10-Q · May 6, 2026
Littelfuse reported a strong Q1 2026 with net sales of $657 million, exceeding the prior year by 18.5% and surpassing estimates. EPS was $2.96, also higher than the previous year’s $1.75. Management raised its Q2…
Earnings analysis · 10-Q
LFUS earnings analysis
Filed July 29, 2026 · Our reading of the company's report
The latest report
Littelfuse posted a strong Q2: revenue grew 20.4% to $738.781 million, gross margin expanded 360 basis points to 41.4%, operating margin rose 110 basis points to 16.2%, and GAAP diluted EPS increased to $3.49 from…
Read full summary
Littelfuse posted a strong Q2: revenue grew 20.4% to $738.781 million, gross margin expanded 360 basis points to 41.4%, operating margin rose 110 basis points to 16.2%, and GAAP diluted EPS increased to $3.49 from $2.30. Electronics was the major earnings catalyst, while Industrial benefited materially from Basler and circuit-protection volume; Transportation remained the weak point as operating income fell 8.5% on cost inflation and mix. Liquidity improved, with cash increasing $64.8 million to $628.2 million and six-month calculated free cash flow reaching $193.5 million, though the filing did not provide quantitative forward guidance.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $3.49
What stood out
-
Revenue accelerated above $738 million
Q2 revenue was $738.781 million, up $125.368 million, or 20.4%, from $613.413 million a year earlier and up 12.5% from Q1 2026 revenue of $656.969 million. Growth was led by Electronics volume and included $35.8 million from the Basler acquisition.
-
Gross-margin expansion drove earnings leverage
Gross margin expanded 360 basis points year over year to 41.4% from 37.8%, and rose 270 basis points sequentially from 38.7% in Q1. Gross profit increased $74.010 million, or 31.9%, to $306.064 million on volume leverage, execution, price and mix.
-
Operating margin and EPS improved
Operating income increased 29.0% to $119.724 million; operating margin rose to 16.2% from 15.1% a year ago and 15.4% in Q1 2026. GAAP diluted EPS increased to $3.49 from $2.30, a 51.7% year-over-year increase, and from $2.96 sequentially.
-
Electronics was the primary profit driver
Electronics delivered $406.420 million of revenue, up 21.1%, while segment operating income increased 74.3% to $86.916 million and margin expanded to 21.4% from 14.9%. Higher electronics-products volume of $44.7 million and semiconductor volume of $26.1 million drove the increase.
-
Industrial growth benefited from Basler
Industrial revenue rose 52.5% to $149.950 million and operating income rose 45.7% to $27.474 million. Basler contributed $35.8 million of incremental segment sales, while industrial circuit-protection demand added organic volume.
-
Cash conversion strengthened with low capex intensity
Six-month operating cash flow rose $78.249 million to $226.474 million; less $33.0 million of capital expenditures, calculated six-month free cash flow was $193.474 million. Capex was 2.4% of six-month revenue of $1.396 billion.
What to watch
-
Transportation margins contracted
Transportation operating income declined $2.383 million, or 8.5%, to $25.691 million despite 1.7% revenue growth; segment margin fell to 14.1% from 15.6% due to commercial-vehicle cost inflation and unfavorable product mix. Automotive-sensor volume was also reduced by the exit of lower-margin products.
-
Restructuring and impairment costs increased
Q2 operating expenses increased $47.064 million, or 33.8%, to $186.340 million. This included $13.1 million of fixed-asset impairment tied to closure and/or disposition of two Electronics semiconductor sites and $6.9 million of restructuring charges.
-
Debt remains exposed to financing conditions
The company disclosed $200.0 million of revolver borrowings as of June 27, 2026, although it had $599.9 million of remaining revolver capacity and was compliant with all covenants. The credit facility's effective interest rate was 3.88% after the hedge.
-
Energy and logistics volatility remains a headwind
No material changes were reported to risk factors versus the December 27, 2025 10-K. However, management specifically noted that Strait of Hormuz shipping disruptions could increase petroleum-resin, transportation and logistics costs; Q2 Transportation operating income was $25.691 million, down $2.383 million year over year, illustrating current sensitivity to cost inflation.
Management's outlook
The 10-Q provides no quantitative revenue or EPS outlook. Management expects current cash, forecast operating cash flow, funding availability and capital-market access to be sufficient for operations, capital expenditures, investments and debt obligations over the short and long term.
Earlier filings 4
10-K · February 19, 2026
Littelfuse returned to revenue growth in fiscal 2025 with net sales of $2,386.3 million (up from $2,190.8 million in 2024) while pursuing strategic acquisitions (Basler for $350.3 million; Dortmund Fab ~€94 million) to…
10-Q · July 30, 2025
Littelfuse reported a strong quarter with net sales of $613,413,000 (up $54,924,000 vs. $558,489,000) and operating income of $92,778,000 (vs. $65,506,000). Diluted EPS rose to $2.30 (vs. $1.82) and operating cash…
10-Q · October 30, 2024
Littelfuse reported Q3 net sales of $567,390,000 and diluted EPS of $2.32 for the three months ended September 28, 2024. Revenue declined versus the year-ago quarter ($607,071,000) but gross margin held up (gross profit…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.