What changed in this filing

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Item 1. Financial Statements

2026-04-24 compared with 2026-01-23 · 156 added, 51 removed, 391 unchanged (35% of the section changed)

3 unchanged sentences

Quarters Ended

Six Months Ended

(in millions, except per share data)

23 unchanged sentences

Quarters Ended

Six Months Ended

(in millions)

45 unchanged sentences

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY

For the Quarter Ended December 26, 2025

For the Quarter Ended March 27, 2026

Ordinary Shares

4 unchanged sentences

(in millions)

Balance at December 26, 2025

Other comprehensive loss

Share-based compensation expense

Dividends ($ 0.78 per ordinary share)

Exercise of share options

Restricted share award vestings and other activity

Repurchase of ordinary shares

Cancellation of treasury shares

Balance at March 27, 2026

For the Six Months Ended March 27, 2026

Ordinary Shares

Held in Treasury

Comprehensive

Shareholders'

(in millions)

Balance at September 26, 2025

5 unchanged sentences

Repurchase of ordinary shares

Cancellation of treasury shares

Balance at March 27, 2026

TE CONNECTIVITY PLC

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY

(UNAUDITED) (Continued)

For the Quarter Ended March 28, 2025

Ordinary Shares

Held in Treasury

Comprehensive

Shareholders'

Income (Loss)

(in millions)

Balance at December 27, 2024

For the Quarter Ended December 27, 2024

Other comprehensive income

Share-based compensation expense

Exercise of share options

Restricted share award vestings and other activity

Repurchase of ordinary shares

Balance at March 28, 2025

For the Six Months Ended March 28, 2025

Ordinary Shares

13 unchanged sentences

Repurchase of ordinary shares

Balance at December 27, 2024

Balance at March 28, 2025

See accompanying Notes to Condensed Consolidated Financial Statements.

1 unchanged sentence

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

Quarters Ended

Six Months Ended

(in millions)

21 unchanged sentences

Net increase in commercial paper

Proceeds from issuance of debt

Repayment of debt

Proceeds from exercise of share options

1 unchanged sentence

Payment of ordinary share dividends to shareholders

Net cash used in financing activities

Net cash provided by (used in) financing activities

Effect of currency translation on cash

Net decrease in cash, cash equivalents, and restricted cash

Net increase (decrease) in cash, cash equivalents, and restricted cash

Cash, cash equivalents, and restricted cash at beginning of period

14 unchanged sentences

Quarters Ended

Six Months Ended

(in millions)

1 unchanged sentence

Costs related to change in place of incorporation

Other credits, net

Other charges (credits), net

Restructuring and other charges, net

2 unchanged sentences

Quarters Ended

Six Months Ended

(in millions)

9 unchanged sentences

Employee severance

Facility and other exit costs

Property, plant, and equipment

7 unchanged sentences

During fiscal 2026, we initiated a restructuring program to optimize our manufacturing footprint and improve the cost structure of our organization.

During the quarter ended December 26, 2025, we recorded restructuring charges of $ 4 million in connection with this program.

We expect to complete all restructuring actions commenced during the quarter ended December 26, 2025 by the end of fiscal 2028 and to incur additional charges of approximately $ 6 million related primarily to facility exit costs in the Industrial Solutions segment.

During the six months ended March 27, 2026, we recorded restructuring charges of $ 6 million in connection with this program.

We expect to complete all restructuring actions commenced during the six months ended March 27, 2026 by the end of fiscal 2028 and anticipate that additional charges related to actions commenced during the six months ended March 27, 2026 will be insignificant.

Fiscal 2025 Actions

During fiscal 2025, we initiated a restructuring program associated with footprint consolidation and cost structure improvements in both of our segments.

In connection with this program, during the quarters ended December 26, 2025 and December 27, 2024, we recorded restructuring credits of $ 3 million and charges of $ 30 million, respectively.

In connection with this program, during the six months ended March 27, 2026 and March 28, 2025, we recorded restructuring credits of $ 3 million and charges of $ 77 million, respectively.

We expect to complete all restructuring actions commenced during fiscal 2025 by the end of fiscal 2033 and to incur additional charges of approximately $ 11 million related primarily to facility exit costs in the Industrial Solutions segment.

Pre-Fiscal 2025 Actions

During the quarters ended December 26, 2025 and December 27, 2024, we recorded net restructuring charges of $ 9 million and $ 13 million, respectively, related to pre-fiscal 2025 actions.

