Littelfuse (LFUS) Q2 2026 earnings summary

Executive summary

• Net sales reached $739 million in Q2 2026, up 20% year-over-year, driven by strong Electronics and Industrial segment growth and the Basler acquisition.

• Adjusted diluted EPS was $4.19, up 47% year-over-year; GAAP diluted EPS was $3.49.

• Strong cash generation and improved profitability were supported by operational execution and volume leverage.

• Record bookings and a book-to-bill ratio well above 1.0 signal robust demand and future growth.

• Strategic focus remains on high-growth opportunities, operational excellence, and portfolio optimization.

Financial highlights

• Adjusted EBITDA margin was 23.6%, up 220 basis points year-over-year.

• Free cash flow for Q2 was $127 million, up 75% year-over-year; gross margin improved to 41.4%.

• Operating income margin rose to 16.2% from 15.1% YoY; adjusted operating margin was 19.0%.

• Net income for Q2 2026 was $89.4 million, up 55.9% year-over-year.

• Ended quarter with $628 million in cash and net leverage ratio of 0.8x.

Outlook and guidance

• Q3 2026 net sales expected between $780 million–$800 million, representing 26% growth year-over-year at midpoint.

• Q3 adjusted diluted EPS expected in the range of $4.85–$5.05, up 68% year-over-year at midpoint; effective tax rate expected at 23–24%.

• Basler expected to contribute $135–$140 million in 2026 sales and $0.25–$0.30 EPS for the full year.

• Targeting $4.5 billion in revenue and $1.1 billion in adjusted EBITDA by 2030.

• Management expects current cash, cash flows, and credit facilities to support operations and investments.