Arrow Electronics Reports Fourth-Quarter and Full-Year 2024 Results
Arrow Electronics (NYSE:ARW) reported fourth-quarter and full-year 2024 results, with Q4 sales and earnings exceeding guidance. Q4 sales decreased 7% year-over-year to $7.28 billion, while full-year 2024 sales declined 16% to $27.92 billion. Q4 earnings per share reached $1.86 (GAAP) and $2.97 (non-GAAP).
The Global Components segment saw Q4 sales decrease 15% to $4.81 billion, while Global Enterprise Computing Solutions (ECS) segment sales increased 12% to $2.47 billion. The company generated over $1.1 billion in cash flow from operations and reduced inventory by $1.1 billion. Arrow returned $250 million to shareholders through stock repurchases.
For Q1 2025, Arrow forecasts consolidated sales between $5.98-6.58 billion and expects diluted EPS of $0.98-1.18 (GAAP) and $1.30-1.50 (non-GAAP).
Arrow Electronics (NYSE:ARW) ha riportato i risultati del quarto trimestre e dell'intero anno 2024, con vendite e profitti del Q4 che hanno superato le aspettative. Le vendite del Q4 sono diminuite del 7% rispetto all'anno precedente, raggiungendo i 7,28 miliardi di dollari, mentre le vendite dell'intero anno 2024 sono diminuite del 16%, attestandosi a 27,92 miliardi di dollari. Gli utili per azione del Q4 sono stati di $1,86 (GAAP) e $2,97 (non-GAAP).
Il segmento Global Components ha registrato una diminuzione delle vendite del 15% nel Q4, totalizzando 4,81 miliardi di dollari, mentre il segmento Global Enterprise Computing Solutions (ECS) ha visto un aumento delle vendite del 12%, raggiungendo 2,47 miliardi di dollari. L'azienda ha generato oltre 1,1 miliardi di dollari di flusso di cassa dalle operazioni e ha ridotto l'inventario di 1,1 miliardi di dollari. Arrow ha restituito 250 milioni di dollari agli azionisti attraverso riacquisti di azioni.
Per il Q1 2025, Arrow prevede vendite consolidate tra 5,98 e 6,58 miliardi di dollari e si aspetta un utile per azione diluito di 0,98-1,18 dollari (GAAP) e 1,30-1,50 dollari (non-GAAP).
Arrow Electronics (NYSE:ARW) informó sobre los resultados del cuarto trimestre y del año completo 2024, con ventas y ganancias del Q4 que superaron las previsiones. Las ventas del Q4 disminuyeron un 7% interanual a 7.28 mil millones de dólares, mientras que las ventas del año completo 2024 cayeron un 16% a 27.92 mil millones de dólares. Las ganancias por acción del Q4 alcanzaron $1.86 (GAAP) y $2.97 (no GAAP).
El segmento Global Components vio una disminución de las ventas del 15% en el Q4 a 4.81 mil millones de dólares, mientras que las ventas del segmento Global Enterprise Computing Solutions (ECS) aumentaron un 12% a 2.47 mil millones de dólares. La compañía generó más de 1.1 mil millones de dólares en flujo de efectivo de las operaciones y redujo el inventario en 1.1 mil millones de dólares. Arrow devolvió 250 millones de dólares a los accionistas a través de recompras de acciones.
Para el Q1 2025, Arrow prevé ventas consolidadas entre 5.98 y 6.58 mil millones de dólares y espera un BPA diluido de 0.98-1.18 dólares (GAAP) y 1.30-1.50 dólares (no GAAP).
Arrow Electronics (NYSE:ARW)는 2024년 4분기 및 전체 연도 실적을 보고했으며, Q4 매출과 수익이 가이드를 초과했습니다. Q4 매출은 전년 대비 7% 감소한 72.8억 달러였고, 2024년 전체 매출은 16% 감소하여 279.2억 달러를 기록했습니다. Q4 주당 수익은 $1.86 (GAAP) 및 $2.97 (비 GAAP)에 달했습니다.
Global Components 부문은 Q4 매출이 15% 감소하여 48.1억 달러를 기록한 반면, Global Enterprise Computing Solutions (ECS) 부문 매출은 12% 증가하여 24.7억 달러에 이르렀습니다. 회사는 운영에서 11억 달러 이상의 현금 흐름을 창출했으며 재고를 11억 달러 줄였습니다. Arrow는 자사주 매입을 통해 주주에게 2억 5천만 달러를 반환했습니다.
2025년 1분기에 대해 Arrow는 매출 통합을 59.8억에서 65.8억 달러 사이로 예상하고 있으며, 희석 주당 이익이 0.98-1.18달러 (GAAP) 및 1.30-1.50달러 (비 GAAP)가 될 것으로 기대하고 있습니다.
Arrow Electronics (NYSE:ARW) a publié ses résultats pour le quatrième trimestre et pour l'année entière 2024, avec des ventes et des bénéfices du Q4 dépassant les prévisions. Les ventes du Q4 ont diminué de 7 % par rapport à l'année précédente, atteignant 7,28 milliards de dollars, tandis que les ventes de l'année 2024 ont chuté de 16 % pour s'établir à 27,92 milliards de dollars. Le bénéfice par action du Q4 s'est élevé à 1,86 $ (GAAP) et 2,97 $ (non-GAAP).
Le segment Global Components a enregistré une baisse des ventes de 15 % au Q4, pour un total de 4,81 milliards de dollars, tandis que les ventes du segment Global Enterprise Computing Solutions (ECS) ont augmenté de 12 %, atteignant 2,47 milliards de dollars. L'entreprise a généré plus de 1,1 milliard de dollars de flux de trésorerie d'exploitation et a réduit ses stocks de 1,1 milliard de dollars. Arrow a restitué 250 millions de dollars aux actionnaires par le biais de rachats d'actions.
Pour le Q1 2025, Arrow prévoit des ventes consolidées entre 5,98 et 6,58 milliards de dollars et s'attend à un BPA dilué de 0,98-1,18 $ (GAAP) et 1,30-1,50 $ (non-GAAP).
Arrow Electronics (NYSE:ARW) hat die Ergebnisse für das vierte Quartal und das gesamte Jahr 2024 bekannt gegeben, wobei die Umsätze und Gewinne im Q4 die Prognosen übertrafen. Die Umsätze im Q4 sanken um 7 % im Vergleich zum Vorjahr auf 7,28 Milliarden US-Dollar, während die Umsätze für das gesamte Jahr 2024 um 16 % auf 27,92 Milliarden US-Dollar zurückgingen. Der Gewinn pro Aktie im Q4 betrug 1,86 USD (GAAP) und 2,97 USD (non-GAAP).
Der Global Components Bereich verzeichnete im Q4 einen Umsatzrückgang von 15 % auf 4,81 Milliarden US-Dollar, während die Umsätze im Segment Global Enterprise Computing Solutions (ECS) um 12 % auf 2,47 Milliarden US-Dollar stiegen. Das Unternehmen erwirtschaftete über 1,1 Milliarden US-Dollar an Cashflow aus dem operativen Geschäft und reduzierte den Lagerbestand um 1,1 Milliarden US-Dollar. Arrow gab 250 Millionen US-Dollar durch Aktienrückkäufe an die Aktionäre zurück.
