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Arrow Electronics Earnings Presentation Second Quarter 2026 August 6 , 2026 ARW LISTED NYSE 78.91-0.80 AT Sees 2H Adjusted EPS L www www NEW YORK STOCK EXCH CNBC William Austen , Interim President and CEO Raj Agrawal , Senior Vice President and CFO MGW WW NYS MGW NYSe NYSE NYSE NYSE
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2 Safe Harbor This presentation 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. These 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 or changes, including those that may occur in connection with recession, inflation, tax rates, foreign currency exchange rates, or the availability of capital; impacts of military conflict and sanctions; political instability and changes; trade protection measures, tariffs, increased trade tensions, trade agreements and policies, and other restrictions, duties, and value-added taxes, and the associated macroeconomic impacts; disruptions, shortages, or inefficiencies in the supply chain; non-compliance with certain laws, regulations, or executive orders, 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; changes in relationships with key suppliers; management transitions, including the company’s search for a permanent CEO; changes in product supply, pricing, and customer demand; increased profit-margin pressure resulting from industry conditions, competition, or other factors; other vagaries in the Global Components and the Global ECS markets; changes to applicable laws, regulations, executive orders, or rules relating to government contractors 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; commercial disputes, patent infringement claims, product liability lawsuits, or other legal proceedings; foreign tax and other loss contingencies; failure, disruption, or compromise of the company’s information systems or those of a third-party service provider, including unauthorized use or disclosure of company, supplier, or customer information; outbreaks, epidemics, pandemics, or public health crises; the effects of natural or man-made catastrophic events; 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 Arrow’s most recent Annual Report on Form 10-K, as well as in other filings the company makes with the SEC. 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.
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Q2 2026 Highlights • Revenue and EPS exceeded high end of guidance range • Leading indicators continue to improve • Strong operational momentum • Additional Q2 2026 financial information: • $403 million operating income1 • $283 million net income1 • 23.6% return on working capital1 • 13.9% return on invested capital1 CONSOLIDATED SALES $10.0 Billion OPERATING MARGIN1 4.0 Percent DILUTED EARNINGS PER SHARE1 $5.45 1. Figures are Non-GAAP. See reconciliation to comparable GAAP figures in the tables at the end of this presentation 3 Up 32% Y /Y Up 124% Y /YUp 120 bps Y /Y
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Why Arrow 4 As the premier distributor of technology solutions, we guide innovation forward Strong Position in Large and Growing Markets • Superior product distribution execution in the $250B+ “indirect” DTAM1,2 • Expanding addressable market through increased mix shift toward value- added offerings Differentiated Capabilities Driving Profitable Growth • Extending foundational product distribution capabilities into adjacent, higher-margin value-added services • Increased productivity through simplifying operations Diversified Business Model Provides Financial Flexibility • Combination of Global Components and ECS is a strategic advantage • Strong balance sheet • Consistent free cash flow generation Focused Capital Allocation Strategy • Reinvest in organic growth • Strategic M&A • Return excess capital to shareholders • Maintain investment-grade credit rating 1 Source: IDC, OMDIA, and Arrow analysis. 2 DTAM: Distribution Total Addressable Market
