Earnings release
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Belden Reports Record Third Quarter 2026 Results and Announces $100 Million Data Center Agreement for 2027 October 29, 2026 ST. LOUIS--(BUSINESS WIRE)-- Belden Inc. (NYSE: BDC) (“Belden” or the “Company”), a global full-stack networking solutions company, today reported fiscal third quarter results for the period ended September 27, 2026. Third Quarter 2026 Highlights Record revenues of $966 million, up 38% y/y and up 11% y/y organically Record orders of $1,017 million, up 46% y/y and up 16% y/y organically, with a book-to-bill of 1.05x GAAP EPS of ($0.29), including non-cash purchase accounting charges related to the Ruckus acquisition Adjusted EPS of $2.26, up 15% y/y Reached agreement to supply $100 million of fiber solutions to major US data center customer in 2027 "Belden delivered another record quarter, with revenue of $966 million, up 38% year over year and 11% organically, and Adjusted EPS of $2.26, up 15% year over year. We also surpassed $1 billion in quarterly orders for the first time, with orders up 46% year over year and 16% organically, and a book-to-bill of 1.05x," said Ashish Chand, President and CEO of Belden Inc. "Demand remains robust across our key markets as AI and automation drive continued investment in networking infrastructure, from the data center to the factory floor. Our data center business reached an important milestone, with a signed agreement to supply $100 million of fiber assemblies in 2027. With this announcement, we now expect our data center business to grow by more than 50% next year. Our Ruckus integration is progressing, and we are encouraged by the growing cross-selling funnel and positive conversations we are having with customers. Belden is increasingly positioned as a networking partner for physical AI and automation, and the momentum we are seeing gives us confidence in the opportunity ahead." Third Quarter 2026 Revenues for the quarter increased by $268 million, or 38%, to $966 million from $698 million in the year-ago period. Revenues increased 11% organically from the year-ago period. Net income was ($11) million, compared to $57 million in the year-ago period. Net income as a percentage of revenues was (1.2)%, compared to 8.1% in the year-ago period. GAAP EPS totaled ($0.29) for the quarter, compared to $1.41 in the year-ago period, reflecting the addition of Ruckus and related purchase accounting estimates. Adjusted EBITDA was $171 million, up $52 million, or 44%, compared to $119 million in the year-ago period. Adjusted EBITDA margin was 17.7%, up 70 bps, compared to 17.0% in the year-ago period. Adjusted EPS was $2.26, increasing 15% compared to $1.97 in the year-ago period. Adjusted results are non- GAAP measures, and a non-GAAP reconciliation table is provided as an appendix to this release. GAAP results reflect purchase accounting for the Ruckus acquisition including non-cash charges of $100 million related to the amortization of acquired intangible assets and inventory fair value step-up. These charges are excluded from Adjusted EPS and Adjusted EBITDA, which management uses, along with GAAP results, to evaluate the Company's operating performance. Outlook “Our fourth quarter outlook reflects strong underlying demand and the momentum we're building as one company with Ruckus," said Dr. Chand. "Orders are at record levels entering the quarter, our solutions pipeline continues to build, and we're seeing growing engagement from data center and physical AI customers. We remain disciplined given the near-term macroeconomic and supply chain environment, but the long-term fundamentals across our markets continue to strengthen. Our focus remains on execution, integration, and capturing the opportunity in front of us." Assuming the continuation of current market conditions, the table below provides guidance for the fourth quarter of 2026. Fourth Quarter 2026: Guidance Revenues (million) $960 - $980 GAAP EPS $0.24 - $0.39 Adjusted EPS $2.20 - $2.35 Earnings Conference Call Management will host a conference call today at 8:30 am ET to discuss Belden's quarterly results. The listen-only audio of the conference call will be broadcast live online at https://investor.belden.com. The dial-in number for participants is 1-800-330-6710 with confirmation code 6822993. A replay of this conference call will remain accessible in the investor relations section of the Companyʼs website for a limited time. Earnings per Share (EPS) and Organic Growth All references to EPS within this earnings release refer to net income per diluted share. Organic growth, a non-GAAP measure, is calculated as the change in revenues excluding the impacts from currency exchange rates, copper prices, acquisitions, and divestitures. Organic order growth is calculated as the change in orders excluding the impacts from currency exchange rates, copper prices, acquisitions, and divestitures. 1/6
