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TE Connectivity projects robust fourth quarter, reports upbeat quarterly results
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TE Connectivity projects robust fourth quarter, reports upbeat quarterly results
Jul 23, 2025 3:27 AM

July 23 (Reuters) - TE Connectivity ( TEL ) issued an

upbeat forecast for the fourth quarter on Wednesday, following

better-than-expected third-quarter profit and revenue results

driven by strong demand for its industrial products.

The company's industrial solutions segment makes electrical

connector systems and components used in factory automation and

other industrial equipment.

Third-quarter sales in the industrial solutions segment

surged about 30% year-on-year, bolstered by increased demand for

artificial intelligence applications and modern data centers.

CEO Terrence Curtin told Reuters in an interview that the

impact of tariffs on overall sales during the third quarter was

reduced by half due to price increases and supply chain

adjustments.

"When we gave our guidance last quarter, we told our

investors that we thought it would be about a 3% impact of

sales. It was only 1.5%, so it was about half," Curtin said.

U.S. President Donald Trump's tariffs have weighed on

automotive and manufacturing industries, prompting companies to

implement mitigation strategies related to pricing and supply

chain management.

TE Connectivity ( TEL ) expects a 1.5% sales impact from tariffs in

the fourth quarter, with its industrial segment expected to bear

a greater share of the burden compared to its transportation

segment.

The company expects fourth-quarter revenue of about $4.55

billion, exceeding analysts' average estimate of $4.41 billion,

according to data compiled by LSEG

Adjusted profit per share for the quarter is projected at

$2.27, compared with analysts' expectations of $2.13 per share.

For the third quarter ended June 27, TE Connectivity ( TEL )

reported adjusted profit of $2.27 per share, beating analysts'

estimates of $2.07.

Revenue for the quarter rose 14% to $4.53 billion, compared

with estimates of $4.32 billion.

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