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Technology · NASDAQ: TXN

Texas Instruments: how the business works

Texas Instruments makes analog and embedded processing chips for factory, car, phone and data center equipment, with revenue of $17.7 billion in FY2025.

By · Checked against filings: . Editorial policy. Corrections

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Texas Instruments Incorporated · Dallas, Texas · Founded 1930

Updated for Q3 FY2026 · checked

Revenue, FY2025
$17.7B
Net income, FY2025
$5.0B
Revenue, Q3 FY2026 (up 28% from a year earlier)
$6.06B
Customers, FY2025
Over 100,000
Employees, Dec 31, 2025
About 33,000

For learning only. Cityfort is not a registered investment adviser or broker-dealer and does not recommend buying or selling any security. Prices shown are dated and may be out of date.

The short version

Texas Instruments in 5 points

  1. 1 · What it sells

    Texas Instruments makes chips that manage power and turn real-world signals into data: Analog chips were $14.0 billion of FY2025 revenue of $17.7 billion, and Embedded Processing chips that control machines, cars and devices were $2.7 billion.

    More: what it sells

  2. 2 · Who pays it

    By TI's estimate, industrial customers were 33% of FY2025 revenue, automotive 33%, personal electronics 21%, data center 9%, communications equipment 3% and calculators 1%.

    More: who pays it

  3. 3 · What it keeps from $100

    Of every $100 that came in during FY2025, TI kept $27.9 as net income, while operating profit, before other income, interest and tax, was $34.1 per $100 of revenue, and other income added $230 million.

    More: what it keeps from $100

  4. 4 · Where the operating profit comes from

    Analog earned $5.4 billion of TI's FY2025 operating profit of $6.0 billion, Embedded Processing $304 million and other products $307 million.

    More: where the operating profit comes from

  5. 5 · The one thing to watch

    TI's gross margin fell from 68.8% in FY2022 to 57.0% in FY2025 while yearly depreciation rose from $925 million to $1.92 billion, and it was 64.2% in Q3 FY2026.

    More: the one thing to watch

Sources: From Texas Instruments' FY2025 and FY2024 10-Ks and Q3 FY2026 earnings release · checked

See the full receipt and the management scorecard below

01Where the money goes · FY2025

Where does $100 of Texas Instruments' money go?

Of every $100 that came in (revenue plus other income), this is where it went.

Texas Instruments · FY2025

Receipt for every $100

Where $100 of Texas Instruments' money went in FY2025
Cost of revenue$42.4
Research and development$11.6
Selling, general and administrative$10.4
Restructuring charges$0.7
Interest on debt$3.0
Income tax$4.0
Kept as net income$27.9
Total$100

Each line = amount ÷ total money in × 100. Lines may not add to exactly $100 because of rounding.

How this is worked out

Cityfort calculation from FY2025 10-K. Of every $100 that came in during FY2025 (revenue of $17,682 million plus $230 million of other income): each line = line ÷ $17,912 million × 100.

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02The business in one line

What does Texas Instruments do?

Makers of factory equipment, cars, phones and data center gear pay Texas Instruments for chips it mostly makes in its own factories; in FY2025, making them took $42.4 of every $100 that came in, and $27.9 was left as net income.

  • Analog chips, which manage power and turn real-world signals such as sound or temperature into data, were 79.2% of FY2025 revenue. Embedded Processing was 15.3% and other products 5.5%.
  • Revenue was $17.7 billion in FY2025, below FY2022's $20.0 billion. In Q3 FY2026 it was $6.06 billion, 28% more than a year earlier.

03Who pays it

Who pays Texas Instruments?

  • Industrial

    33%

    of revenue

    Factory automation, aerospace and defense, energy infrastructure, building automation, medical, test and measurement, appliances and robotics.

  • Automotive

    33%

    of revenue

    Infotainment and dashboards, driver assistance systems, body electronics and lighting, hybrid and electric powertrains, chassis and safety.

  • Personal electronics

    21%

    of revenue

    Phones, PCs, portable electronics, home entertainment, printers, TVs, tablets, wearables, gaming and data storage.

  • Data center

    9%

    of revenue

    Data center computing, networking, and rack power and cooling.

  • Communications equipment

    3%

    of revenue

    Wireless infrastructure and wired networking.

  • Calculators

    1%

    of revenue

    TI's own calculators.

  • Industrial33%
  • Automotive33%
  • Personal electronics21%
  • Data center9%
  • Communications equipment3%
  • Calculators1%

Customer concentration

Shares are TI's estimates for FY2025, after it realigned its markets in 2025, so they do not compare with older 10-Ks. One end customer, not named, was 12% of revenue in FY2025 and FY2024, mainly in Analog; none reached 10% in FY2023. About half of revenue came from customers outside TI's largest 50.

Largest customer
12%

04Why it makes money

Why does Texas Instruments make money?

TI owns most of its factories, so its profit per dollar of sales rises and falls with how full they run.

TI's 10-K says much of its cost is fixed because it owns its manufacturing, so margins fall when factory loadings drop. Gross margin, what is left after making the chips, fell from 68.8% in FY2022 to 57.0% in FY2025, which the 10-K links partly to costs of new capacity. In Q3 FY2026, with revenue up 28%, it was 64.2%.

Gross margin per $100 of revenue

$68.8$57.0

FY2022 to FY2025

  1. TI builds and runs its own wafer factories, now mostly 300mm
  2. TI says a chip on a 300mm wafer costs about 40% less unpackaged than on 200mm
  3. Factory costs are largely fixed, so fuller factories spread them over more chips
  4. More than 80,000 products sold to over 100,000 customers keep the factories loaded
  5. Cash from operations pays for new factories and dividends

↺ Step 5 feeds back into step 1.

05Business segments · FY2025

Which businesses make up Texas Instruments?

  • Analog

    79%

    Power and signal chain chips. Revenue rose 15.2% in FY2025 to $14.0 billion, and operating profit was $5.4 billion, a 38.6% margin.

