Revenue growth has accelerated to 14.5% in 2026Q2, while the company maintained a resilient 36.8% gross margin despite ongoing commodity price volatility.
| Metric | TTM | Sep'25 | Sep'24 | Sep'23 | Sep'22 | Sep'21 | Sep'20 | Sep'19 | Sep'18 | Sep'17 | Sep'16 | Sep'15 | Sep'14 | Sep'13 | Sep'12 | Sep'11 | Sep'10 | Sep'09 | Sep'08 | Sep'07 | Sep'06 | Sep'05 | Sep'04 | Sep'03 |
|---|
| Sales/Revenue | 18.52B | 17.09B | 15.85B | 16.03B | 16.28B | 14.92B | 12.17B | 13.45B | 13.99B | 13.11B | 12.24B | 12.23B | 13.91B | 13.28B | 13.28B | 14.31B | 12.07B | 10.26B | 14.83B | 13.46B | 12.81B | 10.92B | 10.08B | 9.22B |
| Revenue Growth % | 15.58% | 7.85% | -1.18% | -1.52% | 9.1% | 22.6% | -9.49% | -3.86% | 6.67% | 7.15% | 0.04% | -12.07% | 4.76% | -0.02% | -7.2% | 18.57% | 17.69% | -30.86% | 10.21% | 5.06% | 17.28% | 8.38% | 9.35% | - |
| Cost of Goods Sold | 11.97B | 11.18B | 10.39B | 11.05B | 11.15B | 10.19B | 8.51B | 9.13B | 9.32B | 8.06B | 8.28B | 8.23B | 8.1B | 7.83B | 9.34B | 10.05B | 8.41B | 7.82B | 10.56B | 9.52B | 8.94B | 8.27B | 7.53B | 0 |
| COGS % of Revenue | - | 65.44% | 65.57% | 68.95% | 68.49% | 68.3% | 69.92% | 67.86% | 66.61% | 61.5% | 67.68% | 67.3% | 58.22% | 59% | 70.31% | 70.19% | 69.68% | 76.26% | 71.19% | 70.76% | 69.75% | 75.7% | 74.71% | - |
| Gross Profit | 6.55B | 5.91B | 5.46B | 4.98B | 5.13B | 4.73B | 3.66B | 4.32B | 4.67B | 4.12B | 3.96B | 4B | 3.87B | 3.56B | 3.94B | 4.27B | 3.66B | 2.44B | 4.27B | 3.94B | 3.88B | 3.62B | 3.57B | 9.22B |
| Gross Margin % | 35.36% | 34.56% | 34.43% | 31.05% | 31.51% | 31.7% | 30.08% | 32.14% | 33.39% | 31.42% | 32.32% | 32.7% | 27.84% | 26.77% | 29.69% | 29.81% | 30.32% | 23.74% | 28.81% | 29.24% | 30.25% | 33.14% | 35.41% | 100% |
| Gross Profit Growth % | - | 8.25% | 9.58% | -2.94% | 8.46% | 29.2% | -15.29% | -7.47% | 13.37% | 4.17% | -1.13% | 3.28% | 8.95% | -9.86% | -7.55% | 16.56% | 50.31% | -43.01% | 8.56% | 1.57% | 7.04% | 1.43% | -61.28% | - |
| Operating Expenses | 2.98B | 2.69B | 2.66B | 2.26B | 2.26B | 2.12B | 1.88B | 2.13B | 2.22B | 2.03B | 2.03B | 2.04B | 2.02B | 1.93B | 2.25B | 2.41B | 2.04B | 1.67B | 2.21B | 2.15B | 2.13B | 1.96B | 1.98B | -8.67B |
| OpEx % of Revenue | - | 15.77% | 16.79% | 14.11% | 13.91% | 14.19% | 15.47% | 15.82% | 15.88% | 15.5% | 16.58% | 16.71% | 14.51% | 14.56% | 16.97% | 16.84% | 16.9% | 16.27% | 14.9% | 15.95% | 16.63% | 17.95% | 19.68% | -94.07% |
| Selling, General & Admin | 2.06B | 1.87B | 1.73B | 1.67B | 1.65B | 1.51B | 1.34B | 1.56B | 1.61B | 1.49B | 1.46B | 1.5B | 1.53B | 1.44B | 1.66B | 1.79B | 1.56B | 1.23B | 1.68B | 1.63B | 1.63B | 1.51B | 1.54B | 0 |
| SG&A % of Revenue | - | 10.92% | 10.93% | 10.42% | 10.16% | 10.09% | 11.04% | 11.57% | 11.55% | 11.32% | 11.95% | 12.29% | 11.03% | 10.84% | 12.49% | 12.48% | 12.91% | 11.99% | 11.33% | 12.09% | 12.7% | 13.8% | 15.31% | - |
| Research & Development | 900M | 829M | 741M | 593M | 610M | 612M | 539M | 572M | 606M | 548M | 566M | 540M | 484M | 494M | 595M | 624M | 482M | 439M | 530M | 520M | 504M | 454M | 441M | 0 |
| R&D % of Revenue | - | 4.85% | 4.68% | 3.7% | 3.75% | 4.1% | 4.43% | 4.25% | 4.33% | 4.18% | 4.62% | 4.41% | 3.48% | 3.72% | 4.48% | 4.36% | 3.99% | 4.28% | 3.57% | 3.86% | 3.93% | 4.16% | 4.38% | - |
