--Total Revenue Increased 13% Year over Year--

--Third-Quarter Earnings Per Share of $2.09 and Non-GAAP Earnings Per Share of $2.41, Both Above High End of Guidance--

Arrow Electronics, Inc. (NYSE:ARW) today announced financial results for its third quarter of 2025.

"The third quarter marked another period of progress for Arrow as we executed against our strategic priorities," said Bill Austen, Arrow's interim president and chief executive officer. "I'm pleased to share that we delivered solid revenue and earnings per share during the quarter, bolstered by meaningful contributions from both our global components and enterprise computing solutions segments as we delivered high-quality, innovative technology solutions to our customers."

"These results were especially notable as they were achieved within a market that continues to gradually recover from a prolonged cyclical correction," said Mr. Austen. "The fundamentals across our business remain resilient, and we are well-positioned to emerge from this environment with improved momentum, underpinned by the decisive actions we are taking to continue driving strong operational and financial performance. As we head into the fourth quarter, I remain confident in Arrow's path forward and the long-term growth opportunities ahead as we drive disciplined execution, strengthen our customer partnerships and deliver sustainable value for our shareholders."


Arrow Consolidated
	Quarter Ended						Nine Months Ended
		September 27,		September 28,				September 27,		September 28,
(in millions except per share data)		2025		2024	Change			2025		2024	Change
Consolidated sales	$	7,713	$	6,823	13	%	$	22,107	$	20,640	7	%
Net income attributable to shareholders		109		101	9	%		377		293	29	%
Net income per diluted share		2.09		1.88	11	%		7.19		5.42	33	%
Non-GAAP net income attributable to shareholders ⁽¹⁾		126		128	(1	)%		348		410	(15	)%
Non-GAAP net income per diluted share ⁽¹⁾		2.41		2.38	1	%		6.64		7.59	(13	)%

In the third quarter of 2025, sales increased 13 percent year over year, and increased 11 percent year over year on a constant currency basis. Changes in foreign currencies had a positive impact on growth of $128 million on sales and $0.08 on earnings per share on a diluted basis compared to the third quarter of 2024.

Global Components


Global Components
	Quarter Ended						Nine Months Ended
		September 27,		September 28,				September 27,		September 28,
(in millions)		2025		2024	Change			2025		2024	Change
Global components sales	$	5,556	$	4,946	12	%	$	15,619	$	15,170	3	%
Global components operating income		197		189	5	%		556		624	(11	)%
Global components non-GAAP operating income ⁽¹⁾		199		193	3	%		561		654	(14	)%

In the third quarter of 2025, global components sales increased 12 percent year over year, and increased 11 percent year over year on a constant currency basis. Americas components third-quarter sales increased 4 percent year over year. EMEA components third-quarter sales increased 12 percent year over year and increased 6 percent year over year on a constant currency basis. Asia-Pacific components third-quarter sales increased 19 percent year over year.

Global Enterprise Computing Solutions


Global Enterprise Computing Solutions (ECS)
	Quarter Ended						Nine Months Ended
		September 27,		September 28,				September 27,		September 28,
(in millions)		2025		2024	Change			2025		2024	Change
Global ECS sales	$	2,156	$	1,877	15	%	$	6,487	$	5,471	19	%
Global ECS operating income		64		76	(16	)%		238		250	(5	)%
Global ECS non-GAAP operating income ⁽¹⁾		65		77	(16	)%		241		253	(5	)%

In the third quarter of 2025, global ECS sales increased 15 percent year over year, and increased 12 percent year over year on a constant currency basis. Global ECS billings increased 14 percent year over year. Global ECS third-quarter operating income and non-GAAP operating income decreased 16 percent year over year due to $21 million of charges on multi-year contracts that have underperformed. EMEA ECS third-quarter sales increased 34 percent year over year and increased 27 percent year over year on a constant currency basis. Americas ECS third-quarter sales decreased 1 percent year over year.