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Overview • Disciplined execution • Expand higher margin value-added services • Deliver profitable growth • Drive positive operating leverage • Create sustainable long-term shareholder value 5
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$2.43 $5.22 $5.45 52 52 52 Q2 '25 Q1 '26 Q2 '26 EPS Shares Outstanding $215 $401 $403 2.8% 4.2% 4.0% Q2 '25 Q1 '26 Q2 '26 Operating Income Operating Margin (%) $631 $687 $719 74.6% 63.2% 64.1% Q2 '25 Q1 '26 Q2 '26 OPEX % of Gross Profit $7,580 $9,474 $9,992 11.2% 11.5% 11.2% Q2 '25 Q1 '26 Q2 '26 Non-GAAP Operating Expenses1Sales & Non-GAAP Gross Margin1 Q2 2026 Financial Metrics 1 See reconciliation to comparable GAAP figures in the tables at the end of this presentation 6 Non-GAAP Diluted EPS1Non-GAAP Operating Income1 Interest and other expense, net in Q2‘26 was $37 million Non-GAAP Effective Tax Rate was 23.0%1 ECS Global Components Gross Margin (%) $ in millions except for EPS 1
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$189 $365 $397 3.6% 5.5% 5.4% Q2 '25 Q1 '26 Q2 '26 Operating Income Operating Margin (%)Asia PacificAmericas $5,285 $6,640 $7,366 11.2% 12.1% 11.6% Q2 '25 Q1 '26 Q2 '26 Non-GAAP Operating Income1 Q2 2026 Global Components 1 See reconciliation to comparable GAAP figures in the tables at the end of this presentation 7 • Broad based growth across region, vertical, and customer type: • Book-to-bill well above parity in all regions • Lead times remain at manageable levels • Normal customer order flows supporting backlog growth • On a regional basis: • Americas – broad-based strength led by aerospace & defense, industrial, and transportation • EMEA – strength in transportation and aerospace & defense • APAC – led by industrial, transportation and datacenter compute • Growth led by customer unit demand • Focus remains on profitable growth: • Core markets expanding, particularly in the West • Mass market improving with runway left • IP&E sales > $1 billion for second consecutive quarter • Value-added services delivering meaningful profit contribution • Operational productivity driving leverage in P&L Sales & Non-GAAP Gross Margin1 EMEA Gross Margin (%) $ in millions
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$104 $98 $86 5.6% 4.3% 3.3% Q2 '24 Q2 '25 Q2 '26 Operating Income Operating Margin (%) $1,861 $2,295 $2,627 11.9% 11.2% 10.2% Q2 '24 Q2 '25 Q2 '26 Non-GAAP Operating Income1Sales & Non-GAAP Gross Margin1 Q2 2026 Enterprise Computing Solutions 1 See reconciliation to comparable GAAP figures in the tables at the end of this presentation 8 • Strategically positioned on complex enterprise end of IT stack • Secular demand trends around AI driving strength across technology categories: • Hybrid cloud • Infrastructure software • Cybersecurity • Data protection • Data intelligence • Healthy backlog growth • Critical role in the channel positions Arrow to deliver on-premise alternatives • Arrowsphere driving deeper engagement and recurring revenue volumes AmericasEMEA Gross Margin (%) $ in millions
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Q2 2026 Balance Sheet and Cash Highlights • Non-GAAP Return on Working Capital (ROWC)1 of 23.6% in the second quarter, rose 1090 basis points year on year. The increase in ROWC related primarily to higher operating income in Global Components. • Non-GAAP Return on Invested Capital (ROIC)1 of 13.9% in the second quarter, rose 580 basis points year on year. The increase in ROIC related primarily to higher operating income in Global Components. • Operating Cashflow was $318M • Gross Debt was $2.2B • Adjusted Net Leverage1 1.75x • Repurchased $43M in shares 1See reconciliation to comparable GAAP figures in the tables at the end of this presentation Amounts may not calculate precisely due to rounding Inventory Turns: 5.7 5.9 6.0 9 15.3 26.0 28.0 4.7 5.7 5.9 13.2 24.7 27.1 6.8 6.9 6.8 Q2 '25 Q1 '26 Q2 '26 Net Working Capital ($B) Accounts Receivable Inventory Accounts Payable Net Working Capital 183 249 255 64 62 61 180 249 272 68 62 45 Q2 '25 Q1 '26 Q2 '26 Cash Conversion (Days) Days Sales Outstanding Days Inventory Outstanding Days Payable Outstanding Cash Conversion Cycle
