How does Qnity Electronics (Q) make money?

Qnity Electronics (Q) generates revenue primarily from Semiconductor Technologies, which accounted for 54.9% of total revenue in TTM through Q1 2026. The company reported $4.95B in revenue and converted 13.1% of it into net profit, equivalent to roughly $650M in net income — what's left after the cost of revenue, operating expenses, interest, and income taxes.

What is the gross profit margin of Qnity Electronics (Q)?

Qnity Electronics (Q) reported a gross profit margin of 42% in TTM through Q1 2026, equivalent to $2.08B in gross profit on $4.95B in revenue. Gross margin measures how much of each dollar of revenue remains after the direct cost of producing or delivering the product — a higher figure typically signals pricing power, scale, or a less capital-intensive business model.

What is the operating profit margin of Qnity Electronics (Q)?

Qnity Electronics (Q) reported an operating profit margin of 21.4% in TTM through Q1 2026, equivalent to $1.06B in operating income. Operating margin captures profitability after research & development, sales & marketing, and general & administrative expenses — but before interest, taxes, and one-off items — and is the cleanest single read on the underlying business's efficiency.

What is the net profit margin of Qnity Electronics (Q)?

Qnity Electronics (Q) reported a net profit margin of 13.1% in TTM through Q1 2026, equivalent to $650M in net income. Net margin is the bottom-line share of revenue that survives every expense — operating costs, interest, and income taxes — and is the figure that flows directly into earnings per share.

Is Qnity Electronics (Q) profitable?

Yes. Qnity Electronics (Q) reported $650M in net income for TTM through Q1 2026, with a net profit margin of 13.1%. The company earned more from its operations than it paid out in costs, interest, and income taxes, leaving positive earnings on the bottom line.

How much does Qnity Electronics (Q) invest in research and development?

Qnity Electronics (Q) invested $364M in research and development during TTM through Q1 2026, roughly 7.4% of total revenue. R&D spending funds the company's future product pipeline and is expensed in full on the income statement rather than capitalised, which makes the operating margin sensitive to how aggressively management chooses to reinvest in innovation.

How much does Qnity Electronics (Q) spend on capital expenditures?

Qnity Electronics (Q) spent $303M on capital expenditures (CapEx) during TTM through Q1 2026, roughly 6.1% of total revenue. CapEx represents long-lived investment in property, equipment, data centres, and other physical infrastructure, and is subtracted from operating cash flow to arrive at free cash flow.

How much free cash flow does Qnity Electronics (Q) generate?

Qnity Electronics (Q) generated $898M in free cash flow during TTM through Q1 2026, a free-cash-flow margin of 18.1%. Free cash flow is the cash left after capital expenditures and represents the discretionary pool the company can use to pay dividends, repurchase shares, repay debt, or fund acquisitions without raising external capital.

What is the effective tax rate of Qnity Electronics (Q)?

Qnity Electronics (Q) had an effective tax rate of 25.9% in TTM through Q1 2026. The effective rate is the actual share of pre-tax income paid as income taxes and can differ materially from the statutory rate due to foreign earnings mix, tax credits (such as R&D), share-based compensation deductions, and one-off discrete items.

What are the main business segments of Qnity Electronics (Q)?

Qnity Electronics (Q) reports revenue across 2 reportable product segments, led by Semiconductor Technologies at 54.9% of total revenue in TTM through Q1 2026. See the revenue-by-segment table on this page for the full breakdown and how each segment feeds into the income-statement waterfall above.

How Qnity Electronics Makes Money: 2026 Visual Revenue Map

Qnity Electronics (Q) Income Statement Flow — TTM through Q1 2026

Calculated from the four most recent reported quarters, ending March 31, 2026 (reported May 12, 2026).

Qnity Electronics discloses geographic revenue only in annual filings. to view the full breakdown.

Qnity Electronics (Q) Revenue by Product Segment — TTM through Q1 2026

Aggregated from the four quarterly disclosures behind this TTM. Minor differences vs the company's annual filing can occur if reported segments changed mid-year.

Revenue contribution by product segment for Qnity Electronics (Q), TTM through Q1 2026.
Segment	Revenue (USD)	% of total
Semiconductor Technologies	$2.72B	54.9%
Interconnect Solutions	$2.23B	45.1%
Total	$4.95B	100%

Semiconductor Technologies$2.72B
Interconnect Solutions$2.23B
Total$4.95B

Revenue Breakdown — TTM through Q1 2026

In TTM through Q1 2026, Qnity Electronics (Q) reports revenue across 2 reportable product segments; the largest segment was Semiconductor Technologies at 54.9%, followed by Interconnect Solutions (45.1%).

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