| Other Operating Expenses | 1000K | 0 | 187M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -8.67B |
| Operating Income | 3.57B | 3.21B | 2.8B | 2.72B | 2.87B | 2.61B | 1.78B | 2.19B | 2.45B | 2.09B | 1.93B | 1.96B | 1.85B | 1.62B | 1.69B | 1.86B | 1.62B | 766M | 2.06B | 1.79B | 1.74B | 1.66B | 1.58B | 547M |
| Operating Margin % | 19.28% | 18.79% | 17.65% | 16.94% | 17.6% | 17.5% | 14.61% | 16.31% | 17.52% | 15.92% | 15.74% | 15.99% | 13.33% | 12.21% | 12.72% | 12.97% | 13.42% | 7.47% | 13.91% | 13.29% | 13.61% | 15.19% | 15.73% | 5.93% |
| Operating Income Growth % | - | 14.84% | 2.95% | -5.23% | 9.72% | 46.91% | -18.96% | -10.45% | 17.39% | 8.36% | -1.53% | 5.44% | 14.44% | -4.08% | -8.94% | 14.57% | 111.49% | -62.87% | 15.32% | 2.58% | 5.12% | 4.67% | 189.76% | - |
| EBITDA | 4.29B | 4.05B | 3.62B | 3.51B | 3.65B | 3.38B | 2.49B | 2.88B | 3.12B | 2.7B | 2.51B | 2.57B | 2.41B | 2.16B | 2.3B | 2.43B | 2.14B | 1.28B | 2.62B | 2.32B | 2.27B | 2.2B | 2.1B | 9.22B |
| EBITDA Margin % | 23.17% | 23.69% | 22.86% | 21.89% | 22.42% | 22.66% | 20.45% | 21.45% | 22.28% | 20.57% | 20.52% | 21.03% | 17.29% | 16.24% | 17.31% | 16.98% | 17.73% | 12.49% | 17.68% | 17.27% | 17.76% | 20.15% | 20.82% | 100% |
| EBITDA Growth % | 16.6% | 11.79% | 3.19% | -3.86% | 7.99% | 35.84% | -13.7% | -7.48% | 15.53% | 7.45% | -2.37% | 6.9% | 11.54% | -6.18% | -5.39% | 13.55% | 67.06% | -51.14% | 12.82% | 2.15% | 3.36% | 4.91% | -77.24% | - |
| D&A (Non-Cash Add-back) | 719M | 838M | 826M | 794M | 785M | 769M | 711M | 690M | 667M | 611M | 585M | 616M | 551M | 536M | 609M | 574M | 520M | 515M | 559M | 535M | 531M | 542M | 513M | 8.67B |
| EBIT | 3.75B | 3.28B | 2.87B | 2.35B | 2.8B | 2.43B | 572M | 2B | 2.35B | 1.85B | 1.29B | 1.71B | 1.89B | 1.22B | 1.59B | 1.79B | 1.71B | -3.51B | 2.34B | 586M | 1.46B | 1.65B | 1.55B | 9.22B |
| Net Interest Income | -35M | 6M | 17M | -20M | -51M | -39M | -33M | -49M | -92M | -114M | -108M | -119M | -108M | -122M | -150M | -139M | -131M | -147M | -150M | -177M | -172M | -250M | -311M | 0 |
| Interest Income | 84M | 83M | 87M | 60M | 15M | 17M | 15M | 19M | 15M | 16M | 17M | 17M | 19M | 17M | 23M | 22M | 20M | 17M | 32M | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 119M | 77M | 70M | 80M | 66M | 56M | 48M | 68M | 107M | 130M | 127M | 136M | 127M | 139M | 173M | 161M | 151M | 164M | 182M | 230M | 220M | 294M | 344M | 0 |
| Other Income/Expense | 74M | -7M | 1M | -448M | -133M | -234M | -1.25B | -263M | -210M | -367M | -764M | -381M | -95M | -541M | -275M | -227M | -62M | -4.44B | 94M | -1.43B | -507M | -304M | -379M | -547M |
| Pretax Income | 3.65B | 3.2B | 2.8B | 2.27B | 2.73B | 2.38B | 524M | 1.93B | 2.24B | 1.93B | 1.16B | 1.57B | 2B | 1.25B | 1.42B | 1.63B | 1.56B | -3.67B | 2.16B | 356M | 1.2B | 0 | 0 | 0 |
| Pretax Margin % | 19.68% | 18.75% | 17.65% | 14.14% | 16.79% | 15.94% | 4.3% | 14.36% | 16.01% | 14.7% | 9.5% | 12.88% | 14.35% | 9.4% | 10.65% | 11.38% | 12.91% | -35.78% | 14.54% | 2.64% | 9.37% | - | - | - |
| Income Tax | 739M | 1.36B | -397M | 364M | 306M | 123M | 783M | -15M | -344M | 180M | -779M | 337M | 146M | -75M | 249M | 376M | 493M | -576M | 558M | 494M | 94M | 360M | 405M | 775M |
| Effective Tax Rate % | 20.27% | 42.48% | -14.19% | 16.05% | 11.2% | 5.17% | 149.43% | -0.78% | -15.36% | 9.34% | -67.04% | 21.4% | 7.31% | -6.01% | 17.6% | 23.08% | 31.64% | 15.69% | 25.87% | 138.76% | 7.83% | - | - | - |
