Electrical connector manufacturer Amphenol (NYSE: APH) reported revenue ahead of Wall Street’s expectations in Q1 CY2026, with sales up 58.4% year on year to $7.62 billion. On top of that, next quarter’s revenue guidance ($8.15 billion at the midpoint) was surprisingly good and 5.1% above what analysts were expecting. Its GAAP profit of $0.72 per share was 24.4% below analysts’ consensus estimates.
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Amphenol (APH) Q1 CY2026 Highlights:
- Revenue: $7.62 billion vs analyst estimates of $7.12 billion (58.4% year-on-year growth, 7% beat)
- EPS (GAAP): $0.72 vs analyst expectations of $0.95 (24.4% miss)
- Adjusted EBITDA: $2.35 billion vs analyst estimates of $2.11 billion (30.9% margin, 11.5% beat)
- Revenue Guidance for Q2 CY2026 is $8.15 billion at the midpoint, above analyst estimates of $7.75 billion
- Operating Margin: 24%, up from 21.3% in the same quarter last year
- Free Cash Flow Margin: 10.9%, down from 12% in the same quarter last year
- Market Capitalization: $176.7 billion
“We are pleased to have closed the first quarter of 2026 with record sales and Adjusted Diluted EPS, both exceeding the high end of our guidance,” said Amphenol President and Chief Executive Officer, R. Adam Norwitt.
Company Overview
With over 90 years of connecting the world's technologies, Amphenol (NYSE: APH) designs and manufactures connectors, cables, sensors, and interconnect systems that enable electrical and electronic connections across virtually every industry.
Revenue Growth
A company’s long-term performance is an indicator of its overall quality. Even a bad business can shine for one or two quarters, but a top-tier one grows for years.
With $25.9 billion in revenue over the past 12 months, Amphenol is a behemoth in the business services sector and benefits from economies of scale, giving it an edge in distribution. This also enables it to gain more leverage on its fixed costs than smaller competitors and the flexibility to offer lower prices.
As you can see below, Amphenol’s sales grew at an incredible 23.2% compounded annual growth rate over the last five years. This is a great starting point for our analysis because it shows Amphenol’s demand was higher than many business services companies.
We at StockStory place the most emphasis on long-term growth, but within business services, a half-decade historical view may miss recent innovations or disruptive industry trends. Amphenol’s annualized revenue growth of 42.1% over the last two years is above its five-year trend, suggesting its demand was strong and recently accelerated. 
This quarter, Amphenol reported magnificent year-on-year revenue growth of 58.4%, and its $7.62 billion of revenue beat Wall Street’s estimates by 7%. Company management is currently guiding for a 44.2% year-on-year increase in sales next quarter.
Looking further ahead, sell-side analysts expect revenue to grow 24.9% over the next 12 months, a deceleration versus the last two years. Still, this projection is eye-popping given its scale and implies the market is baking in success for its products and services.
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Adjusted Operating Margin
Adjusted operating margin is a key measure of profitability. Think of it as net income (the bottom line) excluding the impact of non-recurring expenses, taxes, and interest on debt - metrics less connected to business fundamentals.
Amphenol has been a well-oiled machine over the last five years. It demonstrated elite profitability for a business services business, boasting an average adjusted operating margin of 22.8%.
Looking at the trend in its profitability, Amphenol’s adjusted operating margin rose by 6.1 percentage points over the last five years, as its sales growth gave it immense operating leverage.
This quarter, Amphenol generated an adjusted operating margin profit margin of 24.5%, up 1 percentage points year on year. This increase was a welcome development and shows it was more efficient.
Earnings Per Share
Revenue trends explain a company’s historical growth, but the long-term change in earnings per share (EPS) points to the profitability of that growth – for example, a company could inflate its sales through excessive spending on advertising and promotions.
Amphenol’s EPS grew at 27.2% compounded annual growth rate over the last five years, higher than its 23.2% annualized revenue growth. This tells us the company became more profitable on a per-share basis as it expanded.
We can take a deeper look into Amphenol’s earnings to better understand the drivers of its performance. As we mentioned earlier, Amphenol’s adjusted operating margin expanded by 6.1 percentage points over the last five years. This was the most relevant factor (aside from the revenue impact) behind its higher earnings; interest expenses and taxes can also affect EPS but don’t tell us as much about a company’s fundamentals.
Like with revenue, we analyze EPS over a shorter period to see if we are missing a change in the business.
For Amphenol, its two-year annual EPS growth of 45.8% was higher than its five-year trend. We love it when earnings growth accelerates, especially when it accelerates off an already high base.
In Q1, Amphenol reported EPS of $0.72, up from $0.58 in the same quarter last year. Despite growing year on year, this print missed analysts’ estimates, but we care more about long-term EPS growth than short-term movements. Over the next 12 months, Wall Street expects Amphenol’s full-year EPS of $3.48 to grow 30.1%.
Key Takeaways from Amphenol’s Q1 Results
We were impressed by how significantly Amphenol blew past analysts’ revenue expectations this quarter. We were also glad its revenue guidance for next quarter trumped Wall Street’s estimates. On the other hand, its EPS missed. Overall, this print had some key positives. The stock traded up 9.2% to $156.99 immediately after reporting.
Amphenol had an encouraging quarter, but one earnings result doesn’t necessarily make the stock a buy. Let’s see if this is a good investment. When making that decision, it’s important to consider its valuation, business qualities, as well as what has happened in the latest quarter. We cover that in our actionable full research report which you can read here (it’s free).