¹ A reconciliation of non-GAAP financial measures to GAAP financial measures is presented in the reconciliation tables included herein.

Fourth-Quarter 2025 Outlook

Consolidated sales of $7.80 billion to $8.40 billion, with global components sales of $5.10 billion to $5.50 billion, and global enterprise computing solutions sales of $2.70 billion to $2.90 billion
Net income per share on a diluted basis of $3.08 to $3.28, and non-GAAP net income per share on a diluted basis of $3.44 to $3.64
Average tax rate in the range of 23 percent to 25 percent
Interest expense of approximately $60 million
Changes in foreign currencies to increase sales by approximately $226 million, and earnings per share on a diluted basis by $0.22 compared to the fourth quarter of 2024
Changes in foreign currencies to decrease quarter-over-quarter growth in sales by $12 million, and earnings per share on a diluted basis will be flat compared to the third quarter of 2025


Fourth-Quarter 2025 GAAP to non-GAAP Outlook Reconciliation
NON-GAAP SALES RECONCILIATION
	Quarter Ended					Quarter Ended
	December 31,		December 31,			December 31,		September 27,
(in billions)	2025		2024		% Change	2025		2025			% Change

Global components sales, GAAP	$	5.10 - 5.50	$	4.81	6% - 14%	$	5.10 - 5.50	$	5.56		(8)% - (1)%
Impact of changes in foreign currencies		—		0.11			—		(0.01	)
Global components sales, constant currency	$	5.10 - 5.50	$	4.92	4% - 12%	$	5.10 - 5.50	$	5.55		(8)% - (1)%

Global ECS sales, GAAP	$	2.70 - 2.90	$	2.47	9% - 17%	$	2.70 - 2.90	$	2.16		25% - 34%
Impact of changes in foreign currencies		—		0.12			—		(0.01	)
Global ECS sales, constant currency	$	2.70 - 2.90	$	2.59	4% - 12%	$	2.70 - 2.90	$	2.15		26% - 35%

NON-GAAP EARNINGS RECONCILIATION

Reported

Intangible amortization

Restructuring &

GAAP measure

expense

integration charges

Non-GAAP measure

Net income per diluted share

$3.08 to $3.28

$0.07

$0.29

$3.44 to $3.64

Earnings Presentation

Please refer to the earnings presentation, which can be found at investor.arrow.com, as a supplement to the company's earnings release. The company may use this website as a means of disclosing material, non-public information and for complying with its disclosure obligations under Regulation FD. Accordingly, investors should monitor the website noted above, in addition to following the company's press releases, SEC filings, and public conference calls and webcasts.

Webcast and Conference Call Information

Arrow Electronics will host a conference call to discuss third-quarter 2025 financial results on October 30, 2025, at 4:30 p.m. 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/735530136. 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 (NYSE:ARW) sources and engineers technology solutions for thousands of leading manufacturers and service providers. With global 2024 sales of $28 billion, Arrow's portfolio enables technology across major industries and markets. Learn more at arrow.com.