| Net Income | 2.91B | 1.84B | 3.19B | 1.91B | 2.43B | 2.26B | -241M | 1.93B | 2.57B | 1.68B | 1.98B | 1.31B | 1.78B | 1.28B | 1.1B | 1.25B | 1.1B | -3.32B | 1.52B | -599M | 1.14B | 1.13B | 791M | -228M |
| Net Margin % | 15.69% | 10.78% | 20.15% | 11.91% | 14.91% | 15.15% | -1.98% | 14.35% | 18.35% | 12.81% | 16.18% | 10.75% | 12.8% | 9.64% | 8.32% | 8.72% | 9.14% | -32.36% | 10.22% | -4.45% | 8.87% | 10.37% | 7.85% | -2.47% |
| Net Income Growth % | 109.06% | -42.31% | 67.17% | -21.33% | 7.39% | 1038.17% | -112.49% | -24.82% | 52.8% | -15.15% | 50.57% | -26.17% | 39.14% | 15.84% | -11.46% | 13.15% | 133.23% | -318.93% | 353.09% | -152.68% | 0.35% | 43.24% | 446.93% | - |
| Net Income (Continuing) | 2.91B | 1.84B | 3.19B | 1.9B | 2.43B | 2.25B | -259M | 1.95B | 2.58B | 1.54B | 1.94B | 1.24B | 1.61B | 1.16B | 1.17B | 1.25B | 1.06B | -3.09B | 1.6B | -138M | 1.14B | 995M | 801M | 17M |
| Discontinued Operations | -2M | -1M | -1M | 6M | 1M | 6M | 18M | -16M | 0 | 0 | 0 | 0 | 167M | 0 | 0 | 0 | 44M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 148M | 145M | 131M | 104M | 95M | 114M | 112M | 0 | 0 | 0 | 0 | 0 | 6M | 6M | 6M | 10M | 8M | 10M | 10M | 15M | 16M | 0 | 0 | 0 |
| EPS (Diluted) | 9.85 | 6.16 | 10.33 | 6.03 | 7.47 | 6.79 | -0.78 | 5.68 | 7.27 | 4.70 | 5.44 | 5.89 | 4.27 | 3.02 | 2.59 | 2.81 | 2.41 | -7.09 | 3.67 | -1.11 | 2.40 | 2.30 | 1.53 | -0.46 |
| EPS Growth % | 115.01% | -40.37% | 71.31% | -19.28% | 10.01% | 970.51% | -113.73% | -21.87% | 54.68% | -13.6% | -7.64% | 37.94% | 41.39% | 16.6% | -7.83% | 16.6% | 133.99% | -293.19% | 430.63% | -146.25% | 4.35% | 50.33% | 432.61% | - |
| EPS (Basic) | - | 6.20 | 10.40 | 6.06 | 7.52 | 6.85 | -0.78 | 5.71 | 7.33 | 4.74 | 5.49 | 5.98 | 4.34 | 3.05 | 2.61 | 2.84 | 2.43 | -7.09 | 3.69 | -1.11 | 2.40 | 2.30 | 1.53 | -0.46 |
| Diluted Shares Outstanding | 295M | 299M | 309M | 317M | 325M | 333M | 332M | 340M | 353M | 358M | 369M | 411M | 417M | 423M | 430M | 443M | 457M | 459M | 486M | 497M | 497M | 497.39M | 498.04M | 495.65M |
| Basic Shares Outstanding | 293M | 297M | 307M | 315M | 323M | 330M | 332M | 338M | 350M | 355M | 366M | 405M | 410M | 418M | 426M | 438M | 453M | 459M | 483M | 497M | 497M | 497.39M | 498.04M | 495.65M |
| Dividend Payout Ratio | - | 43.59% | 23.8% | 37.96% | 28.21% | 28.62% | - | 31.5% | 22.91% | 32.5% | 25.71% | 38.17% | 24.87% | 30% | 30.05% | 23.72% | 26.2% | - | 17.88% | - | - | - | - | - |
Cyclical Automotive Exposure
According to recent quarterly filings, TE Connectivity has demonstrated a marked acceleration in top-line performance, with revenue growth reaching 14.5% in 2026Q2, a notable improvement from the stagnant or negative growth rates observed throughout the 2024 fiscal year and early 2025 periods.
The recent shift toward double-digit growth suggests that the company is successfully capturing increased content-per-vehicle in the automotive sector and benefiting from AI-driven data center infrastructure demand. Investors should monitor whether this trajectory is sustainable or if it reflects a temporary restocking cycle within the distribution channel.
