Revenue growth remains inconsistent, with quarterly performance peaking at $162.2 million in 2025Q4 before experiencing a total revenue decline in 2026Q1.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 |
|---|
| Sales/Revenue | 461M | 593.2M | 553.5M | 456.8M | 478.8M | 868.1M | 764.3M | 854.8M | 826.9M | 744.2M | 755.7M | 849.6M | 1.14B | 1.21B | 1.12B |
| Revenue Growth % | -16.55% | 7.17% | 21.17% | -4.59% | -44.85% | 13.58% | -10.59% | 3.37% | 11.11% | -1.52% | -11.05% | -25.56% | -6.05% | 8.66% | - |
| Cost of Goods Sold | 266.8M | 348.7M | 332.3M | 256.7M | 251.8M | 526.6M | 505M | 531.2M | 510.4M | 460.1M | 476.2M | 534.6M | 927.9M | 824.97M | 710.62M |
| COGS % of Revenue | - | 58.78% | 60.04% | 56.2% | 52.59% | 60.66% | 66.07% | 62.14% | 61.72% | 61.82% | 63.01% | 62.92% | 81.3% | 67.91% | 63.56% |
| Gross Profit | 261.3M | 244.5M | 221.2M | 200.1M | 227M | 341.5M | 259.3M | 323.6M | 316.5M | 284.1M | 279.5M | 315M | 213.4M | 389.84M | 407.37M |
| Gross Margin % | 56.68% | 41.22% | 39.96% | 43.8% | 47.41% | 39.34% | 33.93% | 37.86% | 38.28% | 38.18% | 36.99% | 37.08% | 18.7% | 32.09% | 36.44% |
| Gross Profit Growth % | - | 10.53% | 10.54% | -11.85% | -33.53% | 31.7% | -19.87% | 2.24% | 11.4% | 1.65% | -11.27% | 47.61% | -45.26% | -4.3% | - |
| Operating Expenses | 175.1M | 166.8M | 164.5M | 150.7M | 136.2M | 223.3M | 211.4M | 235.5M | 236.6M | 212.7M | 223.7M | 264.7M | 236.9M | 229.72M | 265.44M |
| OpEx % of Revenue | - | 28.12% | 29.72% | 32.99% | 28.45% | 25.72% | 27.66% | 27.55% | 28.61% | 28.58% | 29.6% | 31.16% | 20.76% | 18.91% | 23.74% |
| Selling, General & Admin | 137.5M | 142.8M | 127.4M | 119.2M | 116.7M | 130.5M | 118.5M | 138.7M | 136M | 119.3M | 131.7M | 171.9M | 153.9M | 147.15M | 188.14M |
| SG&A % of Revenue | - | 24.07% | 23.02% | 26.09% | 24.37% | 15.03% | 15.5% | 16.23% | 16.45% | 16.03% | 17.43% | 20.23% | 13.48% | 12.11% | 16.83% |
| Research & Development | 41.6M | 40.2M | 37.1M | 31.5M | 81.7M | 92.8M | 92.9M | 96.8M | 100.6M | 93.4M | 92M | 92.8M | 83M | 82.57M | 77.3M |
| R&D % of Revenue | - | 6.78% | 6.7% | 6.9% | 17.06% | 10.69% | 12.15% | 11.32% | 12.17% | 12.55% | 12.17% | 10.92% | 7.27% | 6.8% | 6.91% |
| Other Operating Expenses | -900K | -16.2M | 0 | 0 | -62.2M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | 81.6M | 77.7M | 56.7M | 49.4M | 90.8M | 118.2M | 47.9M | 88.1M | 79.9M | 71.4M | 55.8M | 50.3M | -23.5M | 160.12M | 141.93M |
| Operating Margin % | 17.7% | 13.1% | 10.24% | 10.81% | 18.96% | 13.62% | 6.27% | 10.31% | 9.66% | 9.59% | 7.38% | 5.92% | -2.06% | 13.18% | 12.69% |
| Operating Income Growth % | - | 37.04% | 14.78% | -45.59% | -23.18% | 146.76% | -45.63% | 10.26% | 11.9% | 27.96% | 10.93% | 314.04% | -114.68% | 12.82% | - |
| EBITDA | 144.2M | 114M | 94.3M | 75.6M | 144.7M | 180.7M | 108.5M | 142.5M | 132.3M | 125.2M | 124.8M | 127.2M | 128.1M | 291.03M | 256.81M |
| EBITDA Margin % | 31.28% | 19.22% | 17.04% | 16.55% | 30.22% | 20.82% | 14.2% | 16.67% | 16% | 16.82% | 16.51% | 14.97% | 11.22% | 23.96% | 22.97% |
| EBITDA Growth % | 55.22% | 20.89% | 24.74% | -47.75% | -19.92% | 66.54% | -23.86% | 7.71% | 5.67% | 0.32% | -1.89% | -0.7% | -55.98% | 13.33% | - |
| D&A (Non-Cash Add-back) | 62.6M | 36.3M | 37.6M | 26.2M | 53.9M | 62.5M | 60.6M | 54.4M | 52.4M | 53.8M | 69M | 76.9M | 151.6M | 130.91M | 114.88M |
| EBIT | 69.8M | 73.3M | 54.8M | 44.7M | 91.6M | 119M | 28.4M | 81.6M | 77.7M | 39.8M | 47.9M | 35.4M | -48.4M | 143.53M | 135.39M |
