KE Kimball Electronics, Inc.

Overview and Growth

Fiscal 2026 results for Kimball Electronics, Inc. combined $1.43B of revenue with net income of $27.96M and an operating cash inflow of $72.27M. At $1.43B, the top line establishes the operating scale supporting the company’s profit and cash-flow profile. Compared with $1.49B in fiscal 2025, revenue decreased 3.7%, a top-line contraction that reduced operating scale. Diluted earnings per share were $1.13, translating the period’s attributable earnings into the amount reported for each diluted share. Against diluted EPS of $0.68 in fiscal 2025, the current result was 66.2% higher. The revenue-to-assets relationship was 1.31x, showing the sales generated relative to the resources carried on the balance sheet.

Profitability

After reported cost of revenue, the company retained $117.47M as gross profit before recognizing operating expenses and other items. Gross margin was 8.2%, so that share of each revenue unit remained after the cost of revenue reported for the period. Operating income was $66.06M, the earnings remaining from reported operations after the company’s recognized operating cost structure. Relative to revenue, operating income represented 4.6%, showing how efficiently sales converted into operating profit. Net income came to $27.96M, completing the progression from revenue through gross and operating profitability to the final reported result. Measured against reported revenue, net income produced a 2.0% margin after operating costs and the remaining recognized items. Before income taxes, the company reported $53.22M of earnings, providing a bridge between the operating result and final net income. Measured against revenue, pretax income equaled 3.7%, adding a pre-tax profitability layer between revenue and net income. Income tax expense totaled $25.26M, providing the reported tax component that separates pretax and after-tax earnings. The income-tax provision equaled 47.5% of pretax income, showing the tax burden absorbed by the year’s earnings.

Liquidity and Capital Structure

The company held $1.09B of assets against $506.94M of liabilities and $585.13M of equity, revealing how the asset base was financed. The near-term balance sheet paired $693.00M of current assets with $332.10M of current liabilities at the reporting date. The current ratio was 2.09x, with current assets exceeding current liabilities and providing a short-term liquidity cushion. The company held $88.92M in cash and equivalents, a narrower liquidity measure than total current assets. Cash and equivalents represented 26.8% of current liabilities, showing the portion of near-term obligations matched by reported cash alone. Total debt was $116.20M, establishing the amount of borrowing carried within the company’s capital structure. Debt equaled 0.2x of book equity, describing the relative scale of borrowing and shareholder capital. The debt-to-assets relationship was 10.6%, comparing borrowing with the total asset balance. The liabilities-to-assets relationship was 46.4%, placing reported obligations against the full positive asset balance. The cash-to-assets relationship was 8.1%, comparing reported cash and equivalents with the full positive asset balance.

Cash Flow and Earnings Quality

The company reported $72.27M of operating cash flow, a cash inflow that shows the cash generated by operations. The operating-cash-flow-to-net-income relationship was 2.58x, comparing cash generated by operations with the bottom-line earnings result. Capital spending was $51.49M, absorbing part of the cash generated from operations before free cash flow. Relative to operating cash flow, capital expenditures measured 71.2%, connecting investment intensity with the company’s cash-generation base. After capital spending, free cash flow was $20.78M, leaving cash available for debt reduction, shareholder returns, or further investment. Relative to revenue, free cash flow equaled 1.5%, showing how much sales converted into cash after investment. Free cash flow equaled 1.9% of total assets, relating post-investment cash generation to the company’s resource base.

Based on the annual report for the fiscal year ending Jun 30, 2026. Analysis generated Sep 24, 2026.