Fourth Quarter Revenues from Continuing Operations Increased 14% on a Year over Year Basis to $162 million, Exceeding the High End of our Guided Range
Full Year Revenues from Continuing Operations Increased 7% on a Year over Year Basis
Fourth Quarter Net Cash from Operations was $47 million, Exceeding the High-End of the Guided Range
Full Year Net Cash from Operations of $114 million or 19.2% of Revenues
ITASCA, Ill.--(BUSINESS WIRE)--February 05, 2026--
Knowles Corporation $(KN)$, a leading manufacturer of specialty electronic components, including high performance capacitors, radio frequency ("RF") filters, advanced medtech microphones, and balanced armature speakers, today announced results for the quarter and full year ended December 31, 2025.
"We finished 2025 with fourth quarter revenues and cash provided by operating activities exceeding the high end of our guided range, and non-GAAP diluted EPS from continuing operations above the mid-point of our guided range. We are executing on our strategy and delivered full year revenue growth of 7%, exceeding the high end of our five-year organic growth target. Our full year cash provided by operating activities was robust as we generated $114 million or 19.2% of revenues allowing us to further reduce our debt and continue to buy back shares," commented Jeffrey Niew, President, and CEO of Knowles.
"With revenue growth accelerating in the back half of 2025 and margins expanding year over year in the fourth quarter, we've entered 2026 with strong momentum. This is supported by a strong backlog of existing orders and new design wins expected to go into full production. This gives me confidence in our ability to achieve another year of strong revenue and earnings growth," Mr. Niew continued.
Knowles completed its transformation into a high margin Industrial Technology company with the sale of the Consumer MEMS Microphone business in December of 2024. The remaining core portfolio of assets are well positioned to deliver revenue growth with margin expansion in 2026 and beyond. "I am excited about the opportunities we have in front of us as we continue to leverage our unique technologies, creating custom products through our customer application intimacy, and then scaling into production with our world class operational capabilities for end markets with strong secular growth trends. With this powerful combination, I remain confident in our ability to drive significant value for our shareholders," stated Mr. Niew.
Financial Highlights
The following table highlights the Company's financial performance on both a GAAP and supplemental non-GAAP basis for continuing operations,* with the exception of Net cash provided by operating activities (in millions, except per share data):
Q4-25 Q3-25 Q4-24 FY-25 FY-24
Revenues $162.2 $152.9 $142.5 $593.2 $553.5
Gross profit $72.5 $69.9 $60.9 $256.3 $234.8
(as a % of revenues) 44.7% 45.7% 42.7% 43.2% 42.4%
Non-GAAP gross profit $73.5 $70.7 $62.9 $263.7 $245.4
(as a % of revenues) 45.3% 46.2% 44.1% 44.5% 44.3%
Diluted earnings per share** $0.29 $0.21 $0.12 $0.58 $0.26
Non-GAAP diluted earnings
per share $0.36 $0.33 $0.27 $1.11 $0.92
Net cash provided by
operating activities $47.2 $29.1 $35.1 $114.0 $130.1
* Continuing operations excludes the results of the Consumer MEMS Microphones reporting business, which was divested in December 2024.
** Current period results include $0.06 per share in stock-based compensation expense, $0.04 per share in intangibles amortization expense, $0.02 per share for differences related to the GAAP effective tax rate excluded from non-GAAP results, $0.01 per share in restructuring charges, and $0.01 per share in production transfer costs, partially offset by $0.07 per share in dividend income.
First Quarter 2026 Outlook
The forward-looking guidance for the quarter ending March 31, 2026 on a continuing operations basis, with the exception of Net cash provided by operating activities, is as follows:
GAAP Adjustments Non-GAAP
Revenues from
continuing
operations $143 to $153 million -- $143 to $153 million
Diluted $0.09 to $0.13 $0.13 $0.22 to $0.26
earnings per
share from
continuing
operations
Net cash $(5) to $5 million -- $(5) to $5 million
provided
(used) by
operating
activities
Q1 2026 GAAP results from continuing operations are expected to include approximately $0.09 per share in stock-based compensation expense and $0.04 per share in intangibles amortization expense. These items are excluded from non-GAAP results.
