Methode Electronics Reports Q2 Fiscal 2026 Results

Methode Electronics ( (MEI) ) has released its Q2 earnings. Here is a breakdown of the information Methode Electronics presented to its investors.

Methode Electronics, Inc. is a global supplier of custom-engineered solutions for user interface, lighting, and power distribution applications, primarily serving the transportation, cloud computing, construction equipment, and consumer appliance sectors.

In its fiscal 2026 second quarter report, Methode Electronics announced net sales of $246.9 million, marking a 15.6% decrease year-over-year but a 2.6% increase from the previous quarter. The company reported a net loss of $9.9 million, with an adjusted EBITDA margin of 7.1%, and reaffirmed its fiscal 2026 guidance for net sales between $900 million and $1 billion.

The company’s financial performance was impacted by a decline in sales volumes across all segments, notably in the Automotive segment, which saw a 24.1% drop in net sales due to the roll-off of legacy programs and lower sales volumes of sensor and user interface products. The Industrial segment experienced a slight decrease in net sales, while the Interface segment saw a significant decline in sales of touch panels for appliances. Despite these challenges, the Industrial segment reported an increase in income from operations due to higher gross profit and lower expenses.

Methode Electronics remains committed to its transformation journey, focusing on strategic operational enhancements to navigate market challenges, including a significant decline in annual net sales due to evolving demand in the electric vehicle market. The company continues to anticipate positive free cash flow for the year, reflecting its efforts to improve execution and resilience.

Looking ahead, Methode Electronics is focused on maintaining its fiscal 2026 guidance, driven by strategic improvements and operational resilience, while addressing challenges such as changes in EV demand and global economic instability.