NATIONAL INSTRUMENTS CORP: restructuring charge — NI reports record Q4 revenue $448M (+7% YoY); announces workforce reduction of ~4%

National Instruments Corporation (Nasdaq: NATI) today announced Q 4 2022 revenue of $448 million , up 7 percent year over year and an all-time quarterly record. In Q 4 2022 , the value of the company’s total orders was down 3 percent year over year. Geographic order growth for Q4 2022 compared with Q4 2021 was down 7 percent in the Americas, down 9 percent in APAC and up 7 percent in EMEA. In Q4, GAAP gross margin was 68 percent and non-GAAP gross margin was 70 percent. Total Q4 GAAP operating expenses were $244 million , down 1 percent year over year. Total Q4 non-GAAP operating expenses were $201 million , down 6 percent year over year. GAAP operating margin was 13 percent in Q4, with GAAP operating income of $60 million , up 21 percent year over year. Non-GAAP operating margin was 25 percent in Q4, with non-GAAP operating income of $112 million , up 16 percent year over year. GAAP net income for Q 4 was $40 million , with diluted earnings per share ("EPS") of $0.30 , and non-GAAP ne

FY 2022 Highlights • All-time record revenue of $1.66 billion , up 13 percent year over year • GAAP operating margin of 12 percent; Non-GAAP operating margin of 20 percent • Strong diluted GAAP EPS of $1.05 ; record diluted non-GAAP EPS of $1.93 • Returned $300 million to stockholders through dividends and stock repurchases In 2022 , GAAP operating expenses were $964 million , up 4 percent year over year, and non-GAAP operating expenses were $836 million , up 1 percent year over year. GAAP net income in 2022 was $140 million , up 56 percent year over year, and non-GAAP net income was $255 million , up 14 percent year over year.

Q1 2023 Guidance • GAAP revenue to be in the range of $415 million to $445 million, up 12 percent year over year at the midpoint • GAAP diluted EPS to be in the range of $0.14 to $0.28, up 2 cents year over year at the midpoint • Non-GAAP diluted EPS expected to be in the range of $0.48 to $0.62, up 34 percent year over year at the midpoint

On January 31, 2023, NI announced a workforce reduction plan (the “Plan”) intended to accelerate its growth strategy and further optimize its operations and cost structure. The Plan is expected to reduce NI’s worldwide headcount by approximately 4% during 2023, with a majority of the reductions expected to occur in the first quarter of 2023. In connection with the Plan, NI estimates that it will recognize pre-tax charges to its GAAP financial results of approximately $20 million to $25 million, consisting primarily of cash termination benefits and other employee-related costs that are expected to be paid in 2023. NI anticipates that the majority of these charges will be recognized during the first quarter of 2023, with the remaining amount expected to be recognized during 2023.