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Consolidated Sales $9.60 billion to $10.20 billion Global Components $7 .50 billion to $7 .90 billion Global ECS $2. 10 billion to $2.30 billion Diluted Earnings Per Share $4.72 to $4.92 Non-GAAP Diluted Earnings Per Share 1 $4.83 to $5.03 Interest and other expense, net Approximately $50 million Q3 2026 Guidance • Changes in foreign currencies to decrease sales by approximately $27 million, and earnings per share on a diluted basis by $0.01 compared to the third quarter of 2025 • Changes in foreign currencies to decrease quarter-over-quarter growth in sales by $50 million, and earnings per share on a diluted basis to decrease by $0.04 compared to the second quarter of 2026 * Assumes an average tax rate in the range of 23% to 25%. 1. See reconciliation to comparable GAAP figures in the tables at the end of this presentation 10
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Looking Forward • Build on operational momentum • Constructive leading indicators • Drive sustainable profitable growth • Focused capital allocation • Expand higher-margin value-added services • Deliver long-term shareholder value 11
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Thank Y ou Q&A 12
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Additional information and financial tables 13
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P&L Highlights* Q2 2026 Q2 2025 Y/Y CHANGE Q2 2025 IN CONSTANT CURRENCY Y/Y CHANGE IN CONSTANT CURRENCY Q1 2026 Q/Q CHANGE Sales $9,992 $7,580 31.8% $7,673 30.2% $9,474 5.5% Gross Profit Margin 11.3% 11.2% 10 bps 11.2% 10 bps 11.5% -20 bps Operating Income $377 $191 98.0% $195 93.9% $362 4.4% Operating Margin 3.8% 2.5% 130 bps 2.5% 130 bps 3.8% 0 bps Non-GAAP Operating Income $403 $215 87.2% $220 83.5% $401 0.6% Non-GAAP Operating Margin 4.0% 2.8% 120 bps 2.9% 110 bps 4.2% -20 bps Net Income $273 $188 45.3% $193 41.6% $235 16.0% Diluted EPS $5.26 $3.59 46.5% $3.68 42.9% $4.55 15.6% Non-GAAP Net Income $283 $127 121.8% $133 113.1% $270 4.6% Non-GAAP Diluted EPS $5.45 $2.43 124.3% $2.53 115.4% $5.22 4.4% Q2 2026 Q2 2025 Y/Y CHANGE Q2 2025 IN CONSTANT CURRENCY Y/Y CHANGE IN CONSTANT CURRENCY Q1 2026 Q/Q CHANGE Operating expenses $748 $658 13.6% $666 12.4% $729 2.6% Operating expenses margin 7.5% 8.7% -120 bps 8.7% -120 bps 7.7% -20 bps Non-GAAP Operating expenses $719 $631 13.9% $639 12.6% $687 4.6% Non-GAAP Operating expenses margin 7.2% 8.3% -110 bps 8.3% -110 bps 7.3% -10 bps Consolidated second-quarter overview 14 ($ in millions, except per share data)
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Revenue history 15 ($ in millions, may reflect rounding) Q2’25 Q3’25 Q4’25 Q1’26 Q2’26 YoY change QoQ change Global Components Total 5,285 5,556 5,882 6,640 7,366 39% 11% Americas 1,708 1,709 1,960 2,312 2,455 44% 6% Europe, Middle East & Africa 1,427 1,444 1,460 1,765 1,939 36% 10% Asia Pacific 2,150 2,404 2,462 2,563 2,972 38% 16% Enterprise Computing Solutions Total 2,295 2,156 2,864 2,833 2,627 14% -7% Europe, Middle East & Africa 1,242 1,134 1,618 1,648 1,491 20% -10% Americas 1,053 1,022 1,246 1,185 1,136 8% -4% Arrow Electronics Total 7,580 7,713 8,746 9,474 9,992 32% 5%
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Operating income history Global Components ($M) Enterprise Computing Solutions ($M) 16See the reconciliation to comparable GAAP figures in the tables at the end of this presentation $187 $197 $219 $364 $396 $189 $199 $219 $365 $397 Q2-'25 Q3-'25 Q4-'25 Q1-'26 Q2-'26 GAAP Non-GAAP $97 $64 $188 $104 $85 $98 $65 $189 $105 $86 Q2-'25 Q3-'25 Q4-'25 Q1-'26 Q2-'26 GAAP Non-GAAP