Für das Q1 2025 prognostiziert Arrow konsolidierte Umsätze zwischen 5,98 und 6,58 Milliarden US-Dollar und erwartet einen verwässerten Gewinn pro Aktie von 0,98-1,18 USD (GAAP) und 1,30-1,50 USD (non-GAAP).
- Q4 sales and earnings exceeded guidance expectations
- ECS segment showed 12% year-over-year growth in Q4
- Generated $1.1 billion in operating cash flow
- Reduced inventory by $1.1 billion from peak levels
- Returned $250 million to shareholders via stock repurchases
- Overall Q4 sales decreased 7% year-over-year
- Full-year 2024 sales declined 16% year-over-year
- Global Components sales decreased 15% in Q4
- Net income declined from $195M to $99M in Q4 year-over-year
- Negative currency impact of $27M on Q4 sales
Insights
Arrow Electronics delivered a resilient Q4 2024 performance that exceeded expectations, despite challenging market conditions. The standout achievements include:
- Strong execution in Enterprise Computing Solutions with
12% YoY growth, driven by strategic positioning in high-growth areas like hybrid cloud and AI solutions - Remarkable working capital management, reducing inventory by
$1.1 billion while maintaining robust operations - Healthy shareholder returns with
$250 million in stock repurchases during 2024
The divergent performance between segments is particularly noteworthy. While Global Components faced headwinds with a
The Q1 2025 guidance suggests continued pressure on the components business but indicates stabilization, with projected sales of
The company's strong cash flow generation of over
-- Fourth-Quarter Sales Above High End of Guidance --
-- Fourth-Quarter Earnings Per Share of
“In the fourth quarter, the company executed well relative to our original expectations, generating total sales and earnings per share that were beyond the high end of our guidance ranges,” said Sean Kerins, Arrow’s president and chief executive officer.
“Reflecting on the past year, I believe that we were successful in taking several steps to strengthen our position in both segments,” said Mr. Kerins. “In global components, we expanded our linecard and customer base, realigned the business for global consistency, and remained committed to our value-added service offerings that differentiate us. And in enterprise computing solutions, we’ve unified our go-to-market strategy in both regions, and we’re poised to benefit from the growing demand trends in hybrid cloud and AI-related solutions.”
Arrow Consolidated |
||||||||||||
|
|
Quarter Ended |
|
Year Ended |
||||||||
|
|
|
December 31, |
|
|
December 31, |
|
|
December 31, |
|
|
December 31, |
(in millions except per share data) |
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
Consolidated sales |
|
$ |
7,283 |
|
$ |
7,849 |
|
$ |
27,923 |
|
$ |
33,107 |
Net income attributable to shareholders |
|
|
99 |
|
|
195 |
|
|
392 |
|
|
904 |
Net income per diluted share |
|
|
1.86 |
|
|
3.54 |
|
|
7.29 |
|
|
15.84 |
Non-GAAP net income attributable to shareholders (1) |
|
|
158 |
|
|
219 |
|
|
568 |
|
|
977 |
Non-GAAP net income per diluted share |
|
|
2.97 |
|
|
3.98 |
|
|
10.56 |
|
|
17.12 |
In the fourth quarter of 2024, sales decreased 7 percent year over year. Changes in foreign currencies had negative impacts on growth of approximately
Full-year 2024 sales decreased 16 percent year over year. Changes in foreign currencies had negative impacts on growth of approximately
Global Components
“In our global components business, we continue to see incremental improvement in key leading indicators and, despite softer trends in the industrial and transportation markets, all three regions finished the quarter in line with or better than typical seasonal patterns,” said Mr. Kerins.
|
|
|
|
|
|
|
|
|
|
|
|
|
Global Components |
||||||||||||
|
|
Quarter Ended |
|
Year Ended |
||||||||
|
|
|
December 31, |
|
|
December 31, |
|
|
December 31, |
|
|
December 31, |
(in millions) |
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
Global components sales |
|
$ |
4,814 |
|
$ |
5,636 |
|
$ |
19,983 |
|
$ |
25,420 |
Global components operating income, as reported |
|
|
117 |
|
|
281 |
|
|
741 |
|
|
1,459 |
Global components non-GAAP operating income |
|
|
173 |
|
|
288 |
|
|
827 |
|
|
1,486 |
In the fourth quarter of 2024, global component sales decreased 15 percent year over year and decreased 14 percent year over year on a constant currency basis.
Global Enterprise Computing Solutions
“In enterprise computing solutions, we delivered year-over-year billings, gross profit, and operating income growth,” said Mr. Kerins. “This strong performance reflects our alignment to the higher growth demand trends across enterprise IT along with our improving execution in North America.”
|
|
|
|
|
|
|
|
|
|
|
|
|
Global Enterprise Computing Solutions |
||||||||||||
|
|
Quarter Ended |
|
Year Ended |
||||||||
|
|
|
December 31, |
|
|
December 31, |
|
|
December 31, |
|
|
December 31, |
(in millions) |
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
Global ECS sales |
|
$ |
2,469 |
|
$ |
2,213 |
|
$ |
7,940 |
|
$ |
7,687 |
Global ECS operating income, as reported |
|
|
160 |
|
|
145 |
|
|
410 |
|
|
367 |
Global ECS non-GAAP operating income |
|
|
161 |
|
|
146 |
|
|
414 |
|
|
372 |
In the fourth quarter of 2024, global enterprise computing solutions (“ECS”) sales increased 12 percent year over year. EMEA ECS fourth-quarter sales increased 22 percent year over year and increased 24 percent year over year on a constant currency basis. Americas ECS fourth-quarter sales increased 1 percent year over year and increased 2 percent year over year on a constant currency basis.
