement across all regions and end markets
- Mobile segment showed strongest sequential recovery at 30% QoQ growth
- Automotive segment remained the largest revenue contributor at $1.837 billion
- Revenue exceeded midpoint of guidance
“NXP reported quarterly revenue of $3.17 billion, exceeding the midpoint of our guidance. We experienced broad-based sequential improvement across all regions and end markets. Our outlook reflects the strength of our company specific growth drivers and signs of a cyclical recovery. We remain focused on disciplined investment and portfolio enhancement to drive profitable growth, while maintaining control over the factors we can influence.”
NXP Semiconductors CEO, on the earnings call
Forward Guidance & Outlook
For Q4 2025, NXP guided total revenue of $3,200 million to $3,400 million (midpoint $3,300 million), representing 3-9% year-over-year growth and 1-7% sequential growth. Non-GAAP gross margin is expected to range from 57.0% to 58.0%, with non-GAAP operating margin of 33.7% to 35.4%. Non-GAAP diluted EPS is guided at $3.07 to $3.49 (midpoint $3.28). GAAP diluted EPS is expected at $2.40 to $2.81. The tax rate is expected at 17.5%-18.5%. Management's outlook reflects strength in company-specific growth drivers and signs of a cyclical recovery.
NXPI YoY Financials
NXPI Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.