Knowles Hits Record Highs: Q2 2026 Earnings Exceed Expectations
Knowles, a leading global provider of advanced micro-acoustic and precision device solutions, has released its Q2 2026 earnings report, exceeding expectations in all major categories.
According to the company's President and CEO, Jeffrey Niew, Knowles delivered revenue of $167 million, up 14% year-over-year, surpassing the high end of their guided range. Earnings per share (EPS) of $0.33 were also up 38% year-over-year, above the high end of their guided range. Cash generated in operations was a strong $28 million, exceeding the midpoint of the company's guidance.
One of the standout segments for Knowles was its Precision Devices segment, which saw revenue jump 25% year-over-year to $98 million. This growth was driven by all four end markets served by the company - MedTech, defense, industrial, and electrification - showing significant increases on a year-over-year basis.
The company's CEO noted that strong sales in the MedTech market were fueled by demand across a number of applications, including defibrillators and MRI machines. In the defense market, Knowles' RF microwave products supported robust growth across various communications applications. Notably, the company received a significant $15 million plus order for a radar application expected to ship over 36 months starting in 2027.
The industrial market also saw significant growth, with broad-based demand at both distribution partners and original equipment manufacturers (OEMs). Knowles' capacitor products supported a multitude of applications and industries, with the company reporting robust design wins in the industrial space. Notably, the company saw strong sales with a new product introduction in the HVAC repair space.
Knowles' MedTech and Specialty Audio segment also performed well, with revenue coming in at $69 million, slightly better than expected, and up 2% year-over-year. The company remains confident in its prospects for the hearing health market, which it believes will grow at historical rates in 2026. Beyond 2026, Knowles is well-positioned to win next-generation designs for MEMS microphones and balanced armature speakers.
Overall, Knowles' Q2 2026 earnings report shows a strong performance across all major segments, with the company demonstrating its ability to deliver high-value products to markets with strong secular growth trends. The company's position in emerging platforms and markets is also expected to drive additional growth in 2027 and beyond.