| Net Interest Income | -6.6M | -9.3M | -16.3M | -5.4M | -3.9M | -14.2M | -16.4M | -14.5M | -16M | -20.2M | -19.7M | -12.7M | -6.6M | -42.02M | -56.47M |
| Interest Income | 0 | 0 | 3.8M | 2M | 400K | 200K | 700K | 800K | 600K | 200K | 100K | 100K | 100K | 0 | 0 |
| Interest Expense | 8.1M | 9.3M | 20.1M | 7.4M | 4.3M | 14.4M | 17.1M | 15.3M | 16.6M | 20.4M | 19.8M | 12.8M | 6.7M | 42.02M | 56.47M |
| Other Income/Expense | -7.1M | -13.7M | -22M | -12.1M | -3.1M | -13.6M | -36.6M | -21.8M | -18.8M | -52M | -27.7M | -27.7M | -31.6M | -58.61M | -63.01M |
| Pretax Income | 62.9M | 64M | 34.7M | 37.3M | 87.7M | 104.6M | 11.3M | 66.3M | 61.1M | 19.4M | 28.1M | 22.6M | -55.1M | 101.51M | 78.92M |
| Pretax Margin % | 13.64% | 10.79% | 6.27% | 8.17% | 18.32% | 12.05% | 1.48% | 7.76% | 7.39% | 2.61% | 3.72% | 2.66% | -4.83% | 8.36% | 7.06% |
| Income Tax | 11.6M | 13.1M | 11.3M | -28.3M | 21.3M | -45.6M | 8.4M | 16.6M | -4.5M | 12.9M | 8.3M | 6.1M | 31.9M | -4.3M | -181K |
| Effective Tax Rate % | 18.44% | 20.47% | 32.56% | -75.87% | 24.29% | -43.59% | 74.34% | 25.04% | -7.36% | 66.49% | 29.54% | 26.99% | -57.89% | -4.24% | -0.23% |
| Net Income | 46.2M | 44.2M | -239.5M | 72.4M | -430.1M | 150.4M | 6.6M | 49.1M | 66.1M | 6M | -16.7M | -233.8M | -87M | 105.81M | 79.1M |
| Net Margin % | 10.02% | 7.45% | -43.27% | 15.85% | -89.83% | 17.33% | 0.86% | 5.74% | 7.99% | 0.81% | -2.21% | -27.52% | -7.62% | 8.71% | 7.07% |
| Net Income Growth % | 118.93% | 118.46% | -430.8% | 116.83% | -385.97% | 2178.79% | -86.56% | -25.72% | 1001.67% | 135.93% | 92.86% | -168.74% | -182.22% | 33.78% | - |
| Net Income (Continuing) | 51.3M | 50.9M | 23.4M | 65.6M | 66.4M | 150.2M | 2.9M | 49.7M | 65.6M | 6.5M | 19.8M | 16.5M | -87M | 105.81M | 79.1M |
| Discontinued Operations | -1.6M | -6.7M | -262.9M | 6.8M | -496.5M | 200K | 3.7M | -600K | 500K | -500K | -36.5M | -250.3M | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | - | 0.50 | -2.67 | 0.79 | -4.69 | 1.59 | 0.03 | 0.53 | 0.74 | 0.75 | -0.47 | -2.69 | -1.02 | 1.24 | 0.93 |
| EPS Growth % | 119.5% | 118.73% | -437.97% | 116.84% | -394.97% | 4996.15% | -94.11% | -28.38% | -1.33% | 259.57% | 82.53% | -163.73% | -182.26% | 33.33% | - |
| EPS (Basic) | - | 0.51 | -2.69 | 0.80 | -4.69 | 1.63 | 0.03 | 0.54 | 0.75 | 0.76 | -0.48 | -2.69 | -1.02 | 1.24 | 0.93 |
| Diluted Shares Outstanding | 0 | 87.3M | 90.1M | 91.6M | 91.7M | 94.7M | 92.88M | 93.44M | 91.19M | 90.49M | 89.18M | 86.8M | 85.05M | 85.03M | 85.03M |
| Basic Shares Outstanding | 0 | 85.8M | 88.9M | 90.9M | 91.7M | 92.3M | 91.7M | 91.16M | 90.05M | 89.33M | 88.67M | 86.8M | 85.05M | 85.03M | 85.03M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Consumer electronics demand volatility
According to quarterly financial disclosures, Knowles experienced a volatile revenue trajectory, peaking at $162.2 million in 2025Q4 before reporting a total revenue collapse in 2026Q1, highlighting the inherent instability of its reliance on cyclical consumer electronics markets and the challenges of sustaining organic growth.
The revenue fluctuations suggest that the company remains highly sensitive to the timing of OEM design wins and broader consumer electronics replacement cycles. While the 2025 fiscal year showed periods of sequential improvement, the lack of a clear, sustained upward trend warrants caution regarding the durability of its current revenue base.
