National Instruments (NI) has announced Q3 2017 revenue of USD 321 million, up five percent year-over-year (YoY). In Q3 2017, NI received USD 8 million in orders from its largest customer compared with USD 5 million in orders from this customer in Q3 2016. The value of the company’s total orders was up five percent YoY for the quarter; orders under USD 20,000 were up one percent YoY; orders between USD 20,000 and USD 100,000 were up eight percent YoY; and orders above USD 100,000 were up nine percent YoY.
GAAP net income for Q3 was USD 33 million, with fully diluted earnings per share (EPS) of USD 0.25, and non-GAAP net income was USD 42 million, a record for a third quarter, with non-GAAP fully diluted EPS of USD 0.32. Included in NI’s GAAP net income for Q3 is USD 1 million related to restructuring charges. EBITDA was USD 57 million for Q3.
In Q3, GAAP gross margin was 74 percent and non-GAAP gross margin was 75 percent. Total GAAP operating expenses were USD 200 million, down slightly YoY. Total non-GAAP operating expenses were USD 190 million, down two percent YoY. GAAP operating margin was 12 percent in Q3, with GAAP operating income of USD 38 million, up 28 percent YoY. Non-GAAP operating margin was 15 percent in Q3, with non-GAAP operating income of USD 49 million, up 29 percentYoY. Year-to-date, GAAP operating expenses were USD 608 million, up two percent YoY, and non-GAAP operating expenses were USD 576 million, flat YoY. GAAP operating income year-to-date was USD 88 million, up 26 percent YoY, and non-GAAP operating income year-to-date was USD 128 million, up 26 percent YoY.
As of September 30, 2017, NI had USD 385 million in cash and short-term investments. During the third quarter, NI paid USD 27 million in dividends. The NI Board of Directors approved a quarterly dividend of USD 0.21 per share payable on December 4, 2017, to stockholders of record on November 13, 2017.