Amphenol Shares Surge 6% After Strong Fourth-Quarter Results

Amphenol Corporation (NYSE: APH) shares surged 6% in after-hours trading on Wednesday, January 22, following the release of its fourth-quarter and full-year 2024 results. The company reported record sales and earnings, surpassing analyst estimates and reflecting robust organic growth across its diversified end markets.



Fourth-Quarter Highlights:

* Sales of $4.3 billion, up 30% in U.S. dollars and 20% organically compared to the fourth quarter of 2023
* GAAP Diluted EPS of $0.59, up 44% compared to prior year
* Adjusted Diluted EPS of $0.55, up 34% compared to prior year
* GAAP and Adjusted Operating Margin of 22.1% and 22.4%, respectively
* Operating and Free Cash Flow of $847 million and $648 million, respectively

Full-Year Highlights:

* Sales of $15.2 billion, up 21% in U.S. dollars and 13% organically compared to the full year 2023
* GAAP Diluted EPS of $1.92, up 24% compared to prior year
* Adjusted Diluted EPS of $1.89, up 25% compared to prior year
* GAAP and Adjusted Operating Margin of 20.7% and 21.7%, respectively
* Operating and Free Cash Flow of $2.8 billion and $2.2 billion, respectively

Amphenol's strong performance was driven by robust organic growth in the IT datacom, mobile networks, commercial air, mobile devices, broadband, and defense markets, as well as contributions from the company's acquisition program. The company completed two acquisitions in 2024: Carlisle Interconnect Technologies and Luetze, which expanded its product offerings and market reach.

Amphenol remains focused on expanding its growth opportunities through a deep commitment to developing enabling technologies for customers across its served markets, an ongoing strategy of market and geographic diversification, and an active and successful acquisition program. The company expects to close on the acquisition of CommScope's OWN and DAS businesses during the first quarter of 2025, further enhancing its market position and providing access to new growth opportunities.

First-Quarter 2025 Outlook:

* Sales expected to be in the range of $4.00 billion to $4.10 billion, representing a 23% to 26% increase over the prior year quarter
* Adjusted Diluted EPS expected to be in the range of $0.49 to $0.51, representing a 23% to 28% increase from the first quarter of 2024

Amphenol's strong fourth-quarter results and positive outlook reflect the company's ability to capitalize on growth opportunities in various market cycles and generate sustainable long-term value for its shareholders and other stakeholders. The company's unique entrepreneurial culture, coupled with its expanded technology position and competitive advantage, positions it well for continued success in the future.



In conclusion, Amphenol's shares surged 6% after the company reported record fourth-quarter and full-year 2024 results, driven by robust organic growth, strategic acquisitions, and strong operating margins. The company's positive outlook for the first quarter of 2025, coupled with its commitment to expanding growth opportunities, positions it well for continued success in the future. Investors can gain exposure to Amphenol through SmartETFs Smart Transportation & Technology ETF (MOTO) and Advisors Series Trust Logan Capital Broad Innovative Growth ETF (LCLG).