    Revenue $14.0B · Operating profit $5.4B

  • Embedded Processing

    15%

    Microcontrollers, processors, wireless connectivity and radar chips. Revenue rose 6% in FY2025, and operating profit fell to $304 million, an 11.3% margin. TI's 10-K says the Lehi factory, early in its ramp, weighs on this segment's profit.

    Revenue $2.7B · Operating profit $304M

  • Other

    6%

    DLP products, calculators and custom chips, plus some corporate, acquisition and restructuring items. Operating profit was $307 million.

    Revenue $979M · Operating profit $307M

How the mix changed

  • Analog
  • Embedded Processing
  • Other

Revenue by segment, FY2021 to FY2025.

US$

See the numbers
How the mix changed (US$)
YearAnalogEmbedded ProcessingOther
FY2021$14.1B$3.0B$1.2B
FY2022$15.4B$3.3B$1.4B
FY2023$13.0B$3.4B$1.1B
FY2024$12.2B$2.5B$947M
FY2025$14.0B$2.7B$979M

06The numbers · Consolidated · US$

How has Texas Instruments done?

Revenue

$17.7BFY2025

Revenue fell from $20.0 billion in FY2022 to $15.6 billion in FY2024, then rose to $17.7 billion in FY2025; Q3 FY2026 revenue of $6.06 billion was 28% above a year earlier.

US$

See the numbers
Revenue (US$)
PeriodRevenue (US$)
FY2021$18.3B
FY2022$20.0B
FY2023$17.5B
FY2024$15.6B
FY2025$17.7B
Q3 FY2024$4.2B
Q4 FY2024$4.0B
Q1 FY2025$4.1B
Q2 FY2025$4.4B
Q3 FY2025$4.7B
Q4 FY2025$4.4B
Q1 FY2026$4.8B
Q2 FY2026$5.5B
Q3 FY2026$6.1B

Net profit

$5.0BFY2025

Net income fell from $8.7 billion in FY2022 to $4.8 billion in FY2024 and was $5.0 billion in FY2025; Q3 FY2026 net income of $2.43 billion was 78% above a year earlier.

US$

See the numbers
Net profit (US$)
PeriodNet profit (US$)EPS ($)
FY2021$7.8B$8.26
FY2022$8.7B$9.41
FY2023$6.5B$7.07
FY2024$4.8B$5.20
FY2025$5.0B$5.45
Q3 FY2024$1.4B$1.47
Q4 FY2024$1.2B$1.30
Q1 FY2025$1.2B$1.28
Q2 FY2025$1.3B$1.41
Q3 FY2025$1.4B$1.48
Q4 FY2025$1.2B$1.27
Q1 FY2026$1.5B$1.68
Q2 FY2026$2.0B$2.14
Q3 FY2026$2.4B$2.62

Profit kept per $100 of revenue

$28.3FY2025

Net income per $100 of revenue fell from $43.7 in FY2022 to $28.3 in FY2025, when operating profit per $100 was $34.1, then reached $40.0 in Q3 FY2026.

$ of profit per $100 of revenue (net margin)

See the numbers
Profit kept per $100 of revenue ($ of profit per $100 of revenue (net margin))
YearNet marginEBITDA margin
FY202142.4%54.0%
FY202243.7%55.5%
FY202337.2%48.9%
FY202430.7%45.0%
FY202528.3%45.4%

Free cash flow

$2.6BFY2025

Cash from operations minus capital spending fell from $6.3 billion in FY2021 to $1.3 billion in FY2023, when capital spending was $5.1 billion, and was $2.6 billion in FY2025, a year in which operating cash included a $335 million CHIPS Act tax credit.

US$ · cash from operations minus spending on plants and equipment

See the numbers
Free cash flow (US$ · cash from operations minus spending on plants and equipment)
YearCash from operationsCapital spendingFree cash flow
FY2021$8.8B$2.5B$6.3B
FY2022$8.7B$2.8B$5.9B
FY2023$6.4B$5.1B$1.3B
FY2024$6.3B$4.8B$1.5B
FY2025$7.2B$4.6B$2.6B
See all yearly numbers
Texas Instruments annual financials, FY2021–FY2025, US$
YearRevenueEBITDANet profitEPS ($)Operating cashCapexFree cash
FY2021$18.3B$9.9B$7.8B$8.26$8.8B$2.5B$6.3B
FY2022$20.0B$11.1B$8.7B$9.41$8.7B$2.8B$5.9B
FY2023$17.5B$8.6B$6.5B$7.07$6.4B$5.1B$1.3B
FY2024$15.6B$7.0B$4.8B$5.20$6.3B$4.8B$1.5B
FY2025$17.7B$8.0B$5.0B$5.45$7.2B$4.6B$2.6B

EBITDA here = operating income plus depreciation and amortization (from the cash flow statement). Fiscal years are the company's own (Dec 31 (fiscal year = calendar year)). Net profit is the share belonging to the company's owners.

Download Texas Instruments's yearly and quarterly numbers (CSV, with source ids)

Learn: Fiscal years that don't end in December: Nvidia's FY2027 explained · Stock-based compensation and dilution: pay that becomes shares

07Who runs it

Who runs Texas Instruments, and did they deliver?

  • Haviv Ilan

    Chairman, President and Chief Executive Officer · since 2023

    President and CEO since 2023, director since 2021 and chairman since January 2026, after Rich Templeton retired. 2025 total pay was $22.7 million, about 272 times the median employee's $83,617.

  • Julie Knecht

    Senior Vice President and Chief Financial Officer (Chief Accounting Officer) · since 2026

    Took over on Aug 1, 2026 from Rafael Lizardi, who retired after 25 years. She has worked at TI for more than 25 years and was Chief Accounting Officer from 2021.

What they said, and what happened

4 delivered · 3 too early to tell

  1. Said on Oct 21, 2025

    TI guided Q4 FY2025 revenue of $4.22 billion to $4.58 billion and diluted EPS of $1.13 to $1.39.

    What happened

    Reported revenue of $4.42 billion and EPS of $1.27, both within the ranges.

    Delivered
  2. Said on Jan 27, 2026

    TI guided Q1 FY2026 revenue of $4.32 billion to $4.68 billion and diluted EPS of $1.22 to $1.48.

