Amphenol Corp. (APH) had one of those "everything went right, but the stock still tanked" moments on Wednesday. The connector and cable solutions maker posted results that would make most companies jealous, yet investors sent shares tumbling after digesting the numbers.
Fourth-quarter sales hit $6.43 billion, rocketing 49% higher in U.S. dollars and 37% organically compared to last year. That sailed past Wall Street's $6.18 billion estimate. Adjusted diluted EPS of 97 cents climbed 76% year-over-year and topped the 93-cent consensus. The adjusted operating margin for the quarter reached 27.5%, and the company ended with $11.13 billion in cash sitting on the balance sheet.
During the quarter, Amphenol bought back 1.3 million shares for $171 million and distributed $202 million in dividends. For the full year 2025, that added up to nearly $1.5 billion returned to shareholders.
"Sales in the fourth quarter and for the full year increased from the prior year by 49% and 52%, respectively, driven by strong organic growth in virtually all of our end markets, including exceptional organic growth in the IT datacom market, as well as contributions from the company's acquisition program," President and CEO R. Adam Norwitt said. He highlighted that both quarterly and full-year adjusted operating margins reached 27.5% and 26.2%, respectively.
