Key Highlights

  • Third-quarter Revenue increased 39% year over year to $10.7 billion.
  • Diluted EPS was $6.17, and non-GAAP diluted EPS was $6.22.
  • Both per-share measures came in above the high end of the company's guidance.
  • Global Components reported a growing Backlog and book-to-bill ratios above parity.

Arrow Electronics (NYSE:ARW), a global provider of electronic components and enterprise computing solutions, reported third-quarter 2026 results on November 5, 2026. Revenue reached $10.7 billion, up 39% from the prior year, and both diluted and non-GAAP Diluted Earnings per Share exceeded the high end of the company's guidance range. Bill Austen, who is serving as interim chief executive officer, attributed the results to Demand across the company's two main Business groups.

A 39% revenue increase is a large move for a distribution company, and the release does not isolate how much of it reflects pricing, Volume or product mix. The company's reference to above-parity book-to-bill ratios suggests that demand exceeded shipments during the period, which indicates that orders outpaced shipments in the period.

Revenue Growth Across Two Businesses

Third-quarter revenue was $10.7 billion, an increase of 39% year over year. Arrow operates two principal businesses: Global Components, which distributes electronic parts, and Global Enterprise Computing Solutions, which provides technology infrastructure and related services. The release describes both as contributing to the quarter's growth.

Austen described the Global Components business as benefiting from broad-based demand across geographies, customer segments and industry verticals. He also said that business had a growing backlog and book-to-bill ratios above parity, which indicate that incoming orders exceeded shipments during the period.

Enterprise Computing and Technology Demand

Austen said Global Enterprise Computing Solutions also saw higher demand as customers modernized their technology environments. The release identifies investments in artificial intelligence, cloud, Cybersecurity and hybrid infrastructure as the principal areas of that spending.

The release does not split the total revenue increase between the two businesses, so the relative contribution of each cannot be determined from the highlights. Readers tracking the company's mix should consult the segment tables in the full report.

Because both GAAP and non-GAAP diluted EPS came in above the high end of guidance, the quarter's results exceeded the company's own expectations on a per-share basis. The release does not disclose the Operating Margin for the quarter in its highlights, so the conversion of higher revenue into profit requires the full financial tables.

Earnings Per Share Above Guidance

Diluted EPS for the third quarter was $6.17, and non-GAAP diluted EPS was $6.22. Both measures came in above the high end of guidance, according to the release. The gap between the GAAP and non-GAAP figures is small in this quarter, which means the company's adjustments had a limited effect on the per-share result.

Austen linked the results to the strength of the company's scalable operating model and disciplined execution. The release does not provide the quarter's operating margin in its highlights, so the extent to which revenue growth converted into profit must be assessed from the full financial tables.

The release's description of the Global Components business includes references to customer segments and industry verticals, which indicates that demand was spread across several markets rather than concentrated in one. That breadth is consistent with the company's description of a diversified business model.

Leadership and Outlook Considerations

Bill Austen is described in the release as interim chief executive officer. Interim Leadership is a point readers may wish to monitor, since the appointment of a permanent chief executive could bring changes in strategy or reporting emphasis, though the release does not signal any such change.

The company's fourth-quarter guidance, which the release does not restate in full in the highlights, will be the next point of reference for judging whether the demand trends seen in the third quarter continue. Guidance for the coming period is typically found in the outlook section of the release.

Readers following the company may compare the growing backlog with future revenue to test whether orders are converting to sales at the pace the release implies.

Outlook

Arrow Electronics' third-quarter report shows 39% revenue growth, EPS above the top of guidance and reported demand across both business groups. Whether backlog and book-to-bill trends hold, and how the company manages the transition under interim leadership, will shape the trajectory of its results in the periods ahead.