    What happened

    Reported revenue of $4.83 billion and EPS of $1.68, both above the ranges.

    Delivered
  3. Said on Apr 22, 2026

    TI guided Q2 FY2026 revenue of $5.00 billion to $5.40 billion and diluted EPS of $1.77 to $2.05.

    What happened

    Reported revenue of $5.46 billion and EPS of $2.14, both above the ranges.

    Delivered
  4. Said on Jul 22, 2026

    TI guided Q3 FY2026 revenue of $5.65 billion to $6.15 billion and diluted EPS of $2.23 to $2.57.

    What happened

    Reported revenue of $6.06 billion, within the range, and EPS of $2.62, above it.

    Delivered
  5. Said on Feb 6, 2026

    TI said it expects about $2 billion to $3 billion of capital expenditures in 2026.

    What happened

    Capital expenditures were $1.65 billion in the first nine months of 2026.

    Too early to tell
  6. Said on Feb 4, 2026

    TI said it expects to close the Silicon Labs purchase in the first half of 2027.

    What happened

    The Q3 FY2026 10-Q still expects closing in the first half of 2027.

    Too early to tell
  7. Said on Oct 21, 2026

    TI guided Q4 FY2026 revenue of $5.80 billion to $6.30 billion and diluted EPS of $2.45 to $2.79.

    What happened

    Q4 FY2026 results are not out yet.

    Too early to tell

08What could go wrong

What could go wrong for Texas Instruments?

  • Demand

    Profit swings with demand and factory loadings

    TI's 10-K says much of its cost is fixed because it owns its factories, so margins fall when loadings drop. Revenue fell from $20.0 billion in FY2022 to $15.6 billion in FY2024, and operating margin fell from 50.6% to 34.9%.

    Watch Gross margin and days of inventory in each earnings release and 10-Q.

  • Regulation

    China

    Products shipped into China were about 50% of FY2025 revenue, and customers headquartered in China 21%. TI's 10-K says China's promotion of its own chip industry could add competition, and names trade rules and regulatory scrutiny of the industry as risks.

    Watch Revenue from China-headquartered customers in each 10-Q and 10-K; trade rule changes.

  • Concentration

    One large customer

    One end customer, not named, was 12% of revenue in FY2025 and FY2024, mainly in Analog. No customer reached 10% in FY2023.

    Watch The major customer note in each 10-K.

  • Execution

    Silicon Labs purchase

    TI agreed to pay $231 a share in cash, an enterprise value of about $7.5 billion. Closing is subject to regulatory approvals and other customary closing conditions. TI has an undrawn $5 billion term loan for it, and its new $2.0 billion of notes must be redeemed at 101% if the deal does not close.

    Watch Regulatory approvals, the closing date and how much of the term loan is drawn.

  • Debt

    Dividends above free cash flow, with more debt

    Dividends exceeded cash from operations minus capital spending in each of FY2023 to FY2025, and debt rose from $7.7 billion at end-2021 to $14.0 billion at end-2025. In the four quarters to Sep 30, 2026, cash from operations minus capital spending was $7.3 billion, against $5.2 billion of dividends (Cityfort calculation from the Q3 FY2026 earnings release).

    Watch Cash from operations, capital spending and dividends paid each quarter; net debt.

  • Competition

    Competition, including from Asia

    TI's 10-K says it faces intense technological and pricing competition that it expects to keep increasing, including from emerging companies, particularly in Asia. It names no rivals.

    Watch Analog revenue and gross margin each quarter.

09Both sides

What do supporters and critics point to?

Facts each side points to. We don't say which side is right.

What supporters point to

  • Q3 FY2026 revenue rose 28% from a year earlier to $6.06 billion, and gross margin was 64.2%, up from 57.4%.
  • Revenue came in within or above TI's guided range in each of the eight quarters from Q4 FY2024 to Q3 FY2026.
  • Capital spending was $5.1 billion in FY2023, $4.55 billion in FY2025 and $1.65 billion in the first nine months of 2026, while cash from operations was $9.9 billion in the four quarters to Sep 30, 2026.
  • TI has over 100,000 customers and more than 80,000 products, and about half of FY2025 revenue came from customers outside its largest 50.
  • TI raised its quarterly dividend to $1.52 in September 2026, which it says marks 23 consecutive years of increases.

What critics point to

  • Gross margin fell from 68.8% in FY2022 to 57.0% in FY2025, while yearly depreciation rose from $925 million to $1.92 billion.
  • Dividends of $5.0 billion equaled all of FY2025 net income and exceeded cash from operations minus capital spending in FY2023, FY2024 and FY2025.
  • TI went from net cash of $2.0 billion at end-2021 to net debt of $9.2 billion at end-2025, and $2.0 billion of new notes settle in November 2026.
  • Products shipped into China were about 50% of FY2025 revenue, and one unnamed customer was 12%.
  • Embedded Processing's operating margin fell from 38.4% in FY2022 to 11.3% in FY2025.

10What to watch next

What should you watch next at Texas Instruments?

Next event

Q4 FY2026 results

Date not announced yet.

  • Q4 FY2026 against TI's range

    TI said on Oct 21, 2026 that it expects Q4 revenue of $5.80 billion to $6.30 billion and diluted EPS of $2.45 to $2.79.

  • Gross margin and capital spending

    Gross margin was 64.2% in Q3 FY2026. Capital spending was $1.65 billion in the first nine months of 2026, against TI's 2026 range of about $2 billion to $3 billion.

  • Silicon Labs approvals

    TI expects to close in the first half of 2027, subject to regulatory approvals and other customary closing conditions; the 10-Q reports the deal's status each quarter.

11Key dates

What are the key dates for Texas Instruments?

