On April 1, 2025, the company acquired Richards Manufacturing Co. for approximately $2.3 billion in cash. This acquisition will be reported as part of the Energy business within the Industrial Solutions segment and is expected to contribute to future growth.

The company initiated a restructuring program associated with footprint consolidation and cost structure improvements in both segments. This program is expected to result in annualized cost savings of approximately $70 million by the end of fiscal 2026.

The company reorganized its management and segments to align the organization around its fiscal 2025 strategy. The Communications Solutions segment was moved into the Industrial Solutions segment, and the appliances and industrial equipment businesses were combined to form the automation and connected living business.

The U.S. State Department's Directorate of Defense Trade Controls (DDTC) closed its investigations regarding past trade compliance matters without fine, penalty, or further action. The company released amounts previously reserved for potential fines and penalties.

The Chief Executive Officer and Chief Financial Officer concluded that the company's disclosure controls and procedures were effective as of March 28, 2025.

Management anticipates further legislative activity and administrative guidance throughout fiscal 2025 regarding the global minimum tax, and continues to monitor evolving tax legislation in the jurisdictions within which it operates.

There have been no material changes in the company's risk factors from those disclosed in the Annual Report on Form 10-K for the fiscal year ended September 27, 2024.

The company continues to monitor conditions in the global and regional economies and global capital markets, and cyclical industry conditions, including recession, inflation, tariffs, and higher interest rates.

The OECD and participating countries continue to enact the 15% global minimum tax. The global minimum tax is a significant structural change to the international taxation framework and more than 50 countries have thus far enacted some or all of the elements of the global minimum tax.

The Transportation Solutions segment experienced net sales declines, reflecting market weakness in both transportation and industrial applications. Automotive organic net sales were flat due to offsetting regional trends.

The Industrial Solutions segment saw net sales increases, driven by growth in digital data networks, energy, and aerospace, defense, and marine end markets, demonstrating a competitive advantage through diversification.

Price erosion adversely affected organic net sales by $8 million in the second quarter of fiscal 2025 and $20 million in the first six months of fiscal 2025, indicating a competitive challenge in maintaining pricing power.

The company initiated a restructuring program to simplify its global manufacturing footprint, migrate facilities to lower-cost regions, reduce fixed costs, and eliminate excess capacity, indicating a focus on operational efficiency.

Annualized cost savings related to the fiscal 2025 actions commenced during the first six months of fiscal 2025 are expected to be approximately $70 million and are expected to be fully realized by the end of fiscal 2026.

Capital expenditures are expected to be approximately 5% of net sales in fiscal 2025, indicating a continued investment in manufacturing infrastructure to enhance productivity and manufacturing capabilities.

Organic net sales in the Digital data networks end market increased 78.0% in the second quarter of fiscal 2025 due primarily to growth in artificial intelligence and cloud applications, highlighting the importance of these technologies.

The company believes its capital funding levels are adequate to support new programs, suggesting continued investment in research and development and technological advancements.

The company acknowledges competitive risks associated with the pace of technological change, indicating a need to adapt and innovate to maintain its competitive position.

The board of directors authorized an increase of $2.5 billion in the share repurchase program. The company repurchased approximately four million shares for $615 million during the first six months of fiscal 2025.

The board of directors declared a regular quarterly dividend of $0.71 per ordinary share, payable on June 10, 2025, indicating a commitment to returning capital to shareholders.

The company acquired Richards Manufacturing for approximately $2.3 billion, net of cash acquired, signaling a strategic allocation of capital towards expanding its Energy business.

The company acknowledges risks related to the increasing scrutiny and expectations regarding environmental, social, and governance matters, indicating a need to address these issues.

The company acknowledges risks related to compliance with current and future environmental and other laws and regulations, including those related to climate change.

The company acknowledges requirements related to chemical usage, hazardous material content, recycling, and other circular economy initiatives, indicating a focus on environmental sustainability.

The company acknowledges the impact of conditions in the global or regional economies and global capital markets, and cyclical industry conditions, including recession, inflation, tariffs, and higher interest rates.

The company acknowledges conditions affecting demand for products in the industries it serves, particularly the automotive industry, as a key factor influencing its performance.

The company acknowledges global risks of political, economic, and military instability, including the continuing military conflicts in certain parts of the world, and volatile and uncertain economic conditions and the evolving regulatory system in China.