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Methode Electronics (MEI) investor relations material
Methode Electronics Q3 2026 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Net sales for Q3 FY26 were $233.7–$234 million, down 2.6% year-over-year, with year-to-date net sales at $721 million, reflecting lower Automotive and Interface volumes, partially offset by Industrial growth and favorable FX.
Net loss was $15.9 million ($0.45 per diluted share), up from $14.4 million in the prior year; adjusted net loss was $13.1 million ($0.37 per share).
Transformation initiatives included operational improvements, Mexico operations progress, portfolio refinement, cost structure alignment, and capital reallocation toward higher-growth power solutions.
Completed sale of the dataMate business for $16–$16.4 million and finalized sale of the Harwood Heights facility, with proceeds used for debt reduction and working capital.
Headquarters relocated from Chicago to Southfield, Michigan, and facility subleased to reduce footprint.
Financial highlights
Adjusted EBITDA for Q3 FY26 was $7.3 million (3.1% margin), down 41% year-over-year; year-to-date Adjusted EBITDA was $40.6 million.
Gross profit was $38.8 million, with gross margin at 16.6% for the quarter, down from 17.2% year-over-year.
Net loss for Q3 FY26 was $15.9 million, with adjusted net loss of $13.1 million and adjusted EPS of $(0.37).
Free cash flow for Q3 FY26 was $10.1 million; year-to-date free cash flow reached $16.5–$17 million.
Cash balance at quarter-end was $133.7 million, up $30.1 million from fiscal 2025; net debt reduced by $16.9 million year-over-year to $207.2 million.
Outlook and guidance
FY26 net sales guidance narrowed to $950 million–$1 billion, with the low end raised by $50 million, mainly due to FX benefits.
Adjusted EBITDA guidance for FY26 is $58–$62 million, lowered from prior $70–$80 million, reflecting North American auto program delays and higher Mexico transformation costs.
Capital expenditures for FY26 expected at $24–$29 million, down from $42 million in FY25.
Guidance excludes proceeds from recent asset sales and potential customer recoveries; subject to risks including tariffs, geopolitical instability, EV adoption, and supply chain disruptions.
Expectation for positive free cash flow in Q4 and full year, compared to an outflow in the previous year.
- Sales and earnings fell on auto roll-offs and impairments; EV-driven growth expected in 2026.MEI
Q4 20243 Feb 2026 - Sales declined 10.8% but cash flow and guidance showed resilience amid ongoing headwinds.MEI
Q1 202522 Jan 2026 - Transformation targets growth in EV, power, and efficiency, with over 50 new launches by 2026.MEI
Sidoti September Small-Cap Virtual Conference20 Jan 2026 - Q2 sales up 2% to $292.6M, adjusted pre-tax income $6.2M, with EV/data center growth and ongoing risks.MEI
Q2 202511 Jan 2026 - Gross margin and free cash flow rose despite lower sales; 2026 growth outlook reaffirmed.MEI
Q3 202524 Dec 2025 - FY2026 EBITDA set to double on operational gains and cost cuts, despite lower sales.MEI
Small-Cap Virtual Conference21 Dec 2025 - Sales fell 15.6% year-over-year, but guidance and positive cash flow outlook were reaffirmed.MEI
Q2 20264 Dec 2025 - Board recommends approval of director elections, auditor ratification, and executive pay.MEI
Proxy Filing1 Dec 2025 - Annual meeting to vote on directors, auditor, and executive pay, with strong governance and ESG focus.MEI
Proxy Filing1 Dec 2025
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