During both the six months ended March 27, 2026 and March 28, 2025, we recorded net restructuring charges of $ 10 million related to pre-fiscal 2025 actions.

We expect that any additional charges related to restructuring actions commenced prior to fiscal 2025 will be insignificant.

TE CONNECTIVITY PLC

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

Total Restructuring Reserves

5 unchanged sentences

Restructuring reserves

TE CONNECTIVITY PLC

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

During the quarter ended December 27, 2024, we acquired two businesses for a combined cash purchase price of $ 325 million, net of cash acquired.

During the six months ended March 27, 2026, we acquired one business for a cash purchase price of $ 200 million, net of cash acquired.

The acquisition includes certain earn-out provisions based on business performance for which we have estimated the acquisition-date fair value to be approximately $ 150 million.

The acquired business has been reported as part of our Industrial Solutions segment from the date of acquisition.

During the six months ended March 28, 2025, we acquired two businesses for a combined cash purchase price of $ 321 million, net of cash acquired.

The acquired businesses have been reported as part of our Industrial Solutions segment from the date of acquisition.

11 unchanged sentences

Currency translation

December 26, 2025 (1)

(1) At December 26, 2025 and September 26, 2025, accumulated impairment losses for the Transportation Solutions and Industrial Solutions segments were $ 3,091 million and $ 1,158 million, respectively.

March 27, 2026 (1)

(1) At March 27, 2026 and September 26, 2025, accumulated impairment losses for the Transportation Solutions and Industrial Solutions segments were $ 3,091 million and $ 1,158 million, respectively.

TE CONNECTIVITY PLC

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

During the six months ended March 27, 2026, we recognized goodwill in the Industrial Solutions segment in connection with a recent acquisition.

See Note 3 for additional information regarding acquisitions.

Intangible Assets, Net

Net intangible assets consisted of the following:

December 26, 2025

March 27, 2026

September 26, 2025

2 unchanged sentences

Intellectual property

Intangible asset amortization expense was $ 57 million and $ 39 million for the quarters ended December 26, 2025 and December 27, 2024, respectively.

TE CONNECTIVITY PLC

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

At December 26, 2025, the aggregate amortization expense on intangible assets is expected to be as follows:

Intangible asset amortization expense was $ 57 million and $ 41 million for the quarters ended March 27, 2026 and March 28, 2025, respectively, and $ 114 million and $ 80 million for the six months ended March 27, 2026 and March 28, 2025, respectively.

At March 27, 2026, the aggregate amortization expense on intangible assets is expected to be as follows:

(in millions)

Remainder of fiscal 2026

Tyco Electronics Group S.A.

(“TEGSA”), our wholly-owned subsidiary, had no commercial paper outstanding at December 26, 2025 or September 26, 2025.

Payment obligations under TEGSA’s senior notes, commercial paper, and five-year unsecured senior revolving credit facility are fully and unconditionally guaranteed on an unsecured basis by TEGSA’s parent, TE Connectivity Switzerland Ltd., and its parent, TE Connectivity plc.

The fair value of our debt, based on indicative valuations, was approximately $ 5,738 million and $ 5,725 million at December 26, 2025 and September 26, 2025, respectively.

During the quarter ended March 27, 2026, Tyco Electronics Group S.A.

(“TEGSA”), our wholly-owned subsidiary, issued $ 200 million aggregate principal amount of 4.50 % senior notes due in February 2031 and $ 550 million aggregate principal amount of 4.875 % senior notes due in February 2036.

The February 2031 senior notes represent a further issuance of TEGSA’s outstanding $ 450 million aggregate principal amount of 4.50 % senior notes which were issued in fiscal 2025 and bring the total aggregate principal amount of the 4.50 % senior notes due in February 2031 to $ 650 million.

The new notes are TEGSA’s unsecured senior obligations and rank equally in right of payment with all existing and any future senior indebtedness of TEGSA and senior to any subordinated indebtedness that TEGSA may incur.

During the quarter ended March 27, 2026, TEGSA repaid, at maturity, $ 500 million of 4.50 % senior notes and $ 350 million of 3.70 % senior notes, both due in February 2026.

At March 27, 2026, TEGSA had $ 100 million of commercial paper outstanding at a weighted-average interest rate of 4.0 %.

TEGSA had no commercial paper outstanding at September 26, 2025.

