Summary
TE Connectivity plc (TEL) reported a strong third quarter for fiscal year 2025, with net sales increasing by 13.9% year-over-year to $4.534 billion. This growth was driven by robust performance in the Industrial Solutions segment, which saw a 30.0% sales increase, and a more modest 2.8% increase in the Transportation Solutions segment. The company also reported improved gross margins, reflecting higher volumes and manufacturing efficiencies. The acquisition of Richards Manufacturing Co. for $2.3 billion in April 2025 significantly contributed to the Industrial Solutions segment's performance and overall revenue growth. For the first nine months of fiscal 2025, net sales grew 6.2% to $12.513 billion, with the Industrial Solutions segment showing a 19.7% increase and Transportation Solutions experiencing a 2.5% decline. Diluted earnings per share from continuing operations for the quarter were $2.14, a slight increase from $1.86 in the prior year's quarter. The company has raised its full-year outlook for net sales to approximately $4.55 billion for the fourth quarter, indicating continued confidence in its growth trajectory, supported by organic growth and strategic acquisitions.
Financial Highlights
51 data points| Revenue | $4.53B |
| Cost of Revenue | $2.93B |
| Gross Profit | $1.60B |
| SG&A Expenses | $491.00M |
| Operating Income | $857.00M |
| Net Income | $638.00M |
| EPS (Basic) | $2.16 |
| EPS (Diluted) | $2.14 |
| Shares Outstanding (Basic) | 296.00M |
| Shares Outstanding (Diluted) | 298.00M |
Key Highlights
- 1Net sales surged by 13.9% to $4.534 billion in Q3 FY2025, driven by strong performance in both segments, particularly Industrial Solutions (+30.0%).
- 2The acquisition of Richards Manufacturing Co. for $2.3 billion in April 2025 significantly contributed to the Industrial Solutions segment's growth and overall revenue.
- 3Gross margin improved to 35.3% from 34.8% in the prior year's quarter, reflecting higher volumes and manufacturing efficiencies.
- 4Diluted EPS from continuing operations increased to $2.14 in Q3 FY2025 from $1.86 in Q3 FY2024.
- 5Operating income rose by $102 million to $857 million in Q3 FY2025, with the Industrial Solutions segment showing substantial growth.
- 6The company reaffirmed its positive outlook, expecting Q4 FY2025 net sales of approximately $4.55 billion and diluted EPS of $2.18.
- 7Net cash provided by operating activities remained strong at $2.718 billion for the first nine months of fiscal 2025.