Arrow Electronics (ARW) FY2023 results: revenue $33.1 billion, down 10.8% on the year

Arrow Electronics, Inc. (ARW) reported revenue of $33.1 billion for fiscal 2023, the year ended 31 December 2023, down 10.8% on the year before. Net income was $904 million, down 36.7%, and diluted earnings per share $15.84. The figures are the company's own, from the 10-K it filed with the SEC on 13 February 2024.

Revenue

$33.1 billion

-10.8% on the year

FY2016FY2023

Operating margin

4.4%

5.6% a year earlier

FY2016FY2023

Net income

$904 million

-36.7% on the year

FY2016FY2023

Diluted EPS

$15.84

-27.3% on the year

FY2016FY2023

this yearthe year beforeHover a bar for its figure.

The year in brief

The four quarters: Q1 FY2023 · Q2 FY2023 · Q3 FY2023 · Q4 FY2023

Income statement (profit and loss)

$ million	FY2023	FY2022	FY2021	On the year
Revenue	33,107	37,124	34,477	-10.8%
Cost of revenue	28,958	32,288	30,275	-10.3%
Gross profit	4,149	4,837	4,202	-14.2%
Gross margin	12.5%	13.0%	12.2%
Selling, general and administrative	2,413	2,567	2,435	-6.0%
Operating income	1,471	2,068	1,557	-28.9%
Operating margin	4.4%	5.6%	4.5%
Pre-tax income	1,164	1,884	1,436	-38.2%
Income tax	255	449	326	-43.2%
Effective tax rate	21.9%	23.8%	22.7%
Net income	904	1,427	1,108	-36.7%
Net margin	2.7%	3.8%	3.2%
Diluted EPS	$15.84	$21.80	$15.10	-27.3%

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ million	FY2023	FY2022	FY2021	On the year
Operating cash flow	705	-33.1	419
Capital expenditure	83.3	78.8	83.1	+5.6%
Free cash flow	622	-112	336
Free cash flow margin	1.9%	-0.3%	1.0%
Cash from investing	-72.3	-57.7	-60.1
Cash from financing	-666	110	-463
Depreciation and amortisation	181	187	195	-3.3%
Share-based compensation	41.6	42.9	36.1	-3.2%
Buybacks	770	1,049	912	-26.6%
Diluted shares, weighted	57m	65m	73m	-12.9%

Balance sheet

$ million	FY2023	FY2022	FY2021	On the year
Shareholders' equity	5,805	5,546	5,282	+4.7%
Non-controlling interest	71.8	65.0	58.6	+10.5%
Debt	3,808	3,773	2,627	+0.9%
Operating lease liabilities	210	227	222	-7.5%
Other liabilities	11,831	12,152	11,346	-2.6%
Total liabilities and equity	21,726	21,763	19,536	-0.2%
Fixed assets	531	596	683	-11.0%
Goodwill	2,050	2,028	2,080	+1.1%
Intangible assets	127	159	195	-19.9%
Cash and equivalents	218	177	222	+23.3%
Receivables	12,238	12,323	11,124	-0.7%
Inventory	5,187	5,319	4,202	-2.5%
Other assets	1,374	1,161	1,029	+18.4%
Total assets	21,726	21,763	19,536	-0.2%

10-K for the year ended 31 December 2023, filed 13 February 2024: the filing.