Updated from 5:23 p.m. EST
And while the Dallas chipmaker said it believed the chip market's current correction will be short-lived, TI guided first-quarter results below current estimates and said it plans to cut about 500 jobs to lower costs.
TI said revenue in the fourth quarter totaled $3.46 billion, slightly ahead of Wall Street's dampened expectations of $3.42 billion.TI had net income of $668 million, or 45 cents a share, up from $650 million, or 40 cents a share, a year ago. The results included a 5-cent-a-share benefit from the reinstatement of a federal research tax credit as well as a one-cent benefit from new patent license agreements. Excluding those results, TI's EPS was 39 cents a share, a penny higher than Wall Street expectations, and at the high end of its guided range of between 37 cents and 40 cents a share. TI credited its strategy of outsourcing some of its manufacturing to third-party chip factories, or foundries, for its stable profitability during a period of "unseasonably weak" demand. TI