Other Financial Metrics
“During 2024, we generated over
1 A reconciliation of non-GAAP financial measures to GAAP financial measures is presented in the reconciliation tables included herein. |
2 |
First-Quarter 2025 Outlook
-
Consolidated sales of
$5.98 billion $6.58 billion $4.35 billion $4.75 billion $1.63 billion $1.83 billion -
Net income per share on a diluted basis of
$0.98 $1.18 $1.30 $1.50 - Average tax rate in the range of 23 to 25 percent
-
Interest expense of approximately
$60 million $65 million -
Changes in foreign currencies to decrease sales by approximately
$138 million $0.13 -
Changes in foreign currencies to decrease quarter-over-quarter growth in sales by
$90 million $0.05
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First-Quarter 2025 GAAP to non-GAAP Outlook Reconciliation |
||||||||||||||||
NON-GAAP SALES RECONCILIATION |
||||||||||||||||
|
|
Quarter Ended |
|
|
|
Quarter Ended |
|
|
||||||||
|
|
March 29, |
|
March 30, |
|
|
|
March 29, |
|
December 31, |
|
|
||||
(in billions) |
|
2025 |
|
2024 |
|
% Change |
|
2025 |
|
2024 |
|
% Change |
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Global components sales, GAAP |
|
$ |
4.35 - 4.75 |
|
$ |
5.19 |
|
( |
|
$ |
4.35 - 4.75 |
|
$ |
4.81 |
|
( |
Impact of changes in foreign currencies |
|
|
— |
|
|
(0.09) |
|
|
|
|
— |
|
|
(0.05) |
|
|
Global components sales, constant currency |
|
$ |
4.35 - 4.75 |
|
$ |
5.10 |
|
( |
|
$ |
4.35 - 4.75 |
|
$ |
4.76 |
|
( |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Global ECS sales, GAAP |
|
$ |
1.63 - 1.83 |
|
$ |
1.73 |
|
( |
|
$ |
1.63 - 1.83 |
|
$ |
2.47 |
|
( |
Impact of changes in foreign currencies |
|
|
— |
|
|
(0.05) |
|
|
|
|
— |
|
|
(0.04) |
|
|
Global ECS sales, constant currency |
|
$ |
1.63 - 1.83 |
|
$ |
1.68 |
|
( |
|
$ |
1.63 - 1.83 |
|
$ |
2.43 |
|
( |
|
|
|
|
|
|
|
|
|
|
|
|
|
NON-GAAP EARNINGS RECONCILIATION |
||||||||||||
|
|
Reported GAAP measure |
|
Intangible amortization expense |
|
Restructuring & integration charges |
|
Non-GAAP measure |
||||
Net income per diluted share |
|
|
|
|
|
|
|
|
|
|
|
|
Earnings Presentation
Please refer to the earnings presentation, that can be found at investor.arrow.com, as a supplement to the company’s earnings release. The company uses its website as a tool to disclose important information about the company and to comply with its disclosure obligations under Regulation Fair Disclosure.
Webcast and Conference Call Information
Arrow Electronics will host a conference call to discuss fourth-quarter and full-year 2024 financial results on Feb. 6, 2025, at 1:00 PM ET.
A live webcast of the conference call will be available via the events section of investor.arrow.com or by accessing the webcast link directly at https://events.q4inc.com/attendee/886513367. Shortly after the conclusion of the conference call, a webcast replay will be available on the Arrow website for one year.
About Arrow Electronics
Arrow Electronics guides innovation forward for thousands of leading technology manufacturers and service providers. With 2024 sales of
Key Business Metrics
Management uses gross billings as an operational metric to monitor operating performance of its global ECS reportable segment, including sales performance by geographic region, as it provides meaningful supplemental information to the reader in evaluating the overall performance of the global ECS business. The company uses this key metric to develop financial forecasts, make strategic decisions, and prepare and approve annual budgets. Gross billings represent amounts invoiced to customers for goods and services during a period and do not include the impact of recording sales on a net basis or sales adjustments, such as trade discounts and other allowances. The use of gross billings has certain limitations as an analytical tool and should not be considered in isolation or as a substitute for revenue.
Information Relating to Forward-Looking Statements
This press release includes “forward-looking” statements, as the term is defined under the federal securities laws, including but not limited to statements regarding: Arrow’s future financial performance, including its outlook on financial results for the first quarter of fiscal 2025 such as sales, net income per diluted share, non-GAAP net income per diluted share, average tax rate, interest and other expense, impact to sales due to changes in foreign currencies, intangible amortization expense per diluted share, restructuring & integration charges per diluted share, the timing of the completion of the Operating Expense Efficiency Plan (the “Plan”) and Arrow’s estimated costs and expected operating expense reductions from the Plan, industry trends and expectations regarding market demand and conditions and shareholder returns. These and other forward-looking statements are subject to numerous assumptions, risks, and uncertainties, which could cause actual results or facts to differ materially from such statements for a variety of reasons, including, but not limited to: the incurrence of additional charges not currently contemplated and failure to realize contemplated cost savings due to unanticipated events that may occur, including in connection with the implementation of the Plan; unfavorable economic conditions; disruptions, shortages or inefficiencies in the supply chain; political instability and changes; impacts of military conflict and sanctions; industry conditions; changes in product supply, pricing and customer demand; trade protection measures, tariffs, and other restrictions, duties, and value-added taxes; competition; other vagaries in the global components and the global ECS markets; deteriorating economic conditions, including economic recession, inflation, tax rates, foreign currency exchange rates, or the availability of capital; the effects of natural or man-made catastrophic events; changes in relationships with key suppliers; increased profit margin pressure; changes in legal and regulatory matters; non-compliance with certain regulations, such as export, antitrust, and anti-corruption laws; foreign tax and other loss contingencies; breaches of security or privacy of business information and information system failures, including related to current or future implementations, integrations and upgrades; outbreaks, epidemics, pandemics, or public health crises; future regulatory trends and the resulting legal and reputation exposure, including but not limited to those relating to environmental, social, governance, cybersecurity, data privacy, and artificial intelligence issues; and the company's ability to generate positive cash flow. For a further discussion of these and other factors that could cause the company's future results to differ materially from any forward-looking statements, see the section entitled “Risk Factors” in the company's most recent Annual Report on Form 10-K, as well as in other filings the company makes with the Securities and Exchange Commission. Shareholders and other readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date on which they are made. The company undertakes no obligation to update publicly or revise any of the forward-looking statements.
