Knowles Beats Q1, Lifts 2026 Outlook on Broad-Based Demand

Overview

• - Knowles reported Q1 revenue of $153 million, up 16% year over year, and EPS of $0.27, up 50%, both above guidance.
• - MedTech & Specialty Audio rose to $68 million on new product wins, and Precision Devices reached $85 million on demand from medical, defense, industrial, and electrification customers.
• - The company now expects 2026 organic revenue growth to finish above the high end of its prior 4% to 6% target.
• - Q2 guidance calls for $152 million to $162 million in revenue, EPS of $0.28 to $0.32, and $20 million to $30 million in operating cash flow.
• - A large energy order is pressuring Precision Devices margins now, with management expecting about a 200 to 250 basis point lift after the ramp by the end of Q2 and more than $25 million in shipments over the rest of 2026 from an order exceeding $75 million.