Texas Instruments has reported revenue of $4.83 billion (+19 percent) and net income of $2.14 billion in the fourth quarter of 2021.
“Revenue increased 19 percent driven by strong demand in industrial and automotive markets. Analog revenue grew 20 percent and Embedded Processing grew 6 percent,” Rich Templeton, TI’s chairman, president and CEO, said.
Texas Instruments said it would sharpen its focus on chips used in the automotive and industrial sectors.
The company is boosting capacity as chipmakers try to plug the gap between demand and supply caused by the pandemic-fueled supply delays and a shift to working and learning from home.
Texas Instruments plans to bank on opportunities and place strategic emphasis on the industrial and automotive segments, which roughly account for 41 percent and 21 percent of the company’s annual revenue.
“It’s very easily seen in the automotive market that there’s content growth. We can see the cars today just have more semi content in them per vehicle than what we drove 5 years ago and 10 years ago. It’s very clear that that’s going to continue,” TI’s head of investor relations David Pahl said in a call with analysts.
Customers in these two segments are turning to analog and embedded technology to make their end-products smarter and more efficient, which will drive faster growth in chip demand to these segments, he added.
Texas Instruments in November announced plans to set up 300 millimeter wafer fabrication plants in Sherman, Texas, which will complement its two other units in the city and a third it bought in Utah, Reuters reported.
Texas Instruments forecast first-quarter revenue between $4.5 billion and $4.9 billion.
The company makes analog and embedded processing chips that are used in products that cater to a broad market, lowering its reliance on a single customer segment.