Certain Non-GAAP Financial Information
In addition to disclosing financial results that are determined in accordance with accounting principles generally accepted in
ARROW ELECTRONICS, INC. CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands except per share data) |
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarter Ended |
|
Year Ended |
||||||||
|
|
|
December 31, 2024 |
|
|
December 31, 2023 |
|
|
December 31, 2024 |
|
|
December 31, 2023 |
|
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
|
|
|
|
Sales |
|
$ |
7,282,877 |
|
$ |
7,849,157 |
|
$ |
27,923,324 |
|
$ |
33,107,120 |
Cost of sales |
|
|
6,479,567 |
|
|
6,859,607 |
|
|
24,630,916 |
|
|
28,958,102 |
Gross profit |
|
|
803,310 |
|
|
989,550 |
|
|
3,292,408 |
|
|
4,149,018 |
Operating expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general, and administrative |
|
|
547,511 |
|
|
590,039 |
|
|
2,217,940 |
|
|
2,412,822 |
Depreciation and amortization |
|
|
39,638 |
|
|
43,168 |
|
|
162,994 |
|
|
181,116 |
Restructuring, integration, and other |
|
|
21,058 |
|
|
39,664 |
|
|
142,917 |
|
|
83,916 |
|
|
|
608,207 |
|
|
672,871 |
|
|
2,523,851 |
|
|
2,677,854 |
Operating income |
|
|
195,103 |
|
|
316,679 |
|
|
768,557 |
|
|
1,471,164 |
Equity in (losses) earnings of affiliated companies |
|
|
(544) |
|
|
2,034 |
|
|
1,368 |
|
|
6,407 |
(Loss) gain on investments, net |
|
|
(4,070) |
|
|
14,635 |
|
|
(4,830) |
|
|
19,284 |
Loss on extinguishment of debt |
|
|
— |
|
|
— |
|
|
(1,657) |
|
|
— |
Employee benefit plan expense, net |
|
|
(1,393) |
|
|
(1,267) |
|
|
(4,285) |
|
|
(3,777) |
Interest and other financing expense, net |
|
|
(60,392) |
|
|
(82,052) |
|
|
(269,834) |
|
|
(328,724) |
Income before income taxes |
|
|
128,704 |
|
|
250,029 |
|
|
489,319 |
|
|
1,164,354 |
Provision for income taxes |
|
|
28,816 |
|
|
53,823 |
|
|
95,812 |
|
|
254,991 |
Consolidated net income |
|
|
99,888 |
|
|
196,206 |
|
|
393,507 |
|
|
909,363 |
Noncontrolling interests |
|
|
680 |
|
|
1,669 |
|
|
1,433 |
|
|
5,858 |
Net income attributable to shareholders |
|
$ |
99,208 |
|
$ |
194,537 |
|
$ |
392,074 |
|
$ |
903,505 |
Net income per share: |
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
1.88 |
|
$ |
3.58 |
|
$ |
7.36 |
|
$ |
16.03 |
Diluted |
|
$ |
1.86 |
|
$ |
3.54 |
|
$ |
7.29 |
|
$ |
15.84 |
Weighted-average shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
52,723 |
|
|
54,396 |
|
|
53,282 |
|
|
56,359 |
Diluted |
|
|
53,214 |
|
|
55,015 |
|
|
53,797 |
|
|
57,035 |
ARROW ELECTRONICS, INC. CONSOLIDATED BALANCE SHEETS (In thousands except par value) |
||||||||
|
|
|
|
|
|
|
||
|
|
December 31, 2024 |
|
December 31, 2023 |
||||
|
|
|
|
|
|
|
||
ASSETS |
|
|
|
|
|
|
||
Current assets: |
|
|
|
|
|
|
||
Cash and cash equivalents |
|
$ |
188,807 |
|
|
$ |
218,053 |
|
Accounts receivable, net |
|
|
13,030,991 |
|
|
|
12,238,073 |
|
Inventories |
|
|
4,709,706 |
|
|
|
5,187,225 |
|
Other current assets |
|
|
471,909 |
|
|
|
684,126 |
|
Total current assets |
|
|
18,401,413 |
|
|
|
18,327,477 |
|
Property, plant, and equipment, at cost: |
|
|
|
|
|
|
||
Land |
|
|
5,691 |
|
|
|
5,691 |
|
Buildings and improvements |
|
|
194,061 |
|
|
|
195,579 |
|
Machinery and equipment |
|
|
1,623,228 |
|
|
|
1,632,606 |
|
|
|
|
1,822,980 |
|
|
|
1,833,876 |
|
Less: Accumulated depreciation and amortization |
|
|
(1,353,720 |
) |
|
|
(1,303,136 |
) |
Property, plant, and equipment, net |
|
|
469,260 |
|
|
|
530,740 |
|
Investments in affiliated companies |
|
|
57,299 |
|
|
|
62,741 |
|
Intangible assets, net |
|
|
96,706 |
|
|
|
127,440 |
|
Goodwill |
|
|
2,055,295 |
|
|
|
2,050,426 |
|
Other assets |
|
|
677,734 |
|
|
|
627,344 |
|
Total assets |
|
$ |
21,757,707 |
|
|
$ |
21,726,168 |
|
LIABILITIES AND EQUITY |
|
|
|
|
|
|
||
Current liabilities: |
|
|
|
|
|
|
||
Accounts payable |
|
$ |
11,047,470 |
|
|
$ |
10,070,015 |
|
Accrued expenses |
|
|
1,238,714 |
|
|
|
1,463,915 |
|
Short-term borrowings, including current portion of long-term debt |
|
|
349,978 |
|
|
|
1,653,954 |
|
Total current liabilities |
|
|
12,636,162 |
|
|
|
13,187,884 |
|
Long-term debt |
|
|
2,773,783 |
|
|
|
2,153,553 |
|
Other liabilities |
|
|
516,234 |
|
|
|
507,424 |
|
|
|
|
|
|
|
|
||
Equity: |
|
|
|
|
|
|
||
Shareholders’ equity: |
|
|
|
|
|
|
||
Common stock, par value |
|
|
|
|
|
|
||
Authorized - 160,000 shares in both 2024 and 2023 |
|
|
|
|
|
|
||
Issued - 55,592 and 57,691 shares in 2024 and 2023, respectively |
|
|
55,592 |
|
|
|
57,691 |
|
Capital in excess of par value |
|
|
562,080 |
|
|
|
553,340 |
|
Treasury stock (3,420 and 3,880 shares in 2024 and 2023, respectively), at cost |
|
|
(328,078 |
) |
|
|
(297,745 |
) |
Retained earnings |
|
|
5,980,826 |
|
|
|
5,790,217 |
|
Accumulated other comprehensive loss |
|
|
(509,269 |
) |
|
|
(298,039 |
) |
Total shareholders’ equity |
|
|
5,761,151 |
|
|
|
5,805,464 |
|
Noncontrolling interests |
|
|
70,377 |
|
|
|
71,843 |
|
Total equity |
|
|
5,831,528 |
|
|
|
5,877,307 |
|
Total liabilities and equity |
|
$ |
21,757,707 |
|
|
$ |
21,726,168 |
|
ARROW ELECTRONICS, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands) (Unaudited) |
||||||||
|
|
|
|
|
|
|
||
|
|
Quarter Ended |
||||||
|
|
December 31, 2024 |
|
December 31, 2023 |
||||
