Amphenol Beats Q3 Estimates as Sales Jump 65%, Orders Hit Record $12.2B and Dividend Rises 20%

APH reported third-quarter sales of $10.23 billion, up 65% from a year earlier and 37% on an organic basis, and adjusted EPS of $0.80, against Street estimates of $9.49 billion and $0.73. Adjusted EPS rose 74% from a year earlier on a split-adjusted basis, following Amphenol's 2-for-1 stock split in September, per the company's release. Adjusted operating margin widened 220 basis points to 29.7%.

AI data-center connectivity drove the quarter. The Communications Solutions segment, which houses IT datacom, grew 99%, or 51% organically, while Harsh Environment rose 35% and Interconnect and Sensor Systems 17%. Orders hit a record $12.2 billion, up 14% from the prior quarter, for a book-to-bill of 1.19. Acquisitions also contributed: Amphenol closed Empire Electronics and has three more deals pending, AdvancedPCB, Dexgreen and Humanetics Sensors, for about $1.6 billion across all four. It raised its full-year outlook for the CommScope business it acquired to about $5.1 billion in sales from $4.6 billion.

For the December quarter, Amphenol guided sales to $10.3 billion to $10.5 billion and adjusted EPS to $0.81 to $0.83, putting full-year 2026 sales at $36.9 billion to $37.1 billion, per the release. It raised the quarterly dividend 20% to $0.15 per share and authorized a new $4 billion repurchase program running three years from Jan. 1, 2027, after its current $2 billion plan concludes. Evercore ISI reiterated its Outperform rating and $100 price target after the results. Free cash flow was $1.6 billion in the quarter.

What to watch: how much of the growth stays organic as acquisition contributions lap, whether orders keep outrunning sales into 2027, and the closing timeline for the three pending deals.