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BELDEN INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) Three Months Ended Nine Months Ended September 27, 2026 September 28, 2025 September 27, 2026 September 28, 2025 (In thousands, except per share data) Revenues $ 965,954 $ 698,221 $ 2,412,486 $ 1,995,074 Cost of sales (627,204) (435,023) (1,522,024) (1,227,468) Gross profit 338,750 263,198 890,462 767,606 Selling, general and administrative expenses (211,959) (139,415) (498,438) (402,859) Research and development expenses (55,220) (33,859) (117,023) (96,216) Amortization of intangibles (54,807) (13,636) (81,018) (40,381) Operating income 16,764 76,288 193,983 228,150 Interest expense, net (41,802) (11,562) (68,860) (33,866) Non-operating pension cost (496) (398) (1,408) (1,203) Loss on debt extinguishment — (76) (1,273) (76) Income (loss) before taxes (25,534) 64,252 122,442 193,005 Income tax benefit (expense) 14,183 (7,562) (14,230) (23,372) Net income (loss) $ (11,351) $ 56,690 $ 108,212 $ 169,633 Weighted average number of common shares and equivalents: Basic 39,080 39,516 38,952 39,728 Diluted 39,080 40,137 39,374 40,324 Basic income (loss) per share $ (0.29) $ 1.43 $ 2.78 $ 4.27 Diluted income (loss) per share $ (0.29) $ 1.41 $ 2.75 $ 4.21 Common stock dividends declared per share $ 0.05 $ 0.05 $ 0.15 $ 0.15 BELDEN INC. CONDENSED CONSOLIDATED BALANCE SHEETS September 27, 2026 December 31, 2025 (Unaudited) (In thousands) ASSETS Current assets: Cash and cash equivalents $ 380,706 $ 389,887 Receivables, net 684,350 462,845 Inventories, net 555,071 402,345 Other current assets 113,375 94,303 Total current assets 1,733,502 1,349,380 Property, plant and equipment, less accumulated depreciation 609,076 566,020 Operating lease right-of-use assets 132,012 113,033 Goodwill 2,030,937 1,036,821 Intangible assets, less accumulated amortization 1,378,494 399,799 Deferred income taxes 16,651 14,512 Other long-lived assets 66,543 64,056 $ 5,967,215 $ 3,543,621 LIABILITIES AND STOCKHOLDERSʼ EQUITY Current liabilities: Accounts payable $ 398,844 $ 361,432 Accrued liabilities 533,972 336,067 Current maturities of long-term debt 18,500 — Total current liabilities 951,316 697,499 Long-term debt 3,031,910 1,285,666 Postretirement benefits 57,779 63,598 Deferred income taxes 274,261 98,060 Long-term operating lease liabilities 113,690 94,372 Other long-term liabilities 146,267 40,002 Stockholdersʼ equity: Common stock 503 503 Additional paid-in capital 887,034 867,457 Retained earnings 1,507,882 1,405,572 Accumulated other comprehensive loss (72,833) (97,204) Treasury stock (930,594) (911,904) Total stockholdersʼ equity 1,391,992 1,264,424 $ 5,967,215 $ 3,543,621 2/6
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BELDEN INC. CONDENSED CONSOLIDATED CASH FLOW STATEMENTS (Unaudited) Nine Months Ended September 27, 2026 September 28, 2025 (In thousands) Cash flows from operating activities: Net income $ 108,212 $ 169,633 Adjustments to reconcile net income to cash flows from operating activities: Depreciation and amortization 146,940 95,414 Share-based compensation 29,281 22,613 Loss on debt extinguishment 1,273 — Changes in operating assets and liabilities, net of the effects of currency exchange rate changes, acquired businesses and disposals: Receivables (79,039) (36,689) Inventories (1,508) (40,334) Accounts payable 17,395 (15,128) Accrued liabilities 28,197 (7,357) Income taxes (19,910) (1,492) Other assets (4,634) (3,796) Other liabilities 13,993 11,612 Net cash provided by operating activities 240,200 194,476 Cash flows from investing activities: Cash from (used for) business acquisitions (1,869,631) 7,744 Capital expenditures (132,863) (97,034) Proceeds from disposal of tangible assets 107 168 Net cash used for investing activities (2,002,387) (89,122) Cash flows from financing activities: Borrowings under credit arrangements 2,432,630 50,000 Proceeds from issuance of common stock 13,613 11,628 Payments under financing lease obligations (1,508) (1,341) Cash dividends paid (5,870) (6,000) Withholding tax payments for share-based payment awards (18,786) (20,514) Payments under share repurchase program, including excise tax (31,806) (150,967) Debt issuance costs paid (47,545) (3,178) Payments under borrowing arrangements (585,860) (50,000) Net cash provided by (used for) financing activities 1,754,868 (170,372) Effect of foreign currency exchange rate changes on cash and cash equivalents (1,862) 8,973 Decrease in cash and cash equivalents (9,181) (56,045) Cash and cash equivalents, beginning of period 389,887 370,302 Cash and cash equivalents, end of period $ 380,706 $ 314,257 BELDEN INC. RECONCILIATION OF NON-GAAP MEASURES (Unaudited) In addition to reporting financial results in accordance with accounting principles generally accepted in the United States, we provide non-GAAP operating results adjusted for certain items, including: asset impairments; accelerated depreciation expense due to plant consolidation activities; purchase accounting effects related to acquisitions, such as the adjustment of acquired inventory to fair value, and transaction costs; severance, restructuring, and acquisition integration costs; gains (losses) recognized on the disposal of businesses and assets; amortization of intangible assets; gains (losses) on debt extinguishment; certain gains (losses) from patent settlements; discontinued operations; and other costs. We adjust for the items listed above in all periods presented, unless the impact is clearly immaterial to our financial statements. When we calculate the tax effect of the adjustments, we include all current and deferred income tax expense commensurate with the adjusted measure of pre-tax profitability. We utilize the adjusted results to review our ongoing operations without the effect of these adjustments and for comparison to budgeted operating results. We believe the adjusted results are useful to investors because they help them compare our results to previous periods and provide important insights into underlying trends in the business and how management oversees our business operations on a day-to-day basis. As an example, we adjust for acquisition- related expenses, such as amortization of intangibles and impacts of fair value adjustments because they generally are not related to the acquired business' core business performance. As an additional example, we exclude the costs of restructuring programs, which can occur from time to time for our current businesses and/or recently acquired businesses. We exclude the costs in calculating adjusted results to allow us and investors to evaluate the performance of the business based upon its expected ongoing operating structure. We believe the adjusted measures, accompanied by the disclosure of the costs of these programs, provides valuable insight. Adjusted results should be considered only in conjunction with results reported according to accounting principles generally accepted in the United States. 3/6
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Three Months Ended Nine Months Ended September 27, 2026 September 28, 2025 September 27, 2026 September 28, 2025 (In thousands, except percentages and per share amounts) Revenues $ 965,954 $ 698,221 $ 2,412,486 $ 1,995,074 GAAP gross profit $ 338,750 $ 263,198 $ 890,462 $ 767,606 Adjustments related to acquisitions and divestitures 56,250 — 56,250 — Amortization of software development intangible assets 3,938 3,072 10,811 8,628 Severance, restructuring, and acquisition integration costs 2,237 326 6,462 337 Adjusted gross profit $ 401,175 $ 266,596 $ 963,985 $ 776,571 GAAP gross profit margin 35.1% 37.7% 36.9% 38.5% Adjusted gross profit margin 41.5% 38.2% 40.0% 38.9% GAAP selling, general and administrative expenses $ (211,959) $ (139,415) $ (498,438) $ (402,859) Severance, restructuring, and acquisition integration costs 16,504 8,774 27,154 13,205 Adjustments related to acquisitions and divestitures 250 11 3,113 595 Adjusted selling, general and administrative expenses $ (195,205) $ (130,630) $ (468,171) $ (389,059) GAAP research and development expenses $ (55,220) $ (33,859) $ (117,023) $ (96,216) Severance, restructuring, and acquisition integration costs 1,709 78 3,080 173 Adjusted research and development expenses $ (53,511) $ (33,781) $ (113,943) $ (96,043) GAAP net income (loss) $ (11,351) $ 56,690 $ 108,212 $ 169,633 Income tax expense (benefit) (14,183) 7,562 14,230 23,372 Interest expense, net 41,802 11,562 68,860 33,866 Loss on debt extinguishment — 76 1,273 76 Total non-operating adjustments 27,619 19,200 84,363 57,314 Amortization of intangible assets 54,807 13,636 81,018 40,381 Amortization of software development intangible assets 3,938 3,072 10,811 8,628 Severance, restructuring, and acquisition integration costs 20,450 9,178 36,696 13,715 Adjustments related to acquisitions and divestitures 56,500 11 59,363 595 Total operating income adjustments 135,695 25,897 187,888 63,319 Depreciation expense 19,174 16,856 54,641 46,406 Adjusted EBITDA $ 171,137 $ 118,643 $ 435,104 $ 336,672 GAAP net income (loss) margin (1.2)% 8.1% 4.5% 8.5% Adjusted EBITDA margin 17.7% 17.0% 18.0% 16.9% GAAP net income (loss) $ (11,351) $ 56,690 $ 108,212 $ 169,633 Plus: Operating income adjustments from above 135,695 25,897 187,888 63,319 Less: Tax effect of adjustments above 35,014 3,449 46,642 12,722 Plus: Loss on debt extinguishment — 76 1,273 76 Adjusted net income $ 89,330 $ 79,214 $ 250,731 $ 220,306 GAAP income (loss) per diluted share $ (0.29) $ 1.41 $ 2.75 $ 4.21 Adjusted income per diluted share $ 2.26 $ 1.97 $ 6.37 $ 5.46 GAAP diluted weighted average shares 39,080 40,137 39,374 40,324 Adjustment for anti-dilutive shares that are dilutive under adjusted measures 366 — — — Adjusted diluted weighted average shares 39,446 40,137 39,374 40,324 BELDEN INC. RECONCILIATION OF NON-GAAP MEASURES (Unaudited) Three Months ended GAAP Non-GAAP September 27, 2026 September 28, 2025 Revenue Growth Foreign Currency Impact Copper Pass- Through Pricing Impact Acquisitions and Divestitures Impact Organic Growth (In thousands, except percentages) Revenues $ 965,954 $ 698,221 38% —% 3% 24% 11% BELDEN INC. RECONCILIATION OF NON-GAAP MEASURES (Unaudited) We define free cash flow, which is a non-GAAP financial measure, as net cash from operating activities adjusted for capital expenditures net of the proceeds from the disposal of assets. We believe free cash flow provides useful information to investors regarding our ability to generate cash from business operations that is available for acquisitions and other investments, service of debt principal, dividends and share repurchases. We use free cash flow, as defined, as one financial measure to monitor and evaluate performance and liquidity. Non-GAAP financial measures should be considered only in conjunction with financial measures reported according to accounting principles generally accepted in the United States. Our definition of free cash flow may differ from definitions used by other companies. 4/6
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Three Months Ended Nine Months Ended September 27, 2026 September 28, 2025 September 27, 2026 September 28, 2025 (In thousands) GAAP net cash provided by operating activities $ 129,642 $ 105,006 $ 240,200 $ 194,476 Capital expenditures (47,809) (39,681) (132,863) (97,034) Proceeds from disposal of tangible assets 99 53 107 168 Non-GAAP free cash flow $ 81,932 $ 65,378 $ 107,444 $ 97,610 BELDEN INC. RECONCILIATION OF NON-GAAP MEASURES (Unaudited) Three Months Ended December 31, 2026 GAAP EPS $0.24 - $0.39 Amortization of intangible assets 1.19 Severance, restructuring, and acquisition integration costs 0.39 Adjustments related to acquisitions and divestitures 0.38 Adjusted EPS $2.20 - $2.35 Our guidance is based upon information currently available regarding events and conditions that will impact our future operating results. In particular, our results are subject to the factors listed under "Forward-Looking Statements" in this release. In addition, our actual results are likely to be impacted by other additional events for which information is not available, such as asset impairments, adjustments related to acquisitions and divestitures, severance, restructuring, and acquisition integration costs, gains (losses) recognized on the disposal of assets, gains (losses) on debt extinguishment, discontinued operations, and other gains (losses) related to events or conditions that are not yet known. Forward-Looking Statements This release contains, and any statements made by us concerning the subject matter of this release may contain, forward-looking statements, including anticipated benefits from the Ruckus acquisition, expected strengthening of Beldenʼs product offering, including in data centers, future market, growth and synergy opportunities, and the level of Ruckus expected growth and financial contributions, including adjusted earnings per share, adjusted gross margin, adjusted EBITDA and adjusted EBITDA margin, and our outlook for net leverage, the remainder of 2026 and beyond. Forward-looking statements also include any statements regarding future financial performance (including revenues, growth, expenses, earnings, margins, cash flows, dividends, capital expenditures and financial condition), plans and objectives, and related assumptions. In some cases these statements are identifiable through the use of words such as “anticipate,” “believe,” “estimate,” “forecast,” “guide,” “expect,” “intend,” “plan,” “project,” “target,” “can,” “could,” “may,” “should,” “will,” “would” and similar expressions. Forward-looking statements reflect managementʼs current beliefs and expectations and are not guarantees of future performance. Pro forma, projected and estimated numbers are used for illustrative purposes only, are not forecasts, and may not reflect actual results. Actual results may differ materially from those suggested by any forward-looking