TE Connectivity Q2 Sales Rise 15% to $4.74B, EPS Jumps 24%
TE Connectivity posted Q2 revenue of $4.74B, up 15% year over year, and adjusted EPS of $2.73, a 24% increase, while adjusted operating margin rose 130 basis points to 22%. The company booked $5.3B in orders, up 25%; hiked dividend 10%; guided Q3 revenue $5B with adjusted EPS of $2.83.
1. Q2 Results Overview
TE Connectivity reported net sales of $4.74 billion in fiscal Q2, up 15% year over year, and delivered GAAP EPS of $2.90 alongside a record adjusted EPS of $2.73, reflecting 24% growth. Adjusted operating margin expanded 130 basis points to 22%, driven by operational efficiencies.
2. Segment and Order Growth
Revenue growth was fueled by strength in both the Industrial and Transportation segments, contributing to a 7% organic increase. The company secured record orders of $5.3 billion, a 25% rise across all businesses.
3. Cash Generation and Dividends
Cash flow from operating activities reached $1.8 billion in the first half of fiscal 2026, generating free cash flow of $1.3 billion, up 17% year over year. TE Connectivity returned $1.2 billion to shareholders and raised its quarterly dividend by 10%.
4. Third Quarter Outlook
For the quarter ending in June, TE Connectivity guides revenue of approximately $5 billion, a 10% increase year over year, and adjusted EPS of $2.83, a projected 17% gain, underscoring confidence in continued order momentum and margin performance.