Arrow Electronics (ARW) Q2 2026 Earnings Report

The quarter demonstrated robust, broad‑based revenue growth, substantial EPS and margin expansion, improved returns and balance sheet strength, driven by both components and ECS backlog growth and value‑added services. Notable strategic progress (new platforms, Gartner recognition, Microsoft distinctions) reinforces long‑term positioning. Near‑term negatives include a $27M ECS restructuring charge, partner agreement transitions with potential additional smaller charges, expected normalization of supply chain services profitability, and some inventory and technology lead‑time pressures. Overall, the positive operational and financial momentum and diversified growth drivers materially outweigh the manageable near‑term challenges.

For Q3 the company guided revenue of $9.6 billion to $10.2 billion (up about 28% year‑over‑year at the midpoint), with global components sales of $7.5 billion to $7.9 billion (roughly +5% sequential at the midpoint) and enterprise computing solutions sales of $2.1 billion to $2.3 billion (about +2% year‑over‑year at the midpoint, noting a comparison to a large partner addition last year); it expects a non‑GAAP diluted EPS of $4.83–$5.03, an effective tax rate of 23%–25%, interest expense of roughly $50 million, and cautioned that supply‑chain services profitability should normalize in Q3; the company also said components should perform at or above seasonal trends (Asia seasonally strong, EMEA typically weaker) and provided currency details in its earnings release.