Te Connectivity Plc · NYSE:TEL
Te Connectivity — Q2 2026 Earnings Presentation
26 slides from Te Connectivity's earnings presentation, Apr 22, 2026
Slide 1: TE Connectivity Second Quarter 2026 Earnings
TE Connectivity Second Quarter 2026 Earnings April 22, 2026 EVERY CONNECTION COUNTS
Slide 2: Forward-Looking Statements and Non-GAAP Financial Measures
Forward-Looking Statements and Non-GAAP Financial Measures Forward-Looking Statements operate, including continuing military conflict in certain parts of the world; This presentation contains certain "forward-looking statements" within the developments in the credit markets; future goodwill impairme
Slide 3: Earnings Highlights
Earnings Highlights Q2 Results Exceeded Guidance with an Increase of 15% in Sales and 24% in Adjusted EPS Y/Y Sales of $4.74B, increased 15% reported and 7% on an organic basis Y/Y Record Orders of $5.3B, increased 25% Y/Y and 4% sequentially; book to bill of 1.12 Adjusted Operating Margins of
Slide 4: Segment Orders Summary
Segment Orders Summary ($ in millions) FY25 FY26 FY26 Q2 Growth Reported Q2 Q1 Q2 Y/Y Q/Q Book to bill above 1.0 in both segments Industrial 1,931 2,734 2,703 40% (1)% Industrial segment order trends reflecting momentum in all businesses Transportation 2,315 2,386 2,621 13% 10% Transportation
Slide 5: Industrial Solutions
Industrial Solutions $ in Millions Digital Data Networks Strong growth driven by ongoing Q2 SALES Q2 BUSINESS PERFORMANCE momentum in AI applications Reported Y/Y Growth Automation & Connected Living Reported Organic Growth across all regions driven by Up 27% Rates factory automation application
Slide 6: Transportation Solutions
Transportation Solutions $ in Millions Automotive Q2 SALES Q2 BUSINESS PERFORMANCE Sales as expected, with growth in Europe offset by market declines in North America and Asia Reported Y/Y Growth Rates Reported Organic Up 5% Commercial Transportation $2,422 Automotive $1,762 2% (4)% $2,314 Stron
Slide 7: Q2 Financial Summary
Q2 Financial Summary ($ in Millions, except per share amounts) Q2 FY25 Q2 FY26 Net Sales $ 4,143 $ 4,744 Operating Income $ 748 $ 954 Operating Margin 18.1% 20.1% Acquisition-Related Charges 12 8 Restructuring & Other Charges, Net 45 10 Amortization Expense 41 57 Adjusted Operating Income $ 846 $ 1,
Slide 8: Q2 Financial Performance
Q2 Financial Performance SALES ADJUSTED OPERATING MARGIN $ in Billions Sales up 130bps of 15% reported margin expansion $4.7 and 7% 21.7% $4.1 organic Y/Y 20.4% Q2 2025 Q2 2026 Q2 2025 Q2 2026 ADJUSTED EPS FREE CASH FLOW $ in Billions Up 17% Y/Y Up 24% Y/Y $2.73 $1.3 $2.21 $1.1 Q2 2025 Q2 2026 YTD 2
Slide 9: Additional Information
Additional Information EVERY CONNECTION COUNTS
Slide 10: Y/Y Q2 2026 Sales and Adjusted EPS bridge
Y/Y Q2 2026 Sales Adjusted EPS (in millions) Q2 2025 Results $4,143 $2.21 Operational Performance 417 0.42 FX Impact 184 0.06 Tax Rate Impact - 0.04 Q2 2026 Results $4,744 $2.73 10 Adjusted Earnings Per Share is a non-GAAP financial measure; see Appendix for description and reconciliation.
Slide 11: Y/Y Q3 2026 Sales and Adjusted EPS guidance bridge
Y/Y Q3 2026 Sales Adjusted EPS (in millions) Q3 2025 Results $4,534 $2.41 Operational Performance 415 0.37 FX Impact 51 0.02 Tax Rate Impact - 0.03 Q3 2026 Guidance $5,000 $2.83 11 Adjusted Earnings Per Share is a non-GAAP financial measure; see Appendix for description and reconciliation.
Slide 12: Balance Sheet and Cash Flow Summary
Balance Sheet and Cash Flow Summary Free Cash Flow and Working Capital Liquidity, Cash and Debt ($ in Millions) Q2 2025 Q2 2026 ($ in Millions) Q2 2025 Q2 2026 Cash from Operating Activities $653 $947 Beginning Cash Balance $1,254 $1,251 Free Cash Flow 424 680 Capital expenditures, net (229) (267) D
Slide 13: Appendix
Appendix EVERY CONNECTION COUNTS
Slide 14: Non-GAAP Financial Measures
Non-GAAP Financial Measures We present non-GAAP performance and liquidity measures as Organic Net Sales Growth (Decline) – represents net sales we believe it is appropriate for investors to consider adjusted growth (decline) (the most comparable GAAP financial financial measures in addition to res
Slide 15: Non-GAAP Financial Measures (cont.)
