TE Connectivity (TEL) reported record fourth-quarter net sales of $5.3 billion, up 12% on a reported basis and 13% organically from a year earlier, after a 14% reported and 12% organic increase in the third quarter.

The global industrial technology company said growth came from both Industrial Solutions and Transportation Solutions. GAAP diluted earnings per share from continuing operations were $3.10, up 39% year over year. Adjusted EPS was $3.14, up 21%.

Orders were the sharper inflection. They rose to $6.1 billion, up 29% year over year and 6% sequentially from $5.7 billion in the third quarter. GAAP operating margin was 21% and adjusted operating margin was 22%, versus 19% GAAP and 22% adjusted in the prior quarter.

Industrial Solutions net sales were $2.799 billion, up 19.8% reported and 20.0% organically year over year. Transportation Solutions net sales were $2.600 billion, up 7.7% reported and 6.9% organically. Industrial Solutions operating margin was 20.3% GAAP and 22.4% adjusted; Transportation Solutions was 20.0% GAAP and 21.0% adjusted.

Within Industrial, digital data networks sales rose 34.2% reported and 34.4% organically year over year. Energy rose 11.8% reported and 11.7% organically. Automation and connected living rose 17.6% reported. Aerospace, defense, and marine rose 15.2% reported. Medical rose 1.1% reported. Transportation’s automotive business rose 7.0% reported and 5.9% organically; commercial transportation rose 17.9% reported and 17.8% organically; sensors fell 2.0% reported and 1.7% organically.

Cash flow from operating activities was $1.5 billion and free cash flow was $1.2 billion, versus $1.2 billion of operating cash flow and $883 million of free cash flow in the third quarter. The company returned approximately $800 million to shareholders in the quarter.

For the full year ended September 25, 2026, net sales were $19.9 billion, up 15% reported and 12% organically. Orders were $22.2 billion, up 27%. GAAP operating margin was 20% and adjusted operating margin was 22%. GAAP EPS was $11.07, up 80%, and adjusted EPS was $11.52, up 24%. Cash flow from operating activities was $4.5 billion and free cash flow was $3.4 billion. The company returned approximately $2.8 billion to shareholders and committed $1.6 billion for bolt-on acquisitions in Industrial to broaden optics and power filtering portfolios.

Chief Executive Terrence Curtin said Industrial Solutions grew 26% in 2026 and that the company continues to benefit from customers’ AI investments, with opportunities from inside the data-center rack to the networking edge and the energy grid.

For the first quarter of fiscal 2027, TE expects sales of approximately $5.35 billion, up 15% on a reported and organic basis year over year, after guiding the fourth quarter to about $5.25 billion of sales, up 11% year over year. GAAP EPS from continuing operations is expected to be approximately $3.04, up 20% year over year, with adjusted EPS of approximately $3.30, up 21%.

For full fiscal 2027, the company expects organic sales growth similar to fiscal 2026, when full-year net sales were $19.9 billion, up 15% reported and 12% organically. Curtin said the company expects first-quarter sales to be up mid-teens and more than 20% EPS growth year over year, and that strong momentum from 2026 will continue.