As reported in financial statements, TEL maintained a gross margin of 36.8% in 2026Q2, reflecting a resilient ability to manage input costs despite the inherent commodity sensitivity of its manufacturing base, which relies heavily on copper, gold, and engineering plastics for its connector portfolio.
The company's ability to sustain margins above the 35% threshold during periods of fluctuating revenue suggests effective pricing power and successful pass-through of raw material costs to OEMs. However, the structural ceiling remains tied to the commoditized nature of these inputs, warranting caution regarding future margin expansion potential.
Based on the provided income statement data, operating income has scaled effectively alongside revenue, reaching $954 million in 2026Q2, which indicates that the company is successfully leveraging its fixed manufacturing footprint to drive higher profitability as production volumes increase across its core segments.
The expansion of operating margins to 20.1% suggests that management is maintaining disciplined control over SG&A expenses even as R&D investment rises to support new product development. This operating leverage is critical for offsetting the cyclicality inherent in the automotive and industrial end-markets.
Analysis of historical income statements reveals significant quarterly fluctuations in net income, such as the 2025Q2 dip to $13 million, which appears largely driven by non-operating items and restructuring charges rather than a fundamental deterioration in the company's core operational profitability or cash-generating capacity.
Investors should look past these periodic accounting anomalies to focus on the more stable operating income trends, which provide a clearer picture of the firm's health. The consistent use of stock-based compensation, averaging roughly $40 million per quarter, remains a modest but persistent dilution factor that warrants ongoing scrutiny.
While recent growth figures are encouraging, skeptics may point to the company's historical sensitivity to global light vehicle production cycles, suggesting that the current revenue acceleration may be vulnerable to a broader slowdown in automotive demand or a potential destocking phase in distribution channels.
The market's persistent valuation discount relative to peers like Amphenol may reflect a lack of confidence in the durability of TEL's growth in a high-interest-rate environment. If the 'content-per-vehicle' thesis fails to offset a decline in total unit volumes, the company could face significant pressure on both its top-line and valuation multiples.
Quick answers to the most common questions about buying TEL stock.
For fiscal year 2025, TE Connectivity Ltd. (TEL) reported total revenue of $17.09B. This represents a 85.4% increase compared to $9.22B in 2003.
TE Connectivity Ltd. (TEL) is profitable, generating $1.84B in net income for the fiscal year ending 2025 with a net profit margin of 10.8%.
TE Connectivity Ltd. (TEL) reported an operating income of $3.21B, resulting in an operating profit margin of 18.8%. This margin reflects the operational efficiency of the business before interest and taxes.
TE Connectivity Ltd. (TEL) generated $5.91B in gross profit for the year, representing a gross profit margin of 34.6%. This demonstrates the company's core pricing power and production efficiency.