TEGSA entered into a new five-year unsecured senior revolving credit facility (“Credit Facility”) in February 2026 with aggregate commitments of $ 3.0 billion, which refinanced and replaced in full TEGSA’s existing $ 1.5 billion five-year

TE CONNECTIVITY PLC

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

unsecured senior revolving credit facility (the “Replaced Credit Facility”).

The Credit Facility matures in February 2031 and contains provisions that allow for incremental commitments of up to $ 1.0 billion, subject to terms and conditions in the Credit Facility.

TEGSA had no borrowings under the Credit Facility at March 27, 2026 or the Replaced Credit Facility at September 26, 2025.

Borrowings under the Credit Facility bear interest at a rate per annum equal to, at the option of TEGSA, (1) with respect to borrowings in U.S.

dollars, (a) the term secured overnight financing rate (“Term SOFR”) (as defined in the Credit Facility) or (b) an alternate base rate equal to the highest of (i) Bank of America , N.A.’s base rate, (ii) the federal funds effective rate plus 1/2 of 1%, (iii) the Term SOFR for a one-month interest period plus 1 %, and (iv) 1 %, (2) with respect to borrowings in euro, the Euro Interbank Offered Rate , (3) with respect to borrowings in sterling, the Sterling Overnight Index Average Reference Rate , and (4) with respect to borrowings in yen, the Tokyo Interbank Offered Rate , plus, in each case, an applicable margin based upon the senior, unsecured, long-term debt rating of TEGSA.

TEGSA is required to pay an annual facility fee.

Based on the applicable credit ratings of TEGSA, this fee ranges from 5.0 to 12.5 basis points of the lenders’ commitments under the Credit Facility.

Payment obligations under TEGSA’s senior notes, commercial paper, and Credit Facility are fully and unconditionally guaranteed on an unsecured basis by TEGSA’s parent, TE Connectivity Switzerland Ltd., and its parent, TE Connectivity plc.

The fair value of our debt, based on indicative valuations, was approximately $ 5,568 million and $ 5,725 million at March 27, 2026 and September 26, 2025, respectively.

The components of lease cost were as follows:

Quarters Ended

Six Months Ended

(in millions)

3 unchanged sentences

Cash flow information, including significant non-cash transactions, related to leases was as follows:

Quarters Ended

Six Months Ended

(in millions)

19 unchanged sentences

The ultimate cost of site cleanup is difficult to predict given the uncertainties regarding the extent of the required cleanup, the interpretation of applicable laws and regulations, and alternative cleanup methods.

As of December 26, 2025, we concluded that we would incur investigation and remediation costs at these sites in the reasonably possible range of $ 18 million to $ 44 million, and we accrued $ 23 million as the probable loss, which was the best estimate within this range.

As of March 27, 2026, we concluded that we would incur investigation and remediation costs at these sites in the reasonably possible range of $ 20 million to $ 53 million, and we accrued $ 27 million as the probable loss, which was the best estimate within this range.

We believe that any potential payment of such estimated amounts will not have a material adverse effect on our results of operations, financial position, or cash flows.

1 unchanged sentence

We do not expect that these uncertainties will have a material adverse effect on our results of operations, financial position, or cash flows.

At December 26, 2025, we had outstanding letters of credit, letters of guarantee, and surety bonds of $ 245 million.

At March 27, 2026, we had outstanding letters of credit, letters of guarantee, and surety bonds of $ 251 million to support normal business activities.

Supply Chain Finance Program

2 unchanged sentences

We do not determine the terms or conditions of the arrangement between the financial institution and suppliers.

Our obligation to suppliers, including amounts due and scheduled payment dates, are not impacted by the suppliers’ decisions to finance amounts under the arrangement and we are not required to post collateral with the

Our obligation to suppliers, including amounts due and scheduled payment dates, are not impacted

TE CONNECTIVITY PLC

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

financial institution.

The outstanding payment obligations under our supply chain finance program, which are included in accounts payable on our Condensed Consolidated Balance Sheets, were $ 135 million and $ 161 million at December 26, 2025 and September 26, 2025, respectively.

by the suppliers’ decisions to finance amounts under the arrangement and we are not required to post collateral with the financial institution.

The outstanding payment obligations under our supply chain finance program, which are included in accounts payable on our Condensed Consolidated Balance Sheets, were $ 134 million and $ 161 million at March 27, 2026 and September 26, 2025, respectively.

