Amphenol Sales Jump 65% To A Record $10.2 Billion, And It Adds A $4 Billion Buyback
The connector maker also raised its quarterly dividend 20% to $0.15 a share and guided fourth-quarter sales to $10.3 billion to $10.5 billion.
Amphenol, which makes electrical and fiber optic connectors, sensors and cable, posted record third-quarter sales of $10.2 billion, up 65% in U.S. dollars and 37% organically, with sales and adjusted earnings both above the high end of its own guidance, the company said Wednesday. It also raised its dividend 20% and authorized a new three-year, $4 billion share repurchase plan.
Record sales, record orders
Orders came in at $12.2 billion, a book-to-bill ratio (orders received relative to sales) of 1.19:1, which the company called a record. Standard diluted earnings were $0.79 a share, up 61%, and adjusted earnings were $0.80, up 74% from a year earlier. Adjusted operating margin was 29.7%.
Operating cash flow was $2.1 billion and free cash flow $1.6 billion. In the quarter Amphenol bought back 3.0 million shares for $245 million and paid $308 million in dividends, returning $553 million in all.
Chairman and CEO R. Adam Norwitt said growth was driven by "strong organic growth in most of our end markets, including continued exceptional organic growth in the IT datacom market," along with acquisitions.
Communications unit doubles on deals
Communications Solutions, the largest of Amphenol's three segments, had sales of $6,583.0 million, up 99% from $3,309.5 million. About 48 points of that came from acquisitions and 51% was organic. Harsh Environment Solutions rose 35% to $2,042.1 million, and Interconnect and Sensor Systems rose 17% to $1,604.6 million.
Amphenol raised its expectation for the CommScope business it bought this year to $5.1 billion of 2026 sales, from $4.6 billion, and now sees it adding $0.18 to adjusted earnings per share, up from $0.15.
Deals financed with debt
Amphenol closed on Empire Electronics, an automotive interconnect maker, in early September, and has signed agreements for AdvancedPCB, Dexgreen and Humanetics Sensors. The combined price for those and Empire is about $1.6 billion, funded with cash and debt. AdvancedPCB and Humanetics Sensors are expected to close in the fourth quarter, Dexgreen in the first quarter of 2027.
For the first nine months, acquisitions net of cash acquired totaled $11,055.8 million. Long-term debt, less its current portion, stood at $17,170.1 million on September 30, against $14,564.8 million at the end of 2025, while cash and equivalents fell to $4,173.1 million from $11,130.6 million.
Outlook, dividend and buyback
For the fourth quarter Amphenol expects sales of $10.3 billion to $10.5 billion and adjusted earnings of $0.81 to $0.83 a share. For 2026 it guides to $36.9 billion to $37.1 billion in sales and adjusted earnings of $2.82 to $2.84. That outlook excludes the three pending deals.
The quarterly dividend rises to $0.15 from $0.125, payable January 13, 2027 to holders of record December 22, 2026. The $4 billion repurchase plan starts January 1, 2027. Shares were up about 2.5% at $80.16 in Wednesday morning trading.
Amphenol holds its third-quarter call at 1:00 p.m. ET on Wednesday.
Sources
- 8-K Filing — AMPHENOL CORP /DE/ (APH) — SEC EDGAR
- Exhibit aph-ex99d1.htm — AMPHENOL CORP /DE/ 8-K exhibit — SEC EDGAR
- Amphenol Ramps Acquisitions as 3Q Sales Climb — MarketWatch
- Amphenol Reports Record Third Quarter 2026 Results and Announces Dividend Increase and New Stock Repurchase Program – Company Announcement - FT.com — Financial Times
- Amphenol Q3 Adjusted Earnings, Revenue Rise; Q4, 2026 Outlook Set; Dividend Increased — Yahoo Finance