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 specified 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. Forward-looking statements are those statements which are not statements of historical or current fact. These forward-looking statements can be identified by forward-looking words such as "expects," "anticipates," "intends," "plans," "may," "will," "would," "could," "believes," "seeks," "projected," "potential," "estimates," and similar expressions. Such forward-looking statements in this press release include, but are not limited to, statements regarding: Arrow's future financial performance, including its outlook on financial results for the fourth 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, the impact on global components fourth quarter sales of certain Arrow Chinese subsidiaries being placed on the BIS Entity List , 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: unfavorable economic conditions; disruptions, shortages, or inefficiencies in the supply chain; trade protection measures, tariffs, increased trade tensions, trade agreements and policies, and other restrictions, duties, and value-added taxes, and the associated macroeconomic impacts; non-compliance with certain regulations, such as trade, export, antitrust, and anti-corruption laws, or regulatory restrictions relating to the company or its subsidiaries or the permissibility of third-parties to transact therewith; the inability to realize sufficient sales to cover non-cancellable purchase obligations under certain ECS distribution agreements; management transitions, including the separation of Mr. Sean Kerins from the company and the appointment of Mr. Austen as the company's interim president and chief executive officer; the incurrence of additional charges not currently contemplated and failure to realize contemplated cost savings due to unanticipated events that may occur in connection with the implementation of the company's restructuring initiatives; political instability and changes; impacts of military conflict and sanctions; industry conditions; changes in product supply, pricing and customer demand; 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; 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; executive orders and regulatory trends and the resulting legal and reputational 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 Quarterly Report on Form 10-Q and 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 the United States ("GAAP"), the company also provides certain non-GAAP financial information. The company provides the following non-GAAP metrics: sales, operating income (including by business segment), income before income taxes, provision for income taxes, consolidated net income, noncontrolling interest, net income attributable to shareholders, effective tax rate, and net income per share on a diluted basis. The foregoing non-GAAP measures are adjusted by certain of the following, as applicable: impact of changes in foreign currencies (referred to as "changes in foreign currencies" or "on a constant currency basis") by re-translating prior-period results at current period foreign exchange rates; identifiable intangible asset amortization, restructuring, integration, and other; net gains (losses) on investments; impact from tax settlements related to the U.S. federal tax law changes enacted as part of the 2017 Tax Cuts and Jobs Act ("impact of Tax Act settlements"); and inventory write downs (recoveries) related to the wind down of a businesses within the global components reportable segment ("impact of wind down"). Management believes that providing this additional information is useful to the reader to better assess and understand the company's operating performance and future prospects in the same manner as management, especially when comparing results with previous periods. Management typically monitors the business as adjusted for these items, in addition to GAAP results, to understand and compare operating results across accounting periods, for internal budgeting purposes, for short- and long-term operating plans, and to evaluate the company's financial performance. However, analysis of results on a non-GAAP basis should be used as a complement to, in conjunction with, and not as a substitute for, data presented in accordance with GAAP.

ARROW ELECTRONICS, INC. CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands except per share data) (Unaudited)

	Quarter Ended						Nine Months Ended
		September 27, 2025			September 28, 2024			September 27, 2025			September 28, 2024

Sales	$	7,712,541		$	6,823,319		$	22,106,505		$	20,640,447
Cost of sales		6,877,227			6,038,491			19,648,542			18,151,349
Gross profit		835,314			784,828			2,457,963			2,489,098
Operating expenses:
Selling, general, and administrative		587,866			534,508			1,751,172			1,670,429
Depreciation and amortization		32,793			40,592			103,765			123,356
Restructuring, integration, and other		35,648			34,466			74,880			121,859
		656,307			609,566			1,929,817			1,915,644
Operating income		179,007			175,262			528,146			573,454
Equity in earnings of affiliated companies		463			1,002			1,124			1,912
Gain (loss) on investments, net		4,859			3,757			108,975			(760	)
Loss on extinguishment of debt		—			—			—			(1,657	)
Post-retirement expense		(664	)		(979	)		(1,950	)		(2,892	)
Interest and other financing expense, net		(54,875	)		(62,947	)		(171,340	)		(209,442	)
Income before income taxes		128,790			116,095			464,955			360,615
Provision for income taxes		19,528			15,198			88,807			66,996
Consolidated net income		109,262			100,897			376,148			293,619
Noncontrolling interests		69			330			(514	)		753
Net income attributable to shareholders	$	109,193		$	100,567		$	376,662		$	292,866
Net income per share:
Basic	$	2.11		$	1.90		$	7.25		$	5.48
Diluted	$	2.09		$	1.88		$	7.19		$	5.42
Weighted-average shares outstanding:
Basic		51,695			53,010			51,935			53,476
Diluted		52,141			53,475			52,381			53,999

ARROW ELECTRONICS, INC. CONSOLIDATED BALANCE SHEETS (In thousands except par value) (Unaudited)

