Arrow Electronics Inc. (ARW) reports earnings

The report was filed on February 11, 2025

We may earn a commission from links on this page.
In This Story

Arrow Electronics Inc. (ARW-0.39%) has submitted its Form 10-K filing for the fiscal year ended December 31, 2024.

The filing reports a decrease in consolidated sales to $27.9 billion from $33.1 billion in the previous year, attributed to a cyclical downturn in the global components market and macroeconomic challenges.

Sales in the global components segment fell by 21.4% to $20 billion, while the global ECS segment saw a 3.3% increase in sales to $7.9 billion.

Advertisement

The company reported a gross profit margin of 11.8%, down from 12.5% in the prior year, with non-GAAP gross profit margin at 12.0%.

Advertisement

Operating income was $769 million, a decrease of 47.8% compared to the previous year, with non-GAAP operating income at $1.0 billion.

Advertisement

Net income attributable to shareholders was $392 million, down from $904 million in the previous year, with diluted earnings per share at $7.29.

Arrow Electronics reported that its cash and cash equivalents totaled $188.8 million at the end of 2024, with working capital at $6.7 billion.

Advertisement

The company announced a multi-year Operating Expense Efficiency Plan aimed at reducing costs and improving operational efficiency, with expected pre-tax restructuring charges of approximately $185 million.

Arrow Electronics continues to focus on its strategic objectives, including offering value-added services in the global components segment and enabling customer cloud solutions through its ArrowSphere platform.

Advertisement

The company maintains a significant investment in working capital and expects capital expenditures to be approximately $100 million for fiscal year 2025.

This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Arrow Electronics Inc. annual 10-K report dated February 11, 2025. To report an error, please email earnings@qz.com.