Particle.news
Download on the App Store

Keysight Posts Record Q2 and Raises Fiscal‑2026 Outlook

Surging demand in communications and industrial segments drove the outsize results, with a tariff‑refund accounting entry affecting reported revenue and costs.

Overview

  • In a May 19 earnings release, Keysight reported record second‑quarter results with $1.72 billion in revenue and non‑GAAP earnings of $2.87 per share.
  • The company booked more than $2 billion in orders for the quarter and raised its full‑year expectations while giving Q3 guidance of $1.73–$1.75 billion in revenue and $2.43–$2.49 in non‑GAAP EPS.
  • Keysight recorded a $100 million receivable for IEEPA tariff refunds and a $40 million liability for customer surcharge refunds, which the company said reduced reported revenue and increased cost of sales in the quarter.
  • Segment strength was broad: Communications Solutions revenue rose 35% to $1,231 million and Electronic Industrial Solutions revenue rose 24% to $486 million, reflecting growth across commercial communications, automotive, semiconductor and other industrial end markets.
  • Following the report, several analysts lifted price targets and the stock edged higher by about 1%, though management cautioned that macroeconomic, geopolitical and regulatory risks could still affect future results.