TEXAS INSTRUMENTS INCORPORATED AND SUBSIDIARIES

Consolidated Statements of Cash Flows

For Three Months Ended

September 30,

(In millions)

2024

2023

Cash flows from operating activities

   Net income

$

1,362

$

1,709

   Adjustments to net income:

   Depreciation

383

303

   Amortization of capitalized software

19

17

   Stock compensation

87

79

   Deferred taxes

(33)

(99)

   Increase (decrease) from changes in:

   Accounts receivable

(151)

(20)

   Inventories

(190)

(179)

   Prepaid expenses and other current assets

(23)

28

   Accounts payable and accrued expenses

13

27

   Accrued compensation

149

145

   Income taxes payable

155

(7)

   Changes in funded status of retirement plans

(24)

26

   Other

(15)

(92)

Cash flows from operating activities

1,732

1,937

Cash flows from investing activities

   Capital expenditures

(1,316)

(1,495)

   Proceeds from asset sales

—

1

   Purchases of short-term investments

(1,845)

(3,080)

   Proceeds from short-term investments

2,700

2,885

   Other

(26)

(5)

Cash flows from investing activities

(487)

(1,694)

Cash flows from financing activities

   Dividends paid

(1,187)

(1,126)

   Stock repurchases

(318)

(46)

   Proceeds from common stock transactions

117

68

   Other

(8)

(12)

Cash flows from financing activities

(1,396)

(1,116)

Net change in cash and cash equivalents

(151)

(873)

Cash and cash equivalents at beginning of period

2,740

3,439

Cash and cash equivalents at end of period

$

2,589

$

2,566

Supplemental cash flow information

   Investment tax credit (ITC) used to reduce income taxes payable

$

220

$

—

Total cash benefit related to the U.S. CHIPS and Science Act

$

220

$

—