Core Viewpoint - Keysight Technologies, Inc. reported strong fourth-quarter earnings, surpassing analyst expectations for both earnings per share and revenue, leading to a significant increase in stock price [1][2][4]. Financial Performance - Quarterly earnings were reported at $1.91 per share, exceeding the analyst estimate of $1.83 [2]. - Quarterly revenue reached $1.42 billion, surpassing the analyst consensus estimate of $1.38 billion [2]. Segment Revenue - Communications Solutions Group (CSG) generated revenue of $990 million in the fourth quarter, reflecting an 11% increase year-over-year, driven by investments in AI data center infrastructure and defense modernization [5]. - Electronic Industrial Solutions Group (EISG) reported revenue of $429 million in the fourth quarter, up 9% year-over-year, attributed to growth in general electronics and semiconductor solutions [5]. Future Outlook - Keysight anticipates first-quarter adjusted earnings between $1.95 and $2.01 per share, compared to the $1.83 analyst estimate, and revenue expectations of $1.53 billion to $1.55 billion, exceeding the $1.42 billion estimate [4].

Financial Performance - Q4 2025 revenue reached $1.4 billion, a 10% year-over-year increase, with earnings per share at $1.91, up 16% year-over-year[4] - FY25 revenue grew by 8%, with Communications Solutions Group (CSG) up 9% year-over-year and Electronic Industrial Solutions Group (EISG) up 6% year-over-year[4] - The company generated a record free cash flow of $1.3 billion in FY25[4] - Q1 2026 guidance projects revenue between $1.53 billion and $1.55 billion, and non-GAAP earnings per share between $1.95 and $2.01[36] Orders and Backlog - Q4 2025 orders increased by 14% year-over-year to $1.5 billion, also growing 14% quarter-over-quarter[4] - FY25 orders totaled $5.5 billion, an 8% year-over-year increase, driven by record orders in aerospace, defense, government, and wireline sectors[4] - The company's backlog stands at $2.7 billion, positioning it for a strong start to FY26[4] Segment Performance - Communications Solutions Group (CSG) revenue in Q4 2025 was $990 million, an 11% year-over-year increase[17] - Electronic Industrial Solutions Group (EISG) revenue in Q4 2025 was $429 million, a 9% year-over-year increase[22] - Commercial Communications revenue grew 12% year-over-year to $660 million[20, 29] Strategic Investments - The company invested $1.7 billion in R&D and acquisitions in FY25[4] - A new $1.5 billion share repurchase authorization reflects confidence in long-term growth and value creation[4] - Acquisitions of Spirent, Optical Solutions Group, and PowerArtist expand the served addressable market by approximately $1.25 billion and grow the overall software mix by roughly 300 basis points[4]

Financial Performance - Keysight reported fourth quarter revenue of $1.42 billion, a 10.2% increase from $1.29 billion in the same quarter last year[5] - GAAP net income for the fourth quarter was $229 million, or $1.33 per share, compared to a net loss of $73 million, or $0.42 per share, in Q4 2024[5] - Non-GAAP net income for the fourth quarter was $331 million, or $1.91 per share, up from $288 million, or $1.65 per share, in Q4 2024[5] - For fiscal year 2025, total revenue reached $5.37 billion, a 7.8% increase from $4.98 billion in fiscal year 2024[5] - Net income for the year ended October 31, 2025, was $846 million, a 38% increase from $614 million in 2024[20] - Total revenue for the fiscal year 2025 was $5,375 million, an 8% increase compared to $4,979 million in 2024[32] - Non-GAAP net income for the year ended October 31, 2025, was $1,240 million, up from $1,096 million in 2024, reflecting a 13% increase[23] - The company reported a diluted EPS of $4.89 for the year ended October 31, 2025, compared to $3.51 in 2024, representing a 39% increase[23] Cash Flow and Liquidity - Cash flow from operations for the fourth quarter was $225 million, down from $359 million in the previous year[5] - As of October 31, 2025, cash and cash equivalents totaled $1.87 billion, an increase from $1.80 billion a year earlier[18] - Operating cash flow increased to $1,409 million in 2025, up from $1,052 million in 2024, representing a 34% growth[20] - Free cash flow for the year ended October 31, 2025, was $1,282 million, compared to $905 million in 2024, marking a 42% increase[29] - Cash, cash equivalents, and restricted cash at the end of the year were $1,890 million, up from $1,814 million at the beginning of the year[20] Segment Performance - The Communications Solutions Group (CSG) reported revenue of $990 million in Q4, an 11% increase year-over-year[4] - The Electronic Industrial Solutions Group (EISG) reported revenue of $429 million in Q4, a 9% increase year-over-year[4] - The Communications Solutions Group reported revenue of $990 million in Q4 2025, an 11% increase from $894 million in Q4 2024[26] - The Electronic Industrial Solutions Group achieved revenue of $429 million in Q4 2025, a 9% increase from $393 million in Q4 2024[27] Shareholder Returns - The company announced a new $1.5 billion share repurchase program, effective immediately[6] Tax and Non-GAAP Measures - The company utilized a non-GAAP effective tax rate of 14% for both the three months and year ended October 31, 2025[23] - The company excludes acquisition-related items from non-GAAP financial measures to provide a clearer evaluation of current operating performance[38] - Share-based compensation expense is excluded from non-GAAP financial measures due to its variability based on share price and equity awards granted[38] - Incremental expenses related to restructuring initiatives are excluded as they are not considered normal, recurring operating expenses[38] Future Guidance - Keysight's first fiscal quarter 2026 revenue is expected to be between $1.53 billion and $1.55 billion[7]

