Keysight Technologies(US:KEYS)2025-08-19 20:07Financial Performance - Keysight Technologies reported third quarter revenue of $1.35 billion, a 11% increase from $1.22 billion in the same quarter of 2024[5] - GAAP net income for the third quarter was $191 million, or $1.10 per share, compared to $389 million, or $2.22 per share, in the third quarter of 2024[5] - Non-GAAP net income was $297 million, or $1.72 per share, up from $275 million, or $1.57 per share, in the third quarter of 2024[5] - Total revenue for Q3 2025 was $1,352 million, an increase of 11% from $1,217 million in Q3 2024[30] - Non-GAAP net income for the nine months ended July 31, 2025, was $909 million, up from $808 million in the same period last year, reflecting a 12% increase[22] - The company reported a diluted EPS of $3.56 for the nine months ended July 31, 2025, compared to $3.92 in the same period of 2024[22] Segment Performance - The Communications Solutions Group (CSG) generated $940 million in revenue, reflecting an 11% year-over-year growth, with 13% growth in commercial communications[3] - The Electronic Industrial Solutions Group (EISG) reported revenue of $412 million, also up 11% from the prior year, driven by growth in semiconductor and automotive sectors[3] - The Communications Solutions Group reported revenue of $940 million in Q3 2025, an 11% increase from $847 million in Q3 2024[25] - The Electronic Industrial Solutions Group also saw revenue growth of 11%, reaching $412 million in Q3 2025, compared to $370 million in Q3 2024[26] Cash Flow and Assets - Cash flow from operations was $322 million, compared to $255 million in the same period last year, while free cash flow increased to $291 million from $222 million[5] - Operating cash flow increased significantly to $1,184 million, up 71% from $693 million in the prior year[19] - Free cash flow for the nine months ended July 31, 2025, was $1,094 million, compared to $577 million in the same period last year, representing an increase of 90%[28] - Cash, cash equivalents, and restricted cash at the end of the period totaled $3,397 million, up from $1,649 million at the end of the previous year[19] - As of July 31, 2025, Keysight's cash, cash equivalents, and restricted cash totaled $3.40 billion[5] - Total assets increased to $10.651 billion as of July 31, 2025, up from $9.269 billion on October 31, 2024[17] Future Outlook - Keysight expects fourth quarter revenue to be between $1.370 billion and $1.390 billion, with non-GAAP earnings per share projected to be between $1.79 and $1.85[4] - For fiscal year 2025, revenue growth is anticipated to be approximately 7%, with non-GAAP earnings per share growth expected to be around 13%[4] - The company plans to continue investing in property, plant, and equipment, with $90 million spent in the nine months ended July 31, 2025[19] Year-over-Year Comparison - For the nine months ended July 31, 2025, net income was $617 million, a decrease of 10% compared to $687 million for the same period in 2024[19]