NEW YORK (Reuters) - Chip maker Texas Instruments Inc on Monday posted quarterly profit and revenue ahead of Wall Street estimates on better-than-expected chip demand, boosting its shares 2 percent.
TI, whose chips are used in cellphones, consumer electronics and industrial equipment, said its third-quarter profit fell to $538 million, or 42 cents per share, from a profit of $563 million, or 43 cents a share, a year earlier.
That beat Wall Street analysts' average forecast for profit of 40 cents a share, according to Thomson Reuters I/B/E/S.
The company, which is recovering from an industry-wide decline in chip demand due to the global recession, said revenue fell to $2.88 billion from $3.39 billion. That beat analysts' average expectation of $2.82 billion, according to Thomson Reuters I/B/E/S.
On September 9, TI had forecast third-quarter earnings of 37 cents to 41 cents per share on revenue of $2.73 billion to $2.87 billion.
Texas Instruments forecast fourth-quarter earnings per share in a range of 42 cents to 50 cents on revenue of $2.78 billion to $3.02 billion.
The company's shares rose 2.3 percent to $24.05 after closing at $23.52 on the New York Stock Exchange.
(Reporting by Sinead Carew; Editing by Gary Hill)
