Keysight Technologies, Inc. is a global technology company that provides design, emulation, and test solutions for customers in communications, industrial automation, aerospace and defense, automotive, semiconductor, and general electronics. The company recently reported its second quarter results for fiscal year 2025, showing an upward trend in performance.

In the second quarter, Keysight reported revenue of $1.306 billion, which is an increase of 7% from $1.216 billion in the same quarter of the previous year. The company achieved earnings per share (EPS) of $1.70, compared to $1.41 in the prior year, representing an adjusted EPS rise of approximately 20%. The orders booked during the quarter amounted to $1.316 billion, reflecting an 8% increase both year-over-year and on a core basis.

Profit figures also presented improvements for the company. Keysight’s net income reached $295 million in the second quarter, versus $247 million in the same period in 2024. Adjusting for certain items, non-GAAP net income was $295 million, compared to $247 million a year prior. This indicates the company’s ability to improve profitability alongside top-line growth. Gross margin for the quarter stood at 65%, while operating margin was noted at 25%, an increase of 100 basis points from the previous year.

The Communications Solutions Group (CSG), a primary revenue source for Keysight, reported revenue of $913 million, up 9% compared to the second quarter of 2024. In particular, commercial communications revenue saw a 9% increase, driven by robust demand in wireline and aerospace, defense, and government sectors. Meanwhile, the Electronic Industrial Solutions Group (EISG) recorded revenue of $393 million, an increase of 5%, supported by demand in semiconductor and general electronics, although partially offset by declines in automotive.

Keysight’s operating expenses increased slightly to $516 million, representing a 4% rise year-over-year. Despite this increase, the company maintained a strong free cash flow of $457 million compared to $74 million in the same quarter last year. The cash and cash equivalents as of April 30, 2025, totaled $3.118 billion.

Looking forward, Keysight has adjusted its revenue guidance for fiscal 2025, now expecting revenue growth at the midpoint of the long-term target of 5% to 7%. For the next quarter, Keysight anticipates revenue to be in the range of $1.305 billion to $1.325 billion and EPS between $1.63 to $1.69 based on a weighted share count of approximately 173 million shares.

In summary, Keysight Technologies reported solid performance in the second quarter with notable increases in revenue, adjusted earnings, and orders booked, while continuing to show strong operational performance and financial health. The positive guidance adjustment for the full year reflects ongoing confidence in the business outlook amidst a changing macroeconomic environment.