Financial Performance - Net sales for the second quarter of fiscal year 2026 decreased by 5% to $341.3 million compared to $357.4 million in the same quarter of fiscal year 2025[113] - Gross profit increased by 19% to $27.9 million, representing 8.2% of net sales, compared to 6.6% in the prior year[113] - Selling and administrative expenses rose by 41% to $14.9 million, accounting for 4.4% of net sales, up from 3.0%[113] - Operating income improved by 31% to $10.8 million, or 3.2% of net sales, compared to 2.3% in the previous year[113] - Net income for the second quarter increased by 6% to $3.6 million, with diluted earnings per share rising to $0.15 from $0.14[113] Segment Performance - The automotive vertical experienced a significant decline, with net sales dropping 13% to $162.3 million in the second quarter[113] - Medical segment sales increased by 15% to $96.3 million, while industrial sales decreased by 5% to $82.7 million[113] - Automotive end market sales decreased both quarter over quarter and year-to-date due to the loss of a major program and tariff impacts, while medical end market sales increased driven by new program wins[120] Restructuring and Expenses - The company recorded a pre-tax restructuring expense of $1.8 million in the second quarter due to alignment with reduced market demand[118] Financial Ratios and Liquidity - The current ratio stands at 2.2, and the debt-to-equity ratio is 0.3, indicating a strong balance sheet[109] - As of December 31, 2025, the company had $77.9 million in cash and $285.1 million in unused borrowings under credit facilities, indicating a strong liquidity position[139] Cash Flow and Investments - Net cash provided by operating activities for the first six months of fiscal year 2026 was $14.9 million, a significant decrease from $74.9 million in the same period of fiscal year 2025[127] - Net cash used for investing activities in the first six months of fiscal year 2026 was $24.4 million, primarily for capital investments in a new medical facility and equipment[131] - The company sold $144.1 million of accounts receivable without recourse in the six months ended December 31, 2025, compared to $169.0 million in the same period of 2024[137] Capital Expenditures - Capital expenditure commitments as of December 31, 2025, were approximately $16.0 million, primarily for new program wins and improvements to the medical facility[140] - The company expects proceeds from the sale of the Tampa facility to exceed the total expected restructuring costs and the carrying value of the assets held for sale[141] Currency Impact - Foreign currency fluctuations positively impacted net sales by 2% in the current quarter compared to the same period last year[115] Working Capital - Working capital as of December 31, 2025, was $378.5 million, slightly down from $381.0 million at June 30, 2025, with a current ratio of 2.2[123] Cash Conversion - Cash Conversion Days improved to 91 days in the quarter ended December 31, 2025, down from 107 days in the same quarter of the previous year[125] Stock Repurchase - The company has repurchased $109.5 million of common stock under its Repurchase Plan through December 31, 2025, with a total authorization of up to $120 million[144]

Kimball Electronics (NasdaqGS:KE) Q2 2026 Earnings call February 05, 2026 10:00 AM ET Company ParticipantsAndy Regrut - VP of Investor Relations, Strategic Development, and TreasurerJana Croom - CFOMike Crawford - Senior Managing Director and Head, Discovery GroupRic Phillips - CEOConference Call ParticipantsAnja Soderstrom - Senior Equity Research AnalystDerek Soderberg - Director, Senior Equity Research AnalystMax Michaelis - Equity Research AnalystOperatorGood morning, ladies and gentlemen, and welcome t ...

Kimball Electronics (NasdaqGS:KE) Q2 2026 Earnings call February 05, 2026 10:00 AM ET Company ParticipantsAndy Regrut - VP of Investor Relations, Strategic Development, and TreasurerJana Croom - CFOMike Crawford - Senior Managing Director and Head, Discovery GroupRic Phillips - CEOConference Call ParticipantsAnja Soderstrom - Senior Equity Research AnalystDerek Soderberg - Director, Senior Equity Research AnalystMax Michaelis - Equity Research AnalystOperatorGood morning, ladies and gentlemen, and welcome t ...

Kimball Electronics (NasdaqGS:KE) Q2 2026 Earnings call February 05, 2026 10:00 AM ET Speaker6Good morning, ladies and gentlemen, and welcome to the Kimball Electronics second quarter fiscal 2026 earnings conference call. My name is Alicia, and I'll be your facilitator for today's call. All lines have been placed in a listen-only mode to prevent any background noise. After the completion of the prepared remarks from the Kimball Electronics leadership team, there will be a question-and-answer period. To ask ...

Key Takeaways KE posted Q2 FY26 EPS of 28 cents, matching estimates, while revenues fell year over year to $341.3M.Medical segment grew 15% Y/Y to $96.3M, offset by double-digit declines in automotive and industrial units.Gross margin rose 160 bps to 8.2% and FY26 sales guidance was raised to $1.40B-$1.46B.Kimball Electronics (KE) came out with second-quarter fiscal 2026 earnings of 28 cents per share, in line with the Zacks Consensus Estimates. This compares with earnings of 29 cents per share a year ago.K ...

Second Quarter Fiscal 2026 Results Quarter Ended December 31, 2025 Supplementary Information to the February 5, 2026, Earnings Conference Call & Webcast Lasting relationships. Global success. Kimball Electronics Confidential Jana Croom CFO Safe Harbor Statement Certain statements contained within this supplementary information, including our fiscal year 2026 guidance, and any statements made during our earnings conference call today may be considered forward-looking under the Private Securities Litigation R ...

Core Viewpoint - Kimball Electronics reported quarterly earnings of $0.28 per share, matching the Zacks Consensus Estimate, but down from $0.29 per share a year ago, indicating a slight decline in profitability [1]. Financial Performance - The company achieved revenues of $341.28 million for the quarter ended December 2025, which was a 4.5% decrease from $357.39 million year-over-year and missed the Zacks Consensus Estimate by 0.36% [2]. - Over the last four quarters, Kimball Electronics has surpassed consensus EPS estimates four times and topped revenue estimates three times [2]. Stock Performance - Kimball Electronics shares have increased approximately 11.7% since the beginning of the year, significantly outperforming the S&P 500's gain of 1.1% [3]. Future Outlook - The current consensus EPS estimate for the upcoming quarter is $0.37 on revenues of $348.25 million, while for the current fiscal year, the estimate is $1.36 on revenues of $1.41 billion [7]. - The estimate revisions trend for Kimball Electronics was mixed prior to the earnings release, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market [6]. Industry Context - The Electronics - Miscellaneous Products industry, to which Kimball Electronics belongs, is currently ranked in the top 26% of over 250 Zacks industries, suggesting a favorable industry outlook [8].

Exhibit 99.1 KIMBALL ELECTRONICS REPORTS Q2 RESULTS; WITH STRONG SALES GROWTH IN THE MEDICAL VERTICAL; COMPANY RAISES ITS GUIDANCE FOR FISCAL 2026 JASPER, Ind., February 4, 2026 -- (BUSINESS WIRE) -- Kimball Electronics, Inc. (Nasdaq: KE) today announced financial results for the second quarter ended December 31, 2025. "I'm pleased with the results for the second quarter and our updated guidance for fiscal 2026. Sales in Q2 were in line with expectations, highlighted by another quarter of strong double- dig ...

JASPER, Ind.--(BUSINESS WIRE)--Kimball Electronics, Inc. (Nasdaq: KE) today announced financial results for the second quarter ended December 31, 2025. Three Months Ended Six Months Ended December 31, December 31, (Amounts in Thousands, except EPS) 2025 2024 Â 2025 2024 Net Sales $ 341,280 $ 357,392 $ 706,883 $ 731,648 Operating Income $ 10,767 Â Â $ 8,230 Â Â $ 25,221 Â Â $ 17,345 Â Adjusted Operating Income (non-GAAP) $ 15,308 Â Â $ 13,3. ...

Key Takeaways Kimball Electronics will report Q2 results Feb. 4, with sales seen down 4.2% year over year.KE's expanding medical manufacturing footprint is expected to support performance in the quarter.Softness across the automotive and industrial segments may weigh on overall results.Kimball Electronics, Inc. (KE) is scheduled to report second-quarter fiscal 2026 results on Feb. 4, after market close.The Zacks Consensus Estimate for sales is pegged at $342.5 million, indicating a 4.2% decline from the pri ...