TXN · 10-Q · 2026Q3 · Full report

Gross Margin Drivers

TEXAS INSTRUMENTS INC · 2026-10-23 · Importance 64 · Surprise 56 · No source text

Third-quarter 2026 gross profit increased 43% to $3.89 billion from $2.73 billion, primarily because of higher revenue. Gross margin rose to 64.2% from 57.4% in the year-ago quarter. For the first nine months, gross profit increased 32% to $10.04 billion and gross margin improved to 61.4% from 57.4%. Higher manufacturing costs associated with planned capacity expansions partly offset year-to-date gross-profit growth.

Key facts

Impact estimates

metricdirectionstageexpectedbasis
marginpositiverealized+6.8%TI's Q3 2026 gross profit was $3.89 billion, up $1.16 billion, or 43%, primarily due to higher revenue; gross margin rose to 64.2% from…
marginpositiverealized+4.0%TI's gross profit for the first nine months of 2026 was $10.04 billion, up $2.43 billion, or 32%, primarily due to higher revenue,…