Industrial / Physical Agent Pulse

• Organic sales growth (total company): 10% YoY (+10% YoY)
• Intelligent Devices organic sales growth: 10% YoY (+10% YoY)
• Software & Control organic sales growth: 18% YoY (+18% YoY)
• E-commerce & Warehouse Automation sales growth: 30% YoY (+30% YoY)
• Discrete sales growth: high teens YoY
• Semiconductor sales growth: strong double-digit YoY

“Q3 sales came in above our expectations. Reported sales were up 8% and organic sales were up 10%...E-commerce & Warehouse Automation sales were up 30% year-over-year...Semiconductor delivered another strong quarter...Data center remained a ”

• Underlying orders growth: 7% Q3 2026 (+7% YoY)
• Project funnel: $12.4 billion (+8% YoY)
• Backlog: $8.2 billion (+7% YoY)
• Software & Systems orders growth: 10%
• Ovation orders growth: 31%
• Test & Measurement orders growth: 19%

“Underlying orders grew 7% in the third quarter, with broad-based growth across all business groups, led by Software & Systems, which was up 10%... Our project funnel grew $1.2 billion to $12.4 billion, up 8% year-over-year.”

• DI orders: EUR 4.8 billion (+12% YoY)
• DI book-to-bill: 1.03
• DI automation revenue: EUR 3 billion (+6% YoY)
• DI backlog: EUR 10.2 billion
• DI revenue growth (FY2026 guidance midpoint): 7%-10%
• DI profitability: 18.5%

“DI's automation revenue was up by 6% to EUR 3 billion, led by the short-cycle factory automation business... April shows another strong growth, even above our forecast — automation globally. China industrial market is recovering.”

• Industrial Automation revenue growth (organic): +4% organic Q1 2026 (+4% YoY)
• Systems business revenue growth (organic): +16% organic Q1 2026 (+16% YoY)
• Discrete Automation growth: broad-based recovery, positive momentum
• Software ARR growth: +12% Q1 2026 (+12% YoY)

“Industrial Automation delivered growth above 4%...broad-based recovery in Discrete Automation. ARR in software was up 12%.”

• Data center revenue share: low single-digit % of total revenue (+30% YoY)
• Total revenue Q2 2026: record quarterly revenue (~$292M implied) (+17% YoY)
• Semiconductor revenue growth: strong double-digit
• Electronics revenue growth: double-digit

“For this application, Cognex vision systems will be mounted on robots to inspect fully assembled server racks and confirm that all major components are installed correctly and meet strict quality requirements.”

• Robotics revenue Q2 2026: $100 million (+33% YoY)
• Robotics revenue QoQ: $100 million (+9% YoY)
• Electronics manufacturing & semiconductor segment within Robotics: largest end market segment (+50% from Q1 YoY)
• U.S. share of robotics sales: 32%

“Robotics revenue was $100 million, up 33% year-over-year and 9% quarter-over-quarter. Electronics manufacturing and semiconductor revenue increased by 50% from Q1 and is now the largest end market segment in this group, which includes AI da”

• Physical AI projects converting to orders: several thousand units (Q3 pipeline now converting)
• Orders vs. initial expectations (Physical AI): exceeded initial expectations
• ROBOMACHINE Q4 orders: 43.8 billion yen
• Share buyback program: up to 50 billion yen

“The 'projects involving several thousand units' mentioned in Q3 have steadily been converting into orders...orders have exceeded our initial expectations, and we believe a portion is due to the favorable assessment of Physical AI.”

• MOTOMAN NEXT units under deployment: more than 200 units
• Semiconductor-related orders QoQ growth (4Q): approximately 1.5 times QoQ
• Semiconductor-related orders QoQ growth (3Q): 40% QoQ
• Robot shipments for semiconductor applications: expected to reach all-time high in FY2026
• MOTOMAN NEXT revenue milestone: over 1 billion yen range
• AC servo semiconductor end-market exposure: approximately 25%

“Shipments of robots for semiconductor applications are expected to reach an all-time high this fiscal year and remain extremely strong... More than 200 units of MOTOMAN NEXT are reportedly under deployment.”