TE Connectivity (TEL1N) Q4 2026 Earnings Report
MX:TEL1N Q4 2026 EPS Results
- Actual EPS
- MXN 59.29
- Consensus EPS
- MXN 58.02
- Beat/Miss
- Beat by +MXN 1.27
- One Year Ago EPS
- MXN 46.07
MX:TEL1N Q4 2026 Revenue Results
- Actual Revenue
- MXN 100.30B
- Expected Revenue
- MXN 99.82B
- Beat/Miss
- Beat by +MXN 485.97M
- YoY Revenue Growth
- +11.86%
Earnings Announcement Details
- Quarter
- Q4 2026
- Date
- 10/28/2026
- Time
- Before Open
- Conference Call
- Wednesday, October 28, 2026
MX:TEL1N Upcoming Earnings
TE Connectivity's next earnings date is estimated for January 27, 2027, based on past reporting schedules.
Q4 2026 Earnings Call Audio
MX:TEL1N Q4 2026 Earnings Call
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Q4 2026 Earnings Slide Deck
Q4 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was strongly positive, supported by record fiscal 2026 results, double-digit organic growth, robust orders and backlog, expanding margins, strong cash generation, and significant AI-related growth opportunities. The company also cited challenges including slightly declining vehicle production, a challenged North American automotive market, tariff-related sales reductions, expected foreign-exchange headwinds, and persistent input-cost inflation, but these issues were outweighed by the breadth and strength of the reported performance and outlook.
Company Guidance
For the first quarter of fiscal 2027, TE Connectivity expects sales of $5.35 billion, an increase of 15% year-over-year on both a reported and an organic basis, adjusted earnings per share to be around $3.30, growing 21% over last year's levels, an additional $50 million of tariff refunds with that reduction in sales included in guidance, and an adjusted effective tax rate of 21%; for fiscal 2027, it expects another year of double-digit organic sales growth, similar to the 12% organic growth levels in 2026, adjusted effective tax rate of 22%, restructuring charges below the $100 million level, a slight year-over-year currency headwind, DDN revenue growth of over $1 billion with the vast majority from AI applications and over half of that growth in the second half of the fiscal year, DDN sales up slightly from quarter four to quarter one, up a little bit higher in quarter two, and a bigger step up in the second half, global vehicle production down slightly, and automotive growth over market in the four-six point range.
- Strong Fiscal 2026 Sales and Earnings GrowthFiscal 2026 sales grew by $2.6 billion, or 15% year-over-year, while adjusted earnings per share increased 24% to $11.52. Full-year sales were nearly $20 billion, growing 15% on a reported basis and 12% organically.
- Record Full-Year Financial ResultsTE Connectivity achieved record full-year sales, orders, adjusted operating margins, adjusted earnings per share, and free cash flow. Adjusted operating margins expanded 120 basis points year-over-year to 22%.
- Fourth-Quarter Results Ahead of GuidanceFourth-quarter sales were $5.3 billion, up 13% organically year-over-year, with both segments delivering strong growth. Adjusted EPS was $3.14, up 21% year-over-year, while adjusted margins expanded 100 basis points.
- Strong Orders, Book-to-Bill, and BacklogFourth-quarter orders increased 6% sequentially and nearly $1.4 billion year-over-year to $6.1 billion. Orders grew double digits in both segments, book-to-bill was 1.14, and backlog was approximately $8 billion, up about 30% year-over-year.
- Double-Digit Fiscal 2027 Growth OutlookManagement expects another year of double-digit organic sales growth in fiscal 2027, similar to the 12% organic growth achieved in fiscal 2026. First-quarter fiscal 2027 sales are expected to be $5.35 billion, up 15% year-over-year on both a reported and organic basis, with adjusted EPS around $3.30, up 21%.
- Digital Data Networks MomentumDigital Data Networks orders grew roughly 70% in fiscal 2026, driven by strong positioning with hyperscale customers. TE expects to add over $1 billion of DDN revenue in fiscal 2027, with the vast majority from AI applications, and expects more than half of that growth in the second half of the fiscal year.
- Long-Term DDN Expansion OpportunityManagement stated that the DDN business more than doubled in size over the past couple of years and expects it to grow well over $1 billion per year over an extended time horizon, implying that the business will double again in the next few years.
- AI Infrastructure and Connectivity PositioningTE said its products and technology are positioned at the intersection of major data and power infrastructure investments. Digital Data Networks and Energy accounted for approximately half of fiscal 2026 organic sales growth, while broader trends outside AI contributed the other half.
