$NXPI · NXP Semiconductors N.V.
NXP Semiconductors reported Q3 2026 results with revenue of $3.786B (+19% YoY), non-GAAP diluted EPS of $4.20, and non-GAAP free cash flow of $1.21B. The Board authorized a new $5B share repurchase program. Q4 guidance calls for revenue of $3.75B-$3.95B and non-GAAP EPS of $4.14-$4.58, with the revenue midpoint implying a sequential decline.
- Q3 revenue $3.786B, up 19% YoY and 8% sequentially, driven by automotive and data center infrastructure.
- Non-GAAP diluted EPS of $4.20 vs. $3.11 a year ago; GAAP diluted EPS $3.48 vs. $2.48.
- Non-GAAP free cash flow was $1.21B, or 31.9% of revenue; capital return was $359M (29.8% of FCF).
- Board authorized a new $5B share repurchase program in addition to $1.3B remaining under prior authorization.
- Q4 guidance: revenue $3.75B-$3.95B (midpoint -1% QoQ), non-GAAP EPS $4.14-$4.58.
Extended-hours trading shows NXPI at $233.00, down 8.09% from the regular-session close of $253.50. The selloff suggests the market is reacting negatively to Q4 guidance implying a sequential revenue decline at the midpoint ($3.85B vs. $3.786B in Q3), despite the Q3 beat and the $5B buyback authorization.
Strong Q3 beat overshadowed by Q4 guidance implying a sequential revenue contraction, triggering an 8% after-hours selloff despite a massive $5B buyback authorization.
NXP's 19% YoY revenue growth and 58.6% non-GAAP gross margin reflect strong cyclical recovery in automotive and industrial semis, but the Q4 sequential guide-down may signal that the recovery pace is moderating heading into year-end.
Q4 guidance midpoint of $3.85B implies -1% sequential revenue decline, breaking the recent growth trend. Forward-looking risks cited include tariffs and trade actions by the U.S., China, and other countries, plus export restrictions on products and technology.