Littelfuse (LFUS) Q1 2026 earnings summary

Executive summary

• Q1 2026 net sales reached $657 million, up 19% year-over-year (9% organic), exceeding expectations and driven by the Basler acquisition and strong Electronics segment growth.

• GAAP diluted EPS was $2.96; adjusted diluted EPS was $3.31, up 51% year-over-year, with margin expansion across all segments.

• Free cash flow increased 55% to $66 million, supporting continued investment and growth.

• Book-to-bill ratio remained well above 1.0, with bookings up over 20% year-over-year, indicating robust order momentum.

• Strategic priorities include grid and utility infrastructure expansion, customer-centric sales realignment, and operational excellence.

Financial highlights

• Gross profit was $254.1 million (38.7% margin), up from $207.3 million (37.4%) in Q1 2025, due to higher volume, favorable price, and product mix.

• Adjusted EBITDA margin was 22.9%, up 280 basis points year-over-year; adjusted operating margin improved to 17.5% from 14.2%.

• Net income for Q1 2026 was $75.1 million, up from $43.6 million in Q1 2025.

• Operating cash flow reached $80.3 million; cash and cash equivalents at quarter-end were $481.7 million.

• $90 million returned to shareholders via dividends and share repurchases in Q1 2026.

Outlook and guidance

• Q2 2026 net sales expected between $690 million and $710 million, representing 14% year-over-year growth, with 8% organic growth and Basler contributing 6%.

• Adjusted diluted EPS guidance for Q2 is $3.65–$3.85; adjusted effective tax rate expected at 21%–22%.

• Management expects current cash, forecasted cash flows, and available credit to be sufficient for operations, investments, and debt obligations.