Arrow Electronics Posts Record $10.7B Sales; EPS Hits $6.17

Centennial, Colorado-based Arrow Electronics, Inc. reported record third-quarter sales of $10.718 billion on Thursday, up 39% from $7.713 billion a year earlier, and said both GAAP and non-GAAP earnings beat the high end of its prior guidance.

GAAP diluted earnings were $6.17 a share, up 196% from $2.09 a year earlier. Non-GAAP diluted earnings were $6.22, up 158% from $2.41. Net income attributable to shareholders was $318 million, compared with $109 million in the year-ago quarter, according to the company’s Exhibit 99.1 filed with the Securities and Exchange Commission.

• Consolidated sales: $10.718 billion, up 39%
• Global Components sales: $7.943 billion, up 43%
• Global Enterprise Computing Solutions sales: $2.775 billion, up 29%
• Operating income: $430.3 million, vs. $179.0 million
• Cash used in operations: $441.4 million, vs. $281.7 million a year earlier

Components and computing demand

Americas Components sales rose 58% year over year. EMEA Components rose 41%, and Asia-Pacific Components rose 33%. Global ECS gross billings increased 14% year over year. Interim Chief Executive Bill Austen said both segments showed strong momentum and that Components backlog and book-to-bill ratios remained well above parity, the release said.

Arrow repurchased about $93 million of shares in the quarter. The company attributed the cash use mainly to working capital investments supporting customer demand.

Fourth-quarter outlook

For the fourth quarter, Arrow guided for consolidated sales of $11.55 billion to $12.15 billion, with Global Components sales of $8.15 billion to $8.55 billion and Global ECS sales of $3.40 billion to $3.60 billion. It projected GAAP diluted earnings of $6.25 to $6.45 a share and non-GAAP diluted earnings of $7.00 to $7.20.

Related: Nova Posts Record $287.8M Q3 Revenue on Chip Tool Demand.

Sources: Arrow Electronics Exhibit 99.1 (SEC), Arrow Electronics Form 8-K (SEC), StockTitan 8-K mirror