Dates as stated in the filings. A date that no filing has given yet shows as not yet stated.
Key dates for Texas Instruments
EventDateSource
Settlement of $2.0 billion of new notesFour $500 million notes due 2028, 2031, 2033 and 2036, priced Oct 26, 2026. TI must redeem them at 101% if the Silicon Labs purchase does not close.Free writing prospectus: pricing term sheet for 2028, 2031, 2033 and 2036 notes (with ratings)
Higher quarterly dividend of $1.52 payableTI said on Sep 17, 2026 that it is payable to stockholders of record on Oct 30, 2026, subject to the board formally declaring it in October.8-K filed Sep 17, 2026: TI increases dividend 7% to $1.52 per share (Exhibit 99)
Expected closing of the Silicon Labs purchaseTI expects it in the first half of 2027, subject to regulatory approvals and other customary closing conditions.Not yet stated8-K filed Feb 4, 2026: joint press release, Texas Instruments to acquire Silicon Labs (Exhibit 99.1); Form 10-Q, third quarter 2026 (quarter ended Sep 30, 2026)

12Key facts

Key facts about Texas Instruments

What does Texas Instruments do?
Texas Instruments (TI) designs and makes analog and embedded processing chips that go into industrial equipment, cars, phones, PCs and data centers. TI sold more than 80,000 products to over 100,000 customers and had revenue of $17.7 billion in FY2025 (year ended Dec 31, 2025).
How does Texas Instruments make money?
Texas Instruments makes money by selling chips it mostly makes in its own factories. In FY2025, Analog chips brought in $14.0 billion (79.2% of revenue), Embedded Processing $2.7 billion (15.3%) and other products, including calculators, $979 million (5.5%).
What is Texas Instruments' business model?
Texas Instruments runs its own wafer factories, increasingly on 300mm wafers, and sells a very wide range of chips. TI says a chip on a 300mm wafer costs about 40% less unpackaged than on a 200mm wafer. More than 80% of TI's FY2025 revenue came from direct sales, including its website, and under 20% through distributors.
Is Texas Instruments profitable?
Yes. Texas Instruments had net income of $5.0 billion and operating profit of $6.0 billion in FY2025, on revenue of $17.7 billion. Net income was $2.43 billion in Q3 FY2026 (quarter ended Sep 30, 2026), up 78% from $1.36 billion a year earlier.
What is Texas Instruments' revenue by segment?
In FY2025, Texas Instruments' Analog segment had revenue of $14.0 billion and operating profit of $5.4 billion. Embedded Processing had revenue of $2.7 billion and operating profit of $304 million. Other products had revenue of $979 million and operating profit of $307 million.
How much revenue does Texas Instruments make from analog chips?
Analog chips brought in $14.0 billion, 79.2% of Texas Instruments' FY2025 revenue, up from $12.2 billion in FY2024. In Q3 FY2026 Analog revenue was $4.91 billion, up 32% from a year earlier. Analog includes power chips and signal chain chips.
How much revenue does Texas Instruments make from embedded processing?
Embedded Processing (microcontrollers, processors, wireless connectivity and radar chips) brought in $2.7 billion, 15.3% of Texas Instruments' FY2025 revenue, with an operating margin of 11.3%. In Q3 FY2026 Embedded Processing revenue was $858 million, up 21% from a year earlier.
Who are Texas Instruments' customers?
Texas Instruments sells to over 100,000 customers. By TI's estimate, industrial customers were 33% of FY2025 revenue, automotive 33%, personal electronics 21%, data center 9% and communications equipment 3%. One end customer, not named, was 12% of TI's revenue in FY2025 and FY2024.
Who owns Texas Instruments?
Texas Instruments has one class of common stock with one vote per share, and 913.8 million shares were outstanding on Oct 14, 2026. Vanguard Capital Management reported 7.49% on Mar 31, 2026. TI's 2026 proxy lists BlackRock at 8.5%, based on Dec 31, 2023 data, and directors and executive officers together at less than 1%.
What were Texas Instruments' latest quarterly results?
Texas Instruments' revenue was $6.06 billion in Q3 FY2026 (quarter ended Sep 30, 2026), up 28% from $4.74 billion in Q3 FY2025. Net income was $2.43 billion and diluted EPS $2.62, up from $1.48. Gross margin was 64.2%, up from 57.4%.

Terms on this page

Each explains the term in plain English, with the same number from other companies on Cityfort.

Go deeper

More detail from the same filings. Open any section.

13What it sells

13What it sells

What does Texas Instruments sell?

Texas Instruments makes the chips that handle electricity and real-world signals inside other companies' equipment. It sells more than 80,000 products, mostly made in its own factories, to over 100,000 customers.
  • Analog ($14.0B in FY2025)

    Power chips convert, store and measure electricity in anything plugged in or running on a battery. Signal chain chips turn sound, temperature, pressure or light into data that other chips can process.

  • Embedded Processing ($2.7B)

    Microcontrollers and processors, small computers on a chip that control machines, cars and devices, plus wireless connectivity and radar chips.

  • Other ($979M)

    DLP products, calculators (about 1% of revenue) and custom chips (ASICs).

Think of it like this

Analog chips work like the senses and the power supply of a device: they read the outside world and feed it electricity, while processors do the thinking.

What it does

  • Does: Designs its chips and makes most of them in its own wafer factories and assembly and test sites
  • Does: Sells more than 80% of its revenue directly, including through its website TI.com
  • Does: Sells calculators, about 1% of FY2025 revenue

What it does not do

  • Does not: Does not rely mainly on distributors: they handled under 20% of FY2025 revenue
  • Does not: Does not depend on a few new products: its 10-K says new products rarely move revenue much because it sells so many
  • Does not: Does not name its largest customer, which was 12% of revenue in FY2025
14How the money flows

14How the money flows · FY2025

How does money flow through Texas Instruments?

Money in

  • Analog$14.0B
  • Embedded Processing$2.7B
  • Other (DLP, calculators, custom chips)$979M
  • Other income, net (incl. interest earned)$230M

The company

Texas Instruments

$17.9B came in

Money out

  • Cost of revenue$7.6B
  • Research and development$2.1B
  • Selling, general and administrative$1.9B
  • Restructuring charges (incl. planned closing of the last 150mm factories)$117M
  • Interest on debt$543M
  • Income tax$709M
  • Net income$5.0B
  1. Customers paid TI $17.7 billion in FY2025, $14.0 billion of it for Analog chips.
  2. Making the chips cost $7.6 billion.
  3. Research took $2.1 billion, selling and administration $1.9 billion and restructuring $117 million, leaving $6.0 billion of operating profit.
  4. Other income added $230 million; interest on debt took $543 million and tax $709 million.
  5. That left $5.0 billion of net income, and TI paid $5.0 billion of dividends that year.
15What it needs to run

15What it needs to run

What does Texas Instruments need to run?