Cash flows from operating activities: |
|
|
|
|
|
|
||
Consolidated net income |
|
$ |
99,888 |
|
|
$ |
196,206 |
|
Adjustments to reconcile consolidated net income to net cash provided by operations: |
|
|
|
|
|
|
||
Depreciation and amortization |
|
|
39,638 |
|
|
|
43,168 |
|
Amortization of stock-based compensation |
|
|
4,444 |
|
|
|
6,701 |
|
Equity in losses (earnings) of affiliated companies |
|
|
544 |
|
|
|
(2,034 |
) |
Deferred income taxes |
|
|
(79,579 |
) |
|
|
(40,942 |
) |
Loss (gain) on investments, net |
|
|
4,183 |
|
|
|
(7,817 |
) |
Other |
|
|
1,134 |
|
|
|
18,512 |
|
Change in assets and liabilities, net of effects of acquired businesses: |
|
|
|
|
|
|
||
Accounts receivable, net |
|
|
(1,525,485 |
) |
|
|
(1,396,096 |
) |
Inventories |
|
|
(241,622 |
) |
|
|
664,333 |
|
Accounts payable |
|
|
1,779,503 |
|
|
|
898,395 |
|
Accrued expenses |
|
|
(330,408 |
) |
|
|
126,949 |
|
Other assets and liabilities |
|
|
574,224 |
|
|
|
(220,633 |
) |
Net cash provided by operating activities |
|
|
326,464 |
|
|
|
286,742 |
|
Cash flows from investing activities: |
|
|
|
|
|
|
||
Acquisition of property, plant, and equipment |
|
|
(22,548 |
) |
|
|
(25,510 |
) |
Cash consideration paid for acquired businesses, net of cash acquired |
|
|
(18,909 |
) |
|
|
— |
|
Other |
|
|
41 |
|
|
|
— |
|
Net cash used for investing activities |
|
|
(41,416 |
) |
|
|
(25,510 |
) |
Cash flows from financing activities: |
|
|
|
|
|
|
||
Change in short-term and other borrowings |
|
|
(560,840 |
) |
|
|
63,980 |
|
Proceeds from (repayments of) long-term bank borrowings, net |
|
|
410,189 |
|
|
|
(465,147 |
) |
Proceeds from exercise of stock options |
|
|
— |
|
|
|
186 |
|
Repurchases of common stock |
|
|
(50,790 |
) |
|
|
(50,492 |
) |
Net cash used for financing activities |
|
|
(201,441 |
) |
|
|
(451,473 |
) |
Effect of exchange rate changes on cash |
|
|
(142,800 |
) |
|
|
75,000 |
|
Net decrease in cash and cash equivalents |
|
|
(59,193 |
) |
|
|
(115,241 |
) |
Cash and cash equivalents at beginning of period |
|
|
248,000 |
|
|
|
333,294 |
|
Cash and cash equivalents at end of period |
|
$ |
188,807 |
|
|
$ |
218,053 |
|
ARROW ELECTRONICS, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands) |
||||||||
|
|
|
|
|
|
|
||
|
|
Year Ended |
||||||
|
|
December 31, 2024 |
|
December 31, 2023 |
||||
Cash flows from operating activities: |
|
|
|
|
|
|
||
Consolidated net income |
|
$ |
393,507 |
|
|
$ |
909,363 |
|
Adjustments to reconcile consolidated net income to net cash provided by operations: |
|
|
|
|
|
|
||
Depreciation and amortization |
|
|
162,994 |
|
|
|
181,116 |
|
Amortization of stock-based compensation |
|
|
34,631 |
|
|
|
41,569 |
|
Equity in earnings of affiliated companies |
|
|
(1,368 |
) |
|
|
(6,407 |
) |
Deferred income taxes |
|
|
(99,866 |
) |
|
|
(93,980 |
) |
Loss on extinguishment of debt |
|
|
1,657 |
|
|
|
— |
|
Loss (gain) on investments, net |
|
|
5,260 |
|
|
|
(12,466 |
) |
Other |
|
|
5,328 |
|
|
|
22,590 |
|
Change in assets and liabilities, net of effects of acquired businesses: |
|
|
|
|
|
|
||
Accounts receivable, net |
|
|
(1,013,091 |
) |
|
|
189,425 |
|
Inventories |
|
|
421,063 |
|
|
|
139,313 |
|
Accounts payable |
|
|
1,092,488 |
|
|
|
(457,382 |
) |
Accrued expenses |
|
|
(140,871 |
) |
|
|
38,601 |
|
Other assets and liabilities |
|
|
268,681 |
|
|
|
(246,293 |
) |
Net cash provided by operating activities |
|
|
1,130,413 |
|
|
|
705,449 |
|
Cash flows from investing activities: |
|
|
|
|
|
|
||
Acquisition of property, plant, and equipment |
|
|
(92,703 |
) |
|
|
(83,285 |
) |
Proceeds from sale of property, plant, and equipment |
|
|
5,157 |
|
|
|
— |
|
Cash consideration paid for acquired businesses, net of cash acquired |
|
|
(34,834 |
) |
|
|
— |
|
Proceeds from collections of notes receivable |
|
|
— |
|
|
|
237 |
|
Proceeds from settlement of net investment hedge |
|
|
10,635 |
|
|
|
10,725 |
|
Other |
|
|
17,303 |
|
|
|
— |
|
Net cash used for investing activities |
|
|
(94,442 |
) |
|
|
(72,323 |
) |
Cash flows from financing activities: |
|
|
|
|
|
|
||
Change in short-term and other borrowings |
|
|
(1,155,909 |
) |
|
|
866,012 |
|
Proceeds from (repayments of) long-term bank borrowings, net |
|
|
470,347 |
|
|
|
(1,031,881 |
) |
Redemption of notes |
|
|
(1,000,000 |
) |
|
|
(300,000 |
) |
Net proceeds from note offering |
|
|
989,564 |
|
|
|
496,268 |
|
Proceeds from exercise of stock options |
|
|
5,354 |
|
|
|
17,010 |
|
Repurchases of common stock |
|
|
(265,142 |
) |
|
|
(770,200 |
) |
Settlement of forward-starting interest rate swap |
|
|
— |
|
|
|
56,711 |
|
Other |
|
|
(1,041 |
) |
|
|
(142 |
) |
Net cash used for financing activities |
|
|
(956,827 |
) |
|
|
(666,222 |
) |
Effect of exchange rate changes on cash |
|
|
(108,390 |
) |
|
|
74,234 |
|
Net (decrease) increase in cash and cash equivalents |
|
|
(29,246 |
) |
|
|
41,138 |
|
Cash and cash equivalents at beginning of year |
|
|
218,053 |
|
|
|
176,915 |
|
Cash and cash equivalents at end of year |
|
$ |
188,807 |
|
|
$ |
218,053 |
|
ARROW ELECTRONICS, INC. ECS Gross Billings (In thousands) (Unaudited) |
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
Global Enterprise Computing Solutions - Gross Billings(1) |
||||||||||||
|