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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 relating to sales, gross profit, operating income (including by business segment), operating margin, operating expense, consolidated net income, noncontrolling interest, provision for income tax, income before income taxes, net income attributable to shareholders, effective tax rate, net income per share on a diluted basis, return on working capital, and return on invested capital. These non-GAAP measures are adjusted by certain of the following, as applicable: the 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 charges, net gains and losses on investments, and the impact of wind down to inventory. 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. For a complete reconciliation between our GAAP and non-GAAP results, please refer to reconciliations found at the end of this document. 17
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NON-GAAP SALES RECONCILIATION REPORTED GAAP MEASURE INTANGIBLE AMORTIZATION RESTRUCTURING & INTEGRATION NON-GAAP MEASURE EXPENSE CHARGES Net income per diluted share $3.91 to $4.11 $0.07 $0.34 $4.32 to $4.52 NON-GAAP SALES RECONCILIATION Quarter Ended Quarter Ended 4-Jul-26 28-Jun-25 % Change 4-Jul-26 4-Apr-26 % Change Global components sales, GAAP $ 6.80 - 7.20 $ 5.28 29% - 36% $ 6.80 - 7.20 $ 6.64 2% - 8% Impact of changes in foreign currencies — 0.07 — 0.01 Global components sales, constant currency $ 6.80 - 7.20 $ 5.35 27% - 34% $ 6.80 - 7.20 $ 6.65 2% - 8% Global ECS sales, GAAP $ 2.35 - 2.55 $ 2.30 2% - 11% $ 2.35 - 2.55 $ 2.83 (17)% - (10)% Impact of changes in foreign currencies — 0.05 — 0.01 Global ECS sales, constant currency $ 2.35 - 2.55 $ 2.35 0% - 9% $ 2.35 - 2.55 $ 2.84 (17)% - (10)% Third-quarter 2026 GAAP to non-GAAP outlook reconciliation ($ in billions, except per share data) 18 NON-GAAP SALES RECONCILIATION Quarter Ended Quarter Ended 3-Oct-26 27-Sep-25 % Change 3-Oct-26 4-Jul-26 % Change Global components sales, GAAP $ $7.50 - 7.90 $ 5.56 35% - 42% $ $7.50 - 7.90 $ 7.37 2% - 7% Impact of changes in foreign currencies — (0.01) — (0.03) Global components sales, constant currency $ $7.50 - 7.90 $ 5.55 35% - 42% $ $7.50 - 7.90 $ 7.34 2% - 8% Global ECS sales, GAAP $ $2.10 - 2.30 $ 2.16 (3)% - 7% $ $2.10 - 2.30 $ 2.63 (20)% - (12)% Impact of changes in foreign currencies — (0.02) — (0.02) Global ECS sales, constant currency $ $2.10 - 2.30 $ 2.14 (2)% - 8% $ $2.10 - 2.30 $ 2.61 (19)% - (12)% NON-GAAP EARNINGS RECONCILIATION REPORTED GAAP MEASURE INTANGIBLE AMORTIZATION RESTRUCTURING & INTEGRATION NON-GAAP MEASURE EXPENSE CHARGES Net income per diluted share $4.72 to $4.92 $0.07 $0.04 $4.83 to $5.03
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Quarter Ended 4-Jul-26 28-Jun-25 % Change Consolidated sales, as reported $ 9,992,237 $ 7,579,947 31.8 % Impact of changes in foreign currencies - 93,482 Consolidated sales, constant currency $ 9,992,237 $ 7,673,429 30.2 % Global components sales, as reported $ 7,365,625 $ 5,284,898 39.4 % Impact of changes in foreign currencies - 58,847 Global components sales, constant currency $ 7,365,625 $ 5,343,745 37.8 % Americas components sales, as reported $ 2,454,521 $ 1,707,522 43.7 % Impact of changes in foreign currencies - 203 Americas components sales, constant currency $ 2,454,521 $ 1,707,725 43.7 % EMEA components sales, as reported $ 1,938,784 $ 1,426,944 35.9 % Impact of changes in foreign currencies - 45,924 EMEA components sales, constant currency $ 1,938,784 $ 1,472,868 31.6 % Asia components sales, as reported $ 2,972,320 $ 2,150,432 38.2 % Impact of changes in foreign currencies - 12,720 Asia components sales, constant currency $ 2,972,320 $ 2,163,152 37.4 % Global ECS sales, as reported $ 2,626,612 $ 2,295,049 14.4 % Impact of changes in foreign currencies - 34,635 Global ECS sales, constant currency $ 2,626,612 $ 2,329,684 12.7 % Americas ECS sales, as reported $ 1,135,513 $ 1,052,785 7.9 % Impact of changes in foreign currencies - (185) Americas ECS sales, constant currency $ 1,135,513 $ 1,052,600 7.9 % EMEA ECS sales, as reported $ 1,491,099 $ 1,242,264 20.0 % Impact of changes in foreign currencies - 34,820 EMEA ECS sales, constant currency $ 1,491,099 $ 1,277,084 16.8 % Non-GAAP second-quarter sales reconciliation 19 ($ in thousands)