  • Its own factories

    Property, plant and equipment was $12.3 billion at Dec 31, 2025, $8.8 billion of it in the US. The newest 300mm factories are in Richardson and Sherman, Texas, and Lehi, Utah.

  • Capital spending

    TI spent $19.7 billion on capital expenditures from FY2021 to FY2025 (Cityfort calculation from the FY2025 and FY2022 10-Ks), peaking at $5.1 billion in FY2023. Its 10-K says it is near the end of a six-year cycle of elevated spending.

  • Inventory built ahead

    Inventory was $4.8 billion at Dec 31, 2025, or 222 days. TI's 10-K says it builds ahead products sold to many customers that are unlikely to become obsolete.

  • People

    About 33,000 employees at Dec 31, 2025, about 90% of them in research, sales or manufacturing.

  • Government incentives

    US CHIPS Act direct funding of up to $1.6 billion for three 300mm factories, paid on milestones; TI had received $630 million by Sep 30, 2026. The Act's investment tax credit was worth $335 million of cash in FY2025.

16Where it sells

16Where it sells · FY2025, by where each end customer has its headquarters

Where does Texas Instruments sell?

  • United States38%
  • China21%
  • Europe, Middle East and Africa21%
  • Rest of Asia11%
  • Japan7%
  • Rest of world2%
17Where growth could come from

17Where growth could come from

Where could Texas Instruments' growth come from?

TI said on Oct 21, 2026 that it expects Q4 FY2026 revenue of $5.80 billion to $6.30 billion and diluted EPS of $2.45 to $2.79. In its FY2025 10-K (Feb 6, 2026) it said it expects to spend about $2 billion to $3 billion on capital expenditures in 2026.
Management statement, Oct 21, 2026. Reported as a statement, not our forecast.
  • Analog demand

    Working

    Analog +32% in Q3 FY2026

    Analog revenue was $4.91 billion in Q3 FY2026, up from $3.73 billion a year earlier, and operating profit was $2.51 billion. The Q3 FY2026 10-Q says growth in chip content is continuing alongside a cyclical recovery.

    Status: Working, on track against what the company said.

  • Embedded Processing

    Working

    Operating margin 26.5% in Q3 FY2026 (Q3 FY2026 10-Q)

    Revenue rose 21% to $858 million in Q3 FY2026, and operating profit rose 110% to $227 million. The segment's operating margin was 38.4% in FY2022. TI's Q3 FY2026 10-Q (Oct 23, 2026) says: "As LFAB ramps, we expect Embedded to carry manufacturing costs that disproportionately benefit Embedded Processing operating profit as compared to Analog." LFAB is the Lehi factory.

    Status: Working, on track against what the company said.

  • End of the factory build-out

    Working

    Capex $1.65B in 9 months of 2026

    TI said in February 2026 that it expects about $2 billion to $3 billion of capital spending in 2026, down from $4.55 billion in FY2025. The Q3 FY2026 10-Q says Lehi is continuing to ramp production.

    Status: Working, on track against what the company said.

  • Data center

    New

    9% of FY2025 revenue

    TI made data center its own market in 2025. Its Q3 FY2026 release cites continued broad growth in industrial, automotive and data center.

    Status: New, recently announced.

  • Silicon Labs purchase

    Early

    $231 a share in cash, an enterprise value of about $7.5 billion

    TI agreed on Feb 4, 2026 to buy Silicon Labs, which makes embedded wireless connectivity chips; it expects to close in the first half of 2027. TI said it expects about $450 million a year of manufacturing and operational benefits within three years of closing.

    Status: Early, too early to judge.

Status compares progress with what the company itself said it would do: Working = on track against what the company said; Mixed = partly on track; Behind = behind the company's own plan; New = recently announced; Early = too early to judge.

18The company's own measures (non-GAAP)

18The company's own measures · FY2025 and the four quarters to Sep 30, 2026

What do Texas Instruments' own measures show?

Adjusted (non-GAAP) figures are TI's own measures, shown next to the official (GAAP) number. They are never added together.
  • Official (GAAP): Cash flow from operations, FY2025

    $7.2B

    Company's own measure: Free cash flow (TI's definition), FY2025

    $2.9B

    TI subtracts capital spending and adds cash proceeds from CHIPS Act incentives ($335 million in FY2025). The free cash flowCash from operations minus spending on buildings and equipment. Learn more in "The numbers" subtracts capital spending only: $2,603 million.

  • Official (GAAP): Cash flow from operations, four quarters to Sep 30, 2026

    $9.9B

    Company's own measure: Free cash flow (TI's definition), four quarters to Sep 30, 2026

    $8.4B

    Same definition. TI's release says cash from operations in this period includes a $469 million CHIPS Act tax credit benefit.

  • Official (GAAP): Cash flow from operations as % of revenue

    47.7%

    Company's own measure: Free cash flow as % of revenue (TI's definition), four quarters to Sep 30, 2026

    40.6%

    On revenue of $20,766 million for the four quarters, as stated in TI's Q3 FY2026 release.

These are the company's own measures, defined by the company. They are not comparable across companies, and they are not added together. Each sits beside the nearest official (GAAP) figure.

Learn: Non-GAAP measures: what a company's "adjusted" numbers leave out

19Financial strength and debt

19Financial strength · Sep 30, 2026

How much debt does Texas Instruments have?