Non-GAAP Financial Measures (cont.) Adjusted Earnings Per Share – represents diluted earnings activities excluding voluntary pension contributions and the per share from continuing operations (the most comparable cash impact of special items, if any, minus net capital GAAP financial measure) befor
Slide 16: Segment Summary
Segment Summary For the Q uarte rs Ende d For the Six Months Ende d March 27, March 28, March 27, March 28, 2026 2025 2026 2025 ($ in millions) Ne t Sale s Ne t Sale s Ne t Sale s Ne t Sale s Transportation Solutions $ 2,422 $ 2,314 $ 4,889 $ 4,557 Industrial Solutions 2,322 1,829 4,524 3,422 Total
Slide 17: Reconciliation of Net Sales Growth
Reconciliation of Net Sales Growth Change in Ne t Sale s for the Q uarte r Ende d March 27, 2026 ve rsus Ne t Sale s for the Q uarte r Ende d March 28, 2025 Ne t Sale s O rganic Ne t Sale s Growth (De cline ) Growth (De cline ) (1) Translation (2) Acquisition ($ in millions) Transportation Solutions
Slide 18: Non-GAAP Reconciliation for Quarter Ended March 27, 2026
Reconciliation of Non-GAAP Financial Measures to GAAP Financial Measures for the Quarter Ended March 27, 2026 Adjustments Acquisition- Restructuring Related and O ther Amortization Adjusted U.S. GAAP Charges (1) Charges, Net (1) Expense (1) Tax Items (2) (Non-GAAP) (3) ($ in millions, except per sha
Slide 19: Non-GAAP Reconciliation for Quarter Ended March 28, 2025
Reconciliation of Non-GAAP Financial Measures to GAAP Financial Measures for the Quarter Ended March 28, 2025 Adjustme nts Acquisition- Re structuring Re late d and O the r Amortiz ation Adjuste d (1) (1 (1) (2) U.S. GAAP Charge s Charge s, Ne t Expe nse Tax Ite ms (Non-GAAP) (3) ($ in millions, e x
Slide 20: Non-GAAP Reconciliation for Six Months Ended March 27, 2026
Reconciliation of Non-GAAP Financial Measures to GAAP Financial Measures for the Six Months Ended March 27, 2026 Adjustments Acquisition- Restructuring Related and O ther Amortization Adjusted (1) (1) (1) (2) U.S. GAAP Charges Charges, Net Expense Tax Items (Non-GAAP) (3) ($ in millions, except per
Slide 21: Non-GAAP Reconciliation for Six Months Ended March 28, 2025
Reconciliation of Non-GAAP Financial Measures to GAAP Financial Measures for the Six Months Ended March 28, 2025 Adjustments Acquisition- Restructuring Related and O ther Amortization Adjusted U.S. GAAP Charges (1) Charges, Net (1) Expense (1) Tax Items (2) (Non-GAAP) (3) ($ in millions, except per
Slide 22: Non-GAAP Reconciliation for Quarter Ended June 2025
Reconciliation of Non-GAAP Financial Measures to GAAP Financial Measures for the Quarter Ended June 27, 2025 Adjustme nts Acquisition- Re structuring Re late d and O the r Amortiz ation Adjuste d U.S. GAAP Charge s (1) Charge s, Ne t (1) Expe nse (1) (Non-GAAP) (2) ($ in millions, e xce pt pe r shar
Slide 23: Non-GAAP Reconciliation for Year Ended September 26, 2025
Reconciliation of Non-GAAP Financial Measures to GAAP Financial Measures for the Year Ended September 26, 2025 Adjustments Acquisition- Restructuring Related and O ther Amortization Adjusted (1) (1) (1) (2) U.S. GAAP Charges Charges, Net Expense Tax Items (Non-GAAP) (3) ($ in millions, except per sh
Slide 24: Reconciliation of Adjusted EBITDA and Adjusted EBITDA Margin
Reconciliation of Adjusted EBITDA and Adjusted EBITDA Margin For the Q uarte rs Ende d March 27, March 28, 2026 2025 ($ in millions) Net income $ 855 $ 13 Income tax expense 87 742 Other expense, net 1 1 Interest expense 32 14 Interest income (21) (22) Operating income 954 748 Acquisition-related ch
Slide 25: Reconciliation of Free Cash Flow
Reconciliation of Free Cash Flow 25
Slide 26: Reconciliation of Forward-Looking Non-GAAP Financial Measures
Reconciliation of Forward-Looking Non-GAAP Financial Measures to Forward-Looking GAAP Financial Measures O utlook for Q uarte r Ending June 26, O utlook for 2026 (1) Fiscal 2026 (1) Diluted earnings per share from continuing operations $ 2.44 Acquisition-related charges 0.02 Restructuring and other