TEXAS INSTRUMENTS INCORPORATED AND SUBSIDIARIES

Consolidated Statements of Cash Flows

For Three Months Ended

December 31,

For Years Ended

December 31,

(In millions)

2023

2022

2023

2022

Cash flows from operating activities

   Net income

$

1,371

$

1,962

$

6,510

$

8,749

   Adjustments to net income:

   Depreciation

322

249

1,175

925

   Amortization of capitalized software

15

14

63

54

   Stock compensation

68

62

362

289

   (Gains) losses on sales of assets

1

—

—

(3)

   Deferred taxes

(140)

(173)

(299)

(191)

   Increase (decrease) from changes in:

   Accounts receivable

189

145

108

(194)

   Inventories

(91)

(353)

(1,242)

(847)

   Prepaid expenses and other current assets

8

(39)

46

6

   Accounts payable and accrued expenses

(10)

34

(33)

106

   Accrued compensation

126

136

29

22

   Income taxes payable

58

68

(7)

94

   Changes in funded status of retirement plans

(4)

(12)

45

114

   Other

11

(51)

(337)

(404)

Cash flows from operating activities

1,924

2,042

6,420

8,720

Cash flows from investing activities

   Capital expenditures

(1,148)

(967)

(5,071)

(2,797)

   Proceeds from asset sales

—

—

3

3

   Purchases of short-term investments

(2,565)

(3,688)

(12,705)

(14,483)

   Proceeds from short-term investments

3,411

3,650

13,387

13,657

   Other

(9)

(22)

24

37

Cash flows from investing activities

(311)

(1,027)

(4,362)

(3,583)

Cash flows from financing activities

   Proceeds from issuance of long-term debt

—

799

3,000

1,494

   Repayment of debt

—

—

(500)

(500)

   Dividends paid

(1,181)

(1,123)

(4,557)

(4,297)

   Stock repurchases

(65)

(848)

(293)

(3,615)

   Proceeds from common stock transactions

45

50

263

241

   Other

(14)

(12)

(57)

(41)

Cash flows from financing activities

(1,215)

(1,134)

(2,144)

(6,718)

Net change in cash and cash equivalents

398

(119)

(86)

(1,581)

Cash and cash equivalents at beginning of period

2,566

3,169

3,050

4,631

Cash and cash equivalents at end of period

$

2,964

$

3,050

$

2,964

$

3,050