|
Quarter Ended |
|
Year Ended |
||||||||
|
|
|
December 31, |
|
|
December 31, |
|
|
December 31, |
|
|
December 31, |
|
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
Gross billings: |
|
|
|
|
|
|
|
|
|
|
|
|
Americas ECS |
|
$ |
2,942,118 |
|
$ |
2,814,076 |
|
$ |
10,323,375 |
|
$ |
10,542,285 |
EMEA ECS |
|
|
3,144,823 |
|
|
2,732,695 |
|
|
9,204,833 |
|
|
8,473,855 |
Global ECS |
|
$ |
6,086,941 |
|
$ |
5,546,771 |
|
$ |
19,528,208 |
|
$ |
19,016,140 |
______________________________ |
||
(1) |
Refer to page 4 for discussion about key business metrics. Gross billings are not a substitute for revenue. |
|
ARROW ELECTRONICS, INC. NON-GAAP SALES RECONCILIATION (In thousands) (Unaudited) |
|||||||||||
|
|
|
|
|
|
|
|
|
|
||
|
|
Quarter Ended |
|
|
|
||||||
|
|
December 31, 2024 |
|
December 31, 2023 |
|
% Change |
|
||||
|
|
|
|
|
|
|
|
|
|
||
Consolidated sales, as reported |
|
$ |
7,282,877 |
|
$ |
7,849,157 |
|
|
(7.2 |
) |
% |
Impact of changes in foreign currencies |
|
|
— |
|
|
(27,280 |
) |
|
|
|
|
Consolidated sales, constant currency |
|
$ |
7,282,877 |
|
$ |
7,821,877 |
|
|
(6.9 |
) |
% |
|
|
|
|
|
|
|
|
|
|
||
Global components sales, as reported |
|
$ |
4,813,760 |
|
$ |
5,636,032 |
|
|
(14.6 |
) |
% |
Impact of changes in foreign currencies |
|
|
— |
|
|
(11,106 |
) |
|
|
|
|
Global components sales, constant currency |
|
$ |
4,813,760 |
|
$ |
5,624,926 |
|
|
(14.4 |
) |
% |
|
|
|
|
|
|
|
|
|
|
||
|
|
$ |
1,603,710 |
|
$ |
1,784,764 |
|
|
(10.1 |
) |
% |
Impact of changes in foreign currencies |
|
|
— |
|
|
(763 |
) |
|
|
|
|
|
|
$ |
1,603,710 |
|
$ |
1,784,001 |
|
|
(10.1 |
) |
% |
|
|
|
|
|
|
|
|
|
|
||
|
|
$ |
1,947,730 |
|
$ |
2,163,421 |
|
|
(10.0 |
) |
% |
Impact of changes in foreign currencies |
|
|
— |
|
|
(2,923 |
) |
|
|
|
|
|
|
$ |
1,947,730 |
|
$ |
2,160,498 |
|
|
(9.8 |
) |
% |
|
|
|
|
|
|
|
|
|
|
||
EMEA components sales, as reported |
|
$ |
1,262,320 |
|
$ |
1,687,847 |
|
|
(25.2 |
) |
% |
Impact of changes in foreign currencies |
|
|
— |
|
|
(7,420 |
) |
|
|
|
|
EMEA components sales, constant currency |
|
$ |
1,262,320 |
|
$ |
1,680,427 |
|
|
(24.9 |
) |
% |
|
|
|
|
|
|
|
|
|
|
||
Global ECS sales, as reported |
|
$ |
2,469,117 |
|
$ |
2,213,125 |
|
|
11.6 |
|
% |
Impact of changes in foreign currencies |
|
|
— |
|
|
(16,174 |
) |
|
|
|
|
Global ECS sales, constant currency |
|
$ |
2,469,117 |
|
$ |
2,196,951 |
|
|
12.4 |
|
% |
|
|
|
|
|
|
|
|
|
|
||
Americas ECS sales, as reported |
|
$ |
1,162,227 |
|
$ |
1,145,754 |
|
|
1.4 |
|
% |
Impact of changes in foreign currencies |
|
|
— |
|
|
(2,914 |
) |
|
|
|
|
Americas ECS sales, constant currency |
|
$ |
1,162,227 |
|
$ |
1,142,840 |
|
|
1.7 |
|
% |
|
|
|
|
|
|
|
|
|
|
||
EMEA ECS sales, as reported |
|
$ |
1,306,890 |
|
$ |
1,067,371 |
|
|
22.4 |
|
% |
Impact of changes in foreign currencies |
|
|
— |
|
|
(13,260 |
) |
|
|
|
|
EMEA ECS sales, constant currency |
|
$ |
1,306,890 |
|
$ |
1,054,111 |
|
|
24.0 |
|
% |
ARROW ELECTRONICS, INC. NON-GAAP SALES RECONCILIATION (In thousands) (Unaudited) |
|||||||||||
|
|
|
|
|
|
|
|
|
|
||
|
|
Year Ended |
|
|
|
||||||
|
|
December 31, 2024 |
|
December 31, 2023 |
|
% Change |
|
||||
|
|
|
|
|
|
|
|
|
|
||
Consolidated sales, as reported |
|
$ |
27,923,324 |
|
$ |
33,107,120 |
|
|
(15.7 |
) |
% |
Impact of changes in foreign currencies |
|
|
— |
|
|
(33,434 |
) |
|
|
|
|
Consolidated sales, constant currency |
|
$ |
27,923,324 |
|
$ |
33,073,686 |
|
|
(15.6 |
) |
% |
|
|
|
|
|
|
|
|
|
|
||
Global components sales, as reported |
|
$ |
19,983,267 |
|
$ |
25,419,899 |
|
|
(21.4 |
) |
% |
Impact of changes in foreign currencies |
|
|
— |
|
|
(35,319 |
) |
|
|
|
|
Global components sales, constant currency |
|
$ |
19,983,267 |
|
$ |
25,384,580 |
|
|
(21.3 |
) |
% |
|
|
|
|
|
|
|
|
|
|
||
|
|
$ |
6,411,701 |
|
$ |
7,954,713 |
|
|
(19.4 |
) |
% |
Impact of changes in foreign currencies |
|
|
— |
|
|
(3,758 |
) |
|
|
|
|
|
|
$ |
6,411,701 |
|
$ |
7,950,955 |
|
|
(19.4 |
) |
% |
|
|
|
|
|
|
|
|
|
|
||
|
|
$ |
7,923,459 |
|
$ |
9,390,292 |
|
|
(15.6 |
) |
% |
Impact of changes in foreign currencies |
|
|
— |
|
|
(42,456 |
) |
|
|
|
|
|
|
$ |
7,923,459 |
|
$ |
9,347,836 |
|
|
(15.2 |
) |
% |
|
|
|
|
|
|
|
|
|
|
||
EMEA components sales, as reported |
|
$ |
5,648,107 |
|
$ |
8,074,894 |
|
|
(30.1 |
) |
% |
Impact of changes in foreign currencies |
|
|
— |
|
|
10,895 |
|
|
|
|
|
EMEA components sales, constant currency |
|
$ |
5,648,107 |
|
$ |
8,085,789 |
|
|
(30.1 |
) |
% |
|
|
|
|
|
|
|
|
|
|
||
Global ECS sales, as reported |
|
$ |
7,940,057 |
|
$ |
7,687,221 |
|
|
3.3 |
|
% |
Impact of changes in foreign currencies |
|
|
— |
|
|
1,885 |
|
|
|
|
|
Global ECS sales, constant currency |
|
$ |
7,940,057 |
|
$ |
7,689,106 |
|
|
3.3 |
|
% |
|
|
|
|
|
|
|
|
|
|
||
Americas ECS sales, as reported |
|
$ |
4,067,160 |
|
$ |
4,160,298 |
|
|
(2.2 |
) |
% |
Impact of changes in foreign currencies |
|
|
— |
|
|
(6,098 |
) |
|
|
|
|
Americas ECS sales, constant currency |
|
$ |
4,067,160 |
|
$ |
4,154,200 |
|
|
(2.1 |
) |
% |
|
|
|
|
|
|
|
|
|
|
||
EMEA ECS sales, as reported |
|
$ |
3,872,897 |
|
$ |
3,526,923 |
|
|
9.8 |
|
% |
Impact of changes in foreign currencies |
|
|
— |
|
|
7,983 |
|
|
|
|
|
EMEA ECS sales, constant currency |
|
