Q3-26
Filed Oct 28, 2026Bel Reports Third Quarter 2026 Results Provides Q4-26 Sales and Gross Margin Guidance
Q3-26 net sales rose 23.2%, gross margin expanded to 40.9%, and adjusted EBITDA increased to $52.5 million from $39.2 million. Both reported segments grew, led by Industrial Technology & Data Solutions, while Q4-26 guidance calls for net sales of $220 million to $240 million and gross margin of 40.0% to 42.0%.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Q3-26 net salesGAAP | $220.5M | – | 23.2% |
| Q3-26 cost of salesGAAP | 130.2M | – | – |
| Q3-26 gross profitGAAP | 90.28M | – | – |
| Q3-26 gross profit marginGAAP | 40.9% | – | 120 basis points |
| Q3-26 research and development costsGAAP | 8.79M | – | – |
| Q3-26 selling, general and administrative expensesGAAP | 39.44M | – | – |
| Q3-26 selling, general and administrative expenses as a % of net salesGAAP | 17.9% | – | – |
| Q3-26 restructuring charges (credits)GAAP | 57K | – | – |
| Q3-26 gain on sale of propertiesGAAP | - | – | – |
| Q3-26 earnout liability adjustmentsGAAP | 2.44M | – | – |
| Q3-26 income from operationsGAAP | 39.55M | – | – |
| Q3-26 operating marginGAAP | 17.9% | – | – |
| Q3-26 interest expenseGAAP | −71K | – | – |
| Q3-26 interest incomeGAAP | 2.74M | – | – |
| Q3-26 other income, netGAAP | 4.42M | – | – |
| Q3-26 earnings before income taxesGAAP | 46.64M | – | – |
| Q3-26 provision for income taxesGAAP | 8.25M | – | – |
| Q3-26 effective tax rateGAAP | 17.7% | – | – |
| Q3-26 net earningsGAAP | 38.39M | – | – |
| Q3-26 net earnings marginGAAP | 17.4% | – | – |
| Q3-26 net earnings attributable to Bel Fuse shareholdersGAAP | $26.29M | – | – |
| Q3-26 Class A common shares diluted EPSGAAP | $ 1.74 | – | – |
| Q3-26 Class B common shares diluted EPSGAAP | $ 1.83 | – | – |
| Q3-26 Class A common shares basic EPSGAAP | $ 1.74 | – | – |
| Q3-26 Class B common shares basic EPSGAAP | $ 1.84 | – | – |
| Q3-26 non-GAAP operating incomenon-GAAP | 45.24M | – | – |
| Q3-26 adjusted EBITDAnon-GAAP | $52.51M | – | – |
| Q3-26 adjusted EBITDA as a % of net salesnon-GAAP | 23.8% | – | – |
| Q3-26 non-GAAP net earnings attributable to Bel Fuse shareholdersnon-GAAP | $43.99M | – | – |
| Q3-26 non-GAAP basic Class A EPSnon-GAAP | $ 2.92 | – | – |
| Q3-26 non-GAAP basic Class B EPSnon-GAAP | $ 3.07 | – | – |
| Nine months ended September 30, 2026 net salesGAAP | $609.7M | – | 22.1% |
| Nine months ended September 30, 2026 gross profitGAAP | 243.8M | – | – |
| Nine months ended September 30, 2026 gross profit marginGAAP | 40.0% | – | 100 basis points |
| Nine months ended September 30, 2026 income from operationsGAAP | 101.6M | – | – |
| Nine months ended September 30, 2026 operating marginGAAP | 16.7% | – | – |
| Nine months ended September 30, 2026 net earningsGAAP | 87.35M | – | – |
| Nine months ended September 30, 2026 net earnings attributable to Bel Fuse shareholdersGAAP | $63.15M | – | – |
| Nine months ended September 30, 2026 Class A common shares diluted EPSGAAP | $ 4.45 | – | – |
| Nine months ended September 30, 2026 Class B common shares diluted EPSGAAP | $ 4.69 | – | – |
| Nine months ended September 30, 2026 non-GAAP operating incomenon-GAAP | 115.0M | – | – |
| Nine months ended September 30, 2026 adjusted EBITDAnon-GAAP | $135.9M | – | – |
| Nine months ended September 30, 2026 adjusted EBITDA as a % of net salesnon-GAAP | 22.3% | – | – |
| Nine months ended September 30, 2026 non-GAAP net earnings attributable to Bel Fuse shareholdersnon-GAAP | $105.9M | – | – |
| Nine months ended September 30, 2026 non-GAAP basic Class A EPSnon-GAAP | $ 7.48 | – | – |
| Nine months ended September 30, 2026 non-GAAP basic Class B EPSnon-GAAP | $ 7.86 | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Q3-26 Aerospace, Defense & Rugged SolutionsNot separately disclosed. | $106.6M | – | 10.7% |
| Q3-26 Industrial Technology & Data SolutionsManagement cited the Data Solutions sector, Industrials end market, and distribution partners as performance leaders. | $113.9M | – | 37.8% |
| Nine months ended September 2026 Aerospace, Defense & Rugged SolutionsNot separately disclosed. | $316.9M | – | 16.8% |
| Nine months ended September 2026 Industrial Technology & Data SolutionsNot separately disclosed. | $292.8M | – | 28.3% |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
Q4-26 outlook
- Revenue$220 million to $240 million
- Gross margin40.0% to 42.0%
Capital returns
- Nine months ended September 30, 2026 dividends paid to common shareholders: (2,651) (in thousands).
