Texas Instruments kept far more of each sales dollar in Q3 2026

Texas Instruments, a US maker of analog and embedded chips, reported revenue of USD 6.1bn in Q3 2026, up 27.7% on Q3 2025. Profit grew much faster than sales. Operating profit rose 72.8% to USD 2.9bn, and net profit rose to USD 2.4bn from USD 1.4bn. The operating margin widened by 12.4 pp to 47.5%, so each sales dollar left the company with far more operating profit than a year earlier. All figures are in USD, consolidated, under US GAAP.

Profit outgrowing sales is common in a business with heavy fixed costs. Chip factories cost much the same to run whether they are half busy or well used, so extra revenue falls largely to profit. The balance sheet moved the same way: equity rose to USD 19.2bn and the equity ratio reached 52.1%, up from 47.5%. Cash stood at USD 4.2bn. The figures do not show how much came from volume and how much from price or mix. I would watch whether the margin holds when sales growth slows.