National Instruments reports first quarter 2019 results

  • National Instruments (NI) announced first quarter (Q1) 2019 revenue of $311 million.
  • NI currently expects Q2 revenue to be in the range of $326 million to $356 million.

# Q1 2019 Highlights:

  • Revenue of $311 million, flat year over year, with increased backlog of $10 million
  • GAAP gross margin of 76 percent and non-GAAP gross margin of 78 percent
  • GAAP net income of $23 million, down 4 percent year over year
  • Non-GAAP net income of $40 million, up 21 percent year over year
  • EBITDA of $42 million


GAAP : Generally Accepted Accounting Principles.
EBITDA : Earnings Before Interest, Taxes, Depreciation and Amortization.

In Q1 2019, the value of the company’s orders over $20,000 was up 6 percent year over year. Orders under $20,000 were down 6 percent year over year in line with the weakening global PMI. Total orders were up 1 percent year over year. Foreign exchange rate changes reduced revenue by $6 million year over year.

GAAP net income for Q1 was $23 million, and non-GAAP net income was $40 million. EBITDA, or Earnings Before Interest, Taxes, Depreciation and Amortization, was $42 million for Q1.

In Q1, GAAP gross margin was 76 percent and non-GAAP gross margin was 78 percent. Total Q1 GAAP operating expenses were $212 million, up 1 percent year over year. Total Q1 non-GAAP operating expenses were down 3 percent year over year at $200 million. GAAP operating margin was 8 percent in Q1, with GAAP operating income of $23 million. Non-GAAP operating margin was 14 percent in Q1, with non-GAAP operating income of $44 million.

“Despite the weakening of the industrial economy, particularly in Europe, we achieved record non-GAAP net income for a first quarter, up 21 percent from last year. We are well positioned to achieve record non-GAAP net income in 2019,” said Alex Davern, CEO of NI.

Geographic revenue in U.S. dollar terms for Q1 2019 compared with Q1 2018 was up 2 percent in the Americas, up 3 percent in APAC and down 6 percent in EMEIA. Excluding the impact of foreign currency exchange, revenue was up 3 percent in the Americas, up 6 percent in APAC and down 3 percent in EMEIA.

The company’s non-GAAP results exclude, as applicable, the impact of stock-based compensation, amortization of acquisition-related intangibles, acquisition-related transaction costs, taxes levied on the transfer of acquired intellectual property, foreign exchange loss on acquisitions, restructuring charges, tax reform charges, and capitalization and amortization of internally developed software costs.