Q2 Earnings Show Revenue Growth, But Cash Flow Declines & Top Execs File New Selling Plans
KN sits 86% above its 52-week low of $19.29.
Summary
Knowles Corp reported strong Q2 2026 revenue and earnings, but cash flow from operations and adjusted free cash flow declined significantly. The CEO and CFO also filed new 10b5-1 plans to sell shares.
Key Events · Earnings and Guidance · KN
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Strong Q2 2026 Financial Performance
Revenues for Q2 2026 increased by 14.3% to $166.8 million (vs. $145.9 million in Q2 2025). GAAP net earnings rose to $19.4 million (vs. $7.8 million), and non-GAAP diluted EPS improved to $0.33 (vs. $0.24). These results were previously announced in an 8-K on July 23, 2026.
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Significant Decline in Cash Flow
Cash provided by operating activities for the six months ended June 30, 2026, decreased to $27.5 million from $37.7 million in the prior year period. Adjusted free cash flow saw a substantial drop to $19.8 million from $57.9 million, primarily due to increased working capital and higher capital expenditures.
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CEO and CFO File New 10b5-1 Selling Plans
CEO Jeffrey Niew adopted a plan to sell 200,000 shares (approximately $7.18 million at current prices) and CFO John Anderson adopted a plan to sell 40,000 shares (approximately $1.44 million) on May 13, 2026. These plans add to a recent trend of insider distribution.
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Continued Share Repurchase Program
The company repurchased $22.5 million of common stock during the first six months of 2026, with $106.5 million remaining under the current authorization. This represents a continued commitment to returning capital to shareholders.
Analysis · KN · Manufacturing
This 10-Q provides full financial details for Q2 2026, following the preliminary results announced in an 8-K on July 23, 2026. While the company reported strong revenue and earnings growth, a significant decline in cash flow from operations and adjusted free cash flow is a key concern. Additionally, new 10b5-1 selling plans from the CEO and CFO indicate further insider distribution, which could weigh on investor sentiment.
How filings like this one have moved
In the 30 days to Sep 30, 2026, 29.6% of the 1615 measured filings Wiseek scored 7 moved their stock by 5% or more by the next session's close. The median move was -0.57%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, KN was trading at $35.91 on NYSE in the Manufacturing sector, with a market capitalization of approximately $3.1B. The 52-week trading range was $19.29 to $42.93. This filing was assessed with neutral market sentiment and an importance score of 7 out of 10.