- Adjusted Earnings per Share (EPS): Keysight’s EPS for the third quarter was $1.72, surpassing both the previous year’s $1.57 and the estimated $1.67.
- Revenue Growth: Total revenue for the quarter was $1.35 billion, marking an 11% increase year-over-year, and exceeding the expected $1.32 billion.
- Communications Solutions Performance: Revenue in this segment hit $940 million, an 11% rise year-over-year, slightly above the estimated $922.4 million.
- Electronic Industrial Solutions Performance: Generated $412 million in revenue, showing an 11% increase year-over-year.
- Order Value: Order values reached $1.34 billion, which is a 7.3% growth year-over-year, surpassing the estimated $1.33 billion.
- Gross Margin Analysis:
- Communications Solutions maintained a 67% gross margin, matching the previous year and slightly beating estimates of 66.9%.
- Electronic Industrial Solutions saw a decrease, posting a 57% gross margin compared to 58% last year and below the 58.4% estimate.
- Fourth Quarter Forecast: Keysight anticipates an adjusted EPS between $1.79 to $1.85, with the estimate at $1.81.
- Expected Fourth Quarter Revenue: Projected to range from $1.370 billion to $1.390 billion.
- Fiscal Year 2025 Projections:
- Non-GAAP EPS growth is expected to be around 13% at the midpoint of the fourth quarter guidance.
- Revenue growth for the fiscal year 2025 is anticipated to be approximately 7%.
- Analyst Recommendations: There are 9 buy ratings, 3 hold ratings, and no sell ratings for Keysight.
Keysight Technologies In on Smartkarma
Analysts at Baptista Research on Smartkarma are bullish on Keysight Technologies, providing insights into the company’s performance and future prospects. In their report titled “Keysight Technologies Taps into 6G & Open RAN—Is This the Future of Wireless Dominance?” the analysts discuss the company’s fiscal second quarter 2025 earnings. Keysight Technologies exceeded revenue and earnings expectations, reporting revenues of $1.3 billion and earnings per share of $1.70. The strong performance was driven by demand in the Communications Solutions Group and growth in the Electronics Industrial Solutions Group.
In another report by Baptista Research, titled “Keysight Technologies: 6 Major Elements Impacting Its 2025 Performance & Beyond!“, the analysts highlight the company’s strong fiscal first-quarter 2025 performance. Keysight reported revenues of $1.3 billion and earnings per share of $1.82, surpassing expectations. This marked the first core revenue growth in six quarters, driven by the Communications Solutions Group. The report also notes a year-over-year increase in orders for the second consecutive quarter, indicating improving sales funnels and customer engagements.
A look at Keysight Technologies In Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 1 | |
| Growth | 3 | |
| Resilience | 4 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Keysight Technologies Inc. is looking towards a positive long-term future as indicated by the Smartkarma Smart Scores assessment. With a solid overall outlook based on factors such as Growth, Resilience, and Momentum scoring well, the company seems positioned for continued success. Keysight Technologies Inc. is known for its electronic measurement services, utilizing wireless, modular, and software solutions to drive innovation and efficiency in the industry.
While the Value and Dividend scores may not be as high, the favorable scores in Growth, Resilience, and Momentum suggest that Keysight Technologies Inc. is on a path towards strong performance and potential growth in the coming years. Investors may find the company’s focus on technological advancements and ability to adapt to market changes appealing, making it worth keeping an eye on for future opportunities.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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