NXP Semiconductors, a major chip supplier for the automotive industry, delivered Q4 revenues slightly ahead of estimates on Monday. The company reported full-year record revenue and noted that demand continues to outstrip supply.
Fourth-quarter revenue was $3.04 billion, an increase of 21% year-on-year. NXP's Q4 GAAP diluted earnings per share came to $2.24.
Analysts were expecting earnings of $2.99 per share on revenue of $3 billion.
In a statement, CEO Kurt Sievers called 2021 an "excellent year" for NXP.
"We experienced significant design win traction across the entire portfolio and especially within the areas of our strategic growth drivers," he said. "The engagement and performance of our employees has been truly outstanding, we are extremely proud of their adaptability, dedication, and hard work in the face of adversity. We continue to see growing customer demand, outstripping supply, as inventory across all end markets remains very lean. Taken together, this underpins our continued confidence of robust growth throughout 2022."
For the full 2021 fiscal year, revenue was $11.06 billion, an increase of 28% year-on-year, with demand accelerating across NXP's focus end-markets throughout the year.
NXP has a broad portfolio of automotive chips, powering everything in cars from infotainment systems to tire pressure monitoring systems and V2X (vehicle-to-everything) communications. The automotive industry has been hit hard by the ongoing global shortage of semiconductors.
In Q4, NXP's automotive business brought in $1.547 billion in revenue, up 30% year-over-year and up 6% sequentially. Industrial & IoT sales brought in $661 million, up 29% year-over-year and up 9% sequentially. Mobile revenue came to $374 million, down 9% year-over-year and up 8% sequentially. The "Communications Infrastructure & Other" category brought in $457 million, up 16% year-over-year and up 1% sequentially.
Also on Monday, the NXP Board of Directors approved a 50% increase in the quarterly cash dividend to $0.845 per ordinary share. Additionally, the NXP Board of Directors approved a new $2 billion 2022 Share Repurchase Program. The new share repurchase authorization is in addition to the approximately $1.35 billion remaining for repurchase under previously authorized share repurchase programs.