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NXP Semiconductors (NXPI 1.61%) is getting ready to report results for the second quarter of 2016. The report is scheduled for release after the closing of extended after-hours trading on Wednesday, July 27, followed by a conference call the next morning.

The stock has been on a roller coaster since the beginning of the year, bouncing between $64 and $94 and currently trading at $83.

Here's what investors need to look for in the second-quarter update.

NXP by the numbers

At the midpoint of its official guidance ranges, NXP is aiming for sales of roughly $2.3 billion in the second quarter and adjusted earnings near $1.35 per share. Hitting these targets would work out to a 50% year-over-year revenue boost, but 6% lower earnings.

The big caveat here is that the last four quarters included a $14.8 billion buyout, as NXP merged with automotive computing specialist Freescale Semiconductor. Freescale came with substantial sales of its own, and the companies are still working their way through completing the business combination.

This is why NXP issued non-GAAP (generally accepted accounting principles) earnings guidance rather than a more traditional GAAP-based forecast. There are just too many one-time charges on the table right now. GAAP operating income in the first quarter was negative $471 million, but NXP saw $519 million in adjusted operating income. That's almost a cool billion of backed-out charges, mostly for adjustments to the goodwill balance of the combined company.

Digging deeper

In other news, NXP recently announced that it is selling most of the standard products division to a consortium of Chinese investment firms. That deal is expected to close in 2017, and the proceeds appear poised to erase some $2.3 billion of NXP's acquisition-inflated debt balance. If and when that happens, NXP's credit ratings should improve. Expect management to discuss the standard products spinoff along with plans for the cash infusion on Thursday, since this will be the first earnings call following the deal announcement.

CEO Rick Clemmer should also spend some time talking about the Freescale integration process. The merger has been going smoothly so far, but it's still too early to take your eye off the ball.

In the crucial automotive computing market, NXP expects global car production to increase by about 3% in 2016. But Clemmer expects nearly double-digit sales growth in NXP's automotive computing segment, because the number of computing products in modern cars is increasing rapidly. Look for updates to those full-year projections in the automotive sector, too.