NXP Semiconductors soars 26%, paces for its best day ever after earnings beat

NXP Semiconductors shares rose 26% Wednesday, on track for its best day ever since the company went public in 2010.

The semiconductor manufacturer reported first-quarter earnings Tuesday that blew away Wall Street's estimates.

The Dutch company reported adjusted earnings of $3.05 per share, beating LSEG expectations of $2.95. The company's revenue of $3.18 billion, a 12% increase year-over-year, also beat the LSEG forecast of $3.16 billion.

CEO Rafael Sotomayor attributed the growth to "industrial and automotive processing that supports software-defined vehicles and physical AI."

The spread of artificial intelligence has rallied chipmakers as data center demand soars. On the company's earnings call Tuesday, Sotomayor highlighted the growing role of NXP's data center applications.

The company reported about $200 million in revenue related to data centers last year. Sotomayor said he anticipates over $500 million in 2026.