	September 27, 2025			December 31, 2024

ASSETS
Current assets:
Cash and cash equivalents	$	213,612		$	188,807
Accounts receivable, net		15,656,816			13,030,991
Inventories		4,728,011			4,709,706
Other current assets		539,863			471,909
Total current assets		21,138,302			18,401,413
Property, plant, and equipment, at cost:
Land		5,691			5,691
Buildings and improvements		194,658			194,061
Machinery and equipment		1,709,467			1,623,228
		1,909,816			1,822,980
Less: Accumulated depreciation and amortization		(1,434,017	)		(1,353,720	)
Property, plant, and equipment, net		475,799			469,260
Investments in affiliated companies		58,136			57,299
Intangible assets, net		81,786			96,706
Goodwill		2,117,017			2,055,295
Other assets		655,448			677,734
Total assets	$	24,526,488		$	21,757,707
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable	$	13,126,538		$	11,047,470
Accrued expenses		1,304,479			1,238,714
Short-term borrowings, including current portion of long-term debt		10,818			349,978
Total current liabilities		14,441,835			12,636,162
Long-term debt		3,118,668			2,773,783
Other liabilities		490,366			516,234

Equity:
Shareholders' equity:
Common stock, par value $1:
Authorized - 160,000 shares in both 2025 and 2024
Issued - 55,827 and 55,592 shares in 2025 and 2024, respectively		55,827			55,592
Capital in excess of par value		579,672			562,080
Treasury stock (4,316 and 3,420 shares in 2025 and 2024, respectively), at cost		(432,809	)		(328,078	)
Retained earnings		6,357,488			5,980,826
Accumulated other comprehensive loss		(159,447	)		(509,269	)
Total shareholders' equity		6,400,731			5,761,151
Noncontrolling interests		74,888			70,377
Total equity		6,475,619			5,831,528
Total liabilities and equity	$	24,526,488		$	21,757,707

ARROW ELECTRONICS, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands) (Unaudited)

	Quarter Ended
	September 27, 2025			September 28, 2024
Cash flows from operating activities:
Consolidated net income:	$	109,262		$	100,897
Adjustments to reconcile consolidated net income to net cash (used for) provided by operations:
Depreciation and amortization		32,793			40,592
Amortization of stock-based compensation		(9,752	)		8,487
Equity in earnings of affiliated companies		(463	)		(1,002	)
Deferred income taxes		(66	)		(12,889	)
Gain on investments, net		(5,540	)		(3,686	)
Other		225			(670	)
Change in assets and liabilities, net of effects of acquired businesses:
Accounts receivable, net		(395,610	)		(701,168	)
Inventories		18,776			169,211
Accounts payable		(78,464	)		550,797
Accrued expenses		(12,657	)		(83,506	)
Other assets and liabilities		59,812			13,495
Net cash (used for) provided by operating activities		(281,684	)		80,558
Cash flows from investing activities:
Acquisition of property, plant, and equipment		(30,276	)		(18,519	)
Other		—			10,677
Net cash used for investing activities		(30,276	)		(7,842	)
Cash flows from financing activities:
Change in short-term and other borrowings		(444,953	)		549,451
Proceeds from (repayments of) long-term bank borrowings, net		751,880			(613,449	)
Redemption of notes		—			(500,000	)
Net proceeds from note offering		—			494,886
Proceeds from exercise of stock options		226			585
Repurchases of common stock		(630	)		(51,051	)
Other		—			(899	)
Net cash used for financing activities		306,523			(120,477	)
Effect of exchange rate changes on cash		(2,921	)		82,752
Net (decrease) increase in cash and cash equivalents		(8,358	)		34,991
Cash and cash equivalents at beginning of period		221,970			213,009
Cash and cash equivalents at end of period	$	213,612		$	248,000

ARROW ELECTRONICS, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands) (Unaudited)

