NYSE$KEYS
Keysight Technologies Inc · Q2 2020 earnings
Q2 2020 earnings · · Investor relations
Briefing
Keysight Technologies experienced a decrease in revenue and net income due to COVID-19 supply chain disruptions, but demonstrated strong operating margin and free cash flow.
Keysight Technologies reported a decrease in revenue and net income for Q2 2020 due to supply chain disruptions related to the COVID-19 pandemic. However, the company demonstrated strong operating margin and free cash flow, reaching a record cash balance of $1.8 billion. Production operations are ramping up and expected to be back to 100% capacity by the end of Q3.
- Orders decreased by 3% year-over-year to $1,089 million.
- GAAP revenue was $895 million, an 18% decrease compared to last year.
- GAAP net income was $71 million, or $0.37 per share, a decrease from $153 million, or $0.80 per share, in Q2 2019.
- Cash and cash equivalents totaled $1.841 billion as of April 30, 2020.
Headline financials
Revenue & EPS history
Keysight Technologies · Revenue · Quarterly
$895M
Revenue by segment
Keysight Technologies · $895M total across 2 segments · Q2 2020
- Communications Solutions Group$653M-17.8%73.0%
- Electronic Industrial Solutions Group$242M-19.1%27.0%
Forward guidance
Keysight expects continued progress in the third quarter with revenue, operating margin, and earnings expected to be in line with, or better than, the most recent quarter, assuming limited incremental supply chain constraints or disruption from additional shutdowns or a second wave of the pandemic.
Headwinds
- Potential for incremental supply chain constraints.
- Risk of disruption from additional shutdowns.
- Threat of a second wave of the pandemic.
- Possible slowdown in customer purchasing.
- Potential for order cancellations.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 19 quarterly earnings reports · overlaid with Q2 2020
+0.6%
Avg return
Earnings day
+1.6%
Avg return
5 days after
+2.6%
Avg return
30 days after
57%
29 / 51 earnings
Positive
+14.9%
Q3 2019
Best reaction
-14.2%
Q3 2023
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q2 2026 | -5.1% | -2.7% | +1.3% | |
| Q1 2026 | +4.9% | +25.4% | +14.7% | |
| Q4 2025 | -5.2% | +11.4% | +15.6% | |
| Q3 2025 | -3.3% | +1.1% | +9.0% | |
| Q2 2025 | +0.0% | -1.7% | -2.1% | |
| Q1 2025 | -6.9% | -9.5% | -12.7% | |
| Q4 2024 | +9.3% | +12.5% | +5.6% | |
| Q3 2024 | +13.9% | +11.9% | +12.2% | |
| Q2 2024 | -7.0% | -8.4% | -13.5% | |
| Q1 2024 | -7.2% | -3.4% | -0.6% | |
| Q4 2023 | +1.0% | +2.1% | +17.6% | |
| Q3 2023 | -14.2% | -14.7% | -11.9% | |
| Q2 2023 | +6.0% | +5.6% | +11.2% | |
| Q1 2023 | -14.0% | -15.1% | -15.8% | |
| Q4 2022 | +3.2% | +4.6% | +4.4% | |
| Q3 2022 | +5.1% | -0.0% | -3.0% | |
| Q2 2022 | +0.6% | +1.9% | -3.1% | |
| Q1 2022 | -5.6% | -6.8% | -5.1% | |
| Q4 2021 | +0.3% | -1.7% | +3.1% | |
| Q3 2021 | +1.4% | +4.2% | +7.9% | |
| Q2 2021 | +1.9% | +1.7% | +6.6% | |
| Q1 2021 | -4.6% | -6.4% | -9.6% | |
| Q4 2020 | +0.3% | -0.3% | +9.1% | |
| Q3 2020 | -7.8% | -6.2% | -6.6% | |
| Q2 2020 | -0.3% | +5.9% | -1.6% | |
| Q1 2020 | -2.6% | -1.5% | -14.8% | |
| Q4 2019 | +1.6% | +0.7% | -2.5% | |
| Q3 2019 | +14.9% | +9.0% | +13.1% | |
| Q2 2019 | +8.7% | +1.5% | +22.8% | |
| Q1 2019 | +1.7% | +4.4% | +4.5% | |
| Q4 2018 | +3.2% | +1.8% | +5.4% | |
| Q3 2018 | +6.6% | +4.5% | +7.8% | |
| Q2 2018 | +10.8% | +15.2% | +11.3% | |
| Q1 2018 | +5.1% | +11.8% | +11.4% | |
| Q4 2017 | +1.3% | +0.1% | +4.1% | |
| Q3 2017 | +3.6% | +2.8% | +5.6% | |
| Q2 2017 | -3.3% | -5.7% | -3.1% | |
| Q1 2017 | -0.5% | -0.2% | +2.4% | |
| Q4 2016 | +2.2% | +4.2% | +3.4% | |
| Q3 2016 | -0.6% | +2.4% | -1.2% | |
| Q2 2016 | +14.2% | — | — | |
| Q1 2016 | +3.7% | — | — | |
| Q4 2015 | -5.6% | — | — | |
| Q3 2014 | +1.3% | — | — | |
| Q3 2015 | +9.2% | — | — | |
| Q1 2014 | -1.0% | — | — | |
| Q4 2013 | -1.0% | — | — | |
| Q2 2014 | -1.0% | — | — | |
| Q2 2015 | -10.6% | — | — | |
| Q4 2014 | -1.5% | — | — | |
| Q1 2015 | +2.2% | — | — | |
| Q3 2013 | — | — | — | |
| Q2 2013 | — | — | — | |
| Q1 2013 | — | — | — |
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