Qnity Electronics (Q) official guidance

Adjusted operating EBITDA is now expected to be $1.675 billion-$1.725 billion.

For ICS, we expect sequential net sales growth in the mid-single digits range with adjusted EBITDA margins in the high 20s.

In Semiconductor Technologies, we expect sequential net sales growth in the low single digits range with an adjusted EBITDA margin profile in the mid-30s.

Adjusted EPS is now expected to be $4.40-$4.60.

Finally, adjusted free cash flow is now expected to be $600 million-$700 million.

Additionally, PCB growth, which is another metric we watch, it's kind of in the mid to high single digits for the year.

Net sales is now expected to be $5.55 billion-$5.65 billion.

For ICS, we expect sequential net sales growth in the mid-single digits range with adjusted EBITDA margins in the high 20s.

In Semiconductor Technologies, we expect sequential net sales growth in the low single digits range with an adjusted EBITDA margin profile in the mid-30s.

For the third quarter, we expect sequential net sales growth in the low single digits range.

Our latest view, and we continue to watch it closely, is that our MSI is expected to be in the high single digits for 2026.

We continue to anticipate elevated CapEx investments for the full year at approximately 9% of sales, driven by investments to strengthen our local-to-local footprint in key geographies and support our transformation initiatives.

We continue to expect these actions to deliver approximately $100 million of EBITDA run rate benefit by the end of 2028.

For ICS, we expect sequential net sales growth in the high single digits range with margins in the mid to high twenties.

More specifically, in Semiconductor Technologies, we expect sequential net sales to be roughly flat with a margin profile in the mid-thirties.

We assume geopolitical inflation headwinds for some raw materials and logistics costs of approximately $20 million for the remainder of 2026 based on current conditions, but expect to largely offset these through pricing actions with some timing variability.

For ICS, we expect sequential net sales growth in the high single digits range with margins in the mid to high twenties.

More specifically, in Semiconductor Technologies, we expect sequential net sales to be roughly flat with a margin profile in the mid-thirties.

Turning to guidance, building on our strong first quarter results, we expect a normal seasonal increase in the second quarter with sequential net sales growth in the mid-single digits.

Looking ahead at the first quarter, momentum from AI-led demand continues across high-performance computing and advanced connectivity, with notable strength in the ICS segment. Overall, we expect sequential net sales growth high single digits with a similar margin profile to the fourth quarter.