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Three months ended July 4, 2026 Reported GAAP measure Intangible Amortization Expense Restructuring & Integration charges Impact of Wind Down (1) Other (2) Non-GAAP measure Operating income $ 377,333 $ 4,753 $ 24,139 $ (2,970) $ - $ 403,255 Income before income taxes 353,146 4,753 24,139 (2,970) (12,044) 367,024 Provision for income taxes 80,311 1,162 6,752 (944) (2,892) 84,389 Consolidated net income 272,835 3,591 17,387 (2,026) (9,152) 282,635 Noncontrolling interests 124 - - - - 124 Net income attributable to shareholders $ 272,711 $ 3,591 $ 17,387 $ (2,026) $ (9,152) $ 282,511 Net income per diluted share (4) $ 5.26 $ 0.07 $ 0.34 $ (0.04) $ (0.18) $ 5.45 Effective tax rate (5) 22.7% 23.0% Three months ended June 28, 2025 Reported GAAP measure Intangible Amortization Expense Restructuring & Integration charges Impact of Wind Down (1) Other (3) Non-GAAP measure Operating income $ 190,586 $ 4,870 $ 21,919 $ (2,172) $ 172 $ 215,375 Income before income taxes 232,956 4,870 21,919 (2,172) (103,804) 153,769 Provision for income taxes 45,934 1,208 5,747 (689) (25,119) 27,081 Consolidated net income 187,022 3,662 16,172 (1,483) (78,685) 126,688 Noncontrolling interests (727) 24 - - - (703) Net income attributable to shareholders $ 187,749 $ 3,638 $ 16,172 $ (1,483) $ (78,685) $ 127,391 Net income per diluted share (4) $ 3.59 $ 0.07 $ 0.31 $ (0.03) $ (1.50) $ 2.43 Effective tax rate (5) 19.7% 17.6% Three months ended April 4, 2026 Reported GAAP measure Intangible Amortization Expense Restructuring & Integration charges Impact of Wind Down (1) Other (2) Non-GAAP measure Operating income $ 361,602 $ 4,765 $ 36,664 $ (2,248) $ - $ 400,783 Income before income taxes 307,260 4,765 36,664 (2,248) 5,792 352,233 Provision for income taxes 71,230 1,164 8,052 (707) 1,391 81,130 Consolidated net income 236,030 3,601 28,612 (1,541) 4,401 271,103 Noncontrolling interests 924 - - - - 924 Net income attributable to shareholders $ 235,106 $ 3,601 $ 28,612 $ (1,541) $ 4,401 $ 270,179 Net income per diluted share (4) $ 4.55 $ 0.07 $ 0.55 $ (0.03) $ 0.09 $ 5.22 Effective tax rate (5) 23.2% 23.0% Quarterly GAAP to non-GAAP reconciliation ($ in thousands, except per share data) (1) Includes write-downs (recoveries) of inventory related to the wind down of businesses. (2) Other primarily includes (gain) loss on investment, net. (3) Other includes gain on investments, net, non-recurring tax items, and employee severance and benefits costs not related to restructuring initiative presented in cost of sales. (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. 20
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6/28/2025 9/27/2025 12/31/2025 4/4/2026 7/4/2026 Consolidated Gross Profit $ 848,657 $ 835,314 $ 1,008,756 $ 1,090,460 $ 1,125,209 Impact of wind down to inventory (2,172) (1,989) (3,638) (2,248) (2,970) Other 172 - - - - Consolidated non-GAAP gross profit $ 846,657 $ 833,325 $ 1,005,118 $ 1,088,212 $ 1,122,239 Consolidated gross profit, as a percentage of sales 11.2% 10.8% 11.5% 11.5% 11.3% Consolidated non-GAAP gross profit, as a percentage of sales 11.2% 10.8% 11.5% 11.5% 11.2% 6/28/2025 9/27/2025 12/31/2025 4/4/2026 7/4/2026 Consolidated Operating Expense $ 658,071 $ 656,307 $ 714,678 $ 728,858 $ 747,876 Intangible Amortization Expense (4,870) (4,766) (4,764) (4,765) (4,753) Restructuring & Integration charges (21,919) (35,648) (41,239) (36,664) (24,139) Consolidated non-GAAP Operating Expense $ 631,282 $ 615,893 $ 668,675 $ 687,429 $ 718,984 Consolidated operating expense, as a percentage of gross profit 75.6% 61.1% 59.4% 63.0% 63.9% Consolidated non-GAAP operating expense, as a percentage of non-GAAP gross profit 75.8% 61.3% 59.6% 63.2% 64.1% 6/28/2025 9/27/2025 12/31/2025 4/4/2026 7/4/2026 Americas ECS gross billings $ 2,543,759 $ 2,713,373 $ 3,041,843 $ 2,959,611 $ 2,693,364 EMEA ECS gross billings 2,596,209 2,476,599 4,039,437 3,473,712 3,162,931 Global ECS gross billings $ 5,139,968 $ 5,189,972 $ 7,081,280 $ 6,433,323 $ 5,856,295 Gross profit and operating expense reconciliation ($ in thousands) 21