At Sep 30, 2026, TI's debt was $5.4 billion more than its cash and short-term investments, a little over half of the $9.9 billion of cash from operations in the four quarters to that date.
  • Total debt$13.6B
  • Cash and investments$8.1B
  • Net debt (debt minus cash)$5.4B
  • Net worth (shareholders' money)$19.2B
Debt to equity
0.71×
$ of debt for every $1 of shareholders' money
  • Net debt is a Cityfort calculation from the Q3 FY2026 10-Q: debt of $13,555 million minus cash and short-term investments of $8,142 million. On the same basis, TI had net cash of $1,998 million at Dec 31, 2021 and net debt of $9,167 million at Dec 31, 2025 (Cityfort calculation from the FY2025 and FY2022 10-Ks).
  • $2.0 billion of new notes priced on Oct 26, 2026 settle on Nov 9, 2026, after this balance sheet. TI must redeem them at 101% if the Silicon Labs purchase does not close.
  • A $5 billion 364-day delayed-draw term loan, entered in June 2026 for the Silicon Labs purchase, was undrawn at Sep 30, 2026.
  • Inventory was $4,672 million at Sep 30, 2026, or 194 days, down from 222 days at Dec 31, 2025.
20Who owns it

20Who owns it · ownership as of Dec 31, 2025

Who owns Texas Instruments?

TI has one class of common stock, one vote per share. The 2026 proxy's table, as of Dec 31, 2025, shows directors and executive officers as a group holding 5,477,727 shares, less than 1%, including shares they could obtain within 60 days.
Share classes
Texas Instruments share classes: shares outstanding (millions) and votes per share
ClassShares (millions)Votes per shareHeld by% of shares% of votesTraded
Common stock (Shares outstanding on Oct 14, 2026 (Q3 FY2026 10-Q cover). TI has no other share class and no preferred stock outstanding.)913.81–––Yes
Holders of 5% or more
Texas Instruments holders of 5% or more, from the proxy statement or later Schedule 13G filings; each row shows its own date
HolderSharesVotesAs ofSourceNote
Vanguard Capital Management LLC7.5%–Mar 31, 2026S15, S16, S14Schedule 13G filed Apr 30, 2026: 68,246,741 shares. The Vanguard Group, listed at 10.04% in the proxy (as of May 31, 2024), reported 0 shares in a Mar 27, 2026 filing after a Jan 12, 2026 internal realignment; its units now report separately.
BlackRock, Inc.8.5%–Dec 31, 2023S14, S262026 proxy figure, based on a filing with Dec 31, 2023 data: 76,795,073 shares. No later BlackRock filing for TI appears in the EDGAR filing list checked on Nov 6, 2026.

From the company's proxy statement (DEF 14A), later Schedule 13G filings and the share counts on its latest annual or quarterly report. Each holder row shows the date of its own filing.

Insider trades · Form 4 data as of Nov 6, 2026

What did Texas Instruments' insiders report trading?

Texas Instruments' insiders made 68 Form 4A filing an insider must make within two business days of buying or selling the company's shares. Learn more filings in the 12 months to Nov 6, 2026.

They reported no purchases and 52 sales (471,178 shares) in the open market or privately (codes P and S).

None of the sales were on forms with the Rule 10b5-1 plan box checked.

The same filings report 82 other share transactions (M: 43, A: 25, F: 12, G: 2).

They also report 74 transactions in options, stock units or other derivatives.

Insiders are a company's officers, directors and owners of more than 10% of a class of its shares. Most changes in their holdings must be reported to the SEC on a Form 4 within two business days. Source: SEC Form 4 filings on EDGAR.

P
a purchase in the open market or privately
S
a sale in the open market or privately
A
a grant, award or other acquisition from the company under Rule 16b-3
F
shares withheld or handed over to pay an exercise price or tax when an award is received, exercised or vests
M
exercise or conversion of an option or other derivative, exempt under Rule 16b-3
G
a bona fide gift

Code meanings: General Instruction 8 of Form 4 (SEC).

The latest 25 of 134 transactions
Texas Instruments' insider transactions reported on Form 4 in the 12 months to Nov 6, 2026, newest filing first
InsiderTrade dateCodeSharesPriceHeld after10b5-1 boxFiling
KIRK RONALDDirectorOct 29, 2026M6,065 A$79.2621,527Not checkedForm 4, filed Oct 30, 2026
KIRK RONALDDirectorOct 29, 2026S6,065 D$310.3915,462Not checkedForm 4, filed Oct 30, 2026
SANCHEZ ROBERT EDirectorOct 27, 2026M6,065 A$79.2627,665Not checkedForm 4, filed Oct 29, 2026
SANCHEZ ROBERT EDirectorOct 27, 2026S5,588 D$302.1422,077Not checkedForm 4, filed Oct 29, 2026
SANCHEZ ROBERT EDirectorOct 27, 2026S477 D$303.0721,600Not checkedForm 4, filed Oct 29, 2026
PATSLEY PAMELA HDirectorOct 27, 2026M4,532 A$104.4139,019Not checkedForm 4, filed Oct 29, 2026
PATSLEY PAMELA HDirectorOct 27, 2026S4,532 D$301.5634,487Not checkedForm 4, filed Oct 29, 2026
CLARK JANET FDirectorOct 27, 2026M4,306 A$110.1515,647Not checkedForm 4, filed Oct 29, 2026
CLARK JANET FDirectorOct 27, 2026S3,956 D$302.4011,691Not checkedForm 4, filed Oct 29, 2026
CLARK JANET FDirectorOct 27, 2026S350 D$303.1711,341Not checkedForm 4, filed Oct 29, 2026
Abraham TsedeniyaSr. Vice PresidentAug 27, 2026M1,365 A$79.2630,181Not checkedForm 4, filed Aug 31, 2026
Abraham TsedeniyaSr. Vice PresidentAug 27, 2026S6,408 D$264.6023,773Not checkedForm 4, filed Aug 31, 2026
Abraham TsedeniyaSr. Vice PresidentAug 27, 2026S592 D$264.9623,181Not checkedForm 4, filed Aug 31, 2026
Knecht Julie C.VP & Chief Accounting OfficerJul 24, 2026A7,154 A$0.0016,294Not checkedForm 4, filed Jul 31, 2026
Craighead Martin SDirectorMay 28, 2026S9,643 D$320.407514,716Not checkedForm 4, filed May 29, 2026
Craighead Martin SDirectorMay 28, 2026S357 D$321.006914,359Not checkedForm 4, filed May 29, 2026
Lizardi Rafael RSr. Vice President & CFOMay 14, 2026M47,734 A$174.81133,219Not checkedForm 4, filed May 15, 2026
Lizardi Rafael RSr. Vice President & CFOMay 14, 2026S32,119 D$307.8474101,100Not checkedForm 4, filed May 15, 2026
Lizardi Rafael RSr. Vice President & CFOMay 14, 2026S14,156 D$308.544886,944Not checkedForm 4, filed May 15, 2026
Lizardi Rafael RSr. Vice President & CFOMay 14, 2026S1,459 D$309.448785,485Not checkedForm 4, filed May 15, 2026
BAHAI AHMADSr. Vice PresidentMay 14, 2026M5,000 A$110.1547,519Not checkedForm 4, filed May 15, 2026
BAHAI AHMADSr. Vice PresidentMay 14, 2026S5,000 D$309.127242,519Not checkedForm 4, filed May 15, 2026
COX CARRIE SMITHDirectorMay 13, 2026M4,306 A$110.1541,932Not checkedForm 4, filed May 14, 2026
COX CARRIE SMITHDirectorMay 13, 2026M4,532 A$104.4146,464Not checkedForm 4, filed May 14, 2026
COX CARRIE SMITHDirectorMay 13, 2026S8,393 D$306.373738,071Not checkedForm 4, filed May 14, 2026