Non-GAAP Financial Measures
In addition to the GAAP results included in this press release, Knowles has presented supplemental non-GAAP gross profit, earnings before interest and income taxes, adjusted earnings before interest and income taxes, non-GAAP diluted earnings per share, free cash flow, as well as other metrics on a non-GAAP basis that exclude certain amounts that are included in the most directly comparable GAAP measure to facilitate evaluation of Knowles' operating performance. Non-GAAP results are not presented in accordance with GAAP. Non-GAAP information should be considered a supplement to, and not a substitute for, financial statements prepared in accordance with GAAP. In addition, the non-GAAP financial measures included in this press release do not have standard meanings and may vary from similarly titled non-GAAP financial measures used by other companies. Knowles believes that non-GAAP measures are useful as supplements to its GAAP results of operations to evaluate certain aspects of its operations and financial performance, and its management team primarily focuses on non-GAAP items in evaluating Knowles' performance for business planning purposes. Knowles also believes that these measures assist it with comparing its performance between various reporting periods on a consistent basis, as these measures remove from operating results the impact of items that, in Knowles' opinion, do not reflect its core operating performance including, for example, stock-based compensation, certain intangibles amortization expense, impairment charges, restructuring, production transfer costs, and other charges which management considers to be outside our core operating results. Knowles believes that its presentation of these non-GAAP financial measures is useful because it provides investors and securities analysts with the same information that Knowles uses internally for purposes of assessing its core operating performance. For a reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measures, see the reconciliation table accompanying this release.
Webcast and Conference Call Information
Investors can listen to a live or replay webcast of the Company's quarterly financial conference call at http://investor.knowles.com. The live webcast will begin today at 3:30 p.m. Central time. The webcast replay will be available after 7:00 p.m. Central time today.
Investors can also listen to the conference call at 3:30 p.m. Central time today by calling (888) 596-4144 (United States) or (646) 968-2525 (International). The conference call replay will be available after 7:00 p.m. Central time today through 11:59 p.m. Central time on February 12, 2026 at (800) 770-2030 (United States) or (609) 800-9909 (International). The conference ID is 8193117 followed by # key.
About Knowles
Knowles is a leading manufacturer of specialty electronic components. We design parts that perform unique, critical functions for innovative technologies. Through extreme reliability, custom engineering, and scalable manufacturing, we enable businesses to succeed in the most demanding applications across medtech, defense, and industrial markets.
Our high-performance capacitors, RF microwave filters, advanced medtech microphones, balanced armature speakers, and miniaturization products enable and enhance the performance of technologies with the power to change, improve, and save lives. Founded in 1946 and headquartered in Itasca, Illinois, Knowles has grown into a global organization with employees spanning 11 countries.
For more information, please visit knowles.com.
Forward-Looking Statements
This news release contains forward-looking statements within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995, such as statements about our future plans, objectives, expectations, financial performance, and continued business operations. The words "believe," "expect," "anticipate," "project," "estimate," "budget," "continue," "could," "intend," "may," "plan," "potential," "predict," "seek," "should," "will," "would," "objective," "forecast," "goal," "guidance," "outlook," "effort," "target," and similar expressions, among others, generally identify forward-looking statements, which speak only as of the date the statements were made. The statements in this presentation are based on currently available information and the current