Keysight Technologies Inc · Q1 2024 earnings

Briefing

Keysight Technologies' Q1 2024 financial performance exceeded guidance due to robust execution and strategic discipline amidst challenging market conditions, marked by revenue decline and EPS decrease compared to the previous year.

Keysight Technologies reported Q1 2024 revenue of $1.26 billion, a decrease from $1.38 billion in Q1 2023. GAAP net income was $172 million, or $0.98 per share, compared to $260 million, or $1.45 per share, in the same quarter last year. Non-GAAP net income was $286 million, or $1.63 per share, versus $363 million, or $2.02 per share, in Q1 2023. The company's performance was driven by strong execution in aerospace, defense, government solutions, and AI-driven applications, with the ESI acquisition completed ahead of schedule.

• Keysight's Q1 revenue was $1.26 billion, a decrease from $1.38 billion year-over-year.
• GAAP net income was $172 million, or $0.98 per share, down from $260 million, or $1.45 per share, year-over-year.
• Non-GAAP net income reached $286 million, or $1.63 per share, compared to $363 million, or $2.02 per share, in the prior year.
• Cash flow from operations was $328 million, with free cash flow at $281 million.

Headline financials

Revenue & EPS history

Keysight anticipates second fiscal quarter of 2024 revenue to be between $1.19 billion and $1.21 billion, with non-GAAP earnings per share expected to range from $1.34 to $1.40, based on approximately 175 million weighted diluted shares.