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Operating income margin reconciliation ($ in thousands) 22 6/28/2025 4/4/2026 7/4/2026 Operating Income $ 190,586 $ 361,602 $ 377 ,333 Intangible Amortization 4,871 4,765 4,753 Restructuring and Integration Charges 21,919 36,664 24, 139 Inventory Adjustment $ (2,000) $ (2,248) $ (2,970) Consolidated non-GAAP operating income $ 215,375 $ 400,783 $ 403,255 Consolidated operating margin 2.5% 3.8% 3.8% Consolidated non-GAAP operating margin 2.8% 4.2% 4.0%
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Quarter Ended July 4, 2026 June 28, 2025 Numerator: Consolidated operating income, as reported $ 377 ,333 $ 190,586 x4 x4 Annualized consolidated operating income $ 1,509,332 $ 762,344 Non-GAAP consolidated operating income $ 403,255 $ 215,375 x4 x4 Annualized non-GAAP consolidated operating income $ 1,613,020 $ 861,500 Denominator: Accounts receivable, net $ 28,008,735 $ 15,271,348 Inventories 5,939,587 4,749,431 Less: Accounts payable 27 , 107 ,855 13,213,323 Working capital $ 6,840,467 $ 6,807 ,456 Return on working capital 22. 1% 11.2% Return on working capital (Non-GAAP) 23.6% 12.7% Return on working capital reconciliation 23 ($ in thousands)
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Quarter Ended July 4, 2026 June 28, 2025 Numerator: Consolidated operating income, as reported $ 377,333 $ 190,586 Equity in earnings of affiliated companies (1) 2,065 (659) Less: Noncontrolling interests (1) 124 (727) Consolidated operating income, as adjusted 379,274 190,654 Less: Tax effect (2) 86,270 37,457 After-tax consolidated operating income, as adjusted 293,004 153,197 x4 x4 Annualized after-tax consolidated operating income, as adjusted $ 1,172,016 $ 612,788 Non-GAAP consolidated operating income $ 403,255 $ 215,375 Equity in earnings of affiliated companies (1) 2,065 (659) Less: Noncontrolling interests (1) 124 (703) Non-GAAP consolidated operating income, as adjusted 405,196 215,419 Less: Tax effect (3) 93,197 37,808 After-tax non-GAAP consolidated operating income, as adjusted 311,999 177,611 x4 x4 Annualized after-tax non-GAAP operating income, as adjusted $ 1,247,996 $ 710,444 Denominator: Average short-term borrowings, including current portion of long-term debt (4) $ 115,455 $ 493,290 Average long-term debt (4) 2,202,718 2,339,166 Average total equity (4) 6,947,301 6,203,245 Average cash and cash equivalents (4) 265,572 226,926 Invested capital $ 8,999,902 $ 8,808,775 Return on invested capital 13.0% 7.0% Return on invested capital (Non-GAAP) 13.9% 8.1% Return on invested capital reconciliation ($ in thousands) (1) Operating income, as reported, and non- GAAP operating income is adjusted for noncontrolling interest and equity in earnings of affiliated companies to include the pro-rata ownership of non-wholly owned subsidiaries. (2) The tax effect is calculated by applying the effective tax rate for the three months ended July 4, 2026 and June 28, 2025 to consolidated operating income, as adjusted. The tax rate is adjusted to exclude the impacts of interest expense, gain on investments, net, and employee benefit plan expense, net. (3) The tax effect is calculated by applying the non-GAAP effective tax rate for the three months ended July 4, 2026 and June 28, 2025 to non-GAAP consolidated operating income, as adjusted. The tax rate is adjusted to exclude the impacts of interest expense and employee benefit plan expense, net. (4) The quarter ended average is based on the addition of the account balance at the end of the most recently-ended quarter to the account balance at the end of the prior quarter and dividing by two. 24