- Nine months ended September 30, 2026 dividends paid to noncontrolling interest: (3,324) (in thousands).
What drove it
- Q3-26 performance was led by the Data Solutions sector, Industrials end market, and distribution partners, according to management.
- Industrial Technology & Data Solutions sales increased 37.8% and its gross margin was 42.7%, compared with 38.0% in Q3-25.
- Aerospace, Defense & Rugged Solutions sales increased 10.7% in Q3-26.
- Total Q3-26 gross margin was 40.9%, compared with 39.7% in Q3-25.
Concerns
- Q3-26 earnout liability adjustments were 2,439 (in thousands), compared with 1,857 (in thousands) in Q3-25.
- Q3-26 net earnings attributable to Bel Fuse shareholders included an 11,823 (in thousands) redemption value adjustment attributable to noncontrolling interest.
- Nine-month net earnings attributable to Bel Fuse shareholders were $ 63,149 (in thousands), compared with $ 66,985 (in thousands) in the prior-year period, despite nine-month net sales of $ 609,686 (in thousands) versus $ 499,517 (in thousands).
- Aerospace, Defense & Rugged Solutions Q3-26 gross margin was 39.6%, compared with 41.1% in Q3-25.
What to watch
- Q4-26 execution against net sales guidance of $220 million to $240 million and gross margin guidance of 40.0% to 42.0%.
- Whether Industrial Technology & Data Solutions maintains its reported Q3-26 sales growth of 37.8% and gross margin of 42.7%.
- The impact of earnout liability adjustments, noncontrolling-interest redemption value adjustments, stock-based compensation, amortization of intangibles, and foreign currency exchange gains or losses on GAAP and non-GAAP earnings.
- Working-capital movements, including the nine-month increase in inventories of (56,495) (in thousands) and increase in accounts receivable of (32,603) (in thousands).
Balance sheet and cash flow
- Cash and cash equivalents at September 30, 2026: $ 333,122 (in thousands); December 31, 2025: $ 57,800 (in thousands).
- Long-term debt at September 30, 2026: -; December 31, 2025: 197,500 (in thousands).
- Nine months ended September 30, 2026 net cash provided by operating activities: 65,956 (in thousands); prior year: 51,044 (in thousands).
- Nine months ended September 30, 2026 purchases of property, plant and equipment: (11,036) (in thousands); prior year: (8,578) (in thousands).
- Nine months ended September 30, 2026 acquisition of business, net of cash acquired: (16,224) (in thousands); prior year: -.
- Nine months ended September 30, 2026 net cash used in investing activities: (26,068) (in thousands); prior year: (850) (in thousands).
- Nine months ended September 30, 2026 repayments under revolving line of credit: (217,500) (in thousands); borrowings under revolving line of credit: 20,000 (in thousands).
- Nine months ended September 30, 2026 proceeds from issuance of common stock, net: 441,643 (in thousands).
- Nine months ended September 30, 2026 net cash provided by financing activities: 234,637 (in thousands); prior year net cash used in financing activities: (65,675) (in thousands).