Core Insights - Keysight Technologies, Inc. reported strong financial results for the fourth fiscal quarter and the fiscal year ending October 31, 2025, indicating a return to full-year growth with accelerating order momentum [1] Financial Performance - The company experienced an outstanding quarter, reflecting leadership across the markets served and sustained demand [1] - Specific financial metrics were not detailed in the provided text, but the overall performance suggests positive trends in revenue and orders [1]

Earnings Reports Overview - The current earnings season is nearing its end, with notable companies reporting during the holiday-shortened week [1] - Retail investors are particularly focused on earnings reports from major companies [1] Company-Specific Earnings Reports - WeRide Inc. (NASDAQ:WRD) and LexinFintech Holdings Ltd. (NASDAQ:LX) reported before the market opened on November 24, both showing better-than-expected results, leading to stock price increases [2] - Zoom Communications Inc. (NASDAQ:ZM) is expected to report third-quarter results after the market closes on November 24, with analysts predicting earnings of $1.44 per share and revenue of $1.21 billion [3] - Alibaba Group Holding Ltd. (NYSE:BABA) will release its Q2 earnings report before the market opens on November 25, with expectations of adjusted earnings of 81 cents per share and revenue of $34.43 billion [3] - Retailers Kohl's Corp. (NYSE:KSS) and Best Buy Co. Inc. (NYSE:BBY) are anticipated to provide insights into consumer behavior with their reports on November 25 [4] - Cleanspark Inc. (NASDAQ:CLSK), Dell Technologies Inc. (NYSE:DELL), and Zscaler Inc. (NASDAQ:ZS) are set to report after the market closes on November 25 [5] - Li Auto Inc. (NASDAQ:LI) and EHang Holdings Ltd. (NASDAQ:EH) will report their results before the market opens on November 26, alongside Deere & Co. (NYSE:DE), which has consistently beaten analyst expectations for 12 consecutive quarters [6] Market Schedule - U.S. stock markets will be closed on November 27 for the Thanksgiving holiday [8] - The stock market will have an early closure at 1 p.m. ET on November 28 [9]

Economic Outlook - New York Fed President John Williams indicated potential for interest rate cuts due to a weakening labor market [1] - Boston Fed President Susan Collins suggested maintaining current interest rates as inflation remains elevated [1] - Dallas Fed President Lorie Logan expressed skepticism about further rate cuts unless inflation decreases more rapidly or the labor market cools significantly [1] Economic Data - U.S. S&P Global manufacturing PMI fell to 51.9 in November, slightly below expectations of 52.0 [1] - S&P Global services PMI unexpectedly rose to 55.0, exceeding expectations of 54.6 [1] - University of Michigan's consumer sentiment index for November was revised to 51.0, stronger than the expected 50.6 [1] Market Performance - Wall Street's major equity averages closed higher, with Ross Stores (ROST) gaining over 8% after positive Q3 results and raised earnings guidance [3] - GlobalFoundries (GFS) and ON Semiconductor (ON) saw gains of over 5% and 4% respectively, while Intuit (INTU) rose more than 4% following strong FQ1 results [3] - Veeva Systems (VEEV) experienced a decline of over 9% after reporting weaker-than-expected Q3 adjusted gross margin [3] Investor Sentiment - Lower bond yields are supporting stock index futures, with expectations for a Fed rate cut in December [4] - U.S. rate futures indicate a 75.5% chance of a 25 basis point rate cut at the December Fed meeting [5] Upcoming Economic Reports - Investors are closely monitoring delayed economic data including September Retail Sales, Producer Price Index, and Durable Goods Orders [6] - Other significant data releases include Consumer Confidence Index, Pending Home Sales, and Initial Jobless Claims [6] Earnings Reports - High-profile companies such as Dell Technologies, HP Inc., and Analog Devices are scheduled to release quarterly results this week [7] Federal Reserve Insights - The Fed's Beige Book survey will provide updates on economic conditions, likely highlighting weaknesses in employment and activity [8]

