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Arrow Electronics (ARW) FY2025 results: revenue $30.9 billion, up 10.5% on the year

Arrow Electronics, Inc. (ARW) reported revenue of $30.9 billion for fiscal 2025, the year ended 31 December 2025, up 10.5% on the year before. Net income was $571 million, up 45.7%, and diluted earnings per share $10.93. The figures are the company's own, from the 10-K it filed with the SEC on 11 February 2026.

Revenue
$30.9 billion
+10.5% on the year
FY2018FY2025
Operating margin
2.7%
2.8% a year earlier
FY2018FY2025
Net income
$571 million
+45.7% on the year
FY2018FY2025
Diluted EPS
$10.93
+49.9% on the year
FY2018FY2025

this yearthe year beforeHover a bar for its figure.

The year in brief

What management said about the year

Guidance figures: 10 new.

  • Fourth-quarter sales rose 20 percent: Consolidated sales were $8.75 billion, up 20 percent from $7.28 billion a year earlier.
  • Fourth-quarter EPS more than doubled: Diluted EPS was $3.75 against $1.86, up 101 percent; non-GAAP diluted EPS was $4.39 against $2.97, up 48 percent.
  • Global Components sales up 22 percent: Global components sales were $5.88 billion, up 22 percent, or 19 percent in constant currency; non-GAAP operating income was $219 million, up 26 percent.
  • Global ECS sales up 16 percent: Global ECS sales were $2.86 billion, up 16 percent, or 11 percent in constant currency; full-year ECS sales were $9.35 billion, up 18 percent.
  • Value-added offerings and datacenter activity: Management pointed to performance in value-added offerings and continued cloud, AI and datacenter activity as contributors to the quarter.
Read the Q4 FY2025 earnings call summary

From this 10-K

Arrow Electronics is a distributor that sits between the makers of electronic components and computing products and the companies that build with them. It sources and engineers technology for thousands of manufacturers, service providers and users of enterprise computing. It was incorporated in New York in 1946 and operates over 140 sales facilities and 39 distribution and value-added centers, serving over 85 countries.

Arrow Electronics, Inc., the 10-K for 2025

Arrow Electronics is a distributor that sits between the makers of electronic components and computing products and the companies that build with them. It sources and engineers technology for thousands of manufacturers, service providers and users of enterprise computing. It was incorporated in New York in 1946 and operates over 140 sales facilities and 39 distribution and value-added centers, serving over 85 countries.

Two segments

Global components distributes electronic components to equipment makers and contract electronics manufacturers, and was approximately 70% of sales in 2025. Global ECS, which stands for enterprise computing solutions, sells computing products and services to value-added resellers and managed service providers, and was approximately 30%. The company operates in the Americas, EMEA and the Asia/Pacific region.

Components

Within global components, approximately 72% of 2025 sales were semiconductor products and related services, approximately 16% the products it groups as IP&E, such as capacitors, resistors, power supplies, relays, switches and connectors, approximately 7% computing and memory and approximately 5% other products. The filing states that most customers need deliveries on schedules or in volumes that manufacturers generally do not offer directly, and Arrow lets them buy many suppliers' technologies from a single source. Around the products it sells supply chain services such as procurement, logistics, warehousing and data analytics, and design engineering services including software development, product design and integrated circuit design. Field application engineers work with customers on designs that specify suppliers' components in future products, which the company calls demand creation.

Enterprise computing

Global ECS covers datacenter, cloud, security and analytics products. In 2025, software applications made up approximately 27% of its sales, storage 25%, security 15%, compute 14%, data intelligence 5%, networking 5% and other products 9%. ArrowSphere is its software and cloud marketplace and management platform, used by resellers and service providers to run subscription businesses. Under strategic outsourcing agreements, some suppliers hand Arrow part or all of their selling and marketing for a contractual fee, with non-cancellable multi-year purchase obligations attached.

Customers and suppliers

Industrial customers range from major equipment makers and contract manufacturers to small engineering firms, and commercial customers are mainly resellers, service providers and equipment makers, in industries including industrial, automotive and transportation, computing, networking and communications. No single customer accounted for more than 2% of 2025 sales and no single supplier for more than 8%. Most purchases are made under distributor agreements that are typically non-exclusive and can be cancelled at short notice. Many of those agreements protect Arrow against obsolescence and supplier price cuts through return privileges, scrap allowances and price protection, and at December 31, 2025 such arrangements covered approximately 56% of inventories.

People

At December 31, 2025 the company and its affiliates employed approximately 22,230 people: approximately 5,860 in the Americas, 8,020 in EMEA and 8,350 in Asia/Pacific, across 52 countries.

From Arrow Electronics' annual report on Form 10-K for the year ended 31 December 2025. The filing

Written from the 10-K filed 11 February 2026: read the full 10-K.

The four quarters: Q1 FY2025 · Q2 FY2025 · Q3 FY2025 · Q4 FY2025

Income statement (profit and loss)

$ millionFY2025FY2024FY2023On the yearLast 8 years
Revenue30,85327,92333,107+10.5%
Cost of revenue27,38624,63128,958+11.2%
Gross profit3,4673,2924,149+5.3%
Gross margin11.2%11.8%12.5%
Selling, general and administrative2,3912,2182,413+7.8%
Operating income8227691,471+7.0%
Operating margin2.7%2.8%4.4%
Pre-tax income7184891,164+46.7%
Income tax14895.8255+54.7%
Effective tax rate20.6%19.6%21.9%
Net income571392904+45.7%
Net margin1.9%1.4%2.7%
Diluted EPS$10.93$7.29$15.84+49.9%
$ million except per share.
Read moreFree 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

$ millionFY2025FY2024FY2023On the yearLast 8 years
Operating cash flow64.01,130705-94.3%
Capital expenditure10192.783.3+9.2%
Free cash flow-37.21,038622
Free cash flow margin-0.1%3.7%1.9%
Cash from investing23.6-94.4-72.3
Cash from financing-206-957-666
Depreciation and amortisation138163181-15.5%
Share-based compensation27.934.641.6-19.5%
Buybacks162265770-39.0%
Diluted shares, weighted52m54m57m-2.9%

Balance sheet

$ millionFY2025FY2024FY2023On the yearLast 8 years
Shareholders' equity6,5855,7615,805+14.3%
Non-controlling interest74.070.471.8+5.1%
Debt3,0853,1243,808-1.2%
Operating lease liabilities187198210-5.9%
Other liabilities19,14812,60411,831+51.9%
Total liabilities and equity29,07821,75821,726+33.6%
Fixed assets475469531+1.1%
Goodwill2,1202,0552,050+3.2%
Intangible assets77.096.7127-20.4%
Cash and equivalents306189218+62.3%
Receivables19,73913,03112,238+51.5%
Inventory5,0824,7105,187+7.9%
Other assets1,2791,2071,374+6.0%
Total assets29,07821,75821,726+33.6%

10-K for the year ended 31 December 2025, filed 11 February 2026: the filing.