Qnity Posts $503 Million in Adjusted EBITDA
Key Facts
Qnity Electronics reported results for the third quarter ended September 30, 2026, and said it raised its full-year guidance after strong performance and continued business momentum. Adjusted EBITDA was $503 million, compared with $370 million in the same quarter a year earlier. Chief Executive John Kemp said the company delivered "its tenth consecutive quarter of profitable growth, with strong performance in both segments." The results follow second-quarter net sales of $1.4 billion, up 22% year over year, and adjusted earnings per share of $1.19, up 53%. The company reported second-quarter results in August, then attributed its current guidance increase to strong third-quarter performance and continued business momentum.
Company data showed sales growth in both segments compared with the third quarter of 2025. Semiconductor Technologies sales were $797 million, up from $693 million a year earlier. Connectivity Solutions sales reached $759 million, compared with $583 million in the year-earlier period. Both segments therefore posted sales above year-earlier levels, with Connectivity Solutions exceeding its previous level by a wider margin than the increase in Semiconductor Technologies. In the second quarter, Semiconductor Technologies sales were $744 million, compared with $644 million a year earlier, while Connectivity Solutions sales were $685 million, versus $526 million.
The company’s previous fiscal 2026 outlook, according to an August 4 update, called for sales of between $5.55 billion and $5.65 billion and adjusted earnings per share of between $4.40 and $4.60. Qnity said the outlook increase was based on strong third-quarter results and continued business momentum, but the available information here did not provide the new sales or earnings-per-share range. Before the results, an Investing.com preview cited analysts’ forecast of earnings of $0.70 per share for the third quarter, compared with $1.19 in the second quarter; it also noted that the earnings-per-share estimate had risen 0.7% over two months. The preview said analysts viewed the product mix, operating leverage and cost improvements as factors supporting continued margin expansion, with a gross margin of 46.22% at the time. In its second-quarter announcement, the company said shrinking and stacking chips increase manufacturing complexity and layer counts, raising material intensity, and that AI, high-performance computing and advanced connectivity are reshaping demand.
Before the results, investors were focused on whether demand for advanced semiconductor materials could continue to support the company’s growth trajectory, and whether AI products would offset pressure from sequential earnings declines, according to the pre-announcement report. Qnity shares closed at $118.89 on November 3, according to EL7 data. Qnity is scheduled to hold a results review call on November 4, 2026, at 8:00 a.m. Eastern Time. The call follows the results announcement and the increase in full-year guidance, giving the company an opportunity to provide details on performance and its financial outlook for the coming period. The available information did not include a verified figure for the stock’s move in the November 4 session.