KEYS
Keysight Technologies, Inc.204.87
-2.61-1.26%
Dec 16, 4:00:02 PM EST
Earnings Call Transcripts
This Quarter (Q1 '26)
No earnings call transcript available yet
Last Quarter (Q4 '25)
FY Q1 '26
AI customer base doubles; funnel peaks
Q&A unpacked AI momentum with orders significantly outpacing the 30% company average, doubling the customer base to include neoclouds and Southeast Asia manufacturing while hyperscalers expand. A&D strength stemmed from resolved U.S. budget delays plus rising European spend and U.S. prime R&D. Management reaffirmed 40% core operating leverage amid acquisition dilution, lifting FY2026 growth outlook above 20% all-in. Funnel at record highs. Supply chain prepared; competition favors solutions moat. Confident tone, but H2 visibility limited—watch AI durability.
Key Stats
Market Cap
35.21BP/E (TTM)
40.81Basic EPS (TTM)
5.02Dividend Yield
0%Recent Filings
10-Q
Q1 FY2026 results
Keysight crushed Q1 FY2026 with revenue jumping 23% y/y to $1,600M, fueled by 27% CSG growth to $1,124M and 15% EISG rise to $476M; operating income climbed 14% y/y to $248M while gross margin slipped 0.9 points to 62.2% on tariffs and amortization. Diluted EPS soared to $1.63 from $0.97, matching 173M shares. Cash swelled to $2,178M on $441M operating cash flow, less $34M capex for $407M FCF (derived); $2.5B debt steady, $750M revolver untapped. Closed Spirent in Oct 2025 for $1,564M cash, recognizing $711M goodwill and $528M finite-lived intangibles (6-8 years). Tariffs pressure margins.
8-K
Record Q1 revenue beats
10-K
FY2025 results
Keysight posted $5.4B revenue for FY2025 ended October 31, up 8% y/y, with Q4 acceleration via late-year Spirent ($9M revenue) and OSG acquisitions boosting CSG 9% to $3.7B on AI data center and defense demand, while EISG grew 6% to $1.6B despite softer auto/energy. Gross margin slipped 1ppt to 62.1% from tariffs and mix, yet operating margin held 16.3% as expenses scaled; net income jumped 38% to $850M, EPS $4.91 diluted. Q4 momentum shone in 11% Asia Pacific growth and $2.7B backlog up 13% y/y. Debt hit $2.5B post-$750M notes issuance, revolver untapped; repurchased $377M shares. Tariffs crimp margins.
8-K
Keysight beats, launches buyback
8-K
Keysight appoints Fortinet ex-CFO
Keysight expanded its board from 10 to 11 members on November 19, 2025, appointing Keith Jensen, ex-CFO of Fortinet, as independent Class I director through 2027; he joins Audit and Nominating committees. Veteran Paul Lacouture won't seek re-election at 2026 annual meeting, shrinking board back to 10 post-meeting—no disagreements noted. Jensen's finance expertise bolsters oversight.
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