Nxp Semiconductors N.V. (NXPI) has reported 86.83 percent plunge in profit for the quarter ended Dec. 31, 2016. The company has earned $128 million, or $0.37 a share in the quarter, compared with $972 million, or $3.56 a share for the same period last year.
Revenue during the quarter surged 51.93 percent to $2,440 million from $1,606 million in the previous year period. Gross margin for the quarter expanded 1019 basis points over the previous year period to 48.73 percent. Total expenses were 92.91 percent of quarterly revenues, up from 36.92 percent for the same period last year. That has resulted in a contraction of 5599 basis points in operating margin to 7.09 percent.
Operating income for the quarter was $173 million, compared with $1,013 million in the previous year period.
However, the adjusted operating income for the quarter stood at $715 million compared to $433 million in the prior year period. At the same time, adjusted operating margin improved 234 basis points in the quarter to 29.30 percent from 26.96 percent in the last year period.
"NXP delivered better than historical seasonal results for the fourth quarter of 2016, with revenue of $2.44 billion, an increase of 52 percent year on year, and a decline of one percent versus the prior quarter, in-line with the mid-point of our guidance. Our full-year revenue was $9.5 billion, up 56 percent versus our results in 2015," said Richard Clemmer, NXP chief executive officer.
Operating cash flow improves significantlyNxp Semiconductors N.V. has generated cash of $2,303 million from operating activities during the year, up 73.16 percent or $973 million, when compared with the last year. The company has spent $627 million cash to meet investing activities during the year as against cash outgo of $430 million in the last year. It has incurred net capital expenditure of $267 million on net basis during the year, down 2.20 percent or $6 million from year ago.
The company has spent $1,392 million cash to carry out financing activities during the year as against cash outgo of $449 million in the last year period.
Cash and cash equivalents stood at $1,894 million as on Dec. 31, 2016, up 17.35 percent or $280 million from $1,614 million on Dec. 31, 2015.
Debt remains almost stable
Total debt of Nxp Semiconductors N.V. remained almost stable for the quarter at $9,187 million, when compared with the last year period.
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