Financial Instruments

5 unchanged sentences

We hedge our net investment in certain foreign operations using intercompany loans and external borrowings denominated in the same currencies.

The aggregate notional value of these hedges was $ 4,620 million and $ 4,212 million at December 26, 2025 and September 26, 2025, respectively.

The aggregate notional value of these hedges was $ 3,370 million and $ 4,212 million at March 27, 2026 and September 26, 2025, respectively.

We also use a cross-currency swap program to hedge our net investment in certain foreign operations.

The aggregate notional value of the contracts under this program was $ 5,686 million and $ 5,671 million at December 26, 2025 and September 26, 2025, respectively.

The aggregate notional value of the contracts under this program was $ 5,712 million and $ 5,671 million at March 27, 2026 and September 26, 2025, respectively.

Under the terms of these contracts, we receive interest in U.S.

9 unchanged sentences

Other liabilities

TE CONNECTIVITY PLC

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

The impacts of our hedge of net investment programs were as follows:

Quarters Ended

Six Months Ended

(in millions)

Foreign currency exchange gains (losses) on intercompany loans and external borrowings (1)

Gains on cross-currency swap contracts designated as hedges of net investment (1)

Gains (losses) on cross-currency swap contracts designated as hedges of net investment (1)

(1) Recorded as currency translation, a component of accumulated other comprehensive income (loss), and offset by changes attributable to the translation of the net investment.

TE CONNECTIVITY PLC

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

Commodity Hedges

1 unchanged sentence

The objective of these contracts is to minimize impacts to cash flows and profitability due to changes in prices of commodities used in production.

These contracts had an aggregate notional value of $ 611 million and $ 569 million at December 26, 2025 and September 26, 2025, respectively, and were designated as cash flow hedges.

These contracts had an aggregate notional value of $ 644 million and $ 569 million at March 27, 2026 and September 26, 2025, respectively, and were designated as cash flow hedges.

These commodity swap contracts were recorded on the Condensed Consolidated Balance Sheets as follows:

2 unchanged sentences

Prepaid expenses and other current assets

Accrued and other current liabilities

Other liabilities

The impacts of our commodity swap contracts were as follows:

Quarters Ended

Six Months Ended

(in millions)

2 unchanged sentences

We expect that significantly all of the balance in accumulated other comprehensive income (loss) associated with commodity hedges will be reclassified into the Condensed Consolidated Statement of Operations within the next twelve months.

TE CONNECTIVITY PLC

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

Retirement Plans

The net periodic pension benefit cost for all non-U.S.

The net periodic pension benefit cost (credit) for all non-U.S.

defined benefit pension plans was as follows:

8 unchanged sentences

Amortization of prior service credit

Net periodic pension benefit cost

During the quarter ended December 26, 2025, we contributed $ 11 million and $ 4 million to our non-U.S.

Net periodic pension benefit cost (credit)

Six Months Ended

(in millions)

Operating expense:

Other (income) expense:

Interest cost

Expected returns on plan assets

Amortization of net actuarial loss

Amortization of prior service credit

Net periodic pension benefit cost (credit)

During the six months ended March 27, 2026, we contributed $ 23 million and $ 8 million to our non-U.S.

pension plans, respectively.

We recorded income tax expense of $ 87 million and $ 742 million for the quarters ended March 27, 2026 and March 28, 2025, respectively.

The income tax expense for quarter ended March 27, 2026 included a $ 114 million net income tax benefit related primarily to the settlement of prior period tax matters.

The income tax expense for the quarter ended March 28, 2025 included $ 574 million of income tax expense related to a net increase in the valuation allowance for certain deferred tax assets associated with a ten-year tax credit obtained by a Swiss subsidiary in fiscal 2024.

We recorded income tax expense of $ 297 million and $ 920 million for the six months ended March 27, 2026 and March 28, 2025, respectively.

The income tax expense for the six months ended March 27, 2026 included a $ 114 million net income tax benefit related primarily to the settlement of prior period tax matters.

The income tax expense for the six months ended March 28, 2025 included $ 574 million of income tax expense related to a net increase in the valuation allowance for certain deferred tax assets associated with a ten-year tax credit obtained by a Swiss subsidiary in fiscal 2024.

In addition, the

TE CONNECTIVITY PLC

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

We recorded income tax expense of $ 210 million and $ 178 million for the quarters ended December 26, 2025 and December 27, 2024, respectively.

