Expectations for the remainder of the year are not expressed by NXP today, when presenting its first quarter operating results. Too much depends on the completion of the acquisition of the company by Qualcomm, announced at the end of 2016.
NXP reported sales of $2.27 billion in the first three months of 2018, which represents an increase of 3% compared to a year ago, but a decrease of 8% when compared to the previous quarter. Here are all the figures.
All eyes are on the acquisition by Qualcomm, which according to NXP is needed to be able to continue to grow. Recently, the period within which all of this must have been completed has been extended once again by three months, partly in order to give the Chinese authorities more time to express a (positive) opinion on the proposed steps.
NXP CEO Richard Clemmer:
“We continue to believe that our transaction with Qualcomm is important to support our customers’ long-term requirements in both autonomous driving and secure IoT given our complementary product portfolios, Qualcomm’s strength in connectivity and high-end processing. On April 19th, NXP agreed with Qualcomm to an extension of the purchase agreement to facilitate the final needed regulatory approval by the Ministry of Commerce (“MOFCOM”) of the Government of China, the last remaining regulatory requirement as all other regulatory authorities have cleared more than three and a half months ago. Once all required regulatory approvals are obtained, the companies can execute the final tender offer process to complete the transaction. Finally, I would like to personally thank all our employees for their focus and significant effort they have invested to assure NXP’s success and to thank all our customers for their commitment to NXP.”
