Amphenol Q2 Highlights: Earnings Beat, 3% Revenue Dip, Warning On Ongoing Challenges & More

Amphenol Corporation APH reported a second-quarter FY23 sales decline of 2.6% year-on-year to $3.054 billion, beating the consensus of $2.95 billion.

Reductions in the IT datacom, mobile networks, and mobile devices markets prompted the decline in sales.

Non-GAAP EPS of $0.72 topped the consensus of $0.68.

The adjusted operating margin in the quarter under review compressed to 20.4%.

Amphenol exited the quarter with $1.5 billion in cash and equivalents. 

"We remain focused on expanding our growth opportunities through a deep commitment to developing enabling technologies for customers across our served markets, an ongoing strategy of market and geographic diversification as well as an active and successful acquisition program," said Amphenol President and Chief Executive Officer, R. Adam Norwitt. 

Outlook: Amphenol sees Q3 sales of $3.04 billion - $3.10 billion, compared to the consensus of $3.09 billion. This represents a 6%-8% decline over the prior-year quarter.

APH sees Adjusted EPS of $0.72 - $0.74, compared to the consensus of $0.73. This represents an 8%-10% reduction from the third quarter of 2022.

Price Action: APH shares traded higher by 4.5% at $88.12 on the last check Wednesday.