Sensata Technologies Q3 revenue beats, helped by termination payment
ST•Sensata Technologies reported Q3 revenue of $1.004 billion, up 7.7% year over year and above analyst expectations, while adjusted EPS rose 27% to $1.13. Results included a $24 million customer termination payment; the company expects Q4 revenue of $942 million to $972 million and adjusted EPS of $0.95 to $0.99.
1. Quarterly results
Sensata Technologies reported Q3 revenue of $1.004 billion, compared with the $971.97 million analyst consensus, and adjusted EPS of $1.13, above the $0.96 consensus. Adjusted operating income was $215.3 million, also above analyst expectations, and free cash flow was $198.3 million.
2. Termination payment
Revenue and adjusted EPS were boosted by a $24 million termination payment from a customer after the cancellation of an electric vehicle program. Organic revenue grew 6.8% year over year, and the Automotive, Industrials and Aerospace segments each posted year-over-year increases in revenue and operating income. Sensata retired $32.6 million of long-term debt in Q3.
3. Fourth-quarter outlook
Sensata expects Q4 revenue of $942 million to $972 million and adjusted EPS of $0.95 to $0.99. The guidance includes tariff costs based on trade policies as of October 26, 2026.