$ |
3,872,897 |
|
$ |
3,534,906 |
|
|
9.6 |
|
% |
ARROW ELECTRONICS, INC. NON-GAAP EARNINGS RECONCILIATION (In thousands except per share data) (Unaudited) |
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended December 31, 2024 |
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
Impact |
|
|
|
|
|
|
|
|
|
|
Reported |
|
Intangible |
|
Restructuring |
|
of |
|
|
|
|
|
|
|
||||
|
|
GAAP |
|
amortization |
|
& Integration |
|
Wind |
|
|
|
|
Non-GAAP |
|
|||||
|
|
measure |
|
expense |
|
charges |
|
Down(1) |
|
Other(2) |
|
measure |
|
||||||
Operating income |
|
$ |
195,103 |
|
$ |
7,219 |
|
$ |
21,058 |
|
$ |
50,344 |
|
$ |
— |
|
$ |
273,724 |
|
Income before income taxes |
|
|
128,704 |
|
|
7,219 |
|
|
21,058 |
|
|
50,344 |
|
|
4,070 |
|
|
211,395 |
|
Provision for income taxes |
|
|
28,816 |
|
|
1,786 |
|
|
4,318 |
|
|
16,692 |
|
|
977 |
|
|
52,589 |
|
Consolidated net income |
|
|
99,888 |
|
|
5,433 |
|
|
16,740 |
|
|
33,652 |
|
|
3,093 |
|
|
158,806 |
|
Noncontrolling interests |
|
|
680 |
|
|
135 |
|
|
— |
|
|
— |
|
|
— |
|
|
815 |
|
Net income attributable to shareholders |
|
$ |
99,208 |
|
$ |
5,298 |
|
$ |
16,740 |
|
$ |
33,652 |
|
$ |
3,093 |
|
$ |
157,991 |
|
Net income per diluted share (4) |
|
$ |
1.86 |
|
$ |
0.10 |
|
$ |
0.31 |
|
$ |
0.63 |
|
$ |
0.06 |
|
$ |
2.97 |
|
Effective tax rate (5) |
|
|
22.4 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
24.9 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended December 31, 2023 |
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
Impact |
|
|
|
|
|
|
|
|
|
|
Reported |
|
Intangible |
|
Restructuring |
|
of |
|
|
|
|
|
|
|
||||
|
|
GAAP |
|
amortization |
|
& Integration |
|
Wind |
|
|
|
|
Non-GAAP |
|
|||||
|
|
measure |
|
expense |
|
charges |
|
Down(1) |
|
Other(2) |
|
measure |
|
||||||
Operating income |
|
$ |
316,679 |
|
$ |
7,491 |
|
$ |
39,664 |
|
$ |
— |
|
$ |
— |
|
$ |
363,834 |
|
Income before income taxes |
|
|
250,029 |
|
|
7,491 |
|
|
39,664 |
|
|
— |
|
|
(14,635) |
|
|
282,549 |
|
Provision for income taxes |
|
|
53,823 |
|
|
1,863 |
|
|
9,331 |
|
|
— |
|
|
(3,500) |
|
|
61,517 |
|
Consolidated net income |
|
|
196,206 |
|
|
5,628 |
|
|
30,333 |
|
|
— |
|
|
(11,135) |
|
|
221,032 |
|
Noncontrolling interests |
|
|
1,669 |
|
|
131 |
|
|
— |
|
|
— |
|
|
— |
|
|
1,800 |
|
Net income attributable to shareholders |
|
$ |
194,537 |
|
$ |
5,497 |
|
$ |
30,333 |
|
$ |
— |
|
$ |
(11,135) |
|
$ |
219,232 |
|
Net income per diluted share (4) |
|
$ |
3.54 |
|
$ |
0.10 |
|
$ |
0.55 |
|
$ |
— |
|
$ |
(0.20) |
|
$ |
3.98 |
|
Effective tax rate (5) |
|
|
21.5 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
21.8 |
% |
ARROW ELECTRONICS, INC. NON-GAAP EARNINGS RECONCILIATION (In thousands except per share data) (Unaudited) |
||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year ended December 31, 2024 |
|
|||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
Impact |
|
|
|
|
|
|
|
|
|
|
|
|
|
Reported |
|
Intangible |
|
Restructuring |
|
of |
|
Non |
|
|
|
|
|
|
|
|||||
|
|
GAAP |
|
amortization |
|
& Integration |
|
Wind |
|
recurring |
|
|
|
|
Non-GAAP |
|
||||||
|
|
measure |
|
expense |
|
charges |
|
Down(1) |
|
tax items |
|
Other(3) |
|
measure |
|
|||||||
Operating income |
|
$ |
768,557 |
|
$ |
29,529 |
|
$ |
142,917 |
|
$ |
60,573 |
|
$ |
— |
|
$ |
— |
|
$ |
1,001,576 |
|
Income before income taxes |
|
|
489,319 |
|
|
29,529 |
|
|
142,917 |
|
|
60,573 |
|
|
— |
|
|
6,487 |
|
|
728,825 |
|
Provision for income taxes |
|
|
95,812 |
|
|
7,348 |
|
|
35,138 |
|
|
19,139 |
|
|
— |
|
|
1,557 |
|
|
158,994 |
|
Consolidated net income |
|
|
393,507 |
|
|
22,181 |
|
|
107,779 |
|
|
41,434 |
|
|
— |
|
|
4,930 |
|
|
569,831 |
|
Noncontrolling interests |
|
|
1,433 |
|
|
541 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
1,974 |
|
Net income attributable to shareholders |
|
$ |
392,074 |
|
$ |
21,640 |
|
$ |
107,779 |
|
$ |
41,434 |
|
$ |
— |
|
$ |
4,930 |
|
$ |
567,857 |
|
Net income per diluted share (4) |
|
$ |
7.29 |
|
$ |
0.40 |
|
$ |
2.00 |
|
$ |
0.77 |
|
$ |
— |
|
$ |
0.09 |
|
$ |
10.56 |
|
Effective tax rate (5) |
|
|
19.6 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
21.8 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year ended December 31, 2023 |
|
|||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
Impact |
|
|
|
|
|
|
|
|
|
|
|
|
|
Reported |
|
Intangible |
|
Restructuring |
|
of |
|
Non |
|
|
|
|
|
|
|
|||||
|
|
GAAP |
|
amortization |
|
& Integration |
|
Wind |
|
recurring |
|
|
|
|
Non-GAAP |
|
||||||
|
|
measure |
|
expense |
|
charges |
|
Down(1) |
|
tax items |
|
Other(2) |
|
measure |
|
|||||||
Operating income |
|
$ |
1,471,164 |
|
$ |
31,242 |
|
$ |
83,916 |
|
$ |
— |
|
$ |
— |
|
$ |
— |
|
$ |
1,586,322 |
|
Income before income taxes |
|
|
1,164,354 |
|
|
31,242 |
|
|
83,916 |
|
|
— |
|
|
— |
|
|
(19,284) |
|
|
1,260,228 |
|
Provision for income taxes |
|
|
254,991 |
|
|
7,824 |
|
|
19,969 |
|
|
— |
|
|
(942) |
|
|
(4,614) |
|
|
277,228 |
|
Consolidated net income |
|
|
909,363 |
|
|
23,418 |
|
|
63,947 |
|
|
— |
|
|
942 |
|
|
(14,670) |
|
|
983,000 |
|
Noncontrolling interests |
|
|
5,858 |
|
|
539 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
6,397 |
|
Net income attributable to shareholders |
|
$ |
