Amphenol Delivers 58% Revenue Surge to $7.6B and 27.3% Margin
Amphenol posted record Q1 revenue of $7.6B, up 58% USD (33% organic), with orders at $9.435B and a 1.24 book-to-bill ratio, driving adjusted operating margin to 27.3%. Free cash flow reached $831M, while acquisition-related costs and a $130M China tax accrual lifted the GAAP tax rate to 42.7%.
1. Record Quarterly Performance
Amphenol reported Q1 2026 revenue of $7.6B, up 58% in US dollars and 33% organically, with orders reaching $9.435B and a 1.24 book-to-bill ratio. Adjusted operating margin rose by 380 basis points to 27.3%, while operating cash flow hit $1.1B and free cash flow totaled $831M.
2. Segment Performance
Communications Solutions led growth with $4.5B in sales, up 88% in US dollars and a 30.6% operating margin. Harsh Environment Solutions posted $1.7B, up 34% with a 28% margin, and Interconnect and Sensor Systems delivered $1.4B, a 23% increase and a 20.2% margin.
3. Acquisition and Tax Impact
The CommScope acquisition contributed to strong bookings, with an expected $4.1B in sales and $0.15 EPS accretion this year, but also generated $249M in acquisition-related costs. A $130M tax accrual in China pushed the GAAP effective tax rate to 42.7%, while the adjusted tax rate rose to 27%.
4. Market Dynamics and Outlook
Automotive sales dipped 7% sequentially due to softer demand in Asia. Management highlighted its broad product suite for co-packaged optics in AI datacom, multiyear defense platform investments, and partnership-driven capacity planning to address future growth.