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6/29/2024 3/29/2025 6/28/2025 9/27/2025 12/31/2025 4/4/2026 7/4/2026 Global components operating income, as reported $ 210,201 $ 171,385 $ 186,808 $ 197,355 $ 219,158 $ 363,520 $ 396,275 Intangible assets amortization expense 6,399 4,438 3,945 3,838 3,837 3,837 3,824 Impact of wind down to inventory 1,627 (2,467) (2,172) (1,989) (3,638) (2,248) (2,970) Other - - 172 - - - - Global components non-GAAP operating income $ 218,227 $ 173,356 $ 188,753 $ 199,204 $ 219,357 $ 365,109 $ 397,129 Global components operating Margin 4.2% 3.5% 3.5% 3.6% 5.5% 5.5% 5.4% Global components non-GAAP Operating Margin 4.3% 3.6% 3.6% 3.6% 5.5% 5.5% 5.4% Global ECS operating income, as reported $ 102,581 $ 77,314 $ 96,969 $ 63,744 $ 187,884 $ 103,738 $ 85,375 Intangible assets amortization expense 1,057 922 925 928 927 928 929 Global ECS non-GAAP operating income $ 103,638 $ 78,236 $ 97,894 $ 64,672 $ 188,811 $ 104,666 $ 86,304 Global ECS Operating Margin 5.5% 3.8% 4.2% 3.0% 6.6% 3.7% 3.3% Global ECS non-GAAP Operating Margin 5.6% 3.8% 4.3% 3.0% 6.6% 3.7% 3.3% Non-GAAP segment reconciliation 25 ($ in thousands)
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6/29/2024 3/29/2025 6/28/2025 9/27/2025 12/31/2025 4/4/2026 7/4/2026 Global components gross profit, as reported $ 624,860 $ 554,945 $ 591,454 $ 609,101 $ 647,154 $ 806,748 $ 856,503 Impact of wind down to inventory 1,627 (2,467) (2,172) (1,989) (3,638) (2,248) (2,970) Other - - 172 - - - - Global components non-GAAP gross profit $ 626,487 $ 552,478 $ 589,454 $ 607,112 $ 643,514 $ 804,500 $ 853,533 Global components gross profit, as a percentage of sales 12.4% 11.6% 11.2% 11.0% 11.0% 12.1% 11.6% Global components non-GAAP gross profit, as a percentage of sales 12.4% 11.6% 11.2% 10.9% 10.9% 12.1% 11.6% Global ECS gross profit, as reported $ 221,584 $ 219,047 $ 257,203 $ 226,213 $ 361,602 $ 283,712 $ 268,706 Global ECS gross profit as a percentage of sales, as reported 11.9% 10.8% 11.2% 10.5% 12.6% 10.0% 10.2% Non-GAAP segment reconciliation (continued) 26 ($ in thousands)
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Net Leverage Reconciliation 27 ($ in thousands) Trailing Twelve Months 6/28/2025 7/4/2026 Income before income taxes $ 580,964 $ 1,042,169 Interest and other financing expense, net 239,804 184,420 Depreciation and amortization 151,202 138,430 Restructuring, integration, and other 94,756 137,690 Earnings before interest, taxes, depreciation and amortization ("EBITDA") $ 1,066,726 $ 1,502,709 6/28/2025 7/4/2026 Short-term borrowings, including current portion of long-term debt $ 455,612 $ 117,539 Long-term debt 2,365,812 2,053,041 Amounts related to the EMEA asset securitization program: Receivables sold to Unaffiliated Financial Institutions that were uncollected 348,698 465,091 Receivables sold under the factoring programs that were uncollected 320,759 232,915 Less: Cash (221,970) (244,631) Total Debt $ 3,268,911 $ 2,623,955 6/28/2025 7/4/2026 Adjusted Leverage Ratio 3.06 1.75 Trailing Twelve Months 6/28/2025 7/4/2026 Income before income taxes $ 580,964 $ 1,042,169 Interest and other financing expense, net 239,804 184,420 Depreciation and amortization 151,202 138,430 Restructuring, integration, and other 94,756 137,690 Earnings before interest, taxes, depreciation and amortization ("EBITDA") $ 1,066,726 $ 1,502,709 As of 6/28/2025 7/4/2026 Short-term borrowings, including current portion of long-term debt $ 455,612 $ 117,539 Long-term debt 2,365,812 2,053,041 Amounts related to the EMEA asset securitization program: Receivables sold to Unaffiliated Financial Institutions that were uncollected 348,698 465,091 Receivables sold under the factoring programs that were uncollected 320,759 232,915 Less: Cash (221,970) (244,631) Total Debt $ 3,268,911 $ 2,623,955 6/28/2025 7/4/2026 Adjusted Leverage Ratio 3.06 1.75