903,505 |
|
$ |
22,879 |
|
$ |
63,947 |
|
$ |
— |
|
$ |
942 |
|
$ |
(14,670) |
|
$ |
976,603 |
|
Net income per diluted share (4) |
|
$ |
15.84 |
|
$ |
0.40 |
|
$ |
1.12 |
|
$ |
— |
|
$ |
0.02 |
|
$ |
(0.26) |
|
$ |
17.12 |
|
Effective tax rate (5) |
|
|
21.9 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
22.0 |
% |
| ___________________ | ||
(1) |
Includes write down of inventory related to the wind down of businesses. |
|
(2) |
Other includes loss (gain) on investments, net. |
|
(3) |
Other includes loss (gain) on investments, net and loss on extinguishment of debt. |
|
(4) |
The sum of the components for non-GAAP diluted EPS, as adjusted may not agree to totals, as presented, due to rounding. |
|
(5) |
The items as shown in this table, represent the reconciling items for the tax rate as reported and as a non-GAAP measure. |
|
ARROW ELECTRONICS, INC. SEGMENT INFORMATION (In thousands) (Unaudited) |
||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
|
Quarter Ended |
|
Year Ended |
||||||||||||
|
|
December 31, 2024 |
|
December 31, 2023 |
|
December 31, 2024 |
|
December 31, 2023 |
||||||||
Sales: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Global components |
|
$ |
4,813,760 |
|
|
$ |
5,636,032 |
|
|
$ |
19,983,267 |
|
|
$ |
25,419,899 |
|
Global ECS |
|
|
2,469,117 |
|
|
|
2,213,125 |
|
|
|
7,940,057 |
|
|
|
7,687,221 |
|
Consolidated |
|
$ |
7,282,877 |
|
|
$ |
7,849,157 |
|
|
$ |
27,923,324 |
|
|
$ |
33,107,120 |
|
Operating income (loss): |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Global components (a) |
|
$ |
116,910 |
|
|
$ |
281,260 |
|
|
$ |
741,273 |
|
|
$ |
1,459,166 |
|
Global ECS (b) |
|
|
160,421 |
|
|
|
145,053 |
|
|
|
410,075 |
|
|
|
367,004 |
|
Corporate (c) |
|
|
(82,228 |
) |
|
|
(109,634 |
) |
|
|
(382,791 |
) |
|
|
(355,006 |
) |
Consolidated |
|
$ |
195,103 |
|
|
$ |
316,679 |
|
|
$ |
768,557 |
|
|
$ |
1,471,164 |
|
(a) |
Global components operating income includes charges of |
|
(b) |
In 2023, global ECS operating income includes charges of |
|
(c) |
Corporate operating loss includes restructuring, integration, and other charges of |
ARROW ELECTRONICS, INC. NON-GAAP SEGMENT RECONCILIATIONS (In thousands) (Unaudited) |
|||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarter Ended |
|
Year Ended |
|
||||||||
|
|
December 31, |
|
December 31, |
|
December 31, |
|
December 31, |
|
||||
|
|
2024 |
|
2023 |
|
2024 |
|
2023 |
|
||||
Global components gross profit, as reported |
|
$ |
497,324 |
|
$ |
702,412 |
|
$ |
2,332,358 |
|
$ |
3,199,120 |
|
Impact of wind down to inventory |
|
|
50,344 |
|
|
— |
|
|
60,573 |
|
|
— |
|
Global components non-GAAP gross profit |
|
$ |
547,668 |
|
$ |
702,412 |
|
$ |
2,392,931 |
|
$ |
3,199,120 |
|
Global components gross profit as a percentage of sales, as reported |
|
|
10.3 |
% |
|
12.5 |
% |
|
11.7 |
% |
|
12.6 |
% |
Global components non-GAAP gross profit as a percentage of sales |
|
|
11.4 |
% |
|
12.5 |
% |
|
12.0 |
% |
|
12.6 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Global ECS gross profit, as reported |
|
$ |
305,986 |
|
$ |
287,138 |
|
$ |
960,050 |
|
$ |
949,898 |
|
Global ECS gross profit as a percentage of sales, as reported |
|
|
12.4 |
% |
|
13.0 |
% |
|
12.1 |
% |
|
12.4 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarter Ended |
|
Year Ended |
|
||||||||
|
|
December 31, |
|
December 31, |
|
December 31, |
|
December 31, |
|
||||
|
|
2024 |
|
2023 |
|
2024 |
|
2023 |
|
||||
Global components operating income, as reported |
|
$ |
116,910 |
|
$ |
281,260 |
|
$ |
741,273 |
|
$ |
1,459,166 |
|
Intangible assets amortization expense |
|
|
6,162 |
|
|
6,436 |
|
|
25,296 |
|
|
26,500 |
|
Impact of wind down to inventory |
|
|
50,344 |
|
|
— |
|
|
60,573 |
|
|
— |
|
Global components non-GAAP operating income |
|
$ |
173,416 |
|
$ |
287,696 |
|
$ |
827,142 |
|
$ |
1,485,666 |
|
Global components operating income as a percentage of sales, as reported |
|
|
2.4 |
% |
|
5.0 |
% |
|
3.7 |
% |
|
5.7 |
% |
Global components non-GAAP operating income as a percentage of sales |
|
|
3.6 |
% |
|
5.1 |
% |
|
4.1 |
% |
|
5.8 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Global ECS operating income, as reported |
|
$ |
160,421 |
|
$ |
145,053 |
|
$ |
410,075 |
|
$ |
367,004 |
|
Intangible assets amortization expense |
|
|
1,057 |
|
|
1,055 |
|
|
4,233 |
|
|
4,742 |
|
Global ECS non-GAAP operating income |
|
$ |
161,478 |
|
$ |
146,108 |
|
$ |
414,308 |
|
$ |
371,746 |
|
Global ECS operating income as a percentage of sales, as reported |
|
|
6.5 |
% |
|
6.6 |
% |
|
5.2 |
% |
|
4.8 |
% |
Global ECS non-GAAP operating income as a percentage of sales |
|
|
6.5 |
% |
|
6.6 |
% |
|
5.2 |
% |
|
4.8 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20250206456512/en/
Investors:
Brad Windbigler,
Treasurer and Vice President, Investor Relations
720-654-9893
Media:
John Hourigan,
Vice President, Public Affairs and Corporate Marketing
303-824-4586
Source: Arrow Electronics
FAQ
What were Arrow Electronics (ARW) Q4 2024 earnings per share?
How much did ARW's sales decline in full-year 2024?
What is Arrow Electronics (ARW) Q1 2025 revenue guidance?
How much cash did ARW return to shareholders in 2024?
What was ARW's operating cash flow in 2024?
