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Amphenol Q2 earnings call highlights. July 29, 2026 Key points. * Record Q2 performance: Amphenol reported $8.8 billion in sales, up 55% year over year, and adjusted EPS of $1.35, up 67%. Operating cash flow reached $1.6 billion and free cash flow totaled $1.2 billion. * AI infrastructure remained the primary growth driver: IT datacom sales rose 89% year over year and represented 43% of total sales, while record orders of $10.7 billion produced a 1.23 book-to-bill ratio. The company expects another mid-teens sequential increase in IT datacom sales in Q3. * Outlook strengthened: Amphenol raised its 2026 CommScope expectations to $4.6 billion in sales and $0.30 of earnings accretion, and guided for Q3 sales of $9.3 billion to $9.4 billion with adjusted EPS of $1.40 to $1.42. * MarketBeat previews top five stocks to own in August. Amphenol NYSE: APH reported record second-quarter 2026 sales of $8.8 billion, up 55% year over year in U.S. dollars and 30% organically, as demand for artificial-intelligence infrastructure and broad strength across most end markets lifted results above the company's guidance range. Adjusted diluted earnings per share rose 67% from a year earlier to a record $1.35, while GAAP diluted EPS was $1.37. The company generated $1.6 billion in operating cash flow and $1.2 billion in free cash flow during the quarter. "Our results were stronger than expected, exceeding the high end of guidance in sales and adjusted diluted earnings per share," Chief Executive Officer Adam Norwitt said on the company's earnings call. Orders and profitability advance. Orders reached a record $10.732 billion, increasing 94% from the prior-year quarter and 14% sequentially. The resulting book-to-bill ratio was 1.23-to-1, with every end market reporting a positive book-to-bill ratio, according to CFO Craig Lampo. GAAP operating income was $2.6 billion and GAAP operating margin was 29.5%. Adjusted operating margin, excluding acquisition-related costs but including an $80 million benefit from the recovery of IEEPA tariffs, was 29.8%, up 420 basis points year over year and 250 basis points sequentially. Lampo said the margin expansion reflected operating leverage on higher volumes, progress on profitability actions at recent acquisitions - particularly CommScope - and the tariff recovery benefit. Excluding the tariff benefit, Norwitt said adjusted operating margin was still nearly 29%. Amphenol repurchased 1.5 million shares at an average price of $141 during the quarter. Including dividends, shareholder capital returns totaled about $515 million. At June 30, the company had $18.8 billion in total debt, $13.4 billion in net debt and $8.4 billion in total liquidity. CommScope outlook improves. The company highlighted continued momentum from its CommScope acquisition, which has been part of Amphenol for two full quarters. Amphenol now expects CommScope to generate $4.6 billion in 2026 sales and contribute $0.30 of earnings accretion, compared with previous expectations of $4.1 billion in sales and $0.15 of accretion. Discover more Email & Messaging Stock Screener Tool CommScope generated more than $1.2 billion in second-quarter sales and operated at an operating margin above 20%, including acquisition-related amortization, Lampo said. He attributed the improvement to volume leverage, factory performance, vendor management and control of selling, general and administrative expenses rather than pricing. Norwitt said CommScope is seeing growth across its communications networks, building-connectivity and IT datacom businesses. Its IT datacom operation, which is focused on advanced optical interconnect products, nearly doubled year over year, he said. Amphenol expects IT datacom to account for slightly less than half of CommScope's 2026 sales, compared with roughly one-third in 2025. The company also completed acquisitions of Italy-based El.Com Srl, a manufacturer of complex interconnect solutions and high-voltage cable assemblies with approximately $150 million in annual sales, and Washington-based Wilder Technologies, a supplier of test and measurement solutions with approximately $15 million in annual sales. AI demand drives IT datacom growth. IT datacom represented 43% of Amphenol's quarterly sales and was the company's largest end market. Sales in the segment rose 89% year over year in U.S. dollars and 63% organically, driven by accelerating demand for AI-related products and growth in the company's base IT datacom business. Sequential sales increased 22%, with virtually all of that growth tied to AI-related products. Norwitt said customers continue to seek more high-speed copper, fiber-optic and power interconnect solutions. He said Amphenol's portfolio spans high-speed copper, optics and power products, which are used throughout data center systems. "The one consistent thing we hear from our customers is they need more of everything," Norwitt said. The company expects a further mid-teens sequential increase in IT datacom sales during the third quarter as AI data-center investments continue to accelerate. Norwitt said the company does not see significant bottlenecks that would constrain its ability to meet customer demand, including potential fiber supply concerns. Other markets show broad growth. * Defense: Sales rose 37% in U.S. dollars and 24% organically, representing 8% of total sales. Amphenol expects low-double-digit sequential growth in the third quarter. * Commercial aerospace: Sales increased 22% in U.S. dollars and 21% organically, representing 4% of sales. The company expects modest third-quarter growth. * Industrial: Sales rose 56% in U.S. dollars and 18% organically, representing 20% of sales. Management expects third-quarter sales to remain near elevated second-quarter levels. * Automotive: Sales increased 9% in U.S. dollars and 6% organically, representing 10% of sales. Third-quarter sales are expected to remain near second-quarter levels despite typical summer seasonality. * Communications networks: Sales rose 55% in U.S. dollars, primarily reflecting CommScope, but declined 6% organically amid lower demand from network operators and wireless-equipment manufacturers. Third-quarter sales are expected to decline in the mid-teens sequentially. * Mobile devices: Sales increased 17% in U.S. dollars and 14% organically, with strength in smartphones, laptops and wearables. Amphenol expects roughly 20% sequential growth in the third quarter as customer programs launch. Third-quarter guidance. Assuming current market conditions and constant currency exchange rates, Amphenol forecast third-quarter sales of $9.3 billion to $9.4 billion and adjusted diluted EPS of $1.40 to $1.42. The outlook implies year-over-year sales growth of 50% to 52% and adjusted EPS growth of 51% to 53%. The guidance does not include additional net tariff recoveries, which Norwitt said are expected to be immaterial going forward. About Amphenol (NYSE:APH). Amphenol Corporation NYSE: APH is a leading global manufacturer of electronic and fiber optic connectors, interconnect systems, and related components. The company designs, engineers and produces a broad range of products including electrical connectors, cable assemblies, fiber optic solutions, sensors, antennas and electromechanical devices used to transfer power, signal and data across complex systems. Its product portfolio spans ruggedized connectors for harsh environments to high-speed solutions for data centers and telecommunications networks. Amphenol serves a diverse set of end markets, including automotive, broadband and telecom, data communications, mobile devices, industrial, energy, and military/aerospace. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. Before you consider Amphenol, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Amphenol wasn't on the list. While Amphenol currently has a Buy rating among analysts, top-rated analysts believe these five stocks are better buys.

Project registration: how to save thousands on your next network cabling project. When planning a network cabling installation, most organisations focus on the design, installation quality, and project delivery timescales. What many don't realise is that a simple step at the beginning of a project can significantly reduce costs while improving the overall solution: project registration. At Protek Systems, Protek Systems Limited work closely with leading structured cabling manufacturers including Panduit, CommScope and Leviton. By registering qualifying projects through its partner channels, Protek Systems Limited can often access manufacturer-backed special pricing that is unavailable through standard distribution channels. What is project registration? Project registration is a process where an authorised installer submits details of an upcoming network infrastructure project to the manufacturer. This gives the manufacturer visibility of the opportunity and allows them to support the project with: * Enhanced project pricing * Technical design assistance * Product selection support * Warranty and certification guidance * Supply chain planning Most importantly, it can unlock substantial discounts on materials that would otherwise be unavailable. How much could you save? This is the question every client asks. While every project is different and manufacturers do not publish fixed discount structures, registered projects can often achieve significantly better pricing than standard distributor rates. Typical savings seen within the industry include: * Small office fit-outs: 10-20% * Medium commercial projects: 15-30% * Large office relocations: 20-40% * Campus and multi-building deployments: 25-40% * Data centre projects: 30-50%+ On larger projects, these savings can amount to hundreds of thousands of pounds. For example: * A £50,000 cabling project could potentially save £5,000-£10,000. * A £150,000 infrastructure project could save £15,000-£45,000. * A £500,000+ data centre deployment could unlock six-figure savings. Of course, every project is assessed individually, and actual discounts depend on factors such as project size, technology selected, timescales, and manufacturer approval. Why do manufacturers offer these discounts? Manufacturers want their solutions specified early in the design process. By supporting approved projects with enhanced pricing, they can: * Encourage adoption of their platforms * Support authorised installation partners * Improve forecasting and stock planning * Ensure installations meet certification requirements For clients, this creates a win-win situation: access to premium infrastructure at a more competitive cost. More than just cost savings. While the pricing benefits are significant, project registration offers several additional advantages. Enhanced Warranties Many registered projects qualify for manufacturer-backed warranties and application assurances that protect your investment long after installation is complete. Improved Design Support Manufacturer engineering teams can provide design reviews and technical guidance to ensure the solution is optimised for current and future requirements. Better Product Availability Early engagement allows manufacturers and distributors to plan stock requirements, reducing the risk of delays caused by long lead times. Future-Proof Infrastructure Additional budget savings often allow organisations to upgrade specifications, increasing performance and extending the lifespan of the network. The biggest mistake many organisations make is engaging an installer after the project has already been specified or materials have been purchased. At Protek Systems, Protek Systems Limited engage early and work directly with manufacturers and distributors to maximise the benefits available to its clients. Its team can: * Register qualifying projects * Secure project-specific pricing * Optimise material selections * Obtain manufacturer support * Deliver fully certified installations * Maximise warranty eligibility The earlier Protek Systems Limited become involved, the greater the opportunity to secure enhanced pricing and support. Don't leave money on the table. Many organisations unknowingly pay standard distribution pricing simply because their project was never registered. Whether you're planning a new office fit-out, warehouse, manufacturing facility, data centre, or network refresh, speaking with Protek Systems early in the process could unlock significant savings while improving the overall quality of your infrastructure. Before you purchase materials or issue tenders, talk to its team. The difference between a registered and non-registered project can often be measured in thousands - or even tens of thousands - of pounds.

Harmonic's strategic move: breaking down its latest M&A deal. Wednesday, June 17, 2026 Harmonic just completed a pivotal new acquisition, signaling a bold strategic play in the video technology space. Ololand is breaking down the public filing to uncover this deal's immediate implications and what it reveals about the company's competitive roadmap for the future. In the world of media technology and broadband infrastructure, where incumbents are racing to redefine themselves for a cloud-native future, even the quietest moves can signal significant strategic shifts. This week, Harmonic Inc. (NASDAQ: HLIT), a pivotal player in video delivery and cable access solutions, filed a standard Form 8-K with the SEC. While light on specifics, the filing confirmed the completion of an acquisition. For industry observers, such a move from Harmonic warrants a closer look, as it likely represents a calculated step to fortify its market position in one of its key growth areas. Decoding the deal: A bet on software and the cloud. While Harmonic has not yet disclosed the target or the transaction value, the company's strategic trajectory provides a clear lens through which to analyze this acquisition. Harmonic operates in two primary segments: Video, which is transitioning to a high-margin SaaS model, and Broadband, which is disrupting the cable access market with its software-based CableOS platform. The acquisition almost certainly falls into one of these two camps, aimed at accelerating a core strategic initiative. Strategic Rationale: The most probable driver behind this deal is the acquisition of intellectual property, specialized engineering talent, or a complementary software solution that can be integrated into Harmonic's flagship platforms. This is a classic "tuck-in" acquisition strategy, designed not for immediate, dramatic revenue contribution but to enhance a core product's capabilities and widen its competitive moat. Consider the two most likely scenarios: * Bolstering the Broadband Segment: Harmonic's CableOS has been a disruptive force, enabling cable operators to transition from bulky, proprietary hardware to a more flexible, software-defined Distributed Access Architecture (DAA). An acquisition in this space could bring in technology related to network orchestration, data analytics, or security for virtualized networks. By adding such a component, Harmonic makes its ecosystem stickier and more comprehensive, presenting a more compelling all-in-one solution against competitors like CommScope. * Accelerating the Video SaaS Transition: The company's VOS360 platform is a key engine for future growth, offering cloud-based media processing and delivery. The streaming market is fiercely competitive, with demands for lower latency, better ad-insertion technology, and AI-driven content workflows. Acquiring a smaller firm specializing in one of these niches - for instance, a specialist in server-side ad insertion (SSAI) or a provider of AI-based video compression - would immediately enhance the VOS360 value proposition for broadcasters and streaming services. Valuation Context: Without a purchase price, a direct valuation analysis is impossible. However, Ololand can infer the strategic value. In today's market, specialized software and SaaS companies in the media tech and networking space often command premium multiples, frequently valued on a multiple of annual recurring revenue (ARR) rather than traditional EBITDA. Harmonic likely saw an opportunity to acquire critical technology at a valuation that was more attractive than the cost and time required to build it in-house, a classic "buy vs. build" calculation that is central to modern tech M&A. Market implications: doubling down on disruption. This move sends a clear signal to the market and Harmonic's competitors. It underscores the company's commitment to its software- and cloud-centric transformation. For years, the industry has been moving away from bespoke hardware with long replacement cycles toward more agile, software-based solutions. Harmonic has been at the forefront of this shift, and this acquisition reinforces its role as a consolidator and innovator. For customers - primarily major cable operators and media companies - this acquisition should be seen as a positive. It indicates that Harmonic is continuing to invest heavily in its next-generation platforms, promising a more robust and feature-rich roadmap. For competitors still reliant on legacy hardware architectures, it's another reminder that the pace of innovation is accelerating, and M&A is a key tool for keeping up. The deal further solidifies the narrative that the future of network infrastructure is in software, virtualization, and the cloud. A forward-looking perspective. While the full details of Harmonic's latest acquisition will likely emerge in subsequent quarterly filings or on its next earnings call, the strategic intent is already apparent. The move is not about a blockbuster merger but about targeted, intelligent capital allocation to accelerate a well-defined strategy. It reflects a disciplined approach to M&A, focusing on acquiring capabilities that deepen its technological advantage in the high-growth sectors of virtualized broadband access and cloud-based video streaming. Investors and industry watchers should view this as a reaffirmation of the company's long-term vision. As cable operators upgrade their networks to multi-gigabit speeds and broadcasters fully embrace streaming, Harmonic is positioning itself not just as a vendor, but as a foundational technology partner. This small, unheralded acquisition is another deliberate step in that carefully orchestrated journey. Ready to analyze your next deal? 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