expectations, forecasts, and assumptions of Knowles' management concerning risks and uncertainties that could cause actual outcomes or results to differ materially from those outcomes or results that are projected, anticipated, or implied in these statements. Other risks and uncertainties include, but are not limited to: fluctuations in our stock's market price; fluctuations in operating results and cash flows; our ability to prevent or identify quality issues in our products or to promptly remedy any such issues that are identified; risks associated with increasing our inventories in advance of anticipated orders by customers; escalating international trade tensions, new or increased tariffs and trade wars among
countries; the impact of changes to laws and regulations that affect the Company's ability to offer products or services to customers in different regions; our ability to achieve reductions in our operating expenses; the ability to qualify our products and facilities with customers; our ability to obtain, enforce, defend or monetize our intellectual property rights; disruption caused by a cybersecurity incident, including a cyber-attack, cyber breach, theft, or other unauthorized access; increases in the costs of critical raw materials and components; availability of raw materials and components; managing new product ramps and introductions for our customers; our dependence on a limited number of large customers; our ability to maintain and expand our existing relationships with leading OEMs in order to maintain and increase our revenue; increasing competition and new entrants in the market for our products; our ability to develop new or enhanced products or technologies in a timely manner that achieve market acceptance; global economic instability, including due to inflation, rising interest rates, or the impacts of geopolitical uncertainties; financial risks, including risks relating to currency fluctuations, credit risks and fluctuations in the market value of the Company; a sustained decline in our stock price and market capitalization may result in the impairment of certain intangible or long-lived assets; market risk associated with fluctuations in commodity prices, particularly for various precious metals used in our manufacturing operation, changes in tax laws, changes in tax rates and exposure to additional tax liabilities; and other risks, relevant factors, and uncertainties identified in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024, subsequent Reports on Forms 10-Q and 8-K and our other filings we make with the U.S. Securities and Exchange Commission. Knowles disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
INVESTOR SUPPLEMENT - FOURTH QUARTER 2025
KNOWLES CORPORATION
CONSOLIDATED STATEMENTS OF EARNINGS
(in millions, except per share amounts)
(unaudited)
Quarter Ended
---------------------------------------------------
December 31, September 30, December 31,
2025 2025 2024
---------------- --------------- ----------------
Revenues $ 162.2 $ 152.9 $ 142.5
Cost of goods sold 89.6 82.8 81.1
Restructuring
charges - cost of
goods sold 0.1 0.2 0.5
--- ------- --- ------ --- -------
Gross profit 72.5 69.9 60.9
Research and
development
expenses 10.5 10.0 10.3
Selling and
administrative
expenses 35.7 34.0 35.2
Restructuring
charges 0.5 0.1 --
--- ------- --- ------ --- -------
Operating expenses 46.7 44.1 45.5
--- ------- --- ------ --- -------
Operating earnings 25.8 25.8 15.4
Interest expense,
net 1.8 2.3 3.4
Dividend income (6.2) -- --
Other expense
(income), net 0.6 1.2 (1.7)
--- ------- --- ------ --- -------
Earnings before
income taxes and
discontinued
operations 29.6 22.3 13.7
Provision for
income taxes 4.1 4.3 3.3
--- ------- --- ------ --- -------
Earnings from
continuing
operations 25.5 18.0 10.4
(Loss) earnings
from discontinued
operations, net (4.5) (0.6) 8.1
--- ------- --- ------ --- -------
Net earnings $ 21.0 $ 17.4 $ 18.5
=== ======= === ====== === =======
Earnings per share
from continuing
operations:
Basic $ 0.30 $ 0.21 $ 0.12
Diluted $ 0.29 $ 0.21 $ 0.12
(Loss) earnings
per share from
discontinued
operations:
Basic $ (0.05) $ (0.01) $ 0.09
Diluted $ (0.05) $ (0.01) $ 0.09
Net earnings per
share:
Basic $ 0.25 $ 0.20 $ 0.21
Diluted $ 0.24 $ 0.20 $ 0.21
Weighted-average
common shares
outstanding:
Basic 85.2 85.8 88.0
Diluted 87.5 87.3 89.4
.