statements for a number of reasons, including, without limitation: the inability to integrate and/or realize the benefits of the Ruckus acquisition, including expected synergies; that the announcement of the acquisition could disrupt Beldenʼs or Ruckusʼ relationships with customers, employees or other business partners; disruptions in the Companyʼs information systems including due to cyber-attacks; the impact of volatility in global trade policies and tariffs; the impact of disruptions in the global supply chain, including the inability to timely obtain raw materials and components in sufficient quantities on commercially reasonable terms; foreign and domestic political, economic and other uncertainties, including changes in currency exchange rates; the impact of a challenging global economy, including the impact of inflation, or a downturn in served markets; inflation and changes in the price and availability of raw materials leading to higher input and labor costs; the competitiveness of the global markets in which we operate; the inability of the Company to develop and introduce new products; competitive responses to our products; the inability to successfully implement artificial intelligence into our product offerings and back office processes; our reliance on legacy information technology systems and the challenges associated with their maintenance and upgrade; difficulty in forecasting revenues due to the unpredictable timing of orders related to customer projects as well as the impacts of channel inventory; the inability to execute and realize the expected benefits from strategic initiatives (including revenue growth, cost control, and productivity improvement programs); the inability to achieve our strategic priorities in emerging markets; the presence of substitute products in the marketplace; the impacts of extreme weather events and other climate-related catastrophes; the possibility of future epidemics or pandemics; volatility in credit and foreign exchange markets; changes in tax laws and variability in the Companyʼs quarterly and annual effective tax rates; the inability to successfully complete and integrate acquisitions, in furtherance of the Companyʼs strategic plan, as well as the inability to accurately forecast the financial impacts of acquisitions; the inability to retain key employees; disruption of, or changes in, the Companyʼs key distribution channels; the presence of activists proposing certain actions by the Company; perceived or actual product failures; the impact of regulatory requirements and other legal compliance issues; inability to satisfy the increasing expectations with respect to sustainability matters; assertions that the Company violates the intellectual property of others and the ownership of intellectual property by competitors and others that prevents the use of that intellectual property by the Company; risks related to the use of open source software; the impairment of goodwill and other intangible assets and the resulting impact on financial performance; disruptions and increased costs attendant to collective bargaining groups and other labor matters; and other factors. For a more complete discussion of risk factors, please see our Annual Report on Form 10-K for the period ended December 31, 2025, filed with the SEC on February 17, 2026. Although the content of this release represents our best judgment as of the date of this report based on information currently available and reasonable assumptions, we give no assurances that the expectations will prove to be accurate. Deviations from the expectations may be material. For these reasons, Belden cautions readers to not place undue reliance on these forward-looking statements, which speak only as of the date made. Belden disclaims any duty to update any forward-looking statements as a result of new information, future developments, or otherwise, except as required by law. About Belden Belden Inc. delivers complete connection solutions that unlock untold possibilities for our customers, their customers and the world. We advance ideas and technologies that enable a safer, smarter and more prosperous future. Throughout our 120+ year history we have evolved as a company, but our purpose remains – making connections. By connecting people, information and ideas, we make it possible. We are headquartered in St. Louis and have manufacturing capabilities in North America, Europe, Asia and Africa. For more information, visit us at www.belden.com; follow us on Facebook, LinkedIn and X/Twitter. BDC-Financial 5/6
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Belden Investor Relations Aaron Reddington, CFA (317) 219-9359 Investor.Relations@Belden.com Source: Belden Inc. 6/6