Amphenol(APH) - 2025 Q1 - Quarterly Results

Financial Performance - Record sales of $4.8 billion, up 48% in U.S. dollars and 33% organically compared to the first quarter of 2024[7] - Adjusted Diluted EPS reached a record $0.63, up 58% compared to the prior year[7] - Adjusted Operating Margin was 23.5%, marking a strong profitability performance[2] - Net sales for the three months ended March 31, 2025, reached $4,811.0 million, a 48% increase compared to $3,256.3 million in the same period of 2024[19] - Gross profit for the same period was $1,644.0 million, up from $1,089.0 million, reflecting a significant improvement in profitability[19] - Net income attributable to Amphenol Corporation was $737.8 million, compared to $548.7 million in the prior year, representing a 34% increase[19] - Adjusted diluted EPS for the three months ended March 31, 2025, was $0.63, compared to $0.40 for the same period in 2024, indicating a 57.5% growth[22] - The company reported a consolidated operating margin of 21.3%, slightly up from 21.0% in the prior year[28] - Adjusted diluted EPS for Q1 2025 was $0.63, reflecting an increase from $0.40 in Q1 2024, with an adjusted operating income margin of 23.5%[35] - The company expects diluted EPS for Q2 2025 to be in the range of $0.63 to $0.65, with adjusted diluted EPS projected at $0.64 to $0.66[44] Shareholder Returns - The company returned approximately $380 million to shareholders through stock buybacks and dividends[2] Acquisitions and Growth Strategy - The company completed two acquisitions: LifeSync and CommScope's OWN and DAS businesses, with the latter expected to be approximately $0.09 accretive to 2025 Adjusted Diluted EPS[3] - The company is focused on market and geographic diversification as well as an active acquisition strategy to expand growth opportunities[3] - The acquisition-related expenses for the quarter amounted to $44.0 million, primarily due to the acquisition of the Outdoor Wireless Networks segment[19] Cash Flow and Investments - Operating cash flow was $765 million and free cash flow was $580 million during the first quarter[7] - Cash and cash equivalents decreased to $1,657.2 million from $3,317.0 million at the end of the previous quarter, reflecting significant cash outflows related to acquisitions[26] - Capital expenditures for Q1 2025 were $188.6 million, up from $94.3 million in Q1 2024, reflecting increased investment in growth initiatives[37] Market Outlook - Amphenol expects second quarter 2025 sales to be in the range of $4.90 billion to $5.00 billion, representing a 36% to 39% increase over the prior year quarter[4] - The current economic and geopolitical environment remains uncertain, which may impact future performance[4] - Amphenol's net sales growth in U.S. dollars is influenced by foreign currency translation and acquisition impacts, which are assessed using non-GAAP measures[33] Tax and Financial Measures - The effective tax rate for Q1 2025 was 22.7%, compared to 16.7% in Q1 2024, indicating a significant increase in tax burden[35] - Management utilizes non-GAAP financial measures to assess performance and communicate results, which are deemed useful for investors[43]