AME posted a strong Q2 with record sales, orders, and margins, driven by AI infrastructure and defense modernization trends. Guidance was raised for the full year. Record Q2 2026: sales $2.04B (+15% YoY), EPS $2.09 (+17% YoY), core margins 27.1% (+110bps).
AME posted a strong Q2 with record sales, orders, and margins, driven by AI infrastructure and defense modernization trends. Guidance was raised for the full year. Record Q2 2026: sales $2.04B (+15% YoY), EPS $2.09 (+17% YoY), core margins 27.1% (+110bps).
Management expressed strong confidence in the business, citing record orders, raised guidance, and a positive outlook across multiple secular growth drivers.
Guidance · revenue to 0.1%
Management cited AI as a key demand driver for advanced semiconductors, power infrastructure, and data center buildouts, with notable orders at RTDS and Zygo. They also discussed deploying AI internally to improve efficiency and accelerate growth, with early results from pilot…
Reported gross margin was 35.95%, reinforcing the quarter's better-than-guided profitability.
Management cited AI as a key demand driver for advanced semiconductors, power infrastructure, and data center buildouts, with notable orders at RTDS and Zygo. They also discussed deploying AI internally to improve efficiency and accelerate growth, with early results from pilot programs and continued investment in AI-enabled products.
Record orders and backlog signal sustained momentum. Management expressed strong confidence in the business, citing record orders, raised guidance, and a positive outlook across multiple secular growth drivers.
Capital expenditures for 2026 are expected to be approximately $160 million, or about 2% of sales, with about two-thirds allocated to growth initiatives. Management noted that capacity is not a constraint given the IP-driven nature of the business and highlighted ongoing infrastructure additions in the U.S., Serbia, Mexico, and Poland.
Management expressed strong confidence in the business, citing record orders, raised guidance, and a positive outlook across multiple secular growth drivers.
“RTDS Technologies... recently received a key order from a data center hyperscaler to help de-risk the power profile of a broader data center build-out.”
“EMG organic orders were once again exceptional, up 35% versus the prior year.”
| 지표 | 기간 | 범위 | 중간값 | 상태 |
|---|---|---|---|---|
| Capex | FY2026 | $0.16B | $0.16B | MAINTAINED |
| EPS | FY2026 | $8.20–$8.30 | $8.25 | RAISED |
| EPS | FY2026 Q3 | $2.08–$2.10 | $2.09 | MAINTAINED |
| Free cash flow | FY2026 | 1.1%–1.15% | 1.125% | MAINTAINED |
| Op margin | FY2026 | 0.27% | 0.27% | INITIATED |
| Revenue | FY2026 | 0.1% | 0.1% | RAISED |
| Revenue | FY2026 Q3 | 0.085% | 0.085% | MAINTAINED |
| 제시 시점 | 지표 | 목표 기간 | 가이던스 | 실제 | 결과 |
|---|---|---|---|---|---|
| FY2026 Q1 | EPS | FY2026 Q2 | $1.96–$2.00 | $2.09 | Met / beat |
| FY2025 Q4 | EPS | FY2026 Q1 | $1.90–$1.95 | $1.97 | Met / beat |
Data center hyperscalers are buying RTDS simulators to de-risk power profiles, indicating accelerated investment in behind-the-meter electricity infrastructure alongside AI clusters. — This points to a surge in on-site power generation and grid simulation needs, with RTDS (a TEL company) directly benefiting.
“RTDS Technologies, a leader in real-time digital simulation of power system infrastructure and hardware-in-the-loop testing, recently received a key order from a data center hyperscaler to help de-risk the power profile of a broader data”
… momentum in METEK, sustained strength in commercial aerospace, and improving demand across precision automation are complementing these secular tailwinds. Looking ahead, we believe these broader investment themes will continue to drive meaningful growth. With that said, I would like to spend a few minutes highlighting how Ametek's businesses are aligned with key areas of strong demand. RTDS Technologies, a leader in real-time digital simulation of power system infrastructure and hardware-in-the-loop testing, recently received a key order from a data center hyperscaler to help de-risk the power profile of a broader data center build-out. RTDS's real-time simulators enable detailed power system analysis, helping engineers anticipate system and device behaviors that can impact electrical system stability, resilience, and performance. As data center power ecosystems grow increasingly complex, operators must ensure their power architectures can meet of all the requirements across operating conditions, load cycles, and infrastructure changes. RTDS is well positioned to support this critical need. Additionally, our Zygo business, a provider of advanced metrology systems …
EMG's organic orders surged 35% in Q2, partly driven by med-tech design wins in Paragon, implying stronger near-term revenue and margin expansion as those orders convert. — Robust MedTech orders signal health in med-tech capital spending and procedure volumes, benefiting OEM customers like Intuitive Surgical.
… results in the second quarter, with excellent sales growth, sizable orders growth, strong operating performance, and impressive core margin expansion. EMG's second quarter sales were a record, $723 million, up 17% versus the prior year. Organic sales were again up double digits at 15%, with acquisitions contributing approximately two points to growth. EMG sales growth in the quarter was balanced across our aerospace, defense, med tech, and automation businesses. EMG organic orders were once again exceptional, up 35% versus the prior year. EMG operating income for the second quarter was a record, $191 million, up 32% compared to the prior year. EMG's core operating margins were 26.2%, a 290 basis point increase versus the second quarter of 2025. Overall, I'm very pleased with our performance this quarter and in the first half of the year. Our colleagues continue to deliver exceptional high-quality results and position Ametek for continued growth. Together, we have delivered an exceptional long-term track record and have created meaningful shareholder value. I'm equally pleased with the work we have done to strategically position and align our portfolio with many powerful …