	Nine Months Ended
	September 27, 2025			September 28, 2024
Cash flows from operating activities:
Consolidated net income:	$	376,148		$	293,619
Adjustments to reconcile consolidated net income to net cash (used for) provided by operations:
Depreciation and amortization		103,765			123,356
Amortization of stock-based compensation		20,448			30,187
Equity in earnings of affiliated companies		(1,124	)		(1,912	)
Deferred income taxes		5,185			(20,287	)
Loss on extinguishment of debt		—			1,657
(Gain) loss on investments, net		(109,435	)		925
Other		(77	)		4,346
Change in assets and liabilities, net of effects of acquired businesses:
Accounts receivable, net		(2,292,091	)		512,394
Inventories		65,225			662,685
Accounts payable		1,871,455			(687,015	)
Accrued expenses		(94,367	)		189,537
Other assets and liabilities		(81,033	)		(305,543	)
Net cash (used for) provided by operating activities		(135,901	)		803,949
Cash flows from investing activities:
Acquisition of property, plant, and equipment		(73,873	)		(70,155	)
Proceeds from settlement of net investment hedges		24,858			10,635
Proceeds from sale of investments in equity securities		100,000			—
Other		—			6,494
Net cash provided by (used for) investing activities		50,985			(53,026	)
Cash flows from financing activities:
Change in short-term and other borrowings		9,852			(595,069	)
Proceeds from long-term bank borrowings, net		338,223			60,158
Redemption of notes		(350,000	)		(1,000,000	)
Net proceeds from note offering		—			989,564
Proceeds from exercise of stock options		3,427			5,353
Repurchases of common stock		(110,779	)		(214,352	)
Other		(148	)		(1,040	)
Net cash used for financing activities		(109,425	)		(755,386	)
Effect of exchange rate changes on cash		219,146			34,410
Net increase in cash and cash equivalents		24,805			29,947
Cash and cash equivalents at beginning of period		188,807			218,053
Cash and cash equivalents at end of period	$	213,612		$	248,000

ARROW ELECTRONICS, INC. ECS Gross Billings (In thousands) (Unaudited)

Global Enterprise Computing Solutions - Gross Billings⁽¹⁾
	Quarter Ended						Nine Months Ended
		September 27,		September 28,				September 27,		September 28,
		2025		2024	Change			2025		2024	Change
Gross billings:
Americas ECS	$	2,713,373	$	2,576,302	5	%	$	7,564,869	$	7,381,257	2	%
EMEA ECS		2,476,599		1,983,482	25	%		7,404,025		6,060,010	22	%
Global ECS	$	5,189,972	$	4,559,784	14	%	$	14,968,894	$	13,441,267	11	%

____________________

(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
	September 27, 2025		September 28, 2024			% Change

Consolidated sales, as reported	$	7,712,541	$	6,823,319		13.0		%
Impact of changes in foreign currencies		—		128,227
Consolidated sales, constant currency	$	7,712,541	$	6,951,546		10.9		%

Global components sales, as reported	$	5,556,392	$	4,946,059		12.3		%
Impact of changes in foreign currencies		—		77,535
Global components sales, constant currency	$	5,556,392	$	5,023,594		10.6		%

Americas components sales, as reported	$	1,708,840	$	1,638,459		4.3		%
Impact of changes in foreign currencies		—		541
Americas components sales, constant currency	$	1,708,840	$	1,639,000		4.3		%

EMEA components sales, as reported	$	1,443,607	$	1,289,786		11.9		%
Impact of changes in foreign currencies		—		78,042
EMEA components sales, constant currency	$	1,443,607	$	1,367,828		5.5		%

Asia components sales, as reported	$	2,403,945	$	2,017,814		19.1		%
Impact of changes in foreign currencies		—		(1,048	)
Asia components sales, constant currency	$	2,403,945	$	2,016,766		19.2		%

Global ECS sales, as reported	$	2,156,149	$	1,877,260		14.9		%
Impact of changes in foreign currencies		—		50,692
Global ECS sales, constant currency	$	2,156,149	$	1,927,952		11.8		%

