Avnet (AVT) Q3 2026 earnings summary

Executive summary

• Achieved record Q3 FY26 sales of $7.12 billion, up 34% year-over-year and 13% sequentially, with growth across all regions and segments.

• Adjusted operating income rose 45% year-over-year and 29% sequentially, with margin improvement; operating income for Q3 2026 was $205.5 million, up 43.5% year-over-year.

• Adjusted diluted EPS was $1.48, up 76% year-over-year and 41% sequentially, exceeding guidance.

• Investments in digital infrastructure and disciplined cost management contributed to improved operating margins and inventory optimization.

• Demand was robust across industrial, networking, and data center end markets, with industrial being the largest contributor at over 30% of revenue.

Financial highlights

• Q3 sales reached $7.12 billion, with Asia up 39.3%, EMEA up 31.3%, and Americas up 26.7% year-over-year.

• Adjusted operating income was $221 million, with a total adjusted operating margin of 3.1%, up 23 bps year-over-year and 38 bps sequentially.

• Gross profit margin was 10.4%, down 68 basis points year-over-year, mainly due to higher Asia sales mix.

• Inventory days reduced to 77, below the near-term target of 80 days.

• Net income for Q3 2026 was $94.3 million, up from $87.9 million in Q3 2025.

Outlook and guidance

• Q4 FY26 sales guidance is $7.3–$7.6 billion (midpoint $7.45B), implying ~5% sequential growth.

• Adjusted diluted EPS guidance for Q4 FY26 is $1.70–$1.80 (midpoint $1.75); GAAP EPS guidance: $1.20–$1.45.

• Guidance assumes continued sales growth across all Electronic Components regions and an adjusted effective tax rate of 21–25%.