Group 1 - Wall Street anticipates Zoom Communications Inc (NASDAQ:ZM) to report quarterly earnings of $1.44 per share on revenue of $1.21 billion [2] - Lee Enterprises, Inc. (NYSE:LEE) announced the resignation of CFO Tim Millage, effective February 28, 2026, with shares gaining 1.6% to close at $4.56 [2] - Keysight Technologies Inc (NYSE:KEYS) is expected to post quarterly earnings of $1.83 per share on revenue of $1.38 billion, with shares gaining 1.8% to close at $172.71 [2] - Wrap Technologies Inc (NASDAQ:WRAP) filed for a mixed shelf offering of up to $200 million, with shares gaining 6.6% to close at $2.11 [2] - Agilent Technologies Inc (NYSE:A) is expected to report quarterly earnings of $1.58 per share on revenue of $1.83 billion, with shares gaining 4.3% to close at $151.25 [2]

Core Viewpoint - Keysight Technologies is positioned for growth with anticipated quarterly earnings and revenue driven by strategic initiatives and market demand in electronic design and measurement [1][2][3][6] Financial Performance - Keysight is set to release quarterly earnings on November 24, 2025, with an estimated EPS of $1.85 and revenue of approximately $1.38 billion [1][6] - Analysts expect a 12.1% increase in EPS compared to the same period last year, with revenues projected to rise by 8% to $1.39 billion [2] - The company has delivered an average earnings surprise of 4.71% over the past four quarters [2][6] Growth Drivers - Revenue growth is driven by new collaborations, product launches, and strategic acquisitions [2][3][6] - The expanding electronic content in vehicles, advancements in space and satellite applications, and increasing adoption of quantum design tools are key factors fueling growth [3] Market Valuation - Keysight has a price-to-earnings (P/E) ratio of approximately 53.96, indicating investor willingness to pay for earnings [4][6] - The price-to-sales ratio stands at about 5.56, reflecting market valuation of its revenue [4] - The enterprise value to sales ratio is around 5.59, providing insight into total valuation relative to sales [4] Financial Health - The company has a debt-to-equity ratio of 0.49, indicating a balanced approach to leveraging debt [5] - A current ratio of 3.59 showcases Keysight's strong ability to cover short-term liabilities with short-term assets [5] - An earnings yield of 1.85% indicates a modest return on earnings relative to share price [5]

Group 1 - Keysight's Board of Directors has appointed Keith Jensen as a director, effective immediately [1]

Core Insights - Keysight Technologies, Inc. (KEYS) is expected to report higher year-over-year revenues for Q4 fiscal 2025, with a consensus estimate of $1.39 billion, up from $1.29 billion, and adjusted earnings per share projected at $1.85, an increase from $1.65 [11][10] Factors at Play - Keysight is benefiting from the increasing electronic content in vehicles, growth in space and satellite applications, and the global rise in driver-assistance systems adoption [2] Key Developments - Keysight has secured significant collaborations, including the selection of its BreakingPoint QuickTest solution by Fortinet for evaluating security capabilities and a partnership with Rapidus Corporation to develop a high-precision Process Design Kit for 2nm GAA semiconductors, which are expected to positively impact earnings [3] - The company achieved a milestone by completing the industry's first PSA Certified Level 4 security evaluation on Silicon Labs' Series 3 Secure Vault, enhancing security assurance for connected devices [4] - Keysight introduced Quantum System Analysis, an Electronic Design Automation solution that streamlines the simulation and optimization of quantum systems, which is anticipated to support net sales [5] Acquisitions - Keysight completed the acquisition of Spirent Communications, enhancing its portfolio in satellite emulation and network automation, which diversifies its offerings across various sectors [7] - The acquisition of Optical Solutions Group from Synopsys and PowerArtist from Ansys has significantly strengthened Keysight's design engineering software and computer-aided engineering capabilities [8] Revenue Expectations - Revenue estimates for the Communications Solutions Group segment are projected at $965.2 million, reflecting an 8% year-over-year growth, while the Electronic Industrial Solutions Group is expected to generate $414.2 million, a 5.4% increase year-over-year [9]