The company reported third-quarter net income of $119 million, or 38 cents a share, compared with $1.82 billion, or $5.60 a share, in the year-earlier quarter.
Revenue totaled $2.27 billion, down from $2.45 billion a year ago, but ahead of analysts' expectations of $2.24 billion.
Looking to the fourth quarter, NXP said it expected revenue of $2.24 billion to $2.3 billion. Analysts had forecast revenue of $2.27 billion.
CEO Richard Clemmer said "our product portfolio investments are addressing our customers' long-term requirements, while in the short term the global demand environment appears to have stabilized, but the intermediate demand environment continues to be uncertain and has not markedly improved."
Analysts at Evercore, who rated NXP's stock outperform with a price target of $125, said the results were "clearly and definitively good enough/" The long-term story, they said, remains robust, "led by wins in the automotive area."
Bernstein analysts, who rated NXP outperform with a target of $125, said the results were very good but the outlook was "slightly mixed." The report overall was "probably good enough in a nervous environment" and should "provide some sighs of relief" in the wake of Texas Instruments' (TXN) - Get Report recent disappointment. Last week, TI missed Wall Street's revenue expectations.
Raymond James' analysts, who rate the company outperform with a price target of $115, said the business is "bouncing along the bottom" and indicates that Texas Instruments "was an outlier this quarter." The firm added that the outlook points to "stable (but not improving) business conditions."
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