Americas ECS sales, as reported	$	1,021,950	$	1,033,115		(1.1	)	%
Impact of changes in foreign currencies		—		(877	)
Americas ECS sales, constant currency	$	1,021,950	$	1,032,238		(1.0	)	%

EMEA ECS sales, as reported	$	1,134,199	$	844,145		34.4		%
Impact of changes in foreign currencies		—		51,569
EMEA ECS sales, constant currency	$	1,134,199	$	895,714		26.6		%

ARROW ELECTRONICS, INC. NON-GAAP SALES RECONCILIATION (In thousands) (Unaudited)

	Nine Months Ended
	September 27, 2025		September 28, 2024			% Change

Consolidated sales, as reported	$	22,106,505	$	20,640,447		7.1		%
Impact of changes in foreign currencies		—		167,185
Consolidated sales, constant currency	$	22,106,505	$	20,807,632		6.2		%

Global components sales, as reported	$	15,619,012	$	15,169,507		3.0		%
Impact of changes in foreign currencies		—		96,532
Global components sales, constant currency	$	15,619,012	$	15,266,039		2.3		%

Americas components sales, as reported	$	4,984,932	$	4,807,991		3.7		%
Impact of changes in foreign currencies		—		44
Americas components sales, constant currency	$	4,984,932	$	4,808,035		3.7		%

EMEA components sales, as reported	$	4,210,552	$	4,385,787		(4.0	)	%
Impact of changes in foreign currencies		—		104,962
EMEA components sales, constant currency	$	4,210,552	$	4,490,749		(6.2	)	%

Asia components sales, as reported	$	6,423,528	$	5,975,729		7.5		%
Impact of changes in foreign currencies		—		(8,474	)
Asia components sales, constant currency	$	6,423,528	$	5,967,255		7.6		%

Global ECS sales, as reported	$	6,487,493	$	5,470,940		18.6		%
Impact of changes in foreign currencies		—		70,653
Global ECS sales, constant currency	$	6,487,493	$	5,541,593		17.1		%

Americas ECS sales, as reported	$	2,984,638	$	2,904,933		2.7		%
Impact of changes in foreign currencies		—		(8,936	)
Americas ECS sales, constant currency	$	2,984,638	$	2,895,997		3.1		%

EMEA ECS sales, as reported	$	3,502,855	$	2,566,007		36.5		%
Impact of changes in foreign currencies		—		79,589
EMEA ECS sales, constant currency	$	3,502,855	$	2,645,596		32.4		%

ARROW ELECTRONICS, INC. NON-GAAP EARNINGS RECONCILIATION (In thousands except per share data) (Unaudited)

Three months ended September 27, 2025
	Reported			Intangible		Restructuring,		Impact of				Non
	GAAP			amortization		Integration		Wind				recurring					Non-GAAP
	measure			expense		and other		Down⁽¹⁾				tax items⁽²⁾			Other⁽³⁾		measure
Operating income	$	179,007		$	4,766	$	35,648	$	(1,989	)	$	—		$	—		$	217,432
Income before income taxes		128,790			4,766		35,648		(1,989	)		—			(4,859	)		162,356
Provision for income taxes		19,528			1,162		9,302		(629	)		8,359			(1,166	)		36,556
Consolidated net income		109,262			3,604		26,346		(1,360	)		(8,359	)		(3,693	)		125,800
Noncontrolling interests		69			—		—		—			—			—			69
Net income attributable to shareholders	$	109,193		$	3,604	$	26,346	$	(1,360	)	$	(8,359	)	$	(3,693	)	$	125,731
Net income per diluted share ⁽⁶⁾	$	2.09		$	0.07	$	0.51	$	(0.03	)	$	(0.16	)	$	(0.07	)	$	2.41
Effective tax rate ⁽⁷⁾		15.2	%															22.5	%


Three months ended September 28, 2024
	Reported			Intangible		Restructuring,		Impact of				Non
	GAAP			amortization		Integration		Wind				recurring				Non-GAAP
	measure			expense		and other		Down⁽¹⁾				tax items		Other⁽³⁾		measure
Operating income	$	175,262		$	7,308	$	34,466	$	(1,857	)	$	—	$	—		$	215,179
Income before income taxes		116,095			7,308		34,466		(1,857	)		—		(3,757	)		152,255
Provision for income taxes		15,198			1,819		8,592		(444	)		—		(902	)		24,263
Consolidated net income		100,897			5,489		25,874		(1,413	)		—		(2,855	)		127,992
Noncontrolling interests		330			136		—		—			—		—			466
Net income attributable to shareholders	$	100,567		$	5,353	$	25,874	$	(1,413	)	$	—	$	(2,855	)	$	127,526
Net income per diluted share ⁽⁶⁾	$	1.88		$	0.10	$	0.48	$	(0.03	)	$	—	$	(0.05	)	$	2.38
Effective tax rate ⁽⁷⁾		13.1	%														15.9	%

ARROW ELECTRONICS, INC. NON-GAAP EARNINGS RECONCILIATION (In thousands except per share data) (Unaudited)

Nine months ended September 27, 2025
	Reported			Intangible		Restructuring,		Impact of				Non
	GAAP			amortization		Integration		Wind				recurring					Non-GAAP
	measure			expense		and other		Down⁽¹⁾				tax items⁽²⁾			Other⁽⁴⁾			measure
Operating income	$	528,146		$	14,996	$	74,880	$	(6,628	)	$	—		$	172		$	611,566
Income before income taxes		464,955			14,996		74,880		(6,628	)		—			(108,803	)		439,400
Provision for income taxes		88,807			3,686		19,400		(2,099	)		8,143			(26,102	)		91,835
Consolidated net income		376,148			11,310		55,480		(4,529	)		(8,143	)		(82,701	)		347,565
Noncontrolling interests		(514	)		156		—		—			—			—			(358	)
Net income attributable to shareholders	$	376,662		$	11,154	$	55,480	$	(4,529	)	$	(8,143	)	$	(82,701	)	$	347,923
Net income per diluted share ⁽⁶⁾	$	7.19		$	0.21	$	1.06	$	(0.09	)	$	(0.16	)	$	(1.58	)	$	6.64
Effective tax rate ⁽⁷⁾		19.1	%															20.9	%


Nine months ended September 28, 2024
	Reported			Intangible		Restructuring,		Impact of			Non
	GAAP			amortization		Integration		Wind			recurring			Non-GAAP
	measure			expense		and other		Down⁽¹⁾			tax items		Other⁽⁵⁾		measure
Operating income	$	573,454		$	22,310	$	121,859	$	10,229	$	—	$	—	$	727,852
Income before income taxes		360,615			22,310		121,859		10,229		—		2,417		517,430
Provision for income taxes		66,996			5,562		30,820		2,447		—		580		106,405
Consolidated net income		293,619			16,748		91,039		7,782		—		1,837		411,025
Noncontrolling interests		753			406		—		—		—		—		1,159
Net income attributable to shareholders	$	292,866		$	16,342	$	91,039	$	7,782	$	—	$	1,837	$	409,866
Net income per diluted share ⁽⁶⁾	$	5.42		$	0.30	$	1.69	$	0.14	$	—	$	0.03	$	7.59
Effective tax rate ⁽⁷⁾		18.6	%												20.6	%

____________________

(1)		Includes write-downs (recoveries) of inventory related to the wind down of businesses.
(2)		Includes impacts from tax settlements related to U.S. federal tax law changes enacted as part of the 2017 Tax Cuts and Jobs Act.
(3)		Other includes gain on investments, net.
(4)		Other includes gain on investments, net, and employee severance and benefits costs not related to restructuring initiatives presented in cost of sales.
(5)		Other includes (gain) loss on investments, net and loss on extinguishment of debt.
(6)		The sum of the components for non-GAAP diluted EPS, as adjusted may not agree to totals, as presented, due to rounding.
(7)		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						Nine Months Ended
	September 27,			September 28,			September 27,			September 28,
	2025			2024			2025			2024
Sales:
Global components	$	5,556,392		$	4,946,059		$	15,619,012		$	15,169,507
Global ECS		2,156,149			1,877,260			6,487,493			5,470,940
Consolidated	$	7,712,541		$	6,823,319		$	22,106,505		$	20,640,447
Operating income (loss):
Global components (a)	$	197,355		$	188,600		$	555,548		$	624,363
Global ECS (b)		63,744			75,614			238,027			249,654
Corporate (c)		(82,092	)		(88,952	)		(265,429	)		(300,563	)
Consolidated	$	179,007		$	175,262		$	528,146		$	573,454

(a)		Global components operating income includes recoveries of $2.0 million and $6.6 million in inventory write-downs related to the wind down of a business for the third quarter and first nine months of 2025, respectively, and a reversal of $1.9 million and charges of $10.2 million in inventory write-downs related to the wind down of a business for the third quarter and first nine months of 2024, respectively.
(b)		During the third quarter and first nine months of 2025, global ECS operating income includes $21.4 million and $25.2 million in losses related to under performance of the non-cancellable multi-year purchase obligations. For the first nine months of 2024, global ECS operating income includes a reversal of $20.0 million for aged receivables that were collected, related to the same customer, which was taken during the second quarter of 2024
(c)		Corporate operating loss includes restructuring, integration, and other charges of $35.6 million and $74.9 million for the third quarter and first nine months of 2025, respectively, and $34.5 million and $121.9 million for the third quarter and first nine months of 2024, respectively.

ARROW ELECTRONICS, INC. NON-GAAP SEGMENT RECONCILIATION (In thousands) (Unaudited)

	Quarter Ended								Nine Months Ended
	September 27,				September 28,				September 27,				September 28,
	2025				2024				2025				2024
Global components gross profit, as reported	$	609,101			$	564,460			$	1,755,500			$	1,835,034
Impact of wind down to inventory		(1,989	)			(1,857	)			(6,628	)			10,229
Other		—				—				172				—
Global components non-GAAP gross profit	$	607,112			$	562,603			$	1,749,044			$	1,845,263
Global components gross profit as a percentage of sales, as reported		11.0		%		11.4		%		11.2		%		12.1	%
Global components non-GAAP gross profit as a percentage of sales		10.9		%		11.4		%		11.2		%		12.2	%

Global ECS gross profit, as reported	$	226,213			$	220,368			$	702,463			$	654,064
Global ECS gross profit as a percentage of sales, as reported		10.5		%		11.7		%		10.8		%		12.0	%


	Quarter Ended								Nine Months Ended
	September 27,				September 28,				September 27,				September 28,
	2025				2024				2025				2024
Global components operating income, as reported	$	197,355			$	188,600			$	555,548			$	624,363
Intangible assets amortization expense		3,838				6,247				12,221				19,134
Impact of wind down to inventory		(1,989	)			(1,857	)			(6,628	)			10,229
Other		—				—				172				—
Global components non-GAAP operating income	$	199,204			$	192,990			$	561,313			$	653,726
Global components operating income as a percentage of sales, as reported		3.6		%		3.8		%		3.6		%		4.1	%
Global components non-GAAP operating income as a percentage of sales		3.6		%		3.9		%		3.6		%		4.3	%

Global ECS operating income, as reported	$	63,744			$	75,614			$	238,027			$	249,654
Intangible assets amortization expense		928				1,061				2,775				3,176
Global ECS non-GAAP operating income	$	64,672			$	76,675			$	240,802			$	252,830
Global ECS operating income as a percentage of sales, as reported		3.0		%		4.0		%		3.7		%		4.6	%
Global ECS non-GAAP operating income as a percentage of sales		3.0		%		4.1		%		3.7		%		4.6	%

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Arrow Electronics Reports Third-Quarter 2025 Results