Texas Instruments Inc. (TXN)

Common-Size Income Statement

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Texas Instruments Inc., Common-Size Consolidated Income Statement

12 months ended	Dec 31, 2018	Dec 31, 2017	Dec 31, 2016	Dec 31, 2015	Dec 31, 2014
Revenue	100.00%	100.00%	100.00%	100.00%	100.00%
Cost of revenue (COR)	-34.89%	-35.74%	-38.37%	-41.85%	-43.07%
Gross profit	65.11%	64.26%	61.63%	58.15%	56.93%
Research and development (R&D)	-9.88%	-10.08%	-10.25%	-9.85%	-10.41%
Selling, general and administrative (SG&A)	-10.67%	-11.32%	-13.22%	-13.45%	-14.13%
Acquisition charges	-2.01%	-2.13%	-2.39%	-2.53%	-2.53%
Restructuring charges/other	-0.02%	-0.07%	0.11%	0.55%	0.39%
Operating profit	42.53%	40.66%	35.89%	32.88%	30.26%
Other income (expense), net (OI&E)	0.62%	0.50%	1.58%	0.25%	0.16%
Interest and debt expense	-0.79%	-0.52%	-0.60%	-0.69%	-0.72%
Income before income taxes	42.36%	40.64%	36.87%	32.43%	29.70%
Provision for income taxes	-7.01%	-16.03%	-9.99%	-9.46%	-8.07%
Net income	35.35%	24.61%	26.89%	22.97%	21.63%

Item	Description	The company
Operating profit	The net result for the period of deducting operating expenses from operating revenues.	Texas Instruments Inc.’s operating profit as a percentage of revenue increased from 2016 to 2017 and from 2017 to 2018.
Income before income taxes	Amount of income (loss) from continuing operations, including income (loss) from equity method investments, before deduction of income tax expense (benefit), and income (loss) attributable to noncontrolling interest.	Texas Instruments Inc.’s income before income taxes as a percentage of revenue increased from 2016 to 2017 and from 2017 to 2018.
Net income	The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.	Texas Instruments Inc.’s net income as a percentage of revenue declined from 2016 to 2017 but then increased from 2017 to 2018 exceeding 2016 level.