The income tax expense for quarter ended December 27, 2024 included $ 13 million of income tax expense related to the revaluation of deferred tax assets as a result of a decrease in the corporate tax rate in a non-U.S.

income tax expense for the six months ended March 28, 2025 included $ 13 million of income tax expense related to the revaluation of deferred tax assets as a result of a decrease in the corporate tax rate in a non-U.S.

jurisdiction.

We record accrued interest and penalties related to uncertain tax positions as part of income tax expense (benefit).

As of March 27, 2026 and September 26, 2025, we had $ 41 million and $ 89 million, respectively, of accrued interest and penalties related to uncertain tax positions on the Condensed Consolidated Balance Sheets, recorded primarily in income taxes.

During the six months ended March 27, 2026, we recognized an income tax benefit of $ 48 million related to interest and penalties on the Condensed Consolidated Statements of Operations.

Substantially all of this income tax benefit was recognized as part of the settlement of prior period tax matters discussed above.

Earnings Per Share

1 unchanged sentence

Quarters Ended

Six Months Ended

(in millions)

2 unchanged sentences

Quarters Ended

Six Months Ended

(in millions)

1 unchanged sentence

Shareholders’ Equity

Ordinary Shares Held in Treasury

In March 2026, our Board of Directors approved the cancellation of approximately 8.3 million ordinary shares purchased under our share repurchase program during fiscal 2025.

The cancellation became effective during the quarter ended March 27, 2026.

We paid cash dividends to shareholders as follows:

Quarters Ended

Six Months Ended

Dividends paid per ordinary share

In December 2025 , our Board of Directors declared a regular quarterly cash dividend of $ 0.71 per ordinary share, payable on March 13, 2026 , to shareholders of record on February 20, 2026 .

TE CONNECTIVITY PLC

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

In March 2026 , our Board of Directors declared a regular quarterly cash dividend of $ 0.78 per ordinary share, payable on June 12, 2026 , to shareholders of record on May 22, 2026 .

Share Repurchase Program

During the quarter ended March 27, 2026, our Board of Directors authorized an increase of $ 3.0 billion in our share repurchase program.

Ordinary shares repurchased under the share repurchase program were as follows:

Quarters Ended

Six Months Ended

(in millions)

1 unchanged sentence

Repurchase value

At December 26, 2025, we had $ 983 million of availability remaining under our share repurchase authorization.

At March 27, 2026, we had $ 3.6 billion of availability remaining under our share repurchase authorization.

Share-based compensation expense, which was included in selling, general, and administrative expenses on the Condensed Consolidated Statements of Operations, was as follows:

Quarters Ended

Six Months Ended

(in millions)

Share-based compensation expense

As of December 26, 2025, there was $ 225 million of unrecognized compensation expense related to share-based awards, which is expected to be recognized over a weighted-average period of 1.8 years.

As of March 27, 2026, there was $ 193 million of unrecognized compensation expense related to share-based awards, which is expected to be recognized over a weighted-average period of 1.5 years.

During the quarter ended December 26, 2025, we granted the following share-based awards as part of our annual incentive plan grant:

3 unchanged sentences

Performance share awards

As of December 26, 2025, we had 17 million shares available for issuance under the TE Connectivity plc 2024 Stock and Incentive Plan, amended and restated as of September 30, 2024.

As of March 27, 2026, we had 17 million shares available for issuance under the TE Connectivity plc 2024 Stock and Incentive Plan, amended and restated as of September 30, 2024.

TE CONNECTIVITY PLC

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

Share-Based Compensation Assumptions

4 unchanged sentences

Expected life of options (in years)

TE CONNECTIVITY PLC

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

Segment and Geographic Data

1 unchanged sentence

Quarters Ended

Six Months Ended

(in millions)

8 unchanged sentences

(1) Intersegment sales were not material.

TE CONNECTIVITY PLC

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

Net sales by geographic region (1) and segment were as follows:

Quarters Ended

Six Months Ended

(in millions)

13 unchanged sentences

The following table presents operating results and other data by reportable segment:

For the Quarter Ended December 26, 2025

For the Quarter Ended March 27, 2026

For the Six Months Ended March 27, 2026

Transportation

(in millions)

5 unchanged sentences

Capital expenditures

For the Quarter Ended December 27, 2024

For the Quarter Ended March 28, 2025

For the Six Months Ended March 28, 2025

Transportation

(in millions)

16 unchanged sentences

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements