10-QPeriod: Q1 FY2026

ENTEGRIS INC Quarterly Report for Q1 Ended Mar 28, 2026

Filed April 30, 2026For Securities:ENTG

Summary

Entegris, Inc. (ENTG) reported a solid first quarter for fiscal year 2026, demonstrating revenue growth and improved profitability. Net sales increased by 5.0% year-over-year to $811.9 million, driven by strong performance in both the Materials Solutions (MS) and Advanced Purity Solutions (APS) segments. The company also saw a significant improvement in its gross margin, expanding by 0.8 percentage points to 46.9%, attributed to higher production volumes and a reduction in depreciation expense due to a change in accounting estimates related to asset useful lives. Net income more than doubled to $92.0 million, or $0.60 per diluted share, from $62.9 million, or $0.41 per diluted share, in the prior year period. This growth was supported by increased sales, the beneficial impact of revised depreciation schedules, and a lower effective tax rate. The company maintained a strong cash position, with cash and cash equivalents increasing to $442.7 million. Entegris continues to focus on its core segments, with APS showing particularly strong profit growth. Investors should note the company's ongoing prudent financial management, including debt reduction efforts and consistent dividend payments.

Financial Highlights

52 data points
Beta

Revenue

$811.90M

46.9% Gross Margin

Net Income

$92.00M

11.3% Net Margin

EPS (Diluted)

$0.60

Total Assets

$8.48B

Cash & Equivalents

$442.70M

Free Cash Flow

$141.50M

Financial Statements
Beta
Revenue$811.90M
Cost of Revenue$431.10M
Gross Profit$380.80M
R&D Expenses$75.30M
SG&A Expenses$117.60M
Operating Expenses$171.30M
Operating Income$141.60M
Net Income$92.00M
EPS (Basic)$0.60
EPS (Diluted)$0.60
Shares Outstanding (Basic)152.30M
Shares Outstanding (Diluted)153.20M

Key Highlights

  • 1Net sales increased 5.0% to $811.9 million in Q1 2026 compared to $773.2 million in Q1 2025.
  • 2Net income surged to $92.0 million ($0.60/share) in Q1 2026 from $62.9 million ($0.41/share) in Q1 2025.
  • 3Gross margin improved to 46.9% from 46.1% year-over-year, aided by increased volumes and lower depreciation expense.
  • 4The Advanced Purity Solutions (APS) segment showed robust profit growth, increasing 24% year-over-year.
  • 5Cash and cash equivalents increased to $442.7 million as of March 28, 2026, up from $360.4 million at the end of 2025.
  • 6The company repaid $50.0 million of its term loans during the quarter.
  • 7A change in accounting estimate for the useful lives of property, plant, and equipment reduced depreciation expense, positively impacting net income.

Frequently Asked Questions

The substantial increase in net income was driven by several factors, including a 5.0% rise in net sales, a favorable change in accounting estimates for the useful lives of property, plant, and equipment which reduced depreciation expense, and a lower effective income tax rate. These combined factors led to net income more than doubling compared to the prior year period.

In January 2026, Entegris completed an assessment and adjusted the estimated useful lives of certain property, plant, and equipment. This change, applied prospectively, reduced depreciation expense by approximately $19.0 million in the first quarter of 2026. This reduction contributed to higher gross profit and operating income, and consequently, a benefit to net income of about $8.0 million, or $0.05 per share.

Entegris expects its current cash balances and anticipated operating cash flows to be sufficient to meet its cash needs for the next twelve months and beyond. The company maintains a strong cash position, with $442.7 million in cash and cash equivalents as of March 28, 2026. Management is confident in its ability to manage liquidity, though it acknowledges that future capital markets volatility could impact financing costs or accessibility.

Entegris has been actively managing its debt. During the first quarter of 2026, the company repaid $50.0 million of its senior secured term loans. The total debt, net of unamortized discount and debt issuance costs, decreased from $3,697.6 million at the end of 2025 to $3,651.2 million as of March 28, 2026. The company remains in compliance with its debt covenants.