TE (TEL) Q3 2025 Earnings Call Transcript

Motley Fool Transcribing, The Motley Fool

Wed, April 22, 2026 astatine 10:18 AM CDT 40 min read

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Wednesday, July 23, 2025 astatine 8:30 a.m. ET

• Chief Executive Officer — Terrence R. Curtin

• Chief Financial Officer — Heath A. Mitts

• Head of Investor Relations — Sujal Shah

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Terrence R. Curtin: Thanks, Sujal, and convey you, everyone, for joining the telephone today. As I usually similar to do, I bash privation to instrumentality a infinitesimal earlier we get into the slides to framework our results for our 3rd 4th arsenic good arsenic our guidance for our 4th fiscal quarter. We are pleased that we delivered double-digit increases successful some income and adjusted net per stock successful the 3rd 4th that exceeded our guidance and show our team's quality to proceed to execute successful a dynamic planetary environment. We delivered 14% income maturation and 19% adjusted net per stock growth, and some of these are quarterly records for our company.

A cardinal operator of our occurrence has been the strategical positioning of our portfolio and the investments that we've made to broaden our concern to payment from secular maturation trends successful some the Transportation and Industrial segments. The investments that we made volition spot that are paying disconnected and are evident successful our results arsenic we're capitalizing connected the beardown request for artificial quality arsenic good arsenic maturation successful vigor applications wherever our products needed. We're besides benefiting from spot successful Asia successful our Transportation segment, wherever we spot accrued information connectivity trends and ongoing maturation of the electrified powertrain.

You not lone spot the payment of the investments connected the maturation side, but you besides spot it successful our operations. We achieved grounds adjusted operating margins of 20% and grounds escaped currency travel procreation of $1 cardinal this quarter. This is the effect of our planetary manufacturing strategy, wherever we've invested heavy to person implicit 70% of our accumulation localized, and this is providing to beryllium a differentiator with our customers. And finally, we bash expect our beardown show to proceed into the 4th fourth with some double-digit income and double-digit adjusted net per stock maturation again successful the 4th quarter.

So with that arsenic a backdrop, let's get into the presentation, starting with Slide 3, and I volition sermon immoderate further highlights and the guidance for the 4th fourth of fiscal '25. Our 3rd 4th income were supra guidance astatine $4.5 billion, increasing 14% connected a reported ground and 9% organically year-over-year. We saw acceleration successful our Industrial conception with implicit 20% integrated maturation that was broad-based and driven by our integer information networks and vigor businesses. We delivered grounds adjusted net per stock of $2.27 that was good supra our guidance and accrued 19% versus the anterior year.