As reported in recent income statements, Knowles maintained gross margins fluctuating between 37.2% and 43.2%, suggesting that while the company possesses some pricing power in its specialized niches, it remains vulnerable to factory utilization shifts and the dilutive impact of its high-volume consumer audio segment.
The ability to sustain margins above 40% in several quarters indicates that the company's proprietary balanced armature technology provides a structural buffer against commodity pricing pressures. However, investors should monitor whether the integration of industrial-focused acquisitions can consistently push these margins higher, offsetting the inherent cyclicality of the audio business.
Based on the provided financial data, Knowles' operating income demonstrates significant sensitivity to revenue changes, with operating margins swinging from 6.0% to 17.1% over the last two years, reflecting a high fixed-cost structure that amplifies the impact of even minor fluctuations in top-line performance.
The company's operating leverage appears to be a double-edged sword; while it allows for margin expansion during periods of high demand, it creates substantial downside risk during volume contractions. This suggests that management's ability to control SG&A and R&D expenses is critical to protecting profitability when consumer demand softens.
Analysis of the reported net income reveals significant quarterly variance, including a substantial $259.3 million loss in 2024Q2, which suggests that non-operating items and periodic charges frequently distort the underlying profitability of the core business operations as presented in the company's financial filings.
The inconsistency between operating income and net income highlights the need for investors to look beyond headline EPS figures. The presence of stock-based compensation and other non-recurring charges suggests that the quality of earnings is currently moderate, requiring careful adjustment to understand the true cash-generating capability of the firm.
Financial records indicate that Knowles' heavy reliance on the consumer electronics sector creates a persistent risk of margin compression, as evidenced by the sharp decline in operating margins during periods of lower revenue, which short-sellers may view as a sign of structural weakness in the business model.
The counter-argument to the company's transformation narrative is that the core audio business may continue to act as a drag on overall performance. If the Precision Devices segment fails to scale rapidly enough to offset the volatility of the audio segment, the company may struggle to achieve a meaningful valuation re-rating.
Quick answers to the most common questions about buying KN stock.
For fiscal year 2025, Knowles Corporation (KN) reported total revenue of $593.2M. This represents a 46.9% decline compared to $1.12B in 2012.
Knowles Corporation (KN) is profitable, generating $44.2M in net income for the fiscal year ending 2025 with a net profit margin of 7.5%.
Knowles Corporation (KN) reported an operating income of $77.7M, resulting in an operating profit margin of 13.1%. This margin reflects the operational efficiency of the business before interest and taxes.
Knowles Corporation (KN) generated $244.5M in gross profit for the year, representing a gross profit margin of 41.2%. This demonstrates the company's core pricing power and production efficiency.