KNOWLES CORPORATION
CONSOLIDATED STATEMENTS OF EARNINGS
(in millions, except per share amounts)
(unaudited)
Year Ended
--------------------------------------------
December 31, 2025 December 31, 2024
--------------------- ---------------------
Revenues $ 593.2 $ 553.5
Cost of goods sold 332.5 316.8
Impairment charges 3.6 --
Restructuring charges - cost
of goods sold 0.8 1.9
--- ------------ --- ------------
Gross profit 256.3 234.8
Research and development
expenses 40.2 39.5
Selling and
administrative expenses 142.8 142.0
Restructuring charges 3.0 1.5
--- ------------ --- ------------
Operating expenses 186.0 183.0
--- ------------ --- ------------
Operating earnings 70.3 51.8
Interest expense, net 9.3 16.3
Dividend income (6.2) --
Other expense, net 3.2 0.8
--- ------------ --- ------------
Earnings before income taxes
and discontinued
operations 64.0 34.7
Provision for income taxes 13.1 11.3
--- ------------ --- ------------
Earnings from continuing
operations 50.9 23.4
Loss from discontinued
operations, net (6.7) (261.2)
--- ------------ --- ------------
Net earnings (loss) $ 44.2 $ (237.8)
=== ============ === ============
Earnings per share from
continuing operations:
Basic $ 0.59 $ 0.26
Diluted $ 0.58 $ 0.26
Loss per share from
discontinued operations:
Basic $ (0.08) $ (2.93)
Diluted $ (0.08) $ (2.90)
Net earnings (loss) per
share:
Basic $ 0.51 $ (2.67)
Diluted $ 0.50 $ (2.64)
Weighted-average common
shares outstanding:
Basic 86.4 88.9
Diluted 88.0 90.1
KNOWLES CORPORATION
RECONCILIATION OF GAAP FINANCIAL MEASURES TO NON-GAAP FINANCIAL MEASURES (1) (in millions, except per share amounts)
(unaudited)
Quarter Ended Year Ended
-------------------------------------- --------------------------
December September December December 31, December 31,
31, 2025 30, 2025 31, 2024 2025 2024
----------- ------------ ----------- ------------ ------------
Gross profit $72.5 $69.9 $60.9 $256.3 $234.8
Gross profit as % of
revenues 44.7% 45.7% 42.7% 43.2% 42.4%
Stock-based
compensation
expense 0.4 0.3 0.4 1.5 1.5
Impairment charges -- -- -- 3.6 --
Restructuring
charges 0.1 0.2 0.5 0.8 1.9
Production transfer
costs (2) 0.7 0.6 1.0 1.6 3.8
Acquisition-related
costs (3) -- -- 0.1 -- 2.3
Transition services
credit (4) (0.2) (0.3) -- (0.9) --
Other (5) -- -- -- 0.8 1.1
---- ---- ---- ----- ---- ---- ----- ---- ----- ----
Non-GAAP gross profit $73.5 $70.7 $62.9 $263.7 $245.4
==== ==== ==== ===== ==== ==== ===== ==== ===== ====
Non-GAAP gross
profit as % of
revenues 45.3% 46.2% 44.1% 44.5% 44.3%
Research and development
expenses $10.5 $10.0 $10.3 $ 40.2 $ 39.5
Stock-based
compensation
expense (0.7) (0.7) (0.8) (3.3) (2.4)
Intangibles
amortization
expense (0.7) (0.6) (0.6) (2.5) (2.4)
Acquisition-related
costs (3) -- -- (0.1) -- (0.6)
Transition services
credit (4) -- -- -- 0.1 --
Other (5) 0.2 0.1 -- 0.4 --
---- ---- ---- ----- ---- ---- ----- ---- ----- ----
Non-GAAP research and
development expenses $ 9.3 $ 8.8 $ 8.8 $ 34.9 $ 34.1
==== ==== ==== ===== ==== ==== ===== ==== ===== ====
Selling and
administrative
expenses $35.7 $34.0 $35.2 $142.8 $142.0
Stock-based
compensation
expense (4.9) (4.9) (4.2) (23.6) (18.3)
Intangibles
amortization
expense (3.4) (3.4) (3.6) (13.7) (14.6)
Production transfer
costs (2) -- -- (0.2) (0.1) (0.4)
Acquisition-related
costs (3) (0.2) 0.1 (0.7) (0.8) (5.5)
Transition services
credit (4) 0.1 0.2 -- 1.0 --
Other (5) -- -- (0.9) 0.2 (1.4)
---- ---- ---- ----- ---- --- ----- ---- ----- ---
Non-GAAP selling and
administrative
expenses $27.3 $26.0 $25.6 $105.8 $101.8
==== ==== ==== ===== ==== ==== ===== ==== ===== ====