Shares: A = acquired, D = disposed of. A price the filing gives only in a footnote shows as “See filing”. The 10b5-1 box is checked when at least one trade on the form was made under a Rule 10b5-1 plan. A Form 4/A replaces the form it amends. See all of Texas Instruments' Form 4 filings on EDGAR.

Learn: How to read a proxy statement (DEF 14A): Nvidia's 2026 proxy · Form 4 insider filings: who files, the codes and the footnotes · Rule 10b5-1 trading plans: how insiders pre-schedule their trades

21What it does with profit

21What it does with profit

What does Texas Instruments do with its profit?

TI paid $5.0 billion of dividends in FY2025, equal to 100.0% of net income (Cityfort calculation from the FY2025 10-K). On Sep 17, 2026 it raised the quarterly dividend 7% to $1.52, or $6.08 a year, which it says marks 23 consecutive years of increases. A year earlier it raised it 4% to $1.42. From FY2021 to FY2025 TI paid $22.5 billion of dividends and $6.8 billion of buybacks (Cityfort calculation from the FY2025 and FY2022 10-Ks).

Dividend per share

$5.50FY2025

Dividend paid for each share, by financial year.

$ per share

See the numbers
Dividend per share ($ per share)
YearDividend per shareShare of profit paid out
FY2021$4.21–
FY2022$4.69–
FY2023$5.02–
FY2024$5.26–
FY2025$5.50–
  • Buyback · Dec 31, 2024

    Bought 4.7 million shares for $929 million during FY2024.

    $929M

  • Buyback · Dec 31, 2025

    Bought 8.5 million shares for $1.48 billion during FY2025.

    $1.5B

  • Buyback · Sep 30, 2026

    $18.56 billion remained under TI's buyback authorizations at Sep 30, 2026; TI bought back $233 million of shares in the first nine months of 2026.

    $18.6B

  • Money raised · Jun 30, 2025

    Issued long-term debt with proceeds of $1.2 billion in Q2 FY2025.

    $1.2B

  • Money raised · Oct 26, 2026

    Priced $2.0 billion of notes: $500 million each at 5.000% due 2028, 5.350% due 2031, 5.500% due 2033 and 5.750% due 2036, settling Nov 9, 2026.

    $2.0B

22Governance signals

22Governance signals

What do Texas Instruments' governance filings show?

Auditor
Ernst & Young LLP, since 1952
Auditor changes
None in the period covered
Audit qualifications
None reported
Related-party dealings
TI's 2026 proxy describes a written policy for approving related person transactions and reports none.
Credit rating
Moody's and S&P (as stated in TI's Oct 26, 2026 pricing term sheet for its notes) Aa3 (Moody's) / A+ (S&P) (Stable (both, as stated in the term sheet)), Oct 26, 2026

A credit rating describes the company's ability to repay debt. It is not a rating of the share.

Flags to know about

  • other

    Pending Silicon Labs purchase

    TI agreed on Feb 4, 2026 to buy Silicon Labs for $231 a share in cash, an enterprise value of about $7.5 billion. Closing is subject to regulatory approvals and other customary closing conditions; TI expects it in the first half of 2027.

  • other

    Insiders may not use TI shares as loan collateral

    The 2026 proxy says TI policy bars directors and executive officers from using TI stock as loan collateral and that none has done so; hedging TI stock is also prohibited.

  • disclosure

    Largest customer not named; end markets yearly only

    TI does not name the end customer that was 12% of revenue in FY2025 and FY2024. It gives its end-market split once a year in the 10-K, not each quarter.

23What the market paid

23What the market paid · price as of Nov 5, 2026

What did the market pay for Texas Instruments on Nov 5, 2026?

Price as of Nov 5, 2026 (shown for education; prices change daily).

Price as of Nov 5, 2026: Texas Instruments closed at $278.15 on Nasdaq, 10.7% below its Nov 4 close of $311.49; no TI filing that day gives a reason. Times 913.8 million shares (Oct 14, 2026), that is a market value of about $254.2 billion (Cityfort calculation from the Nov 5, 2026 Nasdaq closing price and the Q3 FY2026 10-Q cover). P/E is price ÷ earnings per share: 36.1 on diluted EPS of $7.71 for the four quarters to Sep 30, 2026 (Cityfort calculation from the Q4 FY2025 to Q3 FY2026 earnings releases). P/B is market value ÷ stockholders' equity of $19.2 billion at Sep 30, 2026: 13.2. EV/EBITDA adds net debt of $5.4 billion to market value, then divides by EBITDA of $10.7 billion for the same four quarters: 24.2. The $1.52 quarterly dividend is $6.08 a year, or 2.19% of that price.

Share price
$278.15
Market value (market cap)
$254.2B
P/E
36.1×
P/B
13.2×
EV/EBITDA
24.2×

More price-based ratios · as of Nov 5, 2026

Each ratio divides a number from the company's filings by the market value or share price on Nov 5, 2026. Prices change daily, so these ratios do too.

