Christopher Rolland

Anthony Stoss

Bob Labick

Robert Labick

Tristan Gerra

Tristan Guerra

- Knowles Corporation reported strong **Q3 2025 revenue of approximately $153 million**, a **7% year-over-year increase**, and adjusted **EPS of $0.33**, both exceeding Wall Street expectations.  **[1587523_04083586af5841418568d8174deb9d72]** 
- The **Precision Devices segment** led growth with an **11.9% revenue increase** to **$88.2 million** and a **200 basis point expansion** in adjusted EBITDA margin to **25.7%**.  **[1587523_04083586af5841418568d8174deb9d72]** 
- The company demonstrated disciplined capital management by executing **$20 million in share buybacks** and reducing **$15 million of debt**.  **[1587523_04083586af5841418568d8174deb9d72]** 
- Knowles provided optimistic **Q4 2025 guidance**, projecting revenue around **$156 million** and adjusted **EPS of $0.35**.  **[1587523_04083586af5841418568d8174deb9d72]** 
- Despite strong quarterly results, net cash from operating activities declined nearly **45% year-over-year**, and the company faces long-term revenue growth challenges with a multi-year annualized decline of about **3.7%-4%**.  **[1587523_04083586af5841418568d8174deb9d72]**

Knowles Reports Strong Q3 2025 Results and Raises Q4 Outlook

- Knowles Corporation reported **Q3 2025 revenue of $153 million**, a **7% year-over-year increase**, and **EPS of $0.33**, a **22% year-over-year increase**, both at the high end of their guidance range.  **[0001587523_2200807_1]** **[0001587523_2200807_3]** 
- For **Q4 2025, revenue is projected to be between $151 million and $161 million**, representing a **9% year-over-year increase at the midpoint**, with **EPS expected between $0.33 and $0.37 per share**.  **[0001587523_2200807_4]** 
- The company anticipates **full-year 2025 organic growth rates at the high end of its 4%-6% range** and expects **operating cash flow to be 16%-20% of revenues**.  **[0001587523_2200807_2]** **[0001587523_2200807_3]** 
- In Q3 2025, **cash from operations was $29 million**, and Knowles **purchased $20 million in shares**.  **[0001587523_2200807_1]** **[0001587523_2200807_2]** **[0001587523_2200807_3]** 
- The **Precision Devices segment revenue grew 12% year-over-year to $88 million** in Q3 2025, driven by strong demand in defense and other end markets, and is expected to grow at the high end of its 6%-8% range for 2025.  **[0001587523_2200807_1]**

Knowles Corporation Reports Strong Q3 2025 Results and Provides Q4 Guidance

- Knowles Corporation reported strong Q3 2025 results, with **revenue of $153 million**, up **7%** year over year, and **EPS of $0.33**, up **22%** year over year, both exceeding the midpoint of their guided range.  **[0001587523_2200798_1]** **[0001587523_2200798_3]** 
- The company provided Q4 2025 guidance, expecting revenues between **$151 million and $161 million** (up **9%** at the midpoint year over year) and EPS between **$0.33 and $0.37** per share.  **[0001587523_2200798_4]** 
- Knowles anticipates robust organic growth for the total company at the **high end of 4% to 6%** for 2026, supported by strong secular trends and new initiatives like the expansion of their specialty film production.  **[0001587523_2200798_2]** 
- Cash generation from operations was **$29 million** in Q3 2025, allowing for **$20 million** in share repurchases and a **$15 million** reduction in bank borrowings.  **[0001587523_2200798_2]** **[0001587523_2200798_3]** 
- The specialty film product line is projected to generate **$25 million to $30 million** in revenue for 2025 and at least **$55 million to $60 million** in 2026, including a **$25 million** energy order, with expected gross margin improvement by mid-2026.  **[0001587523_2200798_5]** **[0001587523_2200798_8]**

Knowles Corporation Reports Strong Q3 2025 Results and Provides Q4 2025 Guidance

- Knowles Corporation has completed a strategic transformation, divesting consumer electronics and crystal oscillator businesses (totaling almost **$400 million** in revenue) to focus on higher-margin products and markets like medtech, defense, and industrial.  **[1587523_tx_375193_1]** **[1587523_tx_375193_2]** **[1587523_tx_375193_5]** 
- The company reported **$554 million** in revenue for the last year and expects **$585 million** for **2025**, with gross margins around **45%** and EBITDA in the mid-20s.  **[1587523_tx_375193_1]** **[1587523_tx_375193_2]** 
- Historically (2017-2024), Knowles achieved an **8%** revenue CAGR and **11%** EBITDA CAGR, improving EBITDA margins by **400 basis points**.  **[1587523_tx_375193_2]**  For the next five years, they target **8% to 10%** revenue CAGR and further **400 basis points** of EBITDA margin improvement.  **[1587523_tx_375193_3]** 
- The balance sheet is strong with very low leverage (currently **0.7**), and the company generates significant cash, with **$36 million** of free cash flow in Q2.  **[1587523_tx_375193_1]** **[1587523_tx_375193_5]** **[1587523_tx_375193_6]**  Capital allocation priorities include CapEx, accretive M&A (like the **$260 million** acquisition of Cornell DuBlier), and share repurchases.  **[1587523_tx_375193_4]** **[1587523_tx_375193_5]** **[1587523_tx_375193_6]**

Knowles (KN)