Operating expenses $46.7 $44.1 $45.5 $186.0 $183.0
Stock-based
compensation
expense (5.6) (5.6) (5.0) (26.9) (20.7)
Intangibles
amortization
expense (4.1) (4.0) (4.2) (16.2) (17.0)
Restructuring
charges (0.5) (0.1) -- (3.0) (1.5)
Production transfer
costs (2) -- -- (0.2) (0.1) (0.4)
Acquisition-related
costs (3) (0.2) 0.1 (0.8) (0.8) (6.1)
Transition services
credit (4) 0.1 0.2 -- 1.1 --
Other (5) 0.2 0.1 (0.9) 0.6 (1.4)
---- ---- ---- ----- ---- --- ----- ---- ----- ---
Non-GAAP operating
expenses $36.6 $34.8 $34.4 $140.7 $135.9
==== ==== ==== ===== ==== ==== ===== ==== ===== ====
Net earnings from
continuing operations $25.5 $18.0 $10.4 $ 50.9 $ 23.4
Interest expense, net 1.8 2.3 3.4 9.3 16.3
Provision for income
taxes 4.1 4.3 3.3 13.1 11.3
---- ---- ---- ----- ---- ---- ----- ---- ----- ----
Earnings from continuing
operations before
interest and income
taxes 31.4 24.6 17.1 73.3 51.0
Earnings from continuing
operations before
interest and income
taxes as % of revenues 19.4% 16.1% 12.0% 12.4% 9.2%
Stock-based
compensation
expense 6.0 5.9 5.4 28.4 22.2
Intangibles
amortization
expense 4.1 4.0 4.2 16.2 17.0
Impairment charges -- -- -- 3.6 --
Restructuring
charges 0.6 0.3 0.5 3.8 3.4
Production transfer
costs (2) 0.7 0.6 1.2 1.7 4.2
Acquisition-related
costs (3) 0.2 (0.1) 0.9 0.8 8.4
Transition services
credit (4) (0.3) (0.5) -- (2.0) --
Dividend income (6) (6.2) -- -- (6.2) --
Other (5) (0.3) (0.3) 0.1 0.5 1.7
---- --- ---- ---- ---- ---- ----- ---- ----- ----
Adjusted earnings from
continuing operations
before interest and
income taxes $36.2 $34.5 $29.4 $120.1 $107.9
==== ==== ==== ===== ==== ==== ===== ==== ===== ====
Adjusted earnings from
continuing operations
before interest and
income taxes as % of
revenues 22.3% 22.6% 20.6% 20.2% 19.5%
Net earnings from
continuing operations 25.5 18.0 10.4 50.9 23.4
Interest expense, net 1.8 2.3 3.4 9.3 16.3
Provision for income
taxes 4.1 4.3 3.3 13.1 11.3
---- ---- ---- ----- ---- ---- ----- ---- ----- ----
Earnings from continuing
operations before
interest and income
taxes 31.4 24.6 17.1 73.3 51.0
Non-GAAP reconciling
adjustments (7) 4.8 9.9 12.3 46.8 56.9
Depreciation expense 5.1 5.0 5.3 20.1 20.6
---- ---- ---- ----- ---- ---- ----- ---- ----- ----
Adjusted earnings from
continuing operations
before interest, income
taxes, depreciation,
and amortization
("Adjusted EBITDA") 41.3 39.5 34.7 140.2 128.5
==== ==== ==== ===== ==== ==== ===== ==== ===== ====
Adjusted EBITDA as a
% of revenues 25.5% 25.8% 24.4% 23.6% 23.2%
Quarter Ended Year Ended
-------------------------------------- --------------------------
December September December December 31, December 31,
31, 2025 30, 2025 31, 2024 2025 2024
----------- ------------ ----------- ------------ ------------
Provision for income
taxes $ 4.1 $ 4.3 $ 3.3 $ 13.1 $ 11.3
Income tax effects
of non-GAAP
reconciling
adjustments (8) (1.1) (1.0) (1.6) -- (3.6)
---- --- ---- ---- ---- --- ----- ---- ----- ---
Non-GAAP provision for
income taxes $ 3.0 $ 3.3 $ 1.7 $ 13.1 $ 7.7
==== ==== ==== ===== ==== ==== ===== ==== ===== ====
Net earnings from
continuing operations $25.5 $18.0 $10.4 $ 50.9 $ 23.4
Non-GAAP
reconciling
adjustments (7) 4.8 9.9 12.3 46.8 56.9
Income tax effects
of non-GAAP
reconciling
adjustments (8) (1.1) (1.0) (1.6) -- (3.6)
---- --- ---- ---- ---- --- ----- ---- ----- ---
Non-GAAP net earnings $31.4 $28.9 $24.3 $ 97.7 $ 83.9
==== ==== ==== ===== ==== ==== ===== ==== ===== ====
Diluted earnings per
share from continuing
operations $0.29 $0.21 $0.12 $ 0.58 $ 0.26
Earnings per share
