Financial Data and Key Metrics Changes - The company reported record sales of $5,650,000,000 for the second quarter of 2025, representing a 57% increase in U.S. dollars and a 41% organic growth compared to the same quarter in 2024 [3][4] - GAAP diluted EPS reached a record $0.86, up 110% year-over-year, while adjusted diluted EPS increased 84% to $0.81 [8][12] - Operating cash flow was a record $1,417,000,000, or 130% of net income, and free cash flow was $1,122,000,000, or 103% of net income [8][14] Business Segment Data and Key Metrics Changes - Communication Solutions segment sales were $2,910,000,000, up 101% in U.S. dollars and 78% organically, with an operating margin of 30.6% [6][7] - Harsh Environment Solutions segment sales increased by 38% in U.S. dollars to $1,445,000,000, with an operating margin of 25.2% [7] - IT Datacom market represented 36% of sales, growing by 133% in U.S. dollars, driven by demand for AI-related products [28][29] Market Data and Key Metrics Changes - The defense market accounted for 9% of sales, growing 25% in U.S. dollars and 18% organically [16][17] - The commercial aerospace market represented 5% of sales, with a 50% increase in U.S. dollars [18][19] - The automotive market represented 14% of sales, growing 10% in U.S. dollars and 8% organically [22][23] Company Strategy and Development Direction - The company is focused on expanding its presence in RF interconnect and active RF components through acquisitions, including the recent acquisition of Narda Mitek [14][15] - The diversification of end markets allows the company to mitigate risks associated with market volatility [15][16] - The company aims to maintain a conversion margin target of closer to 30% moving forward, reflecting the increased level of technology in its products [36][39] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the durability of growth in the AI infrastructure market, indicating that approximately two-thirds of growth in IT Datacom was driven by AI [52] - The company anticipates modest sales increases in the third quarter, with guidance for sales in the range of $5,400,000,000 to $5,500,000, reflecting a year-over-year growth of 34% to 36% [31] - Management highlighted strong execution across all end markets, contributing to better-than-expected performance [100] Other Important Information - The company completed a successful $750,000,000 U.S. bond offering and a €600,000,000 bond offering [10] - Total debt as of June 30 was $8,100,000,000, with net debt at $4,800,000,000 [9] Q&A Session Summary Question: Operating margin performance and future targets - Management acknowledged the exceptional operating margin of 25.6% and indicated that future targets may be closer to 30% due to higher technology products and cost control [36][39] Question: Sales mix and technology roadmap - Management confirmed that the sales mix is becoming richer due to high technology products across various markets, not just IT Datacom [41][44] Question: Durability of growth in AI infrastructure - Management indicated that while growth rates may not always be as high as 133%, there are significant future growth opportunities in AI [51][52] Question: Customer concentration in AI business - Management stated that the AI business remains broad and not overly concentrated among a few customers, with continued growth expected [55] Question: Acquisition plans and cash generation - Management confirmed the acquisition of Narda for approximately $300,000,000 and expressed confidence in pursuing more acquisitions in the future [94][95]

Amphenol Corp APH stock is up after it reported its fiscal second-quarter 2025 results on Wednesday.Quarterly sales increased by 57% year-on-year to $5.65 billion, topping the analyst consensus estimate of $5.01 billion. This was driven by strong organic growth in all of our end markets, including exceptional organic growth in the IT datacom market, as well as contributions from the company’s acquisition program. Also Read: Amphenol Soars 42% To 52-Week High Riding AI WaveAdjusted EPS of 81 cents beat the a ...

Core Insights - Three stocks with strong momentum and buy rank are highlighted for investors: Amphenol, Bank7, and T. Rowe Price Group 1: Amphenol (APH) - Amphenol designs, manufactures, and markets electrical, electronic, and fiber optic connectors, interconnect systems, antennas, sensors, and specialty cables [1] - The company has a Zacks Rank of 1 (Strong Buy) and a 1.1% increase in the Zacks Consensus Estimate for current year earnings over the last 60 days [1] - Amphenol's shares increased by 40.6% over the last three months, outperforming the S&P 500's gain of 17.5% [2] - The company possesses a Momentum Score of A [2] Group 2: Bank7 (BSVN) - Bank7 is a community banking company that offers deposits, loans, card facilities, investments, wealth management, and online banking services [2] - The company has a Zacks Rank of 1 and a 3.7% increase in the Zacks Consensus Estimate for current year earnings over the last 60 days [2] - Bank7's shares gained 38.9% over the last three months, also outperforming the S&P 500's gain of 17.5% [3] - The company possesses a Momentum Score of A [3] Group 3: T. Rowe Price (TROW) - T. Rowe Price is a global investment management organization providing mutual funds, sub-advisory services, and separate account management for various investors [4] - The company has a Zacks Rank of 1 and a 7% increase in the Zacks Consensus Estimate for current year earnings over the last 60 days [4] - T. Rowe Price's shares increased by 26.6% over the last three months, again outperforming the S&P 500's gain of 17.5% [5] - The company possesses a Momentum Score of A [5]

Second Quarter 2025 Highlights: Exhibit 99.1 Amphenol News Release World Headquarters 358 Hall Avenue Wallingford, CT 06492 Telephone (203) 265-8900 AMPHENOL REPORTS RECORD SECOND QUARTER 2025 RESULTS Wallingford, Connecticut, July 23, 2025. Amphenol Corporation (NYSE: APH) today reported record second quarter 2025 results. "We are pleased to have closed the second quarter of 2025 with record sales and Adjusted Diluted EPS, both significantly exceeding the high end of our guidance," said Amphenol President ...

Core Insights - Amphenol reported $5.65 billion in revenue for the quarter ended June 2025, marking a year-over-year increase of 56.5% and exceeding the Zacks Consensus Estimate by 13.05% [1] - The company's EPS for the same period was $0.81, up from $0.43 a year ago, representing a surprise of 22.73% over the consensus estimate of $0.66 [1] Revenue Performance - Net Sales from Harsh Environment Solutions reached $1.45 billion, surpassing the average estimate of $1.33 billion, with a year-over-year change of 38.2% [4] - Net Sales from Interconnect and Sensor Systems totaled $1.3 billion, exceeding the $1.2 billion average estimate, reflecting a year-over-year increase of 15.7% [4] - Communications Solutions generated $2.91 billion in Net Sales, significantly above the $2.5 billion average estimate, with a remarkable year-over-year change of 101.4% [4] Operating Income - Operating Income for Interconnect and Sensor Systems was reported at $252.3 million, higher than the average estimate of $227.59 million [4] - Communications Solutions achieved an Operating Income of $890.7 million, exceeding the average estimate of $679.28 million [4] - Harsh Environment Solutions reported Operating Income of $363.7 million, compared to the average estimate of $323.83 million [4] Stock Performance - Amphenol's shares have returned +6.2% over the past month, outperforming the Zacks S&P 500 composite's +5.9% change [3] - The stock currently holds a Zacks Rank 1 (Strong Buy), indicating potential for outperformance in the near term [3]

Group 1 - Amphenol reported quarterly earnings of $0.81 per share, exceeding the Zacks Consensus Estimate of $0.66 per share, and up from $0.43 per share a year ago, representing an earnings surprise of +22.73% [1] - The company achieved revenues of $5.65 billion for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 13.05%, compared to $3.61 billion in the same quarter last year [2] - Amphenol has consistently outperformed consensus EPS and revenue estimates over the last four quarters [2] Group 2 - The stock has increased approximately 46.6% since the beginning of the year, significantly outperforming the S&P 500's gain of 7.3% [3] - The company's earnings outlook is crucial for assessing future stock performance, with current consensus EPS estimates at $0.68 for the coming quarter and $2.69 for the current fiscal year [4][7] - The Zacks Industry Rank places Electronics - Connectors in the top 6% of over 250 Zacks industries, indicating a favorable industry outlook [8]

Core Viewpoint - Amphenol (APH) is positioned well to potentially beat earnings estimates in its upcoming quarterly report, supported by a strong history of surpassing expectations [1][6]. Earnings Performance - Amphenol has consistently exceeded earnings estimates, achieving an average surprise of 15.58% over the last two quarters [2]. - In the most recent quarter, Amphenol reported earnings of $0.52 per share against an expectation of $0.63, resulting in a surprise of 21.15%. In the previous quarter, it reported $0.55 per share against an estimate of $0.50, yielding a surprise of 10.00% [3]. Earnings Estimates and Predictions - Recent changes in earnings estimates for Amphenol have been favorable, with a positive Zacks Earnings ESP (Expected Surprise Prediction) indicating a strong likelihood of an earnings beat [6]. - Stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have historically produced positive surprises nearly 70% of the time [7]. Current Earnings Outlook - Amphenol currently has an Earnings ESP of +0.32%, suggesting that analysts are optimistic about the company's earnings prospects. This, combined with a Zacks Rank of 2 (Buy), indicates a strong possibility of another earnings beat [9]. - The next earnings report for Amphenol is expected to be released on July 23, 2025 [9].

Group 1 - The primary goal of the "High Income DIY Portfolios" Marketplace service is to provide high income with low risk and capital preservation for DIY investors [1] - The service offers seven portfolios designed for income investors, including retirees or near-retirees, featuring three buy-and-hold portfolios, three rotational portfolios, and a conservative NPP strategy portfolio [1] - The portfolios include two high-income portfolios, two dividend growth investment (DGI) portfolios, and a conservative NPP strategy portfolio aimed at low drawdowns and high growth [1] Group 2 - The stocks highlighted in the article are candidates for further research rather than direct buy recommendations, emphasizing the need for due diligence based on personal goals and risk tolerance [2] - The author has disclosed beneficial long positions in a wide range of companies, indicating a vested interest in the stocks mentioned [2]

Core Insights - Amphenol (APH) is expected to report strong second-quarter 2025 results, with earnings projected between 64 to 66 cents per share, reflecting a year-over-year growth of 45% to 50% [1][2] - Revenue expectations for the same quarter are between $4.9 billion and $5 billion, indicating a year-over-year growth of 36% to 39% [2] Financial Performance - The Zacks Consensus Estimate for second-quarter 2025 earnings has increased to 66 cents per share, suggesting a growth of 53.49% compared to the previous year [1] - The Zacks Consensus Estimate for revenues is set at $4.97 billion, which represents a 37.63% increase from the year-ago quarter [2] Growth Drivers - The anticipated results are supported by sustained investments in artificial intelligence (AI) infrastructure, ongoing defense modernization spending, and contributions from the recent acquisition of the Andrew business [3][7] - A robust order backlog, with orders increasing by 58% year-over-year to $5.292 billion, is expected to contribute positively to revenue momentum [4] Segment Performance - The IT datacom segment, which accounted for 33% of sales in the first quarter, is projected to drive growth with 134% organic growth and high-single-digit sequential growth anticipated [5] - The Communications Networks segment, bolstered by the Andrew acquisition, is expected to benefit from strong demand from network operators and OEMs [7] Market Positioning - Amphenol's diverse exposure to hyperscalers, OEMs, and chip manufacturers positions the company well to leverage the current demand cycle in AI infrastructure [6] - The defense sector is also expected to contribute significantly, with a 21% year-over-year growth in the first quarter and continued strong demand due to geopolitical factors [8] Strategic Acquisitions - Recent acquisitions, including LifeSync and CIT, enhance Amphenol's capabilities in high-reliability sectors, supporting long-term growth prospects [9][18] - The integration of the Andrew business has led to an increase in the full-year accretion forecast from 6 cents to 9 cents per share, indicating strong early performance [7] Stock Performance - Amphenol shares have appreciated 46.8% year-to-date, outperforming the Zacks Electronics Connectors industry and the broader Computer and Technology sector [10][13] - The stock is currently trading at a forward 12-month Price/Earnings ratio of 36.36X, higher than the sector average of 27.67X, indicating a premium valuation [14]

Core Viewpoint - Analysts project that Amphenol (APH) will report quarterly earnings of $0.66 per share, reflecting a 53.5% year-over-year increase, with revenues expected to reach $4.97 billion, a 37.6% increase from the same quarter last year [1] Earnings Estimates - There has been a 0.6% upward revision in the consensus EPS estimate for the quarter over the last 30 days, indicating analysts' reassessment of their initial forecasts [2] - Revisions to earnings projections are crucial for predicting investor behavior and are strongly linked to short-term stock price performance [3] Revenue Projections - Analysts forecast 'Net Sales- Harsh Environment Solutions' to reach $1.32 billion, a 25.7% increase year-over-year [5] - 'Net Sales- Interconnect and Sensor Systems' is projected at $1.18 billion, reflecting a 5.7% increase from the prior year [5] - 'Net Sales- Communications Solutions' is expected to reach $2.48 billion, indicating a significant year-over-year change of 71.4% [5] Operating Income Estimates - 'Operating Income- Interconnect and Sensor Systems' is expected to be $224.58 million, up from $203.30 million in the same quarter last year [6] - 'Operating Income- Communications Solutions' is projected to reach $672.65 million, compared to $350.60 million in the previous year [6] - 'Operating Income- Harsh Environment Solutions' is anticipated to be $317.77 million, an increase from $259.60 million year-over-year [7] Stock Performance - Amphenol shares have increased by 9.1% over the past month, outperforming the Zacks S&P 500 composite, which rose by 5.4% [7] - With a Zacks Rank 2 (Buy), Amphenol is expected to outperform the overall market in the near future [7]