- Expansion Across Copper, Fiber, and Power ConnectivityManagement expects both copper and optical connectivity to be used in next-generation AI racks. The copper addressable market is expected to grow over 100%, while optical connectivity represents an additional total addressable market opportunity. Power connectivity, approximately 30% of DDN revenue, is expected to grow faster than overall DDN.
- Optical Technology and Customer ValidationTE is developing chip-to-fiber, fiber-to-fiber, and high-density fiber-routing products, including technology from the RAM Photonics acquisition. The company is in the middle of engineering validation with certain customers for high-density fiber-attached technology.
- Energy Business GrowthEnergy organic sales grew 12% in the fourth quarter and 18% for the full year. Growth was driven by continued investment in grid hardening, utility infrastructure modernization, and data center build-outs.
- Automation, Connected Living, and Aerospace StrengthAutomation and Connected Living sales increased 18% organically in the fourth quarter, with growth across every region and particular content outperformance in factory automation and battery electric storage. Aerospace and defense sales grew 16% organically, reflecting strength in commercial aerospace and defense markets.
- Industrial Solutions Margin ExpansionIndustrial Solutions sales grew 20% on both a reported and organic basis in the fourth quarter, while sequential sales increased close to 10%. Segment adjusted operating margins expanded 40 basis points to over 22%.
- Transportation Solutions Growth Above MarketTransportation Solutions sales grew 8% on a reported basis and 7% organically year-over-year. Automotive sales increased 6% organically despite a decline in vehicle production, supported by content growth, strength in Asia, and improvement in Europe.
- Commercial Transportation Recovery and Margin GrowthCommercial Transportation sales increased 18% across all regions, including improving trends in North America. Growth was supported by new program wins, further truck electrification in Asia, and execution across regions. Segment adjusted operating margins were 21%, up 80 basis points year-over-year.
- Automotive Content Growth OutlookTE expects fiscal 2027 automotive growth above market in the four-to-six-point range, driven by data connectivity in vehicles, electrification of the powertrain, and electronification of the vehicle.
- Humanoid Robotics OpportunityTE said its transportation, industrial, and DDN businesses provide connectivity, power, data, motor, and actuator solutions for humanoid robots. Management views the opportunity as up to $500 of TE content per humanoid robot and is working with leading OEMs on next-generation designs.
- Strong Cash Generation and Shareholder ReturnsFiscal 2026 cash from operations was approximately $4.5 billion and free cash flow was $3.4 billion, up $200 million year-over-year. Free cash flow conversion was 100% of adjusted net income. TE returned approximately $2.8 billion to shareholders through share repurchases and dividends.
- Continued Investment and AcquisitionsTE continued investing in capacity and engineering resources to support future growth, including increased capital expenditures for Industrial Solutions. The company committed approximately $1.6 billion to bolt-on acquisitions and expects the pending Astrodyne TDI acquisition to close by the end of fiscal first quarter.
- Expected Lower Restructuring ChargesFull-year fiscal 2026 restructuring charges were $110 million, and management expects fiscal 2027 restructuring charges to be below $100 million.
- Strong Transportation and Industrial Backlog DriversThe largest portions of backlog growth came from DDN and aerospace and defense, which together represented approximately 60% of backlog growth. Energy and Automation and Connected Living were also expected to deliver double-digit growth in fiscal 2027.
MX:TEL1N Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Jan 27, 2027 | 2027 (Q1) | 61.76- | 51.36 | ― | ― |
| Oct 28, 2026 | 2026 (Q4) | 58.0259.29 | 46.07 | 28.69% (+13.22) | |
| Jul 22, 2026 | 2026 (Q3) | 53.7855.51 | 42.86 | 29.52% (+12.65) | |
| Apr 22, 2026 | 2026 (Q2) | 50.8951.55 | 39.65 | 30.00% (+11.90) | |
| Jan 21, 2026 | 2026 (Q1) | 48.1351.36 | 36.82 | 39.49% (+14.54) | |
| Oct 29, 2025 | 2025 (Q4) | 43.2446.07 | 36.82 | 25.13% (+9.25) | |
| Jul 23, 2025 | 2025 (Q3) | 39.3142.86 | 36.06 | 18.85% (+6.80) | |
| Apr 23, 2025 | 2025 (Q2) | 37.0739.65 | 35.12 | 12.90% (+4.53) | |
| Jan 22, 2025 | 2025 (Q1) | 35.6136.82 | 34.74 | 5.98% (+2.08) | |
| Oct 30, 2024 | 2024 (Q4) | 36.7136.82 | 33.61 | 9.55% (+3.21) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat Missed