non-GAAP
reconciling
adjustment (7) (8)
(9) 0.07 0.12 0.15 0.53 0.66
---- ---- ---- ----- ---- ---- ----- ---- ----- ----
Non-GAAP diluted
earnings per share (9) $0.36 $0.33 $0.27 $ 1.11 $ 0.92
==== ==== ==== ===== ==== ==== ===== ==== ===== ====
Diluted average shares
outstanding 87.5 87.3 89.4 88.0 90.1
Non-GAAP adjustment
(9) (10) (0.3) 0.6 1.1 0.4 1.3
---- --- ---- ----- ---- ---- ----- ---- ----- ----
Non-GAAP diluted average
shares outstanding (9)
(10) 87.2 87.9 90.5 88.4 91.4
==== ==== ==== ===== ==== ==== ===== ==== ===== ====
Notes:
(1) In addition to the GAAP financial measures included herein, Knowles
has presented certain non-GAAP financial measures that exclude certain
amounts that are included in the most directly comparable GAAP
measures. Knowles believes that non-GAAP measures are useful as
supplements to its GAAP results of operations to evaluate certain
aspects of its operations and financial performance, and its
management team primarily focuses on non-GAAP items in evaluating
Knowles' performance for business planning purposes. Knowles also
believes that these measures assist it with comparing its performance
between various reporting periods on a consistent basis, as these
measures remove from operating results the impact of items that, in
Knowles' opinion, do not reflect its core operating performance.
Knowles believes that its presentation of non-GAAP financial measures
is useful because it provides investors and securities analysts with
the same information that Knowles uses internally for purposes of
assessing its core operating performance.
(2) Production transfer costs represent duplicate costs incurred to
migrate manufacturing to existing facilities.
(3) These expenses are related to the acquisition of Cornell Dubilier by
the Precision Devices segment. These expenses include ongoing costs to
facilitate integration, the amortization of fair value adjustments to
inventory, and costs incurred by the Company to carry out this
transaction.
(4) Transition services represent amounts charged to Syntiant in
connection with post-closing transition and separation costs.
(5) Other expenses include non-recurring professional service fees related
to the execution of various reorganization projects and foreign
currency exchange rate impacts on restructuring balances.
(6) During the fourth quarter of 2025, the Company recorded a non-cash
dividend on the Syntiant investment in the form of additional Series
D-2 shares with a value of $6.2 million.
(7) The non-GAAP reconciling adjustments include stock-based compensation
expense, intangibles amortization expense, impairment charges,
restructuring charges, production transfer costs, acquisition-related
costs, and other expenses, partially offset by dividend income and a
credit to transition services.
(8) Income tax effects of non-GAAP reconciling adjustments are calculated
using the applicable tax rates in the jurisdictions of the underlying
adjustments.
(9) In the third quarter of 2025, the Company modified its calculation
method of non-GAAP diluted average shares outstanding to exclude the
potential dilution impact from performance share units ("PSUs") as
these equity awards have not yet been earned. Our PSUs are
market-based awards and have fluctuated based on the Company's total
shareholder return performance relative to the Russell 2000 during the
measurement period. The calculation methodology change in non-GAAP
diluted average shares outstanding increased non-GAAP diluted earnings
per share by $0.01 for the year ended December 31, 2024.
(10) The number of shares used in the diluted average shares outstanding
calculations on a non-GAAP basis excludes the impact of stock-based
expense expected to be incurred in future periods and not yet
recognized in the financial statements, which would otherwise be
assumed to be used to repurchase shares under the GAAP treasury stock
method. Non-GAAP diluted average shares outstanding also excludes the
impact of certain equity awards that are not yet earned.
KNOWLES CORPORATION
CONSOLIDATED BALANCE SHEETS
(in millions, except share and per share amounts)
(unaudited)
December 31, 2025 December 31, 2024
------------------- ---------------------
Current assets:
Cash and cash equivalents $ 54.2 $ 130.1
Receivables, net of
allowances of $0.0 and
$0.1 102.8 105.0
Inventories 124.6 118.0
Prepaid and other current
assets 9.8 8.3
-------------- --------------
Total current assets 291.4 361.4
-------------- --------------
Property, plant, and
equipment, net 140.2 130.1
Goodwill 270.3 269.8
Intangible assets, net 141.1 157.4
Operating lease right-of-use
assets 19.1 8.6
Investment in affiliate 83.4 77.2
Other assets and deferred
charges 105.6 113.7
-------------- --------------
Total assets $ 1,051.1 $ 1,118.2
============== ==============
Current liabilities:
Current maturities of
long-term debt $ -- $ 68.5
Accounts payable 42.9 58.5
Accrued compensation and
employee benefits 29.7 29.4
Operating lease
liabilities 4.1 3.9
Other accrued expenses 28.2 33.6
Federal and other taxes
on income 1.0 3.7
-------------- --------------
Total current
liabilities 105.9 197.6
-------------- --------------
Long-term debt 114.0 134.0
Deferred income taxes 1.1 1.1
Long-term operating lease
liabilities 16.1 5.8
Other liabilities 38.2 23.7
Commitments and contingencies
Stockholders' equity:
Preferred stock - $0.01
par value; 10,000,000
shares authorized; none
issued -- --
Common stock - $0.01 par
value; 400,000,000
shares authorized;
99,651,892 and
84,887,498 shares issued
and outstanding at
December 31, 2025,
respectively, and
98,551,188 and
87,358,659 shares issued
and outstanding at
December 31, 2024,
respectively 1.0 1.0
Treasury stock - at cost;
14,764,394 and
11,192,529 shares at
December 31, 2025 and
2024, respectively (270.7) (205.2)
Additional paid-in
capital 1,739.6 1,711.9
Accumulated deficit (569.4) (613.6)
Accumulated other
comprehensive loss (124.7) (138.1)
-------------- --------------
Total stockholders'
equity 775.8 756.0
-------------- --------------
Total liabilities and
stockholders' equity $ 1,051.1 $ 1,118.2
============== ==============
KNOWLES CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in millions)
(unaudited)
Years Ended December 31,
------------------------------
2025 2024
---------- ---------
Operating Activities
Net earnings (loss) $ 44.2 $ (237.8)
Adjustments to reconcile net earnings
(loss) to cash from operating
activities:
Goodwill impairment -- 262.5
Depreciation and amortization 36.3 50.3
Stock-based compensation 28.4 22.8
Non-cash interest expense and
amortization of debt issuance
costs 4.8 8.1
Impairment charges on fixed
assets 3.6 --
Loss (gain) on sale of
business 2.8 (6.8)
Gain on sale of fixed assets 0.1 (1.1)
Deferred income taxes 8.9 9.5
Non-cash restructuring charges -- 0.7
Dividend income (6.2) --
Gain on sale of technology -- (7.2)
Other, net 8.8 1.8
Changes in assets and liabilities
(excluding effects of foreign
exchange):
Receivables, net 1.1 4.0
Inventories (5.1) 1.6
Prepaid and other current
assets (0.7) 1.4
Accounts payable (18.0) 25.0
(MORE TO FOLLOW) Dow Jones Newswires
February 05, 2026 16:05 ET (21:05 GMT)