Shares used for the market value: 913.8 million ($278.15 × 913.8 million shares ≈ $254.2B). Source: Form 10-Q, third quarter 2026 (quarter ended Sep 30, 2026); 2026 proxy statement (DEF 14A)

Source: TXN historical prices (Nasdaq), close Nov 5, 2026; Form 10-Q, third quarter 2026 (quarter ended Sep 30, 2026); Q3 2026 earnings release (8-K Item 2.02, Exhibit 99) and 4 more

24How it got here

24How it got here

How did Texas Instruments get here?

  1. 1930

    Milestone

    Operations begin

    TI's operations began in 1930. It is incorporated in Delaware and based in Dallas, Texas.

  2. 2021

    Business-model change

    Bought a 300mm factory in Lehi, Utah

    TI bought the Lehi factory in 2021, part of a move to 300mm wafers; production began there in December 2022.

  3. 2022

    Milestone

    Revenue reaches $20.0 billion

    FY2022 revenue was $20.0 billion and net income $8.7 billion, the highest of the five years on this page.

  4. 2023

    Milestone

    Haviv Ilan becomes CEO

    Haviv Ilan, a director since 2021 and earlier chief operating officer, became president and CEO in 2023.

  5. 2024

    Crisis

    Revenue falls to $15.6 billion

    FY2024 revenue was 21.9% below FY2022, and net income fell to $4.8 billion, while capital spending was $4.8 billion.

  6. 2025

    Business-model change

    Last 150mm factories to close

    TI took $117 million of restructuring charges in FY2025, including for the planned closing of its last two 150mm factories. Rich Templeton retired as chairman at the end of 2025 after 45 years.

  7. 2026

    Business-model change

    Agreement to buy Silicon Labs

    On Feb 4, 2026 TI agreed to buy Silicon Labs for $231 a share in cash, an enterprise value of about $7.5 billion; closing is expected in the first half of 2027.

  8. 2026

    Milestone

    New CFO and a 23rd dividend raise

    Julie Knecht became CFO on Aug 1, 2026. On Sep 17, 2026 TI raised its quarterly dividend 7% to $1.52.

25Sources and changes

Where every number on this page comes from

Sources (25 documents)
  1. S1Form 10-K, fiscal 2025 (year ended Dec 31, 2025) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Feb 6, 2026
  2. S2Form 10-K, fiscal 2024 (year ended Dec 31, 2024) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Feb 14, 2025
  3. S3Form 10-K, fiscal 2022 (year ended Dec 31, 2022) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Feb 3, 2023
  4. S4Form 10-Q, third quarter 2026 (quarter ended Sep 30, 2026) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Oct 23, 2026
  5. S5Q3 2026 earnings release (8-K Item 2.02, Exhibit 99) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Oct 21, 2026
  6. S6Q2 2026 earnings release (8-K Item 2.02, Exhibit 99) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Jul 22, 2026
  7. S7Q1 2026 earnings release (8-K Item 2.02, Exhibit 99) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Apr 22, 2026
  8. S8Q4 and full-year 2025 earnings release (8-K Item 2.02, Exhibit 99) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Jan 27, 2026
  9. S9Q3 2025 earnings release (8-K Item 2.02, Exhibit 99) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Oct 21, 2025
  10. S10Q2 2025 earnings release (8-K Item 2.02, Exhibit 99) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Jul 22, 2025
  11. S11Q1 2025 earnings release (8-K Item 2.02, Exhibit 99) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Apr 23, 2025
  12. S12Q4 and full-year 2024 earnings release (8-K Item 2.02, Exhibit 99) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Jan 23, 2025
  13. S13Q3 2024 earnings release (8-K Item 2.02, Exhibit 99) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Oct 22, 2024
  14. S142026 proxy statement (DEF 14A) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Mar 4, 2026
  15. S15Schedule 13G by Vanguard Capital Management (7.49%, as of Mar 31, 2026) · Vanguard Capital Management (SEC EDGAR) · Tier 1: company or exchange filing · Apr 30, 2026
  16. S16Schedule 13G/A by The Vanguard Group (0 shares, event Mar 13, 2026) · The Vanguard Group (SEC EDGAR) · Tier 1: company or exchange filing · Mar 27, 2026
  17. S178-K filed Feb 4, 2026: joint press release, Texas Instruments to acquire Silicon Labs (Exhibit 99.1) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Feb 4, 2026
  18. S18Silicon Labs acquisition investor presentation (8-K filed Feb 4, 2026, Exhibit 99.2) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Feb 4, 2026
  19. S19Free writing prospectus: pricing term sheet for 2028, 2031, 2033 and 2036 notes (with ratings) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Oct 26, 2026
  20. S208-K filed Sep 17, 2026: TI increases dividend 7% to $1.52 per share (Exhibit 99) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Sep 17, 2026
  21. S218-K filed Sep 18, 2025: TI increases dividend 4% to $1.42 per share (Exhibit 99) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Sep 18, 2025
  22. S228-K filed Oct 16, 2025: Haviv Ilan named chairman, Rich Templeton to retire (Item 5.02, Exhibit 99) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Oct 16, 2025
  23. S248-K filed Jun 2, 2026: Julie Knecht appointed CFO effective Aug 1, 2026 (Item 5.02) · Texas Instruments Incorporated (SEC EDGAR) · Tier 1: company or exchange filing · Jun 2, 2026
  24. S25TXN historical prices (Nasdaq), close Nov 5, 2026 · Nasdaq · Tier 1: company or exchange filing · Nov 5, 2026
  25. S26EDGAR filing list for Texas Instruments Inc (CIK 0000097476) · U.S. Securities and Exchange Commission · Tier 1: company or exchange filing · Nov 6, 2026
Changes to this page (v1 · Nov 6, 2026)
  1. v1 · Nov 6, 2026First version. (first version)

Numbers come only from tier 1 and tier 2 sources. Read how we research.

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Statements by company management, including forward-looking statements and guidance, are reported as the company's statements, with their date and source; they are not our forecasts. Adjusted (non-GAAP) figures are the company's own measures and are shown next to the official (GAAP) figures.