- Nine months ended September 30, 2026 net increase in cash and cash equivalents: 275,322 (in thousands); prior year net decrease: (10,510) (in thousands).
Analysis
Bel reported Q3-26 net sales of $ 220,510 (in thousands), compared with $ 178,980 (in thousands) in Q3-25, with the release stating growth of 23.2%. The growth profile was broad across the two reported sectors, although Industrial Technology & Data Solutions was the principal contributor, with sales of $ 113,914 (in thousands) and growth of 37.8%. Aerospace, Defense & Rugged Solutions generated sales of $ 106,596 (in thousands), up 10.7%. Management attributed the quarter's performance to Data Solutions, Industrials, and distribution partners.
Gross profit was 90,281 (in thousands), and gross margin reached 40.9%, compared with 39.7% in Q3-25. Industrial Technology & Data Solutions reported gross margin of 42.7%, compared with 38.0%, while Aerospace, Defense & Rugged Solutions reported gross margin of 39.6%, compared with 41.1%. GAAP income from operations was 39,553 (in thousands), compared with 30,337 (in thousands), and non-GAAP operating income was 45,239 (in thousands), compared with 32,548 (in thousands). Adjusted EBITDA was $ 52,510 (in thousands), or 23.8% of net sales, compared with $ 39,200 (in thousands), or 21.9% of net sales.
GAAP net earnings were 38,389 (in thousands), compared with 22,555 (in thousands), while net earnings attributable to Bel Fuse shareholders were $ 26,290 (in thousands), compared with $ 22,250 (in thousands). The shareholder-attributable result includes an 11,823 (in thousands) redemption value adjustment attributable to noncontrolling interest. Non-GAAP net earnings attributable to Bel Fuse shareholders were $ 43,992 (in thousands), compared with $ 26,293 (in thousands). The company identified restructuring charges, earnout liability adjustments, stock-based compensation, acquisition related costs, amortization of intangibles, unrealized foreign currency exchange gains, and the gain on sale of a Hong Kong property among the Q3-26 reconciliation items.
For the nine months ended September 30, 2026, net cash provided by operating activities was 65,956 (in thousands), compared with 51,044 (in thousands), while purchases of property, plant and equipment were (11,036) (in thousands). Cash and cash equivalents were $ 333,122 (in thousands) at September 30, 2026, and long-term debt was reported as -. Financing activity included proceeds from issuance of common stock, net, of 441,643 (in thousands), repayments under the revolving line of credit of (217,500) (in thousands), and borrowings of 20,000 (in thousands). The company paid dividends to common shareholders of (2,651) (in thousands) during the nine-month period.
For Q4-26, Bel guided net sales to $220 million to $240 million and gross margin to 40.0% to 42.0%. The release did not provide guidance for operating expenses, tax rate, EPS, operating income, adjusted EBITDA, cash flow, capital expenditures, dividends, or share repurchases. The principal reported operational watchpoints are the guided sales and margin range, the relative margin performance of the two segments, and the earnings effects of non-GAAP reconciliation items and redeemable noncontrolling-interest adjustments.
Management, verbatim
We are pleased with our strong third quarter results, with performance led by our Data Solutions sector, Industrials end market, and across our distribution partners. The quarter reflects momentum across key end markets, supported by focused execution across our global organization.
Farouq Tuweiq, President and CEO of Bel
Looking ahead, we expect a strong fourth quarter, guiding net sales of $220 million to $240 million and gross margin of 40.0% to 42.0%. We are excited about how the year is shaping up and remain focused on serving our customers, executing our growth strategy, and creating long-term value for our shareholders.
Farouq Tuweiq, President and CEO of Bel
Not in the filing
stated, not guessed- Prior-quarter comparisons for Q3-26 metrics.
- Q3-26 operating cash flow.
- Q3-26 free cash flow.
- Free cash flow for the nine months ended September 30, 2026.
- Share repurchases for Q3-26 and the nine months ended September 30, 2026.
- Q4-26 guidance for operating expenses, tax rate, EPS, operating income, adjusted EBITDA, cash flow, capital expenditures, dividends, and share repurchases.
- Previous-period outlook or prior guidance, so no comparison with prior guidance is available.
- Q3-26 non-GAAP diluted EPS.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was